After approximately 2 months and 178 amendment requests, the Brazilian Senate approved the labor reform bill of law last Tuesday (07/11/2017) without any change to the original text submitted by the House of Representatives. There were 50 votes in favor, 26 in opposition, and 1 abstention. As there were no changes suggested by the Senate, bill of law no. 6,787/2017 will now be sent for the sanction of the in-house President Michel Temer.

In a letter sent to the Senate on June 28, 2017, the President reassured his commitment in the sense that any adjustments to the bill of law would be made by himself, either through vetoes to the bill of law or through the execution of Provisional Presidential Decrees.

However, after the approval of the bill of law, the president of the House of Representatives has already stated that he will not  consider any Provisional Presidential Decree aiming at amending said bill of law.

Considering such statement, it is possible then to expect vetoes by President Michel Temer of some points of the labor reform, especially regarding (i) the treatment of the pregnant or breastfeeding employees in the unhealthy workplace environment, (ii) individual agreement that provides for a 12-hours work day for 36 hours of rest and (iii) some points of the intermittent-work agreement.

If the President fully sanctions the bill of law, the law will come into force 120 days after the date of the sanction. However, if the President vetoes part of the bill, only those vetoed matters will return to the Congress, which will decide in a joint session (House of Representatives and Senate), within 30 days, whether to agree or reject the vetoes. The presidential veto, however, can only be rejected by the vote of the absolute majority of the Congress.

If the veto is rejected by the Congress, the President or Senate (in the event of the President's lack of action), shall sanction the content of the previously vetoed law. In this case, more than 100 articles of the Brazilian Labor Code (CLT) will be adjusted.