On July 17 2015 Provisional Measure 664/2014 was converted into Law 13.135, which introduced new conditions and measures, including the following.
Provisional Measure 664/2014 has extended the period for which an employee must be unable to work due to a work-related illness or injury before he or she can make a claim to receive one year of continuous pay (for further details please see "New measures for guaranteed pay and unemployment insurance"). Under Provisional Measure 664/2014, an employee had to be injured or ill for a minimum of 30 days before claiming continuous pay. Law 13.135/2015 has now reduced that period to 15 days, as was the case before the provisional measure came into force.
Consequently, companies must again pay for the first 15 days of leave, with the remainder (until the employee is reinstated) to be paid by the Social Security Agency.
The provisional measure – which was a temporary law issued by the president – sought to reduce social fund costs by transferring costs to the private sector. Further, it limited the number of claims that an employee could make for guaranteed compensation due to the higher recovery period. However, Congress revised the measure to reinstate the conditions set out in Law 8.213/1991.
In this regard, the government had the same goal as that under its guaranteed pay initiative – to reduce costs. Provisional Measure 664/2014 has reduced a spouse's pension entitlement to 50% of the deceased person's retirement salary while alive, plus 10% for each dependant. Under Law 13.135/2015, spouse's pension entitlement has increased to 100% of the deceased person's retirement salary (as was the case before Provisional Measure 664/2014 was enacted), provided that the marriage or union was longer than two years and the deceased spouse contributed to social security for at least one and a half years.
For further information of this topic please contact Vilma Toshie Kutomi or Felipe Camargo de Araújo at Mattos Filho, Veiga Filho, Marrey Jr e Quiroga Advogados by telephone (+55 11 3147 7600) or email (email@example.com or firstname.lastname@example.org). The Mattos Filho, Veiga Filho, Marrey Jr e Quiroga Advogados website can be accessed at www.mattosfilho.com.br.
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