January 2025 - Brazil - Amendments to PLP 12 to regulate app-based ride-hailing companies - but debate on bill still pending

The Brazilian MTE (Ministry of Labour and Employment) will try to reopen the discussion on the Supplementary Law 12 (PLP 12), which aims to regulate the work of drivers of passenger applications.

It was sent to Congress in February 2024, but has been ready since July 2023. It establishes a contribution rate of 7.5% to the INSS (National Institute of Social Security) on part of the income, with a minimum salary based on the minimum wage, and grants the right to unionise. Companies will also have to contribute to social security.

Amendments have been proposed, in particular a change in the tax rates (from 7.5% to 5%) and an unlimited number of working hours.

The goal is to revisit the measure on February 1.

Read on: in Portuguese