Interesting facts about Employment Law in Brazil
It can be interesting to compare the rights of UK employees, with those enjoyed by workers in other parts of the world. Given the Olympics in Rio De Janeiro this summer, we thought it would be worth having a brief look at some key facts about employment law in Brazil:
- In Brazil, employees are entitled to a “13th Month” Payment, known as the “Christmas Bonus” and this is paid in two instalments.
- Employees are only entitled to annual leave, after they have completed 12 months’ service with their employer.
- There is no concept of Redundancy in Brazil. Generally speaking, employees can be dismissed without cause at any time during the period of employment, subject to notice period and the payment of severance pay.
- Employers with 100 or more employees are required to employ a minimum quota of staff with disabilities / or who have undergone rehabilitation by the Social Security Authorities.
- Employers are required to pay the equivalent of 8% of employees’ monthly pay into an account each month, from which the employee is entitled to withdraw the balance as a severance payment in certain specified circumstances.
- Employees signed off sick are entitled to two payments at fixed rates. The first 15 days will be paid by the employer, a further period is paid by the state.
- Employees are entitled to national and municipal holidays that are fixed by the public authorities. On these days, work is forbidden without authorisation from the ministry of labour and employment.
- Employees are entitled to 24 hours paid weekly rest, preferably on Sundays.
- Employees are entitled to a national minimum wage, which applies to all employees, regardless of their age and experience. Some states have a regional minimum wage too.