Regarding the subject “Profit Sharing – PLR” regulated by Law n. 10,101 / 2000, we inform that, on November 4, 2019, the Brazilian Congress overruled the presidential veto related to items 13 to 22, which deal with article 32 of Law no. 14,020 / 2020, as a result of the conversion of Provisional Measure no. 936/2020.
Therefore, the rule now approved has the main following directions:
(i) if the Labor Union does not indicate a representative within 10 days, the joint commission may initiate the negotiations; .
(ii) the company may have several PLR programs, subject to periodicity;
(iii) reiterates the prevalence of autonomy of the will of the parties;
(iv) the plan signature must precede any payment and occur at least 90 days prior to the final installment;
(v) periodic errors only affect payments made in disagreement and not the entire plan;
Please let us know should you need any further clarification.
This e-alert is a general review of the subjects discussed above and does not constitute a legal opinion or legal consult.