Rapporteur of PEC 6x1 demands government counterpart to 'not place 100% of the impact on society'
The rapporteur of the PEC 6x1 in Brazil is urging the government to share the financial burden of changes to the workweek structure, rather than letting society absorb the full impact.
The rapporteur of Brazil's PEC 6x1, Deputy Paulo Azi, is pushing for government intervention to mitigate the social costs of reducing the workweek from 6 days to 1. He argues that the government should contribute to lessen the financial burden on society, suggesting options such as reducing payroll taxes or granting fiscal incentives. His statements come as part of the ongoing debate surrounding the proposal, emphasizing the need for shared responsibility between businesses and the state.
Azi highlighted a recent law that mandates a gradual reinstatement of payroll taxes for certain sectors, which is scheduled to occur between 2025 and 2027, returning to a full 20% contribution in 2028. He proposes discussions that could extend tax relief to all companies to alleviate the cost implications of hiring additional staff, positioning this as a crucial step for equitable adjustment during the transition.
In his view, the government's role is vital in the legislative process, particularly in addressing the financial frameworks associated with labor reform. Azi's insistence on collaboration from President Lula's administration to address the fiscal challenges indicates a significant political maneuver to ensure that stakeholders across the economic spectrum can navigate the proposed changes without excessive hardship.