Minimum wage is now R$ 1,320 as of this Sunday (1st)

As of this Sunday (1st), the minimum wage in the country will be BRL 1,320 . The new value represents an increase of R$ 108 compared to last year’s national baseline, of R$ 1,212 or an increase of almost 9%. With the change, the daily value of the minimum wage will correspond to R$ 44 this year.

Last month, the federal government published a Provisional Measure in the Official Gazette that foresaw an increase in the national floor for BRL 1,302 . However, the National Congress approved the 2023 Budget Law, which provides for a minimum wage of R$ 1,320.

The value will be valid from January, although it has not yet been made official by the Executive.

In addition to establishing a minimum wage for the country, the new national floor will also bring changes to INSS pensions, PIS/Pasep allowances and unemployment insurance, for example. Look:

INSS and BPC retirement

The floor of INSS pensions follows that established by the minimum wage. In other words, starting this year, INSS retirees, pensioners and policy holders will receive at least R$ 1,320.

The same goes for those who receive the BPC (Continued Provision Benefit), an assistance benefit paid for seniors aged 65 or over or people with disabilities, provided they prove low income.

The new amount begins to be deposited on January 25th and varies according to the final number of the benefit.

PIS/Pasep allowance

The PIS/Pasep allowance is paid to anyone who has a formal job or as a civil servant for at least 30 days a year (consecutive or not) and receives an average monthly salary of at most two minimum wages. You also need to be enrolled in the PIS or Pasep for at least five years.

It is possible to receive up to minimum wage. That is, next year, the maximum value will be R$ 1,320. The calculation of the benefit amount corresponds to the number of months worked in the base year multiplied by 1/12 of the minimum wage amount in effect on the payment date.

Last month, the Deliberative Council of the Worker’s Support Fund (Codefat) approved this year’s calendar. For the 2023 payment, the reference year is 2021. Payments begin on February 15 and will be divided into six batches. For PIS, the month of birth of the worker is considered. In the case of Pasep, it is considered the final digit of the enrollment number in the program.

Unemployment insurance

Another change brought about by the change in the minimum wage is the amount of unemployment insurance. The benefit portion cannot be less than the national floor, that is, R$ 1,320 this year. The maximum amount of unemployment insurance for 2023 has yet to be announced.

Errata: Initially, the report stated that the minimum wage would be R$ 1,302. However, with the approval in Congress of the Budget for this year, the value changed to R$ 1,320. The information has been corrected.