Labor & Employment | Machado Associados – Edition 01

17.06.2025

Key Highlights of the Period

Social Security Agreements with Bulgaria and the Czech Republic Enacted

Decree No. 12,497/2025 addresses the agreement between Brazil and the Czech Republic, and Decree No. 12,498/2025 covers the agreement between Brazil and Bulgaria, both released on June 9.

These new Social Security Agreements are added to those already signed by Brazil with several other countries, ensuring social security rights for workers residing in or transiting through signatory countries. They enable the aggregation of contribution periods abroad and, in many cases, prevent double social security taxation for officers, C-Levels, executives, technicians, employees and workers temporarily assigned to Brazil.

Labor and Social Bills Progress in the National Congress

Right to Object to Union Dues. Bill No. 1,663/2023, approved by the House of Representatives, updates the Brazilian Labor Code (BLC) to allow employees cancelling union dues by means of digital means, such as email or mobile apps, eliminating the need for in-person requests. The bill moves to the Senate for review.

Payroll-Deductible Loans. The Constitution and Justice Committee of the House of Representatives approved Bill No. 5,528/2023, authorizing work-related accident-benefit recipients to contract payroll-deductible loans. Currently, only retirees, pensioners, or social aid (BPC) recipients may access such loans. If no plenary vote is requested, the bill advances to the Senate. If passed, companies must adjust payroll systems for employees on work-related accident-related leave.

Job Tenure. The Labor Committee of the House of Representatives approved Bill No. 1,282/2021, amending the BLC to ensure job tenure during the probation period for individuals called to mandatory military service. The bill, under conclusive procedure, awaits review by the Justice Committee and subsequent Senate approval.

Gender and Work. The Senate’s Social Affairs Committee approved Bill No. 375/2023 to promote employment for women over 50. It amends the “Emprega + Mulheres” social program (Law No. 14,457/2022) to support women training, job retention, and market reintegration. It will proceed to the House of Representatives if no Senate Plenary appeal is made.

Internship Law Reform (1). Bill No. 4,477/2024 under review in the House of Representatives allows recent graduates (within two years of completion) to be hired as interns, expanding the current restriction to only active students.

Internship Law Reform (2). The Senate Human Rights Committee approved Bill No. 4,116/2021, which reserves internship spots for self-declared Black, Indigenous, or ethnic group “Quilombola” students, and those from public schools or in foster care. The substitute bill reserves 10% of total intern positions for these groups, in addition to existing quotas for students with disabilities. The bill now moves to the Senate’s Social Affairs Committee for conclusive voting.

Persons with Disabilities (PWD) – Definition Expansion. The House of Representatives’ Committee on Rights of Persons with Disabilities approved Bill No. 770/2024 to include Stiff-person Syndrome as a qualifying disability condition, provided it causes long-term physical, mental, intellectual, or sensory impairment. The bill is pending further review by the Health and Justice Committees and will then proceed to the Senate.

PWD – Accessible Work Environments. Bill No. 340/2025 proposes mandatory accessible and inclusive workplaces for PWD, including assistive technology and telecommuting options. It also forbids wage discrimination between remote and in-person roles. The proposal will be reviewed conclusively by several House of Representatives’ Committees.

PWD – Employment and Entrepreneurship. Bill No. 3,607/2024, approved by the House of Representatives’ Labor Committee, promotes PWD employment and entrepreneurship through: (a) business training and microcredit access; (b) workforce placement programs in SMEs; (c) support for accessibility and assistive technology; and (d) inclusion in apprenticeship and paid internship programs. It will now be reviewed by the Rights of PWD, Finance, and Justice Committees.

Minimum Wage for Physicians and Dentists. The House of Representatives’ Labor Committee approved Bill No. 765/2015, setting a national minimum wage of BRL 10,991.19 for physicians and dentists, based on a 20-hour workweek. Adjustments will follow the local INPC index. Approved amendments include: (a) night work hour equals to 52 minutes and 30 seconds; (b) 50% bonus for night or overtime work. The bill still requires Finance and Justice Committee approval before moving to the Senate.

Animal Health Professions. The House of Representatives’ Consumer Protection Committee approved Bill No. 1,455/2024, regulating the roles of pet bathers, groomers, and estheticians, mandating certification through practical courses endorsed by the Federal Council of Veterinary Medicine. It also establishes criteria for the operation of pet shops.

Professional Regulation. The Senate Social Affairs Committee approved Bill No. 1,884/2024 to regulate the professions of Free Flight Instructors and Tandem Flight Pilots for adventure tourism. The bill now proceeds to the House of Representatives for reviewing.

Outdoor Work and Climate Protection. Bill No. 848/2025, introduced in the House of Representatives, proposes protection for outdoor workers from extreme weather conditions, requiring employers to provide water, equipment, and shaded rest areas. The BLC currently delegates such standards to the Ministry of Labor and Employment.

Labor Case Law & Updates – Brazilian Superior Labor Court (BSLC)

Public Consultation on Union Standing. The BSLC issued a public notice with a 15-day deadline for comments on the following legal questions: (a) Can a union represent its members in individual, collective, or public civil actions at any stage of litigation? And (b) Does individualization or quantification of claims exclude union representation?

BSLC Seeks Comments on Collective Bargaining Validity. Two additional public notices from the Court invite comments on cases related to the validity of collective agreements, which will be reviewed under the repetitive appeal system for precedent formation, aligning with the Brazilian Supreme Federal Court guidance.

Educational Foundation Board Members Not Liable. The Court’s 7th Panel ruled that board members with no management responsibilities cannot be held personally liable for labor debts, ordering their exclusion from collective enforcement proceedings.

Intermittent Worker Granted Maternity Stability. The Court’s 2nd Panel acknowledged maternity stability for an intermittent/zero-hour contract worker whose pregnancy began during an active employment period, even if discovered during an inactive interval.