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Annual leave in Brazil
Maternity, paternity, and parental leave in Brazil
Adoption leave in Brazil
Other types of leave in Brazil
Public holidays in Brazil
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As an employer, understanding and applying Brazil’s leave and time-off policies in your company is essential to creating an engaging and productive environment. Well-implemented policies not only motivate workers to work, but they also help you attract and retain the best talent.
In this guide, we will explore Brazil’s annual leave and paid time off policies, including maternity, paternity, and parental leave. This way, you are informed of the necessary benefits you need to provide to your employees and can mitigate potential legal and financial risks.
The sick leave policy in the country stipulates that employees are eligible for up to 15 days of paid sick leave per year.
For an employee to qualify for this leave, they must present a doctor’s note that is stamped and includes a statement explaining the need for the employee’s absence from work. This ensures that employees who are unable to work due to health reasons can recover without the added stress of losing their income during this period.
During this period, an employee’s salary is paid by the employer for up to 15 days of absence. If the incapacity extends beyond the 15th day, Brazil’s Social Security (INSS) takes over the payment of the employee’s benefits, capped at approximately 6,100 BRL.
To promote adequate rest and personal time away from work, the annual leave in Brazil stands at a minimum of 30 days of paid vacation for employees who have completed a year of service with the same employer as mandated by law.
Employees have the option to split their annual leave period into different segments throughout the year, provided one of the segments is at least 14 consecutive days long, to ensure they have enough rest period. The remaining days can then be divided as preferred, though they must also comply with both the employer and employee agreements.
In addition, there’s also an additional financial benefit for employees in Brazil. Alongside their usual salary during the vacation period, employees receive a vacation bonus equivalent to one-third of their monthly salary. This bonus is intended to enable employees to fully enjoy their time off without financial constraints.
However, it’s important to note that any unjustified absences throughout the work year could alter the annual leave entitlement. Depending on the number of absent days, the annual leave can be reduced accordingly.
Under the Consolidation of Labour Laws (CLT), expectant employees are entitled to 120 days of paid maternity leave, with the possibility of extending to 180 days for companies participating in the Citizen Company Program (Empresa Cidadã Program). This entitlement starts about 28 days before the expected delivery date, allowing mothers to have ample time for preparation and recovery from childbirth.
Employers should note that the cost of maternity leave in Brazil is not solely their responsibility; it is reimbursed by Brazil’s Social Security system. However, the extended leave provided under the Citizen Company Program is funded by the employer, which in return, benefits from tax incentives.
During maternity leave, the employee is still entitled to 13th-month salary and can continue to accrue annual leave, while the employer will continue to pay social contributions on behalf of the employee.
According to the Brazilian Federal Constitution and the Consolidation of Labor Laws (CLT), eligible fathers are entitled to 5 consecutive days of paid paternity leave. This statutory period has been extended for fathers working for employers participating in the Empresa Cidadã Program (Citizen Company Program), allowing for an additional paternity leave of up to 15 days, totalling 20 days. To benefit from this extension, companies must opt into the program and can benefit from tax deductions.
There is currently no parental leave in Brazil. There has been discussion in Congress regarding a bill to implement shared parental leave to complement the current paternity and maternity leave and provide more support for parents. However, this is yet to be codified by law.
Meanwhile, companies can offer additional leave to their employers at their discretion.
Adoptive parents in Brazil receive equitable support and are entitled to paid leave, aligned with the provisions of maternity and paternity leave. Adoptive mothers can avail of 120 days of paid leave, which may extend to 180 days for employers enrolled in the Empresa Cidadã Program. This program not only extends maternity leave but also provides tax incentives to participating businesses. Fathers are eligible for five days of paid leave, extendable to 20 days under the same program.
The age of the adopted child determines the specifics of maternity leave for adoptive mothers, as follows:
While statutory leave are well-defined and mandated by law, companies often provide additional non-statutory leave as part of their benefits package to enhance work-life balance and attract or retain talent. Here are some common types of non-statutory leave that are provided to employees in Brazil:
Beyond the standard five days of paternity leave provided by the law, some companies offer extended paternity leave to allow fathers more time to bond with their newborn or newly adopted child.
This includes time off for further education or professional training. Employers might offer this on a full or partial pay basis, encouraging continuous learning and skill development.
Some businesses provide days off for employees dealing with the loss of a family member. Typically, employees are given up to 5 consecutive days of paid leave for the bereavement of a family member.
A few companies encourage community service by offering days off for employees to engage in volunteer work, supporting corporate social responsibility initiatives.
Employees are entitled to up to three consecutive days of paid leave after getting married to provide new spouses with the opportunity to take some time off work.
Although less common, sabbatical leave is offered by some organisations as a way to let employees take an extended break from work, often for personal development, research, or travel, with the aim of returning to their job refreshed and with new perspectives.
While this type of leave not required by the country’s legislation, they are instrumental in fostering a supportive and flexible work environment. By offering such benefits, companies can significantly enhance employee satisfaction and loyalty.
New employees are typically required to work for a period of 12 months before they are eligible for paid vacation days. After completing this 12-month service period, employees are entitled to 30 days of paid annual leave. However, during the initial 12-month period, new workers may not have access to the full paid time off benefits, except for nationally recognised holidays and other statutory leave such as sick leave if they have a valid medical certificate.
In addition, the accrual of paid vacation days does not begin instantly upon employment; rather, the entitlement starts once the 12-month period known as the “acquisitive period” has been completed. The vacation days can then be scheduled during the subsequent 12 months known as the “concessionary period.
Although they may take unpaid leave at the discretion of the employer or under specific circumstances.
These public holidays are established at the federal level and are observed by all states and municipalities. Aside from these national holidays, there may be additional state and municipal holidays that can vary by region. Employers must respect these holidays and provide employees with time off without affecting their pay.
The country’s labour laws stipulate that working on a public holiday may entitle the employee to additional compensation. This can take in the form of double pay for the hours worked on the holiday or a compensatory rest day on another date, depending on the internal policies of the company or collective bargaining agreements that may be in place. Some companies may agree on compensatory days off instead of extra pay.
Managing a large number of workers while maintaining compliance can be overwhelming. At CXC, we understand the challenges you face in growing your business.
When you partner with CXC to engage workers in Brazil, we’ll become your HR function for those workers. That means we will not only keep track of the leave and paid time off they are entitled to but also handle all other HR tasks, from seamless onboarding to engagement. We’ll take care of the administrative and HR burden, so you can focus on other important aspects of the business.
With our EoR solution, you can engage workers anywhere in the world, without putting your business at risk. No more worrying about local labour laws, tax legislation or payroll customs — we’ve got you covered.
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