Portugal's unemployment hits record 16.3 percent in October

Portugal's unemployment rate increased by 0.1 percent in October to 16.3 percent, reversing the slight drop in September, according to data released on Friday by Eurostat. The data from Eurostat, the statistical office of the European Union, puts Portugal in the group of countries with the highest increases in unemployment compared with 2011, following Greece, Spain and Cyprus and well above the eurozone average which now stands at 10.7 percent. Portugal's Minister for Solidarity and Social Security Pedro Mota Soares said Friday that unemployment in Portugal requires "structural reforms that can boost the economy." "The increase in the unemployment rate in Portugal is very worrying and requires structural reforms that can actually stimulate the economy," said Mota Soares while speaking at a rally held by the Portuguese Workers' Union. The minister also announced the government's intention to move forward this year with the creation of an unemployment allowance for small and medium businesses, a proposal which will be subject to discussion in Parliament.