FEDERAL SUPREME COURT FINALIZES UNDERSTANDING ON ASSISTANCE CONTRIBUTION
Last Monday night (September 11), the Federal Supreme Court ended its judgment, by 10 votes to 1, on the constitutionality of the assistance contribution[1] to trade unions. Despite the name given to the contribution, which was declared constitutional, it is a compulsory fee, which is not to be confused with the union dues previously repealed by the labor reform.
With this understanding, trade unions will be able to call a meeting every year, without a minimum number of workers present, and determine that the assistance contribution will be charged, especially when annual meetings are held to discuss collective agreements with employers. It should be noted that all workers, whether unionized or not, must pay the contribution, except for those who are not unionized and who have previously objected to paying the assistance contribution.
The decision approved at the meeting will be passed on to the companies in each employer sector, which will deduct the pre-defined amount and pass it on to the union.
As mentioned above, even though it is called a contribution, it is compulsory. And in order not to pay, the worker must personally express their opposition directly to their union.
In practice, it will work as follows: the amount of contributions will be defined in union meetings, with no minimum number of participants. And, as was the case before the 2017 labor reform, it must correspond to the value of one (1) day’s work for each worker. The companies will make the deductions from each worker and pass them on to the unions.
Those in favor of the return of the contribution claim that this will give the unions the strength to fight for the rights of the workers under their custody.
Non-unionized workers, on the other hand, will have to put up with the deduction in their paycheck, or, in advance, by registered letter, with a copy to the employer, present an objection to the deduction.
It is highly recommended that companies, through their human resources departments, carry out an internal survey to identify all unionized employees, as well as non-unionized ones, and advise them of this new union obligation, and of the obligation to send in their objection to deductions of the assistance contribution. Remember that this objection must be expressed every year.
Finally, it is important that HR departments, which are responsible for interacting with trade unions, discuss the amount and form of the assistance contribution in collective bargaining agreements.
In practice, it will work as follows: the amount of contributions will be defined in union meetings, with no minimum number of participants. And, as was the case before the 2017 labor reform, it must correspond to the value of one (1) day’s work for each worker. The companies will make the deductions from each worker and pass them on to the unions.
Those in favor of the return of the contribution claim that this will give the unions the strength to fight for the rights of the workers under their custody.
Non-unionized workers, on the other hand, will have to put up with the deduction in their paycheck, or, in advance, by registered letter, with a copy to the employer, present an objection to the deduction.
It is highly recommended that companies, through their human resources departments, carry out an internal survey to identify all unionized employees, as well as non-unionized ones, and advise them of this new union obligation, and of the obligation to send in their objection to deductions of the assistance contribution. Remember that this objection must be expressed every year.
Finally, it is important that HR departments, which are responsible for interacting with trade unions, discuss the amount and form of the assistance contribution in collective bargaining agreements.
