Currency: Brazilian real (Rate)
Public Holidays: 13 public holidays (see here)
Employer Taxes: 35-40% of gross salary
Official Language: Portuguese
Payroll frequency: Monthly or Bi-weekly
13th / 14th Salary: (what's this?) ****Brazilian employees receive both a 13th Month bonus (paid 1/2 in November and 1/2 in December) and a Holiday Bonus (1/3 of a month salary, when holiday is taken)
Notice period for dismissals: 30 days for employees in their first year, plus three additional days for each additional year worked (up to a maximum of 60 additional days)
Notice period for resignations: 30 days
The notice period is halved if termination under mutual consent.
There is no mandatory severance pay. However an employee must receive pro rata amounts of holiday day, 13th month pay, and vacation pay. An employer can also provide pay in lieu of notice.
Each month, employers must contribute 8% of an employee's salary to the Severance Fund (FGTS), which employees may access upon dismissal. However when terminating an employee without just cause, an employer must also pay a penalty into the fund in the amount of 40% of the balance in the employee's FTGS account. When the separation is mutually agreed, the employer still must pay a 20% penalty.
The probation period is 45 days but can be extended to 90 days.