Brazil Ministry of Labor notifies 115 companies over food voucher irregularities

The Brazilian Ministry of Labor and Employment (MTE) has notified 115 companies to provide clarification regarding potential irregularities in the Worker Food Program (PAT). The investigation includes the country’s four largest food and meal voucher operators: Alelo, Pluxee, Ticket, and VR.

Auditors identified three primary areas of concern: fees charged to establishments exceeding the 3.6% regulatory limit (with some reaching 10%), potential rebate and cashback practices, and the use of benefit cards for unauthorized purchases such as alcohol, cleaning supplies, and pet food.

The MTE noted that notification does not constitute a formal fine or a definitive finding of wrongdoing; companies have the opportunity to present administrative defenses. Potential penalties for non-compliance include fines ranging from R$ 5,000 to R$ 50,000, cancellation of PAT participation, and reporting to the Federal Revenue Service for evaluation of tax benefits.