Lower house approves bill to ease labor law during Covid-19 pandemic

. May 29, 2020
wages Lower house approves bill to ease labor law during Covid-19 pandemic

Brazil’s lower house of Congress approved a bill that allows employers to reduce wages and working hours during the Covid-19 pandemic. The measure was already in place by way of a provisional decree issued by President Jair Bolsonaro. Now, with the approval of lawmakers, the federal government may renew the program while the calamity state is in progress.

In accordance with the program, if an employer reduces the salary and working hours of a given employee by 50 percent, this worker will receive a 50 percent supplementary amount paid by the federal government and calculated on unemployment insurance. If wage reduction is higher than 70 percent, the worker would receive 70 percent of unemployment insurance.

Minimum wages

On Thursday, the Senate approved an increase to the national minimum wage for 2020. In February, President Bolsonaro issued a provisional decree raising the minimum wage from BRL 1,039 to BRL 1,045.

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Brenno Grillo

Brenno has worked as a journalist since 2012, specializing in coverage related to law and the justice system. He has worked for O Estado de S. Paulo, Portal Brasil, ConJur, and has experience in political campaigns.

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