Outsourcing law in Brazil

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]

Outsorcing law
Chamber opposition protests against the bill
National Congress of Brazil
  • Disposes about labour affairs in temporary job companies and outsourcing companies and gives other providences
CitationPL 4302/1998
Territorial extentWhole of Brazil
Passed byChamber of Deputies
PassedDecember 13, 2000
Passed byFederal Senate
PassedDecember 16, 2002
Signed byPresident Michel Temer
SignedMarch 31, 2017
Legislative history
First chamber: Chamber of Deputies
Bill titlePL 4302/1998
Introduced byPresident Fernando Henrique Cardoso
IntroducedMarch 19, 1998
First readingApril 15, 1998
Second readingDecember 7, 2000
Second chamber: Federal Senate
Bill titlePLC 3/2001
Bill citationPLC 3/2001
Received from the Chamber of DeputiesJanuary 3, 2001
First readingFebruary 16, 2001
Second readingDecember 5, 2001
Third readingDecember 12, 2002
Keywords
Status: In force

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.[4]

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.[4]

See also

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