One of the factors that tends to hold back foreign investment in Brazil is the stringent labor laws that are largely in favor of the employee, when compared to many other countries. This is not so much true in the USA, where many states have so-called “Employment at Will” provisions in the laws. This means that in most cases, the employer does not have an obligation to keep an employee in the job, it is easier to dismiss them, and most benefits are not mandated by the government, rather, they are offered by the employer as a means to attract the best employees to their companies in the currently very competitive job market.
So, once an employee is hired, the employer in the United States has much more flexibility than one in Brazil. With easier labor laws, that carries over to the recruiting and selection process as well, right?
As of the beginning of June 2019, while the level of unemployment in Brazil hovers around 12.5%, the United States is enjoying its lowest level of unemployment in over 50 years, with rates well below 4% nationally, and in some sectors, such as IT, the unemployment rate is actually negative. There are more jobs available than there are people to fill them.
So, before we discuss how to go about recruiting and selection, let’s take a look at the labor laws and requirements in both countries. Hers are some important differences that should be taken into account when preparing to hire in the USA:
There are labor rights in the country determined by the Federal Constitution. Among the main ones are:
Each U.S. state has its own labor laws and specific departments, in addition to federal regulations Here are two entities that are the sources of many federal regulations. The differences by state are numerous and not covered here:
Determined by Employment law - the contract may be with a term agreed to by the parties or indeterminate and registered in the Labor and Social Welfare System (CTPS).B. USA
Generally, there are two types of documents involved when a company or organization hires someone. Most common, especially for non-executive jobs is the "Offer Letter". It is written by the company and describes the pay, the work schedule, the general responsibilities of the employee, and the benefits. The other type is the "Employment Contract", usually associated with higher level or executive jobs. Although the Offer Letter is also a legal document, often the Employment Contract is prepared by a lawyer, and describes remedies in case either party violates the terms of the contract. It is also usually used to explain more complicated employment arrangements.
Anyone who performs work in the United States also must register with the Social Security Administration. Because almost everyone works at some point in their lives, parents usually obtain a Social Security card when their children are born or shortly thereafter. This is the only form of national ID in the USA, and is usually kept confidential, because if it is stolen, much damage can be done by criminals to the financial situation of the person.
In addition to the monthly minimum wage established by law for 44 weekly hours/220 hours monthly worked, there is:
Still want to navigate these strange waters alone? Connect HR not only has much experience supporting great companies in the United States through HR Administration, but we have been very successful in developing and implementing strategies to both attract and retain the best and brightest employees for foreign-owned companies and organizations doing business in the United States, so that the leadership team can focus on running their business and serving their clients.