Reduced working hours: what changes for companies

The discussion about reducing working hours without loss of wages has been gaining momentum in Brazil. Federal SenateThere are three proposals under consideration. This measure, which is already being tested in some companies in Brazil, promises to bring benefits to both employees and employers.

This article explores the details of these proposals and how they can impact your company.

Proposals under consideration in the Senate

In the Senate, discussions on reducing working hours are progressing. The proposals include:

• Reduced working hours without loss of payThis measure would make it possible to reduce daily or weekly working hours without reducing wages, and would be implemented by collective agreement or convention.
• Encouraging companiesOne proposal seeks to encourage companies to adopt reduced working hours by offering awards such as the Ideal Company Diploma.
• Reversal of recent labor changesAnother proposal aims to reverse recent changes in labor laws, ensuring that working hours do not exceed eight hours a day and 40 hours a week.

Impact on productivity and quality of life

Studies show that reducing working hours can benefit both workers and employers. According to a survey by the DataSenado Institute, carried out in April 2024, 85% of Brazilian workers believe that they would have a better quality of life if they had an extra day off a week without changing their salary. What's more, 78% say that they would be able to maintain the same quality of work, dedicating their free time to family, health and training.

A survey by the Inter-Union Department of Statistics and Socio-Economic Studies (Dieese) revealed that reducing the working day to 40 hours a week, without reducing pay, could generate more than 2.5 million new jobs in Brazilhelping to reduce unemployment.

Bill 1.105/2023

One of the most discussed proposals is the Bill of Law (PL) 1.105/2023The bill, which aims to include in the Consolidation of Labor Laws (CLT) the possibility of reducing working hours without loss of pay. Senator Weverton (PDT-MA), author of the proposal, points out that the measure could increase productivity and improve workers' physical and mental health.

The bill was already approved by the Social Affairs Committee (CAS) in December 2023 and will now be analyzed by the Economic Affairs Committee (CAE). Senator Laércio Oliveira (PP-SE) justified the need for an economic analysis due to the importance of the issue for the productive sector and for the country's economic development.

Read also: What will change with the new Tax Reform

Benefits for companies and workers

Reducing working hours can bring several benefits to companies, including:

• Increased productivityStudies show that employees with reduced working hours can be more productive due to increased motivation and job satisfaction.
• Improved employee healthReduced working hours can reduce levels of stress and exhaustion, resulting in less absenteeism and better performance at work.
• Attracting and retaining talentCompanies that offer flexible working hours can stand out in the market as employers of choice, attracting and retaining the best talent.

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Incentives for companies

In addition to changes in labor legislation, there are proposals to encourage companies to adopt shorter working hours. Senate Resolution Bill (PRS) 15/2024For example, it proposes the creation of the Ideal Company Diploma, aimed at employers who implement better working practices, such as reducing working hours without losing pay.

Senator Soraya Thronicke, author of the bill, argues that modernizing working practices is essential for the productive sector. The DataSenado survey reveals that 61% of workers believe that reduced working hours would not negatively affect companies and could even bring profits.

Conclusion

For entrepreneurs, understanding and preparing for possible changes in working hours is crucial. Reducing working hours without losing wages can not only benefit workers, but also increase productivity and the competitiveness of companies

A CLM Controller, which specializes in accounting and management solutions, is ready to help your company adapt to the new working hours regulations. Contact us to find out more about how we can support your company.