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Decree 10,854 was published, consolidating and simplifying labor regulations – The so-called “Infralegal Labor Regulatory Framework”

11/11/2021

In brief
On November 10th 2021, was published the Decree 10,854 that addresses, several infra-constitutional labor provisions on various topics, and provides new labor regulations.

More details 

On November 10, 2021, was published the Decree 10,854, that addresses several infra-constitutional labor provision on various topics, such as food vouchers,  registration before the Workers Feed Program, transportation vouchers among others, as well as bringing new labor regulations, such as the Permanent Program for the Consolidation, Simplification and De bureaucratization of Infra-Legal Labor Regulations and the Electronic Labor Inspection Book – eLIT.

The Federal Government’s objective would be to reduce the number of  different norms that regulate labor relations, which are notoriously extensive and even makes it difficult for employers to  understand  and comply.

One aspect that deserves special attention is with respect the inspection actions that should no longer be based only on technical notes, guides and manuals from the Ministry of Labor. We believe that this new provision may reduce the number of assessments – or at least, will force better legal based assessments.

Another important innovation addresses the Severance Fund |Deposits for expatriate workers, allowing companies to deduct the respective contribution from amounts paid due to mandatory rights provided by the law of the place where services are provided. This new provision will reduce costs associated with the expatriation process. Other issues such as working shift control were also addressed, including provisions related to registry by exception.

Due to the several changes brought by the new Decree 10.854, our labor law practice group is available to clarify its practical application and any analysis of specific points.

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