OS ADVERSE INCENTIVES AND THE FOCUSING OF WORKER PROTECTION PROGRAMS IN BRAZIL

Authors

  • Ricardo Paes de Barros Ipea
  • Carlos Henrique Corseuil Ipea
  • Miguel Foguel Ipea

Keywords:

adverse incentives, worker protection

Abstract

In this work, we investigate the extent to which Brazilian worker protection programs actually protect workers and favor the proper performance of the labor market. The institutions evaluated include Abono Salarial, Seguro-Desemprego and Fundo de Garantia do Tempo de Serviço. In this work, we investigate the extent to which Brazilian worker protection programs actually protect workers and favor the proper performance of the labor market. The institutions evaluated include Abono Salarial, Seguro-Desemprego and Fundo de Garantia do Tempo de Serviço. We also investigated the importance and usefulness of the fine for dismissal without just cause, the notice period and the probation period. It is not the objective of this work to address active employment and income generation policies. The analysis carried out leads to two basic conclusions. First, the study demonstrates that while certain segments of the population may indeed be being adequately served, these programs are definitely not providing protection for the poorest workers. Secondly, that, in addition to being poorly focused, the design of Brazilian social protection programs may be having negative impacts on the performance of the labor market, inducing a high degree of informality and rotation of the workforce, with negative consequences for the duration of employment relationships, investment in specific human capital, productivity and salary level.

Author Biographies

Ricardo Paes de Barros, Ipea

Técnico do Ipea

Carlos Henrique Corseuil, Ipea

Técnico do Ipea

Miguel Foguel, Ipea

Técnico do Ipea

Published

2022-08-05

How to Cite

Barros, R. P. de, Corseuil, C. H., & Foguel, M. (2022). OS ADVERSE INCENTIVES AND THE FOCUSING OF WORKER PROTECTION PROGRAMS IN BRAZIL. Planejamento E Políticas Públicas, (22). Retrieved from //ipea.gov.br/ppp/index.php/PPP/article/view/79

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