The Brazilian construction industry is signaling significant apprehension regarding the Ministry of Labor’s proposed move to end the 6×1 work scale in 2025. This potential alteration is viewed with concern by sector leaders, who emphasize the critical need for a balanced approach to labor policy. The industry maintains that any such shift must be carefully considered to avoid detrimental impacts on a sector vital to the national economy.
Renato Correia, president of the Brazilian Chamber of Construction Industry (CBIC), articulated the industry’s stance, stating that the proposed alteration primarily drives up costs for companies without providing an immediate or corresponding increase in productivity. He views this as a fundamental prerequisite for any labor reform, stressing that the benefits must outweigh the burdens.
With the construction sector currently employing an estimated 3 million formal workers nationwide, Correia cautioned that unilateral adjustments to working hours, devoid of concrete productivity gains, could severely destabilize the market. Such changes, he warns, risk diminishing competitiveness and hindering the sector’s crucial contributions to economic growth and job creation in Brazil.
Productivity as the bedrock for sustainable labor reform
Correia further emphasized that Brazil continues to struggle with its international competitiveness, a direct consequence of pervasive low productivity across multiple sectors. He attributes this to a complex interplay of factors, including the burdensome “Custo Brasil”—a term encompassing high operational costs, extensive bureaucratic hurdles, persistent deficiencies in infrastructure, critical gaps in educational quality and workforce training, and a lagging adoption of advanced technologies. These systemic issues must be addressed comprehensively and strategically to ensure long-term economic prosperity and a more equitable distribution of benefits throughout the national economy, laying the groundwork for any future labor adjustments.
Brazil’s core economic competitiveness challenges
For the CBIC president, it is imperative to first achieve substantial, measurable progress in these foundational aspects of economic development. Only after significant advancements in overall national productivity should discussions about implementing widespread changes to the established work week, such as reducing labor hours, be seriously considered at a national level, ensuring sustainability and avoiding counterproductive outcomes.
Impact of ongoing fiscal reforms and industrialization drive
The ongoing tax reform, a landmark government initiative, is viewed by the CBIC as a crucial first step towards bolstering the construction sector’s competitiveness. It is designed to harmonize Brazil’s intricate tax system with global standards, particularly those of developed economies, thereby fostering a more predictable and conducive business environment for investments and growth across all regions. This simplification is expected to unlock significant potential for industrialization, a process previously stifled by a convoluted system of cascading taxes that deterred innovation and large-scale modernization efforts within the industry, paving the way for a more dynamic future.
Despite this positive trajectory, Correia underlined that substantial progress is still imperative in areas like workforce capacitation, advanced technological integration, and the development of robust infrastructure across the nation. These elements are critical for the sector to truly thrive and contribute to a modern economy, moving beyond historical limitations and embracing new opportunities for growth.
Leveraging collective bargaining for regional workforce flexibility
Correia pointed out that Brazil already possesses established mechanisms for regulating work hours through collective bargaining agreements, offering a decentralized and adaptable approach to labor management tailored to specific local needs. This existing framework allows for nuanced adjustments based on regional economic realities.
Notably, around 29% of collective negotiations already include specific clauses on working hours, which demonstrates an established and functional system allowing for region-specific adjustments that account for distinct local economic conditions and industry demands, thereby promoting vital flexibility in a diverse economy.
“We are very concerned about single regulations for all of Brazil,” Correia articulated, stressing that the immense disparities across the nation’s regions render uniform national policies often counterproductive and economically inefficient, failing to serve diverse local realities and potentially creating new challenges.
He cited the significant variations in informal employment rates as a prime example, with the national average hovering around 38.7% in 2025, yet surging to 50% in regions like the North and Northeast. This indicates vast differences in labor market structures and the critical need for nuanced policy approaches that recognize and address these regional specificities.
Tackling construction costs through regulatory efficiency
Bureaucracy remains a formidable obstacle, significantly inflating costs within the construction industry. According to recent data compiled by the CBIC, the arduous and often protracted processes involved in project approvals and licensing add an estimated 12% to the final cost of a residential or commercial property in Brazil, directly impacting affordability and market access for many citizens seeking housing solutions.
This substantial burden not only impacts affordability for consumers but also diminishes the sector’s overall competitiveness and capacity for rapid development, hindering much-needed progress and innovation. Correia argued that a substantial opportunity exists for boosting productivity if municipal, state, and federal authorities collaboratively commit to streamlining these procedures, fostering a more agile and responsive regulatory environment for construction.
Industry seeks proactive dialogue on labor policy adjustments
Despite the intensity of discussions surrounding the 6×1 work scale escalating significantly towards the end of 2024, the CBIC confirms that it has not yet received any formal invitation or communication from governmental authorities to actively participate in the ongoing policy debate. The industry, however, remains ready and willing to engage constructively, providing its expert insights.
Nevertheless, President Correia conveyed a strong sense of confidence that official engagement would materialize in the near future. He underscored the construction sector’s historically positive and constructive relationship with the Ministry of Labor, signaling an expectation for collaborative policy formation rather than unilateral decisions, thereby ensuring solutions beneficial for all parties involved.
