As an alternative measure to tackle the current crisis scenario caused by covid-19, Executive Order No. 936/20 was published on April 1 (MP 936), which stipulates the conditions for a proportional reduction in the hours and wages of employees and for the temporary suspension of employment contracts.

The emergency program for maintaining employment and income also covers intermittent employment contracts provided for in article 443 of the Consolidated Labor Laws (CLT), provided that they have been formalized by the date of publication of the executive order. According to the article, such contracts are those in which individuals render services in a discontinuous manner, in alternate periods of work and inactivity, which may be determined by hours, days, or months, regardless of the activities of the employer or employee.

According to MP 936, employees with intermittent employment contracts will be entitled to a monthly emergency benefit in the amount of R$ 600 for a period of three months, starting on the date of publication of MP 936 and with payment within 30 days (the grant and payment procedure will be regulated by an act of the Ministry of Economy).

In order to fulfill the social function of this rule, payment of the benefit was stipulated regardless of compliance with any accrual period, employment period, and number of salaries received.

No employee is entitled to the benefit who:

  • holds a public office or employment, position of trust of free appointment and dismissal or holder of elective office; or
  • is receiving a benefit of the General Social Security System or of the Special Social Security Systems, except pensions due to death or accident aid (sole paragraph of article 124 of Law No. 8,213/91); unemployment insurance, of any type; of professional training scholarships intended for employees who have their employment contracts suspended due to their participation in a course or professional training program offered by their employer (article 2-A of Law No. 7,998/90).

If there is more than one intermittent employment contract, no more than one monthly emergency benefit will be granted, i.e., there is one benefit, regardless of the number of intermittent employment contracts entered into by the employee. The monthly aid also cannot be combined with the payment of other emergency aid.

The benefit will be funded with funds from the Federal Government and will be managed and paid by the Ministry of Economy.

Should the Emergency Benefit for Preservation of Employment and Income be paid unduly or paid in excess of the amount due, the debts created as a result thereof will be enrolled as outstanding debt of the Federal Government and the provisions of Law No. 6,830/80 will be applied for judicial enforcement.