A Brazilian labor court ruled late yesterday that Embraer would not have to reinstate some 4,300 employees laid off in February after it found that the company did not violate any of the country’s labor laws. However, one of the 12 judges that formed the tribunal to hear the collective lawsuit filed by the employees' unions characterized the company’s conduct as “abusive” and the court ruled that Embraer would have to pay the workers' salaries up to March 13, rather than February 19–the day it originally instituted the dismissals. The court also “validated” Embraer’s earlier offer to pay two months’ salary and a year’s medical benefits as severance, a company spokesperson told AIN.
At press time Embraer hadn’t yet decided whether it would appeal the court’s decision, given that it had already made severance payments that virtually amounted to what it would have paid in salaries up to March 13, according to the spokesperson. In fact, the São Jose dos Campos Metalworkers’ Union reportedly said it would appeal the decision in an effort to have the severance package increased.
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