The article focuses on the politicization of Portuguese Labour Code reforms since the early 2000s. More specifically, it looks at the link between mechanisms of politicization and Europeanization from a variety of perspectives, including decision-making processes and agenda setting, political divides and reform coalitions. By adopting a longitudinal approach, the article shows how the economic crisis and troika bailout have affected connections between politicization and Europeanization. Portuguese labour market policies have followed a continuous process of increased flexibility in recent years irrespective of governments’ partisan orientations and without any significant variations. It remains that the economic crisis – and the memorandum agreed with the troika and implemented against the backdrop of a sovereign debt crisis – have had a considerable effect on political debate and social protest while deepening the polarization that divides Portuguese trade unions and governing parties. The processes of Europeanization and politicization are addressed from a qualitative perspective that is crucial in the understanding of the politics of labour reforms in Portugal as it sheds light on the political conditions of reforms coalitions and their constraints.