Brazil moves forward with constitutional amendment to set 40‑hour workweek

The Brazilian Senate is debating a constitutional amendment that would reduce the standard weekly work time to 40 hours, guarantee two paid rest days and prohibit wage cuts. The proposal, the most extensive change to labor relations since 1988, would codify fixed eight‑hour days and two weekly rest days, limiting flexibility for sectors that rely on continuous shifts such as health, hospitality, logistics, agribusiness and industry.

Critics argue the rigid amendment could generate legal uncertainty, a surge in lawsuits and higher labor costs, as companies would have to maintain salaries while paying for fewer hours. The loss of bargaining freedom may force renegotiations or terminations of existing collective agreements. To offset potential productivity losses, firms are expected to accelerate automation and increase outsourcing, requiring significant investment in technology and specialist training.

The reform is framed as a response to work‑life balance demands, but its economic impact on businesses and public procurement contracts is a major point of contention among policymakers, employers and labor unions.