Government Considers Removing Minimum Wage Adjustment From Constitution

The Constitution states that the minimum wage must have periodic readjustments in order to preserve its purchasing power. The aim is to remove this obligation from the Constitution. The savings in 2020 would total R$12.3 billion if the minimum wage was to be frozen at today's figures.

RIO DE JANEIRO, BRAZIL - The Ministry of Economy is studying a means of authorizing the freezing of the minimum wage in situations of fiscal constraint. The aim is to remove from the Constitution the obligation for the figure to be adjusted by the variation in inflation.

The measure would be included in the PEC (Proposed Amendment to the Constitution), which amends tax rules and is currently being considered by Congress.

Authored by . . .

To read the full NEWS and much more, Subscribe to our Premium Membership Plan. Already Subscribed?