The Senate approved this Friday (20) the Bill 4,614/24which is part of the government’s spending cut package. The proposal creates a ceiling for the growth of the minimum wage, limited to real earnings within the limits of the fiscal framework and restricts access to the Continuous Payment Benefit (BPC). The proposal, approved this Thursday (19) in the Chamber of Deputiesgoes to presidential sanction.
The project received 42 votes in favor and 31 against, after the rapporteur, senator Rogério Carvalho (PT-SE), changed the text, especially in the BPC rules. The benefit, worth one monthly minimum wage, is a right for people with disabilities and elderly people aged 65 or over, if they are unable to support themselves or be supported by their family.
The text approved by the Chamber of Deputies limited the granting of the BPC to beneficiaries whose assessment concluded that there was a moderate or severe disability. The section was criticized for practically removing people with mild disabilities, such as autistic people, from level 1 support, people with Down syndrome and mental health issues, from the list of beneficiaries.
Through an agreement, the government committed to vetoing the point in the project that excluded people with mild disabilities.
“We are discussing here how the government will guarantee everyone who needs it, not those who need it today, but those who need it today, tomorrow and the day after tomorrow, to have access to this benefit”, said Rogério Carvalho.
The approved text also determines the completion of biometric registration to receive and maintain social security benefits, such as BPC, retirement and pension. Currently the requirement is only valid for BPC.
Biometric registration will not be required if the beneficiary lives in locations that are difficult to access, or due to travel difficulties, due to advanced age, health status or other exceptional situations that must be included in an act of the Presidency.
The non-requirement of biometric registration will be valid as long as the public authorities do not provide conditions for it to be carried out, including through technological means or itinerant service.
Minimum wage
The approved text limits the growth of the minimum wage to 2.5% above the previous year’s inflation, with a minimum increase of 0.6% above inflation in the event of an economic recession. The measure, according to the Ministry of Finance, is expected to generate savings of R$109.8 billion from 2025 to 2030.
“Even if we have zero or negative GDP growth [Produto Interno Bruto]salary growth will be guaranteed. The text protects social benefits so that they are not disconnected from the minimum wage. All social security and social security benefits that are granted will be linked to the minimum wage, with the guarantee of a real increase annually”, stated Carvalho.
Bolsa Família
In relation to Bolsa Família and other social security benefits, the approved text maintained the mandatory biometric registration for granting, maintenance and renewal. The parameters for the program’s permanence will be stricter for single-person families (beneficiaries who live alone). There will be restrictions for municipalities with a percentage of single-person families above those set out in regulations.
In relation to the calculation for granting the benefit, family income will consider the sum of income earned monthly by family members who live under the same roof.
The project also establishes that the Agricultural Activity Guarantee Program (Proagro), rural insurance for small and medium-sized producers, is implemented according to the Budget each year. Currently, the Central Bank sends the bill for some subsidies, such as Proagro, to the government, without budgetary limitations. Under the project, the government will only be able to spend on subsidies what is authorized in the Budget.
PEC 45/24
The National Congress will hold, this Friday, a formal session to promulgate the Constitutional Amendment 135which deals with spending cuts, arising from Proposed Amendment to the Constitution 45/24.
