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Industry satisfied with Congress’ work in 2017

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Taking stock of the main achievements of the industrial sector in 2017, Brazil’s  National Confederation of Industries of Brazil pointed out the following themes, among others:

    1. Outsourcing regulation – On March 22, Congress approved PL 4,302 / 98, defining clear rules for contracting services and supplying specialized goods. The regulation was a milestone in a discussion that lasted two decades and in practice eliminated the distinction between activity-medium and activity-end, an abstract concept applied only in Brazil, and which was the main cause of the judicialization of the subject.
    2. Modernization of labor laws – Dated 1943, Brazilian labor legislation underwent the most thorough updating process in 2017. With Law No. 13,467, Brazil has regulate new forms of work relations . The new also law valued ​​dialogue and collective bargaining, giving companies and workers the chance to mutually find beneficial solutions.
    3. Improvements in Regulatory Standard No. 12 (NR 12)- A set of safety rules and standards for machines in the industry, NR 12 had been updated in 2010, but the rule proved to be unworkable for business. In 2017, changes advocated by the industry were approved, such as the simplification of requirements for presses – a machine that is used in almost all industrial sectors – and the definition of special inspection procedures.
    4. Ordinance that excluded accidents “en route” from the FAP – The exclusion of road accidents from the calculation of the Accident Prevention Factor (FAP) was approved in November 2016, correcting a distortion that punished companies for work-related accidents that occurred in the home-to-work-homen traject . It turned official in April 2017, definitively removing these cases in the statement of the FAP. The pecuniary effects of the measure will be felt by companies as of January 1, 2018.
    5. Validation of  States ICMS tax incentives – The approval of PLP 54/15, by the National Congress, was long awaited by the productive sector. The new law, in practice, gives legal certainty to companies that have settled in states, attracted by benefits as a way to stimulate regional development, by considering tax and tax credits to be valid.
    6. Political Reform – Congress approved the Proposed Amendment to the Constitution (PEC) No. 33, which promotes changes in the Brazilian electoral system. The main innovations are the prohibition of coalitions in proportional elections and the creation of a performance clause. The move is an important step towards reducing party fragmentation and contributing to political stability and governance.
    7. MP 783 (Special Tax Regularization Program) – At the end of September, the National Congress approved the so-called Provisional Measure of Refis, which created a program to refinance tax debts with the Union. After three years of crisis and economic recession, Brazilian companies were struggling with their finances. By being able to regularize the situation before the Treasury, the companies remove important impediment to the resumption of the growth.