The adoption of the annual discharge of labor obligations has become increasingly common in the business sphere, as it provides guarantees and security for the parties that make up the employment contract. Find out more below!
What is the annual discharge of labor obligations?
This document, instituted by the Labor Reform, consists of a declaration signed by the employee and employer, attesting that all labor commitments for the year, with regard to obligations to give and do, have been duly fulfilled.
It is an important instrument aimed at eliminating the need for employees to file labor claims, since the document reflects the company’s correct fulfillment of its obligations, including the payment of sums arising from the employment contract.
The annual discharge form is regulated by the Consolidation of Labor Laws (CLT), as set out in article 507-B, which emphasizes that the document will only be effective if it is signed before the union of the category.
Another requirement for the document to be valid is that it specifically states all the installments paid by the employer to the worker and their respective amounts.
However, it is important to note that the law does not define which installments can be itemized in the document, but only that both obligations to give and obligations to do, fulfilled on a monthly basis, can be included in the document.
Exemplifying the annual discharge form
To make it even clearer to understand the subject, we can cite as examples of installments that may be included in the annual discharge form:
- The record of vacation leave and payment;
- 13th salary;
- Other amounts included in the payroll;
- Hazardous/unhealthy duty bonuses;
- Bonuses;
- Profit sharing;
- Night-time bonus;
- Payment of the first fifteen days of leave in the event of a medical certificate, etc.
Benefits for companies that use the annual discharge form
Since its implementation in 2017, the annual discharge form has brought legal certainty to employers, who will be able to use the document to defend themselves in possible labor lawsuits, when the worker makes requests that have already been the subject of the discharge.
However, even after the discharge form has been approved, there is no impediment to the employee filing a labor claim with the Labor Court.
In any case, the discharge instrument gives the employer legal certainty to prove compliance with labor obligations, and is used as proof against the employee’s allegations.
NOTE:
Those who opt for this modality should also be aware that the document necessarily needs to be drawn up properly and with due care, paying attention to all the requirements imposed by law, which is why we advise that companies develop the document with legal assistance, thus avoiding any loss of the desired effectiveness.
If you have any questions, our Labor team is at your disposal!
