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[BUSINESS] · Brazil · 20 sources

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Casas Bahia mass layoffs suspended by Brazilian court

The Labor Court in Brasília has maintained an injunction prohibiting mass layoffs by the retail giant Casas Bahia. The decision, issued by Judge Sandra Nara Bernardo Silva, follows a rejected security mandate from the company, which failed to provide necessary documentation for the case. The court ruled that the layoffs were irregular because they occurred without mandatory union intervention.

As a result, Casas Bahia is required to reinstate the employment ties of affected workers and include them in payroll, health insurance, and other benefits. Future collective dismissals will only be permitted with union mediation.

The company is currently undergoing a major financial restructuring, having filed for judicial recovery to address debts totaling R$ 17.3 billion. However, reports indicate that an additional R$ 11 billion in extraconcursal debts—including obligations to banks like Bradesco and Banco do Brasil, as well as suppliers like Whirlpool—remain outside the scope of the recovery plan. This financial crisis follows a reported net loss of R$ 10.1 billion in the second quarter of 2026 and the closure of 298 physical stores.

Entities

Casas Bahia · Confederação Nacional dos Trabalhadores no Comércio · Gláucio Araújo de Oliveira · Grupo Casas Bahia · Sandra Nara Bernardo Silva · Tribunal Regional do Trabalho da 10ª Região · Tribunal Regional do Trabalho do Distrito Federal

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about 3 hours ago
about 16 hours ago