New Rules in Work Visas Procedures in Brazil

The Immigration Coordination of the Brazilian Ministry of Labor recently issued the Rule # 132, dated of 03.21.02, establishing new rules to work visas procedures in Brazil. Please find below the seven main innovations brought by the mentioned regulation on foreign work visas, either on a temporary or a permanent status.

1) PASSPORT. Complete certified copy of the applicant’s and family member’s passports should be presented upon filling of the visa application.

2) SALARY STATEMENT AND SALARY STRUCTURE. Statement of the Salary paid to the Employee containing (i) the salary paid by his/her former Employer, (ii) the salary proposed during the assignment in Brazil, specifying which part will be paid in Brazil and which part will be paid abroad, as well as the Brazilian company’s Salary Structure, containing the work positions and functions and the respective salary average, which has been informally requested on a case by case basis, is now officially required to be presented upon filling of the visa application.

3) CERTIFICATES OF TAX CLEARANCE. The Brazilian company shall present upon filing of the application the Certificates of Tax Clearance issued by the Social Security Institute (Certidao Negativa de Debitos junto ao INSS), the Unemployment Fund (Certificado de Regularidade junto ao FGTS), Federal Revenue Secretariat (Certidao Negativa de Tributos e Contribuicoes Federais emitidas pela Secretaria da Receita Federal), and other Certificates if required by the specific activity developed by the company.

4) POWER OF ATTORNEY. The Brazilian company shall issue a power of attorney to the representative in Brazil acting on their behalf before the Immigration Coordination. Unlikely as the former procedure, the power of attorney does not have to be issued by a Local Public Notary, but now may be granted by means of a private instrument issued by the company, provided that the signature of the representative of the company is duly certified by the Public Notary.

5) NEWLY COMPANIES. Newly incorporated companies, which support a work visa application for a foreigner, shall present its estimate plan or chart for hiring national employees.

6) PERMANENT VISAS FOR OFFICERS. The foreigners appointed to managing positions of Brazilian companies shall, after receiving the appropriate visa, be effected in the managing position, by means of an amendment to the articles of association or a minute of the Board of Directors to confirm his appointment and assumption of the position. Such document shall be presented to the Immigration Coordination in 120 days of the visa approval.

7) REGISTRATIONS IN BRAZIL AFTER VISA APPROVAL. Following the entrance in Brazil after the work visa is granted, the foreigner must prove before the Immigration General Coordination that he/she has been duly registered before the Federal Police, Individual Tax Payer Registry and Local Labor Authorities, by presenting copy, respectively, of the RNE card, CPF card and Labor card and Social Contributions Enrollment number (PIS/PASEP), as well before the authorities which regulate the specific professions, if applicable, within 90 days after his/her arrival in Brazil, in addition to registration with the Federal Police within 30 days from arrival.

The new regulation did not bring too many innovations to the work visa application process, but aggregated all the exigencies that have been informally requested during the analysis of the applications. This change gives the companies more obligations regarding foreign employees, but it also set forth major guidelines to prepare and guide the visa applications.

In addition, according to the new regulation and due to the internal changes in the Visa Application Analysts Department, we may experience a reduction in the timeframe for analysis of the process. In case of any exigency posted by the Immigration Coordination during the analysis of the process, the company shall have 60 days to comply with such requirement, subject to cancellation of the application.

Furthermore, continuing the new policy regarding work visas, the Immigration Coordination of the Brazilian Ministry of Labor also recently issued the Normative Resolution # 52, dated as of April 19th, 2002, establishing new rules regarding permanent work visas for foreign officers and managers of Brazilian companies. The Resolution established the criteria for foreign officers and managers of Brazilian companies to occupy simultaneously managing positions in more than one company, provided that those companies are of the same economic group. With the new Resolution, foreigners shall request the authorization from the Immigration Coordination to manage more than one company of the same group, subject to the new procedure established in the Resolution.

Note that the this new rule only allows foreigners to be statutory managers simultaneously of companies of the same economic group, defined as the group of companies that possess, directly or indirectly the same managing partner or maintain any control relation with each other. Therefore, the foreigner will not be allowed to seek authorization to manage companies of different economic groups.

The group of companies that currently has foreign officers or managers irregularly managing several companies of the group shall request the approval from the Immigration Coordination until 07.22.02, subject to fines and deportation.