INSS: What are the rights of working retirees? – 10/26/2023 – Market

Retirees who continue working have rights guaranteed by law like all employees with a formal contract. However, there are changes in some of the items, such as in the case of withdrawing the FGTS (Service Time Guarantee Fund).

FGTS withdrawal, 13th, vacation and contribution discount

All the amount that was in the FGTS account until retirement was granted is released for withdrawal. If the retiree continues with the same company, he will be able to withdraw the new amounts deposited by the employer every month. If you change jobs, there is no right to monthly withdrawal, and the balance with these new deposits can only be withdrawn at the end of the contract.

In addition to the FGTS, retirees with a formal contract continue to have the right to receive their 13th salary, paid vacations of 30 days for every 12 months worked and benefits paid by the company such as transportation vouchers, meal vouchers, food vouchers, PLR (Profit Sharing and Results), daycare allowance and others.

The retiree will continue to have the monthly contribution deduction to the INSS (National Social Security Institute) from his salary, but will only be entitled to the family allowance (if he receives less than two minimum wages and has a child or dependent up to 14 years of age or with some type of disability), maternity pay, if applicable, and professional rehabilitation.

Rehabilitation is granted after a medical examination carried out by the INSS proves that the person is unable to work. In this situation, the retiree has the right to receive free of charge:

• Medicines, especially those for continuous use

• Prosthesis, orthosis and other equipment that helps with locomotion

• Payment of transportation, food and daily allowance if required to carry out rehabilitation

• Guidance and monitoring of the professional program

Retirees are not entitled to sickness benefit and unemployment insurance

Despite contributing to the INSS, the retiree does not have the right to receive sickness benefit or accident benefit, even if the accident occurred at work.

The company can provide paid leave for the first 15 days, but it is not obliged to grant it. After that, the worker will only receive retirement.

Workers who retire also do not have the right to unemployment insurance if they are fired without just cause, as it is not permitted to accumulate this benefit with retirement.

No retirement exchange

The salaries of retirees who continue working have a mandatory deduction of social security contributions. However, these values ​​cannot be used to calculate a new pension.

The thesis, which for years was discussed in court under the names of retirement exchange and de-retirement, was overturned by the STF (Supreme Federal Court), which understood that it was unconstitutional that a retiree who continued to work could exchange his retirement for another of greater value. high, adding new contributions to old ones to improve benefit calculation.

_{Sources consulted: INSS; Adriane Bramante, president of IBDP (Brazilian Institute of Social Security Law); and Afonso Paciléo Neto, president of AATSP (Association of Labor Lawyers of São Paulo)}