On November 14, 2017, the Brazilian Presidency issued the Provisional Measure No. 80/2017 (“Provisional Measure”), which modifies several parts of the Federal Law No. 13.467/2017, also known as Labor Reform Law, which came into effect as of November 11, 2017.

It is worth emphasizing that the issuing of this Provisional Measure was already expected by the legal community, and there was a majority understanding that some points of the Law needed to be clarified and/or regulated.

With this disclaimer in mind, below there is a brief summary of the major changes rendered by the Provisional Measure in comparison to the base text of the Labor Reform (Federal Law No. 13.467/2017):

We highlight that the Provisional Measure, which came into effect as of the date of its publication, will be effective for 60 days, and will be renewable for 60 more days in case of nonappraisal of the matter by the National Congress. After 120 days without votation by the Congress, the text will no longer be valid.

Both Chamber of Deputees and Federal Senate can put forward significant changes in the Provisional Measure’s text.

Besides the matters mentioned above, the Provisional Measure also provides legal regulation of other items, such as the calculation of “tips” in the salary, the social security deposits, procedural representation in annulment lawsuits involving collective clauses and further procedures regarding new modes of hiring, as, for example, the intermittent labor contract.

We would like to emphasize that our labor department team is available to resolve any questions and to clarify not only the topics mentioned in this alert, but also about the Federal Law No. 13.467/2017 (Labor Reform) and Provisional Measure No. 808/2017 as a whole.