As Paes’ project advances in rights and investments

Extension of the measures that cut investments in the country and destabilize the security of the public service in the federal sphere, via PEC 32 of President Jair Bolsonaro (no party), and state, via proposals from the fiscal recovery regime of Governor Cláudio Castro (PL), the Rio is also at risk of having approved an austerity package by Mayor Eduardo Paes (PSD) in the City Council.

This Tuesday (5), the city councilors vote on the Complementary Law Project 04/2021, which creates the new fiscal regime in the municipality. According to the document, the PLC “establishes public finance standards aimed at responsibility in fiscal management and defines control, stabilization and preservation mechanisms to correct the deviations that affected the balance of public accounts”.

Read more: Understand why PEC 32 can mean the end of public services to the population

Last Monday night (4), a debate organized by the mandate of councilor Lindbergh Farias (PT) and which had the mandate of councilor Tarcísio Motta (Psol) in the co-organization discussed the details of the project, which has already received 105 amendments from councilors . Representative of the Unified Movement in Defense of the Municipal Public Service, Jane Pasquinelli Castelo said that Eduardo Paes and the Secretary of Finance, Pedro Paulo (MDB), comment on neoliberal exaggerations and advance against civil servants.

In her speech, she stated that there is confusion between a simple project of fiscal regime, which would equalize the explosion of expenses before it happened, “with this neoliberal attempt to put the ball in the goal mark to take the penalty”.

“To suspend the debt with the Union, to take out loans, three of the many items in Article 21 would be enough. They are taking advantage of this cue to shave, hair and mustache with the authorization of the Chamber. It is an excess in the name of a neoliberal goal. Pedro Paulo himself has already said that the municipality’s debt with the Union is small. Therefore, there is no justification for this violence,” complained the civil servant.


On Monday (4), due to a breakdown in internet communication channels, many of the amendments were not distributed to members of the municipal legislature. Councilor Tarcísio Motta (Psol) said, however, that an agreement with the city hall allowed some small victories for the servers.

One of them is the removal of an item of Article 21 of the PLC that provided for the suspension of the counting of time of service for three years and career. Another section, also eliminated from the original project, prohibited increases in the remuneration of civil servants if the classification grade of the Municipality of Rio was C or D. Currently, the municipality’s invoice (similar to those of agencies of rating global) is C.

The PLC also proposes the extinction of public companies and autarchies, adopts the Union’s social security rules for municipal employees and reduces unforeseen benefits for civil servants. The councilor also explained that, under pressure from the opposition, the city will have to send specific and separate laws to the Chamber when it has grade C or D.

:: Know what changes in the lives of public servants and the population if PEC 32 is approved ::

“Our goal is to bring down the entire PLC. We still haven’t had access to the amendments, but mechanisms similar to the federal government’s spending cap have been maintained. The fiscal logic prevails over the logic of guaranteeing rights. It’s a worse fiscal responsibility law.” , criticized the councilor of the Psol.

Another excerpt from the text of Paes’ project proposes to veto the creation of a position, job, function and career structure that lead to an increase in expenses. “Any creation of a new position or career will be prohibited until the City Hall reaches grade B, which will be difficult…”, completed Tarcisio.

“PLC 4 is a total mistake. During a pandemic, when we need to value civil servants who faced these difficult times together with the population, the city government wants to create even stricter fiscal tightening mechanisms. This means devaluing the civil servant, who there will be no career, no readjustment, hindering the public service itself and the population’s access to rights,” said the councilor.

“Suicide Policy”

Last week, in an interview with Brazil in fact, councilor Lindbergh Farias (PT), who also participated in the hearing with opposition councilors and civil society representatives on Monday (4), said that the city has a “suicide policy” by adapting to the fiscal rules that the Union tries to impose to states and municipalities.

“PLC 04 comes within this fiscal austerity proposal that is taking Brazil to this deep crisis. First, it was Constitutional Amendment 95 [Teto de Gastos], which created a violent bottleneck for investments in education and health, with a freeze on social investments in Brazil. After that, other laws appeared trying to force the states and municipalities to drink from that same recipe to impose a neoliberal program”, pointed out the PT member.

Lindbergh also indicated that the project by Eduardo Paes and Pedro Paulo is trying to override decisions taken by the City Council. In case of a pension reform in the scope of the federal government, the municipality would be obliged to adapt to the changes without them going through the authorization of the local Legislative Power.

“We are against this strategy of destroying Brazil. We defend that when the economy is bad, it is necessary to increase public investment, State investment. With this federal, state and municipal austerity policy, the country cannot grow. Many people he forgot that in eight years of Fernando Henrique Cardoso (PSDB) government there has been no salary readjustment for civil servants. This has returned with force now,” commented Lindbergh.

City Hall’s Response

O Brazil in fact presented to the Municipal Secretariat of Finance and Planning of Rio the challenges raised by the opposition in the Chamber. The Secretariat replied that it “actively participates in the discussions in the Legislative for the adequacy of the project” and that it entered into an agreement with councilors for the removal of sections that provided for the salary freeze and the counting of three-year periods, for example.

“In relation to any change in social security rules, it should be noted that, if it is necessary to trigger this trigger, any change can naturally only be made through a bill – thus ensuring the full participation of the Legislative in the process”, said the Secretariat.

Source: BoF Rio de Janeiro

Edition: Mariana Pitasse

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