Labour & Employment | Edition 36

21.10.2026

Key Highlights

Working Hours. Abolition of the Six-Days-On, One-Day-Off Working Pattern (6×1).

The Brazilian National Congress promulgated Constitutional Amendment No. 141, which abolishes the six-days-on, one-day-off working pattern (6×1) and establishes two paid weekly rest days, without any reduction in salary. The amendment provides for gradual implementation, reducing the maximum working week from 44 to 42 hours 60 days after its promulgation and subsequently to 40 hours in December 2027. The new provisions allow for working-time arrangements and the offsetting of working hours through collective bargaining, subject to constitutional limits. The measure represents a significant change in the organisation of employment relationships, particularly for companies operating continuously or at weekends. From a practical perspective, companies are advised to review their working schedules, collective bargaining agreements and working-time compensation arrangements, as well as assess the operational and financial implications, with a view to ensuring timely compliance with the new legal requirements. Source: Brazilian Chamber of Deputies and Federal Senate.

Beverage Industry. Hazard Pay for Motorcycle Use.

The 2nd Panel of the Brazilian Superior Labour Court (TST) ordered a company in the beverage industry to pay a 30% hazard allowance to a sales representative who used a motorcycle in the course of his professional duties. The Regional Labour Court had overturned the award on the grounds that the employer was covered by the suspension of the effects of a ministerial ordinance concerning the payment of this allowance to companies affiliated with ABIR – the Brazilian Association of Soft Drink and Non-Alcoholic Beverage Industries – and CONFENAR – the National Confederation of Ambev Distributors and Distribution Logistics Companies. However, the TST held that the entitlement is expressly provided for under Article 193, paragraph 4, of the Brazilian Consolidation of Labour Laws (CLT), the application of which does not depend on supplementary regulations, and that a ministerial ordinance cannot restrict a right guaranteed by federal law. The Panel unanimously recognised the employee’s entitlement to the allowance from 2014, when the ordinance came into force. The case highlights the need for companies to review the working conditions of employees who use motorcycles in the performance of their duties and to assess the payment of the hazard allowance, whilst also strengthening accident prevention measures and safety procedures for work-related travel. Source: TST.

Irregular Apprenticeship and Internship Agreements.

The 1st Panel of the Brazilian Superior Labour Court (TST) upheld a decision declaring null and void the apprenticeship and internship agreements entered into between a fuel distribution company and a female worker, recognising a single employment relationship throughout the entire period. During the apprenticeship, the Court identified working hours exceeding the statutory limit, the performance of overtime and the absence of structured training and educational supervision. During the internship, there was no supervision or assessment by the educational institution, nor was there evidence that the activities undertaken contributed to the student’s academic development. The Labour Courts concluded that the arrangements failed to fulfil their educational purpose, and the TST upheld the decision on the grounds that the evidence could not be reassessed at that stage of the proceedings. The case highlights the need for companies to review the implementation of apprenticeship and internship programmes, ensuring that the activities are consistent with the relevant educational objectives, that effective supervision is provided and that statutory working-hour limits are observed, in order to prevent these arrangements from being reclassified as employment relationships and giving rise to employment-related liabilities. Source: TST.

Dismissal for Gross Misconduct. Intoxication Whilst on Duty.

The 1st Panel of the Brazilian Superior Labour Court (TST) upheld the dismissal for gross misconduct of a lorry driver who was arrested in the act of driving the company’s vehicle whilst under the influence of alcohol. His intoxication was established by a breathalyser test, and the Labour Courts considered that the conduct, despite involving a single incident, was sufficiently serious to destroy the trust required in the employment relationship, given the risks posed to the safety of both the employee and third parties. There was no evidence in the proceedings of chronic alcoholism or alcohol dependence, circumstances which would have required a supportive approach. The TST emphasised that the seriousness of the misconduct may justify the immediate imposition of the most severe disciplinary sanction, particularly in activities requiring a high degree of attention. The case reinforces the importance of maintaining policies aimed at preventing alcohol consumption whilst on duty, providing guidance to employees performing safety-critical roles and properly documenting incidents, whilst assessing the particular circumstances of each situation before imposing disciplinary measures. Source: TST.

Dismissal for Gross Misconduct. Medical Certificate and Religious Activities.

The 2nd Labour Court of São Caetano do Sul, in the State of São Paulo, upheld the dismissal for gross misconduct of a production operator who performed duties as a pastor during periods of medically certified absence from work, undertaking activities considered incompatible with the prescribed rest. Images published on a church’s social media accounts showed his participation in religious events on the same days that he was on medical leave, including delivering talks whilst standing after submitting a medical certificate for cervicalgia (pain in the neck and shoulder region). The Labour Court held that the conduct constituted serious misconduct and a breach of the trust required in the employment relationship, rejecting his claims for reinstatement and payment of employment-related amounts for the period of absence. The case reinforces the importance of investigating and documenting potential inconsistencies between activities undertaken during medical leave and the relevant medical recommendations, in order to assess possible disciplinary misconduct incompatible with the employee’s medically certified absence. Source: TRT-SP.

Dismissal for Gross Misconduct. Sexually Explicit Messages

The 5th Labour Court of Osasco, in the State of São Paulo, upheld the dismissal for gross misconduct of a female employee who repeatedly used the company’s Microsoft Teams platform to engage in personal and sexually explicit conversations with colleagues during working hours, including references to intimate encounters during working hours and on company premises. The employee acknowledged the authenticity of the messages submitted as evidence. The judge emphasised that the disciplinary sanction resulted from the repeated introduction of such conduct into the professional environment, taking into account the use of a corporate communication tool, the frequency of the messages and the fact that they were exchanged during working hours. The company submitted internal policies governing the use of corporate resources and the monitoring of communications, and the judgment considered the monitoring lawful within the limits established by the evidence in the proceedings. The circumstances, taken together, were deemed sufficiently serious to constitute improper conduct and insubordination. The case reinforces the importance of establishing and communicating clear policies on the use and monitoring of corporate communication tools, as well as documenting breaches and assessing their seriousness before imposing disciplinary measures. Source: TRT-SP.

Regulatory Standard NR-1. Psychosocial Risks.

Justice André Mendonça, of the Brazilian Federal Supreme Court (STF), ordered the suspension, for 60 days, of three legal proceedings challenging provisions of Regulatory Standard No. 1 (NR-1), issued by the Ministry of Labour and Employment (MTE), concerning the management of psychosocial risks in the workplace. The measure is intended to allow for a more detailed technical examination of the dispute and the development of a consensual solution at federal level, particularly regarding assessment methodologies, documentation requirements imposed on companies and the criteria for inspections and the application of sanctions. The claimant organisations argue that the regulations do not establish sufficiently objective parameters, thereby creating legal uncertainty. The suspension of the proceedings does not alter the interim measure temporarily preventing the imposition of penalties based on the challenged provisions, which had previously been extended for a further 90 days. Nevertheless, NR-1 remains in force, as do the obligations relating to the management of psychosocial risks and the possibility of advisory inspections. The case reinforces the need for companies to continue identifying, assessing and preventing such risks, whilst maintaining records of the measures adopted to protect employees’ mental health and mitigate the risk of regulatory penalties. Source: STF.

Protection of Employees Against Robberies and Urban Violence.

The 3rd Panel of the Regional Labour Court of Espírito Santo (TRT-ES) upheld, with certain adjustments, an order requiring a pharmacy chain to adopt security measures to protect employees working at its establishments in that state. The decision provides for the installation of panic buttons, remote CCTV monitoring, the provision of private security personnel and the inclusion of psychosocial risks associated with robberies in the company’s Risk Management Programme (PGR), in addition to the payment of BRL 100,000 in collective moral damages. The Labour Court held that, although the retail pharmacy sector is not classified as an inherently high-risk activity, the incidents involving armed robberies and hostage situations demonstrated a concrete and foreseeable danger, requiring preventive measures by the employer. The case highlights the need for companies to assess the level of risk associated with external violence in retail establishments and to review their security protocols, thereby mitigating the risk of regulatory penalties and adverse judgments in proceedings before the Labour Courts and involving the Labour Prosecution Service. Source: TRT-ES.

Employment Liability. Industrial Subcontracting Agreements.

The 3rd Panel of the Brazilian Superior Labour Court (TST) upheld the subsidiary liability of a textile manufacturer for the payment of employment-related debts owed by a subcontracted garment production company. Although the manufacturer argued that the contractor operated independently, the Labour Courts identified interference in the production process, including daily visits by inspectors to examine garments and carry out quality control. In this case, such interference was considered sufficient to undermine the purely commercial nature of the agreement and establish an outsourcing relationship, allowing the manufacturer to be held liable for the amounts awarded in the employment proceedings if the direct employer failed to settle the debt. The case highlights the need for companies to review operational practices under industrial subcontracting arrangements in order to mitigate the risk of being held liable, as service recipients, for the employment obligations of third parties. Source: TST.

Reversal of Dismissal for Gross Misconduct. No Automatic Entitlement to Moral Damages

The 3rd Panel of the Brazilian Superior Labour Court (TST) upheld the refusal to award compensation for moral damages to an electrician whose dismissal for gross misconduct, arising from an allegation of an illegal electricity connection, had been overturned at first instance. The company submitted only an internal report, without producing the anonymous complaint it had received, GPS records or other evidence capable of establishing the alleged serious misconduct. In view of the insufficient evidence and inadequate investigation, the Labour Court reclassified the termination as a dismissal without cause, ordering payment of the corresponding termination entitlements. However, the TST held that the reversal of the disciplinary sanction does not automatically give rise to compensation and that, in this case, no additional serious circumstances affecting the employee’s honour, reputation or dignity had been demonstrated. The case reinforces the importance of properly investigating and documenting allegations of employee misconduct before imposing dismissal for gross misconduct, thereby mitigating the risk of awards of compensation for non-pecuniary damage. Source: TST.

Employer Liability. Workplace Accident.

The 7th Panel of the Brazilian Superior Labour Court (TST) recognised the strict liability of a company for injuries sustained by a refuse collector who was struck by a privately owned vehicle whilst collecting waste on a public road. The employee suffered multiple fractures and was left with permanent impairments that prevented him from performing physically demanding work. Although the Regional Labour Court had dismissed the employer’s liability on the grounds that there was no fault on its part and that the accident had been caused by a third party, the TST held that urban waste collection constitutes a hazardous activity, making it unnecessary to establish fault on the part of the employer. In this context, the involvement of a third party in the accident does not exclude the duty to compensate where the harm arises from risks inherent in the activity. From a practical perspective, the case reinforces the importance of assessing the risks associated with work performed outside company premises and improving preventive measures and training in order to mitigate liability arising from workplace accidents. Source: TST.