Brazil: New Provisional Measure Removes Remote Work Exemption from Work Hour Laws – For Now?

In the aftermath of a provisional change to the labor codes – at least for the next 120 days – companies with more than 20 employees will be required to implement timekeeping system to track hours for remote workers whereas prior to the announcement remote work was exempt from working hours requirements.  

The most significant change is the removal of the exemption for remote work from the working hours rules in Brazil.  Timekeeping mechanisms will now be needed – and likely needs to be approved by a union if covered by a CBA.  It follows, therefore, that overtime pay is also needed for work beyond normal working hours.  Some of the other points covered by the provisional measure include:

• CBA agreements, as well as laws and regulations covering the employer’s workplace apply to remote workers as if the worker worked there in person.
  
  
• Employers must give remote work position priority to those with disabilities and those with small children.
  
  
• Workers working outside of Brazil are still subject to the employment laws of Brazil.   That person may also be subject to the laws of the other country as well.

The provisional measure took effect on March 28 and is in effect for the next 120 days.  The Brazilian Congress will need to ratify the measure into law for it to be permanent.  Thus, companies may find themselves in a bit of a bind for the near future whereby they could be required to implement timekeeping devices and other features to limit working hours of remote employees, only for those things to no longer be mandated.  

HR Policy Global will monitor the provisional measure to see if it becomes law.