Outsourcing law in Brazil explained

Short Title:Outsorcing law
Legislature:National Congress of Brazil
Long Title:Disposes about labour affairs in temporary job companies and outsourcing companies and gives other providences
Citation:PL 4302/1998
Territorial Extent:Whole of Brazil
Enacted By:Chamber of Deputies
Date Passed:December 13, 2000
Enacted By2:Federal Senate
Date Passed2:December 16, 2002
Date Signed:March 31, 2017
Signed By:President Michel Temer
Bill:PL 4302/1998
Bill Date:March 19, 1998
Introduced By:President Fernando Henrique Cardoso
1St Reading:April 15, 1998
2Nd Reading:December 7, 2000
Bill2:PLC 3/2001
Bill Citation2:PLC 3/2001
Bill Date2:January 3, 2001
1St Reading2:February 16, 2001
2Nd Reading2:December 5, 2001
3Rd Reading2:December 12, 2002
Status:in force

The outsourcing law in Brazil, or Law Nº 13,429/2017, is a Brazilian law sanctioned (with three vetoes) on March 31, 2017 by president Michel Temer that allows companies to hire outsourced employees to work on primary activities, instead of secondary activities (such as maintenance or cleaning).[1] Until then, there was no specific legislation regarding outsourcing, but decisions of the Labor Justice determined that outsourcing should only be allowed for secondary activities.[2]

In the Chamber of Deputies, the bill 4,302 of 1998 was approved on March 22 of that same year.[2]

The main proposal (outsourcing for primary activities) was kept. The bill also determined that, in cases of labor actions, the outsourced company ought to pay for the rights questioned in justice, if there is condemnation. The main vetoed part allowed the extension of the 270-day term of temporary employment. According to the government, that would allow the possibility of indefinite extension of the temporary employment contract. The other two vetoes, according to the government, were relative to laws there were already in the Constitution.[3]

Reception

Against

The leader of the Socialism and Liberty Party in the Chamber of Deputies, Glauber Braga, declared that "it's not about granting rights to the outsourced worker. It's about outsourcing all and any activity of the labor market, worsening labor relations and worsening rights".[4] Moreover, the Anamatra (an association related to labor justice) saw the liberation of limitless outsourcing as unconstitutional, because the constitution defines a worker as a person not in those conditions.

For

The National Conference of Industry (CNI) said that the separation between secondary and primary work is only applied in Brazil and brings legal uncertainty. "The dichotomy between secondary and primary, without a clear definition of what is one and what is the other, motivates conflicts and increases the distance between Brazil and other countries. Furthermore, the choice of what to outsource must be of the company itself", stated Sylvia Lorena, executive-manager of CNI.

See also

Notes and References

  1. Web site: Presidente Temer sanciona parcialmente Lei da Terceirização. 2017-11-21. Planalto. Brasil. Portal. pt-BR.
  2. Web site: Entenda o projeto de lei da terceirização aprovado pela Câmara. Agência Brasil. 23 March 2017 . 21 November 2017.
  3. 2017-03-31. Sancionada lei da terceirização, mas Senado deve votar projeto alternativo. Senado Federal. pt-BR.
  4. Web site: Bernardo Caram e Fernanda Calgaro. Câmara aprova projeto que permite terceirização irrestrita. G1. 22 March 2017. 23 March 2017.