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Economy & Business - May 2025
BRAZIL: Supreme court will have final word on outsourcing disputes
When the centre-right government of President Michel Temer (2016-2019) pushed a sweeping labour reform through congress eight years ago, Brazil’s business leaders rejoiced over the prospect of legislation doing away with endless labour disputes in court. The 2017 overhaul allowed more labour issues to be negotiated between unions and employers, reduced worker benefits, and allowed for outsourcing even in the core activities of a business. But several years on, the issue of outsourcing continues to loom large over Brazil’s business environment, fuelling a record number of lawsuits in the country’s supreme court (STF).
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