Text cuts FGTS fine from 40% to 20% in situations without just cause and from 20% to 10% for agreements
The suggested a bill that includes the reduction of the FGTS (Service Time Guarantee Fund) fine paid for unfair dismissals, in addition to changes in the rules for charging charges for late deposits. Read the text in (PDF – 6.3 Mb).
The suggestion was sent to Senator (Republicanos-DF), president of the Human Rights and Participatory Legislation Commission of .
According to the proposal, the termination fine would fall from 40% to 20% in cases of unfair dismissal. In situations of termination by agreement between employee and employer, the rate would be reduced from 20% to 10%.
The organization also proposes changing the legislation to equate interest and fines applied to delays in collecting FGTS with federal tax rules. In practice, a fine of up to 20% would be imposed, a model considered more rigorous.
According to the president of the IFGT, Mario Avelino, the objective is to correct distortions in the current system. He states that, today, the penalties for non-payment of FGTS are lower than those applied to taxes, which would encourage employers to prioritize debts with the government to the detriment of workers.
Data presented by the entity indicate that FGTS default amounts to around R$73 billion and affects approximately 25 million workers in the country.
The IFGT argues that changing the rules can encourage debt settlement and increase worker protection. It also argues that reducing the termination fine would help reduce costs for companies and encourage job creation.
The suggestion still needs to be analyzed by senators and there is no deadline for voting.
