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Program to reduce working hours and wages is extended until December 31

The goal is to preserve jobs and income that were threatened by the impact of the new coronavirus on the economy


Program to reduce working hours and wages is extended until December 31
The measure is now valid until December 31, when the state of public calamity expires due to the new coronavirus. - Photo: Marcello Casal / Agência Brasil

Oct 16, The deadline for suspension of the employment contract and a reduction of up to 70% in working hours and wages has been extended for another 60 days, benefits provided for in the Emergency Program for Maintenance of Employment and Income, known as BEm. The measure is now valid until December 31.


The Decree 10.517 / 20, extending the well, was signed by President Jair Bolsonaro and published in this Wednesday (14) of the Official Gazette.


In a statement, the General Secretariat of the Presidency said that the extension of the well it is necessary "in the face of the current scenario of social and economic crisis, and with the continuation of restrictive measures of social isolation". It also notes that "this action will allow companies that are in a vulnerable situation to continue to survive this period and, in this way, to preserve jobs and project a better economic recovery".


Under the new decree, the maximum deadlines for entering into a proportional reduction in working hours and wages agreement and temporary suspension of employment contracts "are increased by sixty days, in order to complete the total of two hundred and forty days, limited to the duration the state of public calamity ”.


The text also determines that the employee with an intermittent employment contract, formalized until April 1, 2020, “will be entitled to the monthly emergency benefit in the amount of R $ 600.00, for an additional period of two months, counted from the closing date of the total period of six months ”.


Good

The Emergency Employment and Income Preservation Benefit, instituted by Provisional Measure 936/20, authorizes companies, when there is an agreement between employer and employee, to proportionally reduce the working day and salary or temporarily suspend the employment contract. It was created in April and had already gone through two other extensions. The current term ends this month.


According to the Ministry of Economy, since the beginning of the program, 18,509,285 agreements have been signed. Numbers can be accompanied by a virtual panel


Understand the program

According to the Emergency Employment and Income Maintenance Program, the reduction in the employee's workday and salary maybe 25%, 50% or 70%. The salary difference is paid by the Federal Government, through the benefit.


In practice, it works like this, an employee who suffers a reduction of 25% of the working day will receive 75% of the salary and 25% of the BEm portion. If the workload reduction is 70%, you will receive a salary of 30% and another 70% of the BEm portion.


In return, the employer must keep the employee employed for the duration of the agreement and for the same period after the agreement ends.


If the employer does not comply with this requirement, he will have to pay all the employee's rights, already provided for by law, in addition to fines.


In the case of suspension of the employment contract in companies with gross annual revenue of up to R $ 4.8 million, the worker will receive 100% of the portion of the emergency benefit.


For companies with gross revenue greater than R $ 4.8 million, the worker will receive 70% of the BEm portion and another 30% of the salary. If the worker is entitled to a health plan and/or food ticket, these benefits must be maintained during the suspension of the contract.

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