Labor Agreement: find out more details

Want to know more information and understand how the Labor Agreement works? Read until the end.

Labor settlement is a highly relevant topic for workers and employers in Brazil. 🎯 Understanding how this process works can help you avoid many headaches and ensure that all rights and obligations are met. In essence, labor settlement occurs when there is a termination of an employment contract, either by dismissal or by the employee's request for termination. 🌟

In this article, we will explore the main aspects of labor settlement, including types of termination, workers’ rights, and employers’ obligations. We will also cover best practices to ensure that the entire process is carried out in a fair and transparent manner. 🚀 Get ready for an informative read full of valuable tips!

Types of Contract Termination

There are several ways to terminate an employment contract, each with its own particularities. Let's understand the main types:

1. Unfair Dismissal:
   • The employer decides to terminate the contract without specific reason.
   • Rights: Advance notice, salary balance, proportional 13th salary, proportional vacation + 1/3, FGTS with a fine of 40%, among others.
2. Dismissal for Just Cause:
   • The employee commits a serious offense that justifies termination.
   • Rights: Balance of salary and accrued vacation, if applicable.
3. Resignation:
   • The employee chooses to leave the job.
   • Rights: Salary balance, proportional 13th salary, proportional vacation + 1/3.
4. Indirect Termination:
   • The employee resigns due to the employer's fault, which is equivalent to dismissal without just cause.
   • Rights: Similar to those of unfair dismissal.

Workers' Rights in Labor Agreements

Workers have a series of rights guaranteed by law during the labor agreement. Let's list the main ones:

Financial Rights

• Prior Notice: It can be worked or compensated, depending on the situation.
• Salary Balance: Salary corresponding to the days worked in the month of termination.
• 13th Proportional Salary: Calculated based on the months worked in the year.
• Proportional Vacation + 1/3: Vacation accumulated up to the date of termination, plus one third.
• FGTS: Release of the FGTS account balance and a fine of 40% in the event of unfair dismissal.
• Unemployment Insurance: Available in cases of unfair dismissal, according to specific requirements.

Documentary Rights

• Termination of Employment Contract (TRCT): Document that formalizes the termination and details the amounts due.
• CTPS (Work and Social Security Card): Return of the work card with the appropriate notes.
• FGTS Termination Payment Guide (GRRF): Document required for FGTS transfers.

Employers' Obligations

Employers also have obligations to fulfill during the labor agreement to ensure compliance with the legislation:

1. Payment on Time: Payment of termination fees must be made within 10 days after the end of the contract.
2. Complete Documentation: Delivery of all necessary documents to the employee.
3. Homologation: In specific cases, approval must be done by the category's union.

Best Practices in Labor Settlement

For a smooth and hassle-free labor settlement, follow these best practices:

Planning and Organization

• Documentation: Keep all documents in order and accessible.
• Communication: Be clear and transparent with the employee about the termination process.

Legal Consulting

• Consulting: Consult an employment lawyer to ensure that all procedures are correct.
• Update: Stay up to date on changes in labor laws.

Precise Calculation

• Calculation Tools: Use tools and software to ensure accurate calculations of severance pay.
• Revision: Review all calculations before formalizing the termination.

Process that requires attention and knowledge

Labor settlement is a process that requires attention and knowledge of both workers' rights and employers' obligations. 📌 Following best practices and keeping up to date with legislation are essential steps to ensure a fair and efficient process. 👏

Whether you are an employee or an employer, we hope this guide has provided you with useful information to help you better understand labor agreements. 🛠️ Remember to always seek professional guidance to resolve specific doubts and ensure that all rights and duties are respected. 🌟