Law comes into effect to generate 20,000 jobs with payment of half the minimum wage by the State

Published in the Official Gazette of the State, the Law that implements the program Mais Empregos Ceará comes into force. Measure seeks to hire 20 thousand workers in the sector of commerce and services in Ceará through transfer from the State of half a minimum wage for each worker hired by the companies.

The State opened a supplementary credit of R$ 18 million for the program. The measure is also intended to prevent further dismissals by requiring that, in order to maintain the benefit, participating establishments “cannot reduce their workforce to a number lower than what they had before the publication of this Law”.

The text clarifies that in such a comparison of the workforce, the new employment relationships established through the Mais Empregos Ceará program will not be counted. In all, each project may hire up to 100 employees through the initiative.

The action will give priority to bars, restaurants and the events sector, recognizing these segments as the most affected by the restriction measures implemented in the fight against the Covid-19 pandemic.

This measure will be implemented by the Secretariat of Economic Development and Labor (Sedet), in conjunction with the Secretariat of Finance of Ceará (Sefaz) for monitoring and inspection of participating companies.

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Sedet must provide an online system for companies to request the benefit. The application to join the program can be made within 60 days after the beginning of the applications, or until reaching the goal of 20 thousand new hires.

How will the program work?

Measure seeks to encourage the generation of jobs and boost the economic recovery in the State. After being approved, the program will guarantee the payment of half of the current minimum wage, stipulated at R$1,101, for each new contract made by companies from Ceará. The establishments will be able to hire up to 100 new employees, with the guarantee of state financial reinforcement for six months.

After six months of payment of 50% of the minimum wage for each contract, the benefited company must keep the employee for at least another three months.

Rules

Sedet will be responsible for weekly disclosure of the details of the agreements signed between the State and companies, based on the number of people hired.

Companies must inform Sedet of the number of contracts carried out, as well as the respective dates of each new contract entered into. The first installment of the benefit will be paid within 30 days after approval of the benefit request made by the company.

Additional expenses recurring to the program will be recorded in appropriations consigned to the Executive Branch’s budget, upon application of a decree. The validity of the program will only be considered legal, while the state of public calamity in Ceará lasts.

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