The Federal Government planned a research material for a new labor reform and with that, it is believed that the 40% fine on the FGTS that employees are entitled to upon dismissal (without just cause) may not to occur.
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The material is a study commissioned by the Ministry of Labor and Social Security that proposes to end the 40% fine on the balance of the Severance Indemnity Fund (FGTS). If you want more about end of the 40% fine on FGTS, so keep reading!
Specialists in the area such as economists, jurists and academics are part of the Gaet (Group of Higher Labor Studies), This group, which was created by Minister Paulo Guedes in 2019 to study the possibility of ending the 40% fine of FGTS.
Despite the Ministry having said that the suggestions made by this group may not be put into practice, which denies a further possible change in labor rules.
Included in these changes would also be the addition of the FGTS to unemployment insurance. The Gaet informs that this union is recommended because the two tools guarantee the livelihood of the citizen right after his resignation from a formal job.
Currently, the rules require the company to deposit 8% per month into a Fundo de Garantia account in the name of the new hired employee. In this sense, the worker will only be able to withdraw the value when he wants to buy a house of his own or when suffer dismissal without just cause, which requires the company to pay a rescission fine of 40% of its balance in FGTS.
What is being studied now is to end unemployment insurance. With that, the current amounts deposited would go to the Guarantee Fund. Therefore, it would no longer be necessary for the company to pay the 40% fine in case of dismissal without just cause.
If approved, it is unlikely that the change will happen in 2022, the government itself discards the idea of a labor reform for this year. The last one took place in 2017, during the government of former President Michel Temer.
If the proposal was accepted, the worker would withdraw the FGTS as follows:
In dismissal without just cause, the employee could withdraw the part of the FGTS that had been stuck (up to 12 minimum wages). However, this would be done gradually, through limited monthly withdrawals.
