The Supreme Federal Court (STF) Minister Flávio Dino has expanded a prior ruling to prohibit the application or enactment of new laws that allow for additional perks, commonly referred to as 'penduricalhos', for civil servants. This decision comes in the wake of Dino's earlier move to suspend payments of salaries or bonuses that exceed the constitutional limits. The matter is set to be reviewed by the STF next week, with indications that the full court will likely concur with Dino's stance, which has been influenced by the evaluation of over 13,000 cases regarding the salary cap since the year 2000.

The discussion surrounding these perks is not limited to the judiciary, as it has also spread to the executive and legislative branches of government. President Luiz Inácio Lula da Silva has also taken steps to address the issue by making partial vetoes on projects aimed at creating new benefits for employees of the Chamber of Deputies, Senate, and the Federal Court of Accounts. Despite these vetoes, there remains a possibility that Congress could overturn them, and there is a notable interest within parts of the legislature to expedite discussions and legislative action regarding these perks.

This situation underlines the broader ongoing debate in Brazil about public sector compensation and the balance of powers among the branches of government. As the STF prepares to weigh in on these significant questions regarding salary caps and benefits, the implications of these decisions could have far-reaching effects on public administration and fiscal responsibility in the country.