Lula Government Rushes 40-Hour Work Week Amendment Through Brazilian Senate Before Election

The Brazilian government, led by President Luiz Inácio Lula da Silva, is pushing to fast-track a constitutional amendment through the Senate that would abolish the country's traditional 6x1 work scale and institute a national 40-hour work week, a move set to mandate a significant increase in labor costs for businesses nationwide. The sudden acceleration of the measure, known as Constitutional Amendment Proposal (PEC) 221/2019, follows a recent series of meetings between President Lula and Senate President Davi Alcolumbre, who had previously been perceived as resistant to advancing the government’s labor agenda before the October election. Following a meeting in mid-August, Alcolumbre directed the PEC to be unblocked and sent for commission analysis in the Brazilian Senate, signaling a clear shift in legislative priority.

The proposal, which was approved by the lower house (Chamber of Deputies) in May, aims to fundamentally change the Brazil labor law as it applies to millions of workers. It replaces the current maximum 44-hour work week, often structured as six days of work for one day of rest (the 6x1 scale), with a 40-hour work week Brazil spread over a 5x2 schedule, guaranteeing two paid rest days per week. Crucially, the measure explicitly forbids employers from reducing workers' salaries to offset the mandated reduction in hours. The change would be implemented in phases: a reduction to 42 hours would take effect within two months of the law’s publication, followed by the full 40 hour work week Brazil mandate approximately 12 to 14 months later.

Advocates argue the change is vital for improving the quality of life for workers, aligning Brazil with other major Latin American economies like Chile, Colombia, and Mexico, which have recently shortened their work weeks. However, business groups are sounding alarms over the economic implications. Because the change requires companies to pay the same salary for fewer hours, plus guarantee an extra day of paid rest, the PEC operates as a de facto labor cost increase, similar to an hourly wage hike. Industry federations and business groups estimate the measure could add up to R$50 billion annually to operating costs across the Brazil economy, with the sharpest impact on sectors that rely heavily on large numbers of hourly workers.

The rush to advance the PEC now is highly political. President Lula has made the end of the 6x1 work schedule a centerpiece of his re-election campaign, and his allies view an approval before the October polls as a major political victory. With only a short window before the legislative calendar pauses for the election period, the proposal must now clear the Senate’s Constitution and Justice Committee (CCJ) and then receive two rounds of votes on the floor.

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What it touches

The most immediate and material impact of the proposed change would fall on labor-intensive sectors, including retail, security, cleaning services, manufacturing, and general industry, which currently rely on the 44-hour/6x1 structure to manage costs and staffing. Any company employing a large workforce in Brazil will face mandatory restructuring of its payroll and operating schedules if the Brazilian Senate approves PEC 221/2019.