On January 14, 2020, the Brazilian Ministry of Economy issued an
ordinance1 fixing the 2020 maximum payout amount of
social security retirement benefits at R$6,101.06, representing a
4.48% increase to the maximum payout rate for 2019. Employers in
Brazil should take note of this revised amount, as it factors into
the test for determining whether an employee qualifies as
"hyper-sufficient" under the labor code.
Since 2017, the new labor code includes a category of employees
deemed "hyper-sufficient." Hyper-sufficient employees are
those presumed capable of negotiating and entering into certain
valid employment-related contracts with their employer. This
designation gives more flexibility to the employer and employee,
because the parties can agree on terms that are different from the
applicable collective bargaining agreement on matters related to
working hours, schedule, bank of hours, holidays, variable
compensation, among others. To be considered
"hyper-sufficient,"
