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Alterações nas Rotinas Trabalhistas e Previdenciárias (Medidas Provisórias nºs 664 e 665)


1/12/2015 10:00 PM Demarest News

 Changes in the Labor and Social Security Routines (Provisional Presidential Decrees No. 664 and 665)

Dear Clients,

As widely reported by the press in the last days, on December 30, 2014, the Presidency of the Republic published two Provisional Presidential Decrees (MPV) which may impact the routines of companies.

Provisional Presidential Decree No. 664 of December 30, 2014 introduced several changes in the Social Security system. The most important change - in what concerns employers and its labor and Social Security routines - is the extension of the medical leave term “under the company's responsibility”.

Prior to publication of MPV 664/2014, the companies should refer employees on medical leave for periods longer than fifteen (15) days to the Social Security Institute - INSS, and bear the payment of their salaries for the first fifteen (15) days of leave..

As from March 1st, 2015 (effectiveness provided for in art. 5, III of MPV No. 664/2014), only employees on medical leave for more than thirty (30) days shall be referred to the INSS, and the Company will be pay the employee on leave’s full salary for the first thirty (30) days of medical leave.

In the same way as it occurred with the first 15 (fifteen) days, we remind that according to rulings from the Federal Revenue Office, Social Security contributions are levied on the thirty (30) days paid to the employees in the absence period.  However, as employee does not provide any service during such period, we inform that the companies may file a lawsuit to discuss the unenforceability of social security contributions during the leave period with good chances of success, in view of a widely accepted precedent decision of the Superior Court of Justice; the refund of unduly paid social security contributions on salaries paid for the first fifteen (15) days of leave during the past five (5) years may also be sought in the same lawsuit.  

On the other hand, Provisional Presidential Decree No. 665 of December 30, 2014 introduced changes regarding the waiting period for entitlement to unemployment compensation.

As of March 1st, 2015 (effectiveness provided for in art. 3, I of MPV No. 665/2014), the dismissed employee will be entitled to unemployment compensation upon fulfillment of the following requirements:

• Eighteen (18) months of employment relationship/salary earned in the twenty-four (24) month period immediately preceding dismissal date, for the first request for the benefit;

• Twelve (12) months of employment relationship/salary earned in the last sixteen (16) monthperiod immediately preceding dismissal date, for the second request of the benefit; and

• Employment relationship/salaries earned in the six (06) months immediately preceding the dismissal date, as of the third request.

For further clarifications, contact our professionals.

For company's assistance regarding Labor routines:
Cássia Pizzotti
+55 11 3356-1710
Renato Canizares
+55 11 3356-2173
For company's assistance regarding Social Security routines: 
Rodrigo Campos
+55 11 3356-1732
Marcello Pedroso
+55 11 3356-1818

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