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brazil severance without cause

Severance without cause: what enters the calculation

In severance scenarios, people often arrive with one number in mind and then discover that several line items are talking at once.

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Blocks that form the severance payment

  • Salary balance, notice, accrued/proportional vacation, proportional 13th salary and FGTS penalty do not follow the same formula.
  • Length of service affects notice pay and can change the final amount more than many workers expect.

Typical examples

Shorter tenure

Input
12 meses de casa
Expected output
Aviso-base + verbas proporcionais

Useful for terminations in the first year.

Longer tenure

Input
60 meses de casa
Expected output
Aviso ampliado + FGTS mais robusto

Helps explain the effect of tenure on exit costs.

Full tool FAQ

When dismissal without cause occurs, the employer must pay a 40% fine over the full FGTS balance at the date of dismissal. The government also charges an additional 10% contribution, but this goes to a fund and is not paid to the worker.

Frequently asked questions

Is the 40% FGTS penalty always included?

No. It is typical of a termination without cause and depends on the type of dismissal.

Does notice pay increase with tenure?

Yes. Its duration may increase with years worked, affecting the final severance amount.