Labor Day: Lula speaks to workers in São Paulo – 05/01/2023 – Market

In a unified act of the trade union centrals this Monday (1st), Labor Day, in the Anhangabaú valley (central region of the capital of São Paulo), president Luiz Inácio Lula da Silva (PT) criticized the level of interest rates in Brazil, promised to exemption from Income Tax on the PLR ​​(Participation in Profits and Results) and highlighted the recently announced measures to increase the value of the minimum wage and the expansion of the range of exemption from Income Tax on workers’ income, saying that it is starting to make changes in the economy.

“You gave me four years and I only have four months left,” he said.

The president also spoke about the regulation for app workers and said that the fact that many want to remain self-employed, without a CLT bond, will be respected, but there will be a way to guarantee social security protection to the category.

“Many times the guy doesn’t want to sign the card, that’s no problem. But what we want is for the person who works with the app to have a social security commitment, because if he gets sick, he has to have coverage.”

The president once again criticized Brazil’s current interest rate of 13.75% per year.

“We can no longer live in a country where the interest rate does not control inflation. It controls, in fact, unemployment in that country, because it is responsible for part of the situation we are experiencing today,” he said.

The appreciation of the minimum wage, one of the flags of the PT campaign and the agenda of the trade union centrals, was also praised in the president’s speeches and praised by workers’ representatives, despite there being demands for a greater increase at least until the end of the year.

According to Lula, the exemption on the PLR ​​was a request from the union centrals that should be studied by the Treasury.

President Lula’s speech ended the speeches of politicians and union leaders who took turns in the act mounted by union centrals in São Paulo on Labor Day.

After Lula left the scene, state deputy Eduardo Suplicy (PT) remained on stage and sang “Blowin’ in the Wind”, a classic by Bob Dylan that he likes to sing in public. Actress and comedian Samantha Schmütz also participated in the soup, who acts as master of ceremonies for the series of shows that now rock the Anhangabaú valley.

This is the fifth year that CUT, Força Sindical, UGT, CTB, NCST, CSB Intersindical Central da Classe Trabalhadore Publica perform the May 1st act in a unified way. The meeting of all centrals, which previously held events separately, began after Lula’s arrest in 2018, with an act in Curitiba (PR).

Lula highlighted the increase in the minimum wage to R$1,320. “The worker will receive inflation in addition to GDP growth. When the minimum wage increases, the citizen gains from commerce, which sells hot dogs, which sells food. He buys more, commerce generates jobs, industry generates jobs and the wheel giant economy starts to turn and everyone starts to win in this country, even the richest.”

The president also spoke about the increase in the income tax exemption limit. “We increased the limit to R$2,640, nobody will pay a cent more in Income Tax. I have a commitment with you that we will have exemption of up to R$5,000 until the end of my mandate.”

The readjustment of the minimum wage —which is also the minimum wage for INSS (National Social Security Institute) pensions— was announced by President Luiz Inácio Lula da Silva (PT) in a TV address on Sunday (30).

In his speech, the Chief Executive reinforced his campaign commitment to resume the policy of valuing the national floor in his government and raising the Income Tax exemption range to R$5,000. The minimum wage is now R$1,320 as of May 1st, Labor Day.

With the change in value, before R$ 1,302, retirement, pensions, BPC (Continued Provision Benefit), INSS arrears, PIS/Pasep bonus, unemployment insurance and social security contributions that have the minimum as a basis will also be changed.

The IR exemption range has been readjusted and salaries, retirement and pensions of up to R$ 2,640 will not pay Income Tax.

The table with the new discount values ​​was published in a provisional measure on Sunday night.

“We are changing the income tax exemption range, which eight years ago was frozen at R$1,903. the end of my mandate, the exemption will be valid for up to R$ 5,000 per month”, said Lula, in a speech that began at 8 pm.

SEE THE MONTHLY INCOME TAX TABLE AS OF MAY 2023

Calculation Basis (BRL)	Rate (%)	Portion to be deducted from the IR (BRL)
Up to 2,112.00	zero	zero
From 2,112.01 to 2,826.65	7.5	158.40
From 2,826.66 to 3,751.05	15	370.40
From 3,751.06 to 4,664.68	22.5	651.73
Above 4,664.68	27.5	884.96

SEE THE MONTHLY INCOME TAX TABLE UNTIL APRIL 2023

Calculation basis (in BRL)	Rate (in %)	Installment to be deducted (in BRL)
Up to 1,903.98	–	–
From 1,903.99 to 2,826.65	7.5	142.80
From 2,826.66 to 3,751.05	15	354.80
From 3,751.06 to 4,664.68	22.5	636.13
Above 4,664.68	27.5	869.36