Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

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New Social Security Cap for 2023

New Legislation Enacted

Authors: Marília Nascimento Minicucci, Partner – Chiode Minicucci | Littler, and Renata Neeser, Shareholder – Littler

On January 11, 2023, Interministerial Ordinance MPS/MF #26/2023 was published, establishing the new cap for Social Security Institute’s benefits in the amount of BRL 7,507.49. As a result, the minimum salary amount for hyper-sufficient employees will increase to BRL 15,014.98. The Ordinance also covers other changes, including changes to the family allowance amount for eligible employees.

Integration of Overtime in Weekly Rest Impacts Other Salary Installments

Precedential Decision by Judiciary or Regulatory Agency

Authors: Marília Nascimento Minicucci, Partner – Chiode Minicucci | Littler, and Renata Neeser, Shareholder – Littler

On March 20, 2023, the Superior Labor Court ruled that the increase in paid weekly rest (day off) due to the integration of any overtime worked must be reflected on other salary payments, such as vacation, Christmas bonus, prior notice and FGTS (the unemployment fund account). This is a departure from previous jurisprudence. Under this new ruling, the usual overtime and the increases to the paid weekly rest are portions upon which the salary is based. Therefore, both should be considered in the calculations of installments that are based on salary.

The new understanding – enunciated in this judgment (known as an Incident of Repetitive Appeal) – must be applied to overtime effective March 20, 2023, and will impact the requirements under Jurisprudential Orientation #394.

ANPD to Apply Penalties for Violations of Data Protection Law

New Regulation or Official Guidance

Authors: Marília Nascimento Minicucci, Partner – Chiode Minicucci | Littler, and Renata Neeser, Shareholder – Littler

New Resolution CD/ANPD 4/2023, enacted February 24, 2023, regulates the application of penalties for noncompliance with the Brazilian Data Protection Law (LGPD). As of the effective date, the Brazilian National Data Protection Agency (ANPD) will be able to apply administrative sanctions based on clear and established requirements.

Punitive measures under the resolution include but are not limited to warnings, fines, and a total or partial ban on carrying out data processing activities. Penalties can only be applied in accordance with the administrative procedure outlined within the resolution, thus ensuring the right to full defense. When determining an employer’s penalties, the ANPD must consider criteria such as the offender's cooperation, the extent of the damage, the adoption of good practices and governance, among others.

Deadline to Report Taxes and Labor Lawsuits on eSocial Extended

Upcoming Deadline for Legal Compliance

Authors: Marília Nascimento Minicucci, Partner – Chiode Minicucci | Littler, and Renata Neeser, Shareholder – Littler

On March 30, 2023, the Federal Government announced that it is extending the deadline for employers to report information related to taxes due to labor lawsuits, on eSocial. eSocial is the system of digital bookkeeping used by the federal government for employers to report employment and work-related data to various federal government institutions.

The deadline was originally set for April 1, 2023, but no new date has been announced, thus far.