The job and income preservation program (BEm), will be extended to 2021, the new extension is under review and should be released by Friday. The government team is studying a new measure, after the original proposal of pay the program changing the rules of the unemployment insurance, be vetoed by President Bolsonaro.
In this way, the economic team is studying a way to circumvent the obstacle, and not to postpone the program extension, which should come out soon.
In this sense, merchants from all over Brazil fear mass layoffs, in case a new benefit round, is not approved.
About the Employment and Income Preservation Benefit (BEm)
Firstly, the program was started in 2020, by MP 936, as a way to preserve jobs from mass layoffs, due to lockdowns and social isolation, caused by the covid-19 pandemic that plagues the entire planet earth.
Because of this, the program provided, reduction of working hours on 25%, 50% and 75%, or the suspension of the employment contract. On the other hand, the government complemented part of the salary, in the case of a reduction, and “total” payment of the salary, in the case of suspension of the employment contract.
The extension scheduled for this year 2021 must follow the same pattern as in 2020.
- Reduction of hours and salary in 25%: The company pays 75% from salary and the government pays 25% from salary.
- Reduction of hours and salary in 50%: The company pays half of the salary, and the government pays half.
- Reduction of hours and salary in 75%: The company pays 25% from salary and the government pays 75% from salary.
- In case of suspension of the employment contract, the government will pay according to the amount of unemployment insurance, from the employee's salary. In case the organization is a small company, earning up to R$4.8 million last year, the government pays 100% of the amount. If the company is larger, and has revenues above R$4.8 million, the employee receives 70% of the amount through the program, and the company pays 30% of the salary, taking into account the unemployment insurance.
Extension of the workday and suspension of the employment contract
It is worth mentioning that the program secured 11 million jobs, according to the Minister of Economy Paulo Guedes, he informed.
THE benefit extension, should have a total cost between R$5.8 billion and R$6.5 billion, and could benefit around 3 million workers. The government's economic team is running against time to make it possible to extend the program as quickly as possible and save the work of millions of people.
The new MP, for the reduction and suspension of the employment contract, should be extended for another 4 months, and payments should start in April 2021.
services
In case of doubts, or for more information regarding the benefit program for the preservation of employment and income (BEm), consult the website of Federal Savings Bank, or by calling 0800 726 0207, option 1.
