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What changes with the new equal pay law?

Although article 5, clause I, of the Brazilian Constitution guarantees equality between men and women and the Consolidation of Labor Laws (CLT) already guarantees, in article 461, equal salaries, without distinction of sex, ethnicity, nationality, or age for all identical work of equal value, Law 14.611/23 establishes salary equality between women and men, and determines the publication of semi-annual reports on salary transparency and remuneration criteria by private legal entities with 100 or more employees. In addition, it gives a new role to unions, which will have guaranteed participation in the companies' Action Plan to mitigate salary differences.

Law 14.611/23 adds to article 461 of the CLT paragraphs 6 and 7. In other words, in addition to the salary differences, the employer may pay an administrative fine equivalent to 10 times the value of the new salary owed to the employee discriminated against. The payment of the fine, however, does not impede the possibility of compensation for moral damages.


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