Bill (PL) No. 4.330/2004, which provides for contracts for outsourcing services and the employment relationships derived therefrom is being discussed at the House of Representatives.

According to the bill, outsourcing is admitted for any activity of the contracting company.

The bill sets out that in this type of contracting no employment bond is created between the contracting company and the workers or shareholders of the service provider. However, the contracting company is secondarily liable for the labor obligations referring to the period when the provision of services occurred, having recourse against the service provider.

The service provider subcontracting another company to perform the services is secondarily liable for the labor obligations undertaken by the subcontractor.

The bill also defines that the contracting company is also responsible for guaranteeing the workers’ safety and health conditions, while they are at its service and in its facilities, or in a location indicated thereby.

The bill has passed the Economic, Industry and Commerce (CDEIC), Labor, Administration and Service (CTASP) and Constitution, Justice and Citizenship (CCJC) Commissions, having received several amendments, and even an alternative bill was created by the Reporting Representative.

At the CCJC the bill is being faced with great controversy. The Reporting Representative proposed the rejection of several amendments. On the other hand, other representatives voted for the rejection of the alternative bill proposed by the reporting representative, who submitted yet another alternative bill.

The same controversy is occurring at the forwarding of the bill, when some requested that the bill be voted as a matter of urgency while other representatives asked that the bill be discussed in other commissions of the House.