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Wage reduction by individual agreement will only be effective if validated by workers' unions

04/06/2020

Justice Ricardo Lewandowski, of the Brazilian Federal Supreme Court (STF), granted partially an injunction in Direct Action for the Declaration of Unconstitutionality (ADI) 6363 in order to establish that the individual agreements for reduction of working hours and salary or temporary suspension of employment contracts provided for in the Provisional Measure (MP) 936/2020 will only be valid if the labor unions are notified within 10 days and manifest about their validity. According to the decision, which will be submitted to a plenary referendum, the non manifestation of the union, in the form and within the deadlines established in the labor legislation, represents consent to the individual agreement.

The ADI was filed by the Sustainability Network party against the provisions of the Provisional Measure 936/2020, which establishes the Emergency Program for the Maintenance of Employment and Income and introduces complementary labor measures to confront the state of public calamity resulting from the new coronavirus pandemic.

RP/CR//CF - CG/FB/GL

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