Off the wire
• China Hushen 300 index futures open mixed Wednesday  • Chinese shares open lower on Wednesday  • China treasury bond futures open lower Wednesday  • Market exchange rates in China -- July 22  • News Analysis: Re-armed Japan endangers world as wartime history not repented  • Chinese yuan rises to 6.1168 against USD Wednesday  • UN official hails start of unilateral ceasefire in Colombia  • Ederson leaves Lazio, joins Flamengo  • Orlando City in Brazil international Ganso's bid: reports  • Australia's opposition unveils ambitious new renewable energy target ahead of party conference  
You are here: 　 Home

Brazil launches job protection program amid stagnation

Xinhua, July 22, 2015 Adjust font size:

The Brazilian government launched on Tuesday a new Job Protection Program (PPE) to ensure job security amid economic stagnation.

The PPE would allow companies to reduce employees' daily working hours to save up to 30 percent on salaries, Labor and Employment Minister Manoel Dias said while presenting the program.

By using a dedicated fund, the government would cover half of each salary reduction, or 15 percent of the total.

Dias added that the government expected the program to be approved by Congress smoothly.

To be part of the PPE, companies must comply with a certain index, which will be calculated based on the number of their employees hired and fired over the past 12 months before applying for the program.

On top of the index shows the companies' contributions to social security and to the Severance Indemnity Fund (FGTS).

The PPE will make companies better prepared for economic reversals, noted Laudemir Muller, secretary general of the presidency, saying companies that join the PPE and their employees will have more agility and capacity to operation during this economic stagnation.

Luiz Moan, president of the National Association of Vehicle Manufacturers, spoke highly of the program, hailing it as a "necessity for the moment this country is getting through." Endi