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ARTICLE · 29 FEBRUARY 2024

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FGTS Digital To Begin Effective Operation In March 2024

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The Brazilian Ministry of Labor and Employment ("MTE") described the Length of Service Guarantee Fund Digital ("FGTS Digital") as "a set of integrated systems...

BrazilEmployment and HR

The Brazilian Ministry of Labor and Employment ("MTE") described the Length of Service Guarantee Fund Digital ("FGTS Digital") as "a set of integrated systems that will manage the various processes related to fulfilling the FGTS payment obligation." According to the MTE, the purpose of this new system is to "promote procedural and technological solutions that facilitate compliance with this obligation and ensure that the amounts owed to workers are effectively individualized in their linked accounts."

FGTS Digital is regulated by MTE Ordinance No. 3,211, of August 18, 2023 ("MTE Ordinance No. 3,211/2023"), which provides for its implementation in two stages: (a) production environment and limited operation, followed by (b) production environment and effective operation.

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Founded in 2001, Tauil & Chequer Advogados is a full service law firm with approximately 90 lawyers and offices in Rio de Janeiro, São Paulo and Vitória. T&C represents local and international businesses on their domestic and cross-border activities and offers clients the full range of legal services including: corporate and M&A; debt and equity capital markets; banking and finance; employment and benefits; environmental; intellectual property; litigation and dispute resolution; restructuring, bankruptcy and insolvency; tax; and real estate. The firm has a particularly strong and longstanding presence in the energy, oil and gas and infrastructure industries as well as with pension and investment funds. In December 2009, T&C entered into an agreement to operate in association with Mayer Brown LLP and become "Tauil & Chequer Advogados in association with Mayer Brown LLP."

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This article provides information and comments on legal issues and developments of interest. The foregoing is not a comprehensive treatment of the subject matter covered and is not intended to provide legal advice. Readers should seek specific legal advice before taking any action with respect to the matters discussed herein.

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