On Wednesday (25), the Brazilian Supreme Court (STF) is deliberating on an injunction issued by Minister Flávio Dino that temporarily suspended the payment of salary perks to all public servants. The expectation is that the plenary will likely confirm the relator's decision, although there could be specific reservations. Additionally, the court is anticipated to discuss a transitional rule that was agreed upon the day prior with leaders from the National Congress.

In his decision, Dino has mandated that Congress craft legislation to regulate the payment of these salary perks. He has also instructed that the heads of government branches and autonomous agencies provide detailed accounts of funds that are paid outside the established salary cap for their employees, with a stipulated deadline of 60 days to comply. However, leaders within the Congress, including the Presidents of both the Chamber of Deputies and the Senate, have indicated that meeting this deadline may be virtually impossible, and this concern may arise during the court's session.

Overall, the judgment by the STF holds significant implications for public spending and salary regulations in Brazil. The decision could set a precedent for how salary perks are managed for public servants, underlining a push for greater transparency and accountability in government financial practices. Such moves may also influence future legislative actions concerning compensation in the public sector, reflecting ongoing discussions surrounding budgetary constraints and fiscal responsibility.