Feb 26 • 12:00 UTC 🇧🇷 Brazil Folha (PT)

SC Trade Federation says the end of the 6x1 schedule will eliminate 27 thousand jobs in the state

The Federation of Commerce of Santa Catarina warns that abolishing the 6x1 work schedule could lead to the loss of 27,000 formal jobs in the state's commerce, services, and tourism sectors.

The Federation of Commerce of Santa Catarina (Fecomércio SC) has released a study warning that the proposed end to the 6x1 work schedule in the region could result in the loss of 27,000 formal jobs across various sectors, including commerce, services, and tourism. This projected job loss is attributed to the anticipated increase in the cost of labor, with Fecomércio SC estimating a rise of 9.4% in hourly wages for the commerce sector and 6.9% in the services sector. The federation's president, Hélio Dagnoni, expressed concern about how many businesses will cope with these increased costs and indicated that consumers can expect higher prices as these additional expenses are passed through to them.

Dagnoni emphasized that small businesses are likely to be hit the hardest by this change, as their payroll costs represent a larger proportion of their overall expenses. With the aforementioned increases in labor costs, businesses may be forced to hire more workers or resort to paying overtime, which could further strain their financial resources. There is a significant worry that many companies will be unable to absorb these increased labor costs, leading to the loss of jobs and possibly driving some businesses to closure.

The proposal is part of a broader legislative plan that has garnered attention and sparked debate in Brazil. Advocates of the labor change argue it could lead to better working conditions, but opponents, including Fecomércio SC, warn that the economic implications for businesses—and the workforce—could be dire. The issue of job security in the face of regulatory change is becoming increasingly pertinent as Brazil navigates recovery from economic challenges.

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