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The active population in figures | Working conditions | Cost of labor | Social partners

The active population in figures


2009201020112012 (e)2013 (e)
Labor force -103,600,000---
Rate of activity (%) -70.7---
Unemployment rate (%) 8.16.76.77.57.0

Source: CIA - The world factbook ; UN - United Nations ; World Bank

 

Note: (e) Estimated data

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Working conditions

Legal weekly duration
44 hours
Although the norm in Brazilian and foreign companies is 5 weekly working days of 8 hours.
Retirement age
In the civil service, the minimum retirement age is 55 for women and 60 for men. In the private sector, men have to have contributed for 35 years to the retirement scheme and women for 30 years. If the number of years of contributions is lower than these figures but over 15 years, it is also possible to retire at 65 for men and 60 for women. Without these conditions, there is a minimum retirement pension accessible to everyone over 65.
Working contracts
Legal measures govern work contracts; collective agreements and individual negotiation complete them.
The formality of work contracts and constraints of dismissal are very rigid, while hiring conditions are rather flexible.
The two types of contract which are mainly used are fixed term and open ended. A variation on the fixed term contract is a contract with no hierarchical relation for carrying out a particular task.

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Cost of labor

Minimum wage
545 BRL monthly. The payment of an annual bonus in the form of a 13th month is obligatory. A transport allowance is also imposed.
Average wage
Average monthly gross earnings in Brazil is BRL 1,113 (USD 573).
Social contributions
Social security contributions paid by employers: 28.5% minimum.
Social security contributions paid by employees: 7.5-11%

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Social partners

Social dialogue and involvement of social partners
Labor unions, especially in sectors such as metalworking and banking, tend to be well-organized and aggressive in defending wages and working conditions. Unions in various sector engage in industry-wide collective bargaining negotiations mandated by federal regulation.
The Labor Code prohibits having too many unions for a single profession and in each region. Although the law has not created a central institution, either, representing the unions, four groups have tried to provide this but without legitimacy; they are: the Unitarian Workers Group (CUT), the General Confederation of Workers (CGT) and the Força Sindical (FS). Some industrial and mining sectors have powerful unions, and ex-President Lula came from there. However, the unions are more or less absent from the rural areas where the great landowners still hold sway.
Unions
Unitarian Workers Group
CGT Brazil
Força Sindical
Unionization rate
The Ministry of Labor estimates that there are 16,000 labor unions in Brazil, but these figures are considered inexact. Labor unions account for approximately 19% of the official workforce according to the Brazilian Institute of Geography and Statistics (IBGE).
Union dues are obligatory for all workers in the formal sector, and are set at one working day's income per year.
Labor regulation bodies
Ministry of Labor

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Last updates: February 2012


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