Labor & Employment | Edition 16

31.10.2025

Key Highlights

Breach of Internship and Apprenticeship Agreements

The 6th Panel of the Regional Labor Court of Rio Grande do Sul acknowledge that a young individual hired by a bank — first as an apprentice and later as an intern — maintained an employment relationship with the institution. This was due to evidence showing the performance of typical banking activities without effective pedagogical supervision and with the imposition of sales targets for financial products. According to the court, legal requirements were not met in either contract, and in the case of the internship, no monitoring, evaluation, or supervision reports were presented.

Limit on Seizure of Rural Property

The Committee on Agriculture, Livestock, Supply and Rural Development of the Chamber of Deputies approved Bill No. 2,789/2025, which prohibits the seizure of a rural property area exceeding the value of the debt. Under the proposal, only the portion necessary to cover the debt may be seized, always based on a technical appraisal and ensuring the continuation of the rural producer’s economic activity. The bill will now be reviewed by other committees of the Chamber of Deputies before being sent to the Senate.

Work Accident Involving a Dancer at an Amusement Park

The 7th Panel of the Superior Labor Court recognized that the work of a dancer involves a high degree of risk, comparable to that of athletes and mail carriers. Accordingly, it held an amusement park strictly liable for an accident in which a professional injured her ankle during training for a performance. The panel unanimously ordered the park to pay a monthly pension equal to 100% of the dancer’s last salary, moral damages in the amount of R$20,000, and reimbursement of medical expenses.

Misclassification of App-Based Drivers

The Senate Plenary held a thematic session to discuss the working conditions of drivers and couriers working for app-based platforms. The discussions will inform the judgment by the Supreme Federal Court of Theme No. 1,291, which concerns the legal nature of the working relationship between digital transport and delivery platforms and their drivers and couriers under gig economy. A final decision has not yet been scheduled.

Reduction of Working Hours

The Senate’s Committee on Constitution, Justice and Citizenship received a favorable opinion on Constitutional Amendment Proposal (PEC) No. 148/2015, which seeks a gradual reduction — without salary decrease — of the workweek established in the Constitution. According to the opinion, the weekly limit would be progressively reduced each year until reaching a maximum of 36 hours per week, with rest days preferably on Saturdays and Sundays. The proposal is still under internal review.

Technical Professions within Mercosur

The Senate ratified a Mercosur agreement formalized by Legislative Decree Project No. 394/2024, which allows professionals in five technical areas to work temporarily within member countries without the need for diploma validation. The measure benefits surveyors, agronomists, architects, geologists, and engineers by issuing temporary registrations valid for up to 4 years. The project now proceeds to ratification.

Meal Allowance During Vacation

The Chamber of Deputies’ Labor Committee approved Bill No. 3,875/2023, which amends the Labor Code to prohibit deductions from meal allowances during vacations, compensatory time off, or justified absences. The bill will be reviewed by the Committee on Constitution, Justice and Citizenship for final approval before being sent to the Senate.

Road Accident Caused Exclusively by the Victim

The 4th Panel of the Regional Labor Court of Minas Gerais denied moral and material damage compensation to the family of a driver who died in a road accident. The defense proved the victim’s exclusive fault, as he was driving at excessive speed — a determining factor in the accident — and toxic substances were found in his body that may have contributed to the incident.

Social Security Contributions of Rural Producers

The Federal Revenue Service issued Ruling No. SRRF04/DISIT 4.054/2025, clarifying that an individual rural producer, even if part of a corporate entity —urban or rural — registered with the corporate “CNPJ” number and subject to the “salary-education” contribution, does not automatically become liable for such contribution in their individual rural activity. This interpretation is consistent with Ruling COSIT No. 193/2025 and reaffirms that the “salary-education” obligation applies only to employers registered under a CNPJ, not to individual rural producers acting on their own behalf.

Health Plan Deduction in Voluntary Termination Programs (PDV)

The 5th Panel of the Superior Labor Court acknowledged the right of a sanitation company to deduct health plan costs from the severance amount due to an employee who adhered to a Voluntary Dismissal Program (PDV). The employee refused to sign the termination document, disputing the full deduction related to the health plan. The company argued that such deductions were included in the agreement, and the employee was aware of them. The rapporteur recalled that, under section 458 of the Labor Code, medical, hospital, and dental assistance are not considered salary components. He further stated that these are civil contracts governed by specific legislation. As the plan was contributory, with explicit participation of both employer and employee, the worker’s voluntary adherence to the PDV and the health plan implied acceptance of all terms, including co-payment obligations.

Mandatory Eye Examinations

The Chamber of Deputies’ Labor Committee approved Bill No. 3,550/2015, which makes eye or optometric examinations mandatory for employees. According to the proposal, a complete ophthalmological exam must be conducted whenever visual alterations are detected during hiring or termination assessments. Additionally, periodic exams may be required depending on occupational risks. The bill is subject to conclusive review and will still be analyzed by the Committee on Constitution, Justice and Citizenship before being forwarded to the Senate.

Labor Conditions Analogous to Slavery

The Labor Court of Minas Gerais acknowledged employment relationship between an institution and workers under its care, ordering both the employer and its legal representative, jointly and severally, to pay labor entitlements and moral damages — both collective (to the Fund for Diffuse Rights) and individual (to each affected worker). The first-instance decision arose from a public civil action filed by the Labor Prosecutor’s Office after inspections revealed that socially vulnerable individuals were subjected to working conditions analogous to slavery.

Gender Pay Equality

The 1st Panel of the Regional Labor Court of Rio Grande do Sul dismissed a company’s lawsuit seeking exemption from disclosing pay transparency reports as required by Law No. 14,611/2023. In a unanimous decision, the panel affirmed that both the decree and the ordinance regulating the Gender Pay Equality Law are constitutional, and that employers are obligated to publish these reports as stipulated by the regulation.

Absence of Liability for Companies Not Involved in Labor Proceedings

The Supreme Federal Court established, under Theme No. 1,232, that companies not involved in the evidentiary stage of a labor lawsuit cannot be automatically held liable during the enforcement stage, even if part of the same economic group. The employee must identify, in the initial complaint, all legal entities deemed jointly responsible for the debt. However, exceptions apply: liability may extend to a non-party company in cases of corporate succession or abuse of legal personality. This rule applies to cases initiated before the 2017 Labor Reform, except for debts already paid or cases with final judgment.

Labor Liability of Investment Funds

The 5th Panel of the Superior Labor Court acknowledge existence of an economic group between a retail chain and an investment fund that held a debenture contract allowing managerial interference in the retailer’s operations. The panel found that the relationship went beyond a mere credit agreement, as there was clear evidence of the fund’s control and influence over the retail group, along with shared business interests. Therefore, the existence of an economic group was confirmed for labor liability purposes.

Social Security Agreement between Brazil and Austria

The Foreign Relations Committee endorsed Legislative Decree Project No. 318/2024 to ratify the Social Security Agreement signed between Brazil and Austria. The agreement allows workers from one country residing in the other to combine contribution periods to both nations’ social security systems for purposes such as retirement and other social benefits.