Bolsonaro Says Civil Servants May Not Get Pay Raise This Year

(Bloomberg) -- Brazil President Jair Bolsonaro said there’s a chance public servants won’t receive pay raises this year, dismissing pressure by workers that has led to cargo holdups and work slowdowns. 

“It could be that there is no adjustment for anyone,” Bolsonaro said Saturday in Brasilia. “Anything is possible,” he added, emphasizing that raises aren’t a given.

Bolsonaro also stated that the government is working to issue a provisional measure in the coming days that would allow small companies to renegotiate tax debts. He had previously vetoed a similar bill approved by congress. The veto was on the advice of the Economy Ministry. 

Cabinet Shuffle

The president confirmed that twelve ministers are going to step down to run in this year’s elections. According to newspaper Folha de S.Paulo, Bolsonaro will try to protect some ministries from political influence, such as Health, Infrastructure and Regional Development. Infrastructure Ministry Executive Secretary Marcelo Sampaio is expected to take the place of Tarcisio de Freitas, who will run for Sao Paulo governor, the report said.

Bolsonaro and Military

The president minimized an impasse after the Army recommended the vaccination of military personnel. Bolsonaro said that he met with the commander of the Army, General Paulo Sergio Nogueira de Oliveira, and that everything has been resolved, says O Globo. Anvisa President Antonio Barra Torres, also a member of the military, rebutted Bolsonaro, and asked him to present evidence if he has information about any irregularities that occurred in the release of shots against Covid-19 for children. Last Thursday, Bolsonaro criticized the authorization of vaccinations for children.

2022 Elections

Signs that former president Luiz Inacio Lula da Silva would review Brazil’s labor reform, together with the article in Folha de S.Paulo by his former minister Guido Mantega, created some controversy among centrist lawmakers that the Workers’ Party sees as possible allies in this year’s elections, says O Globo. In Lula’s view, economic policy has to be conducted with a mix of orthodox and heterodox measures.

• Record public budget for 2022 election should favor Lula and Bolsonaro : Veja
• 71% of business leaders are pessimistic about the 2022 political outlook, says a BTA survey of 277 executives including presidents, directors and board members conducted between December 1-10: Folha de S.Paulo

Coronavirus

Brazil’s central bank head Roberto Campos Neto has tested positive for Covid as a new wave of infections sweeps through the country. Campos Neto, who’s doubly vaccinated, is asymptomatic and will isolate at home, the central bank said in a message on Saturday. The policy maker, 52, returns to the job on Monday remotely following a year-end vacation.

Omicron, the highly contagious variant of Covid-19, is causing a sharp spike in cases in Brazil after a long respite. This Sunday, airline company Latam informed the cancellation of flights after high cases of Covid and influenza, according to Folha de S.Paulo. A retail store association will request that malls reduce opening hours as a way to help companies deal with the lack of employees who have taken medical leave in recent days, says another report from the newspaper.

Other Highlights

• Federal Police salary increases promised by Bolsonaro put pressure on governors: Estado
• Former economy secretaries Bruno Funchal and Jeferson Bittencourt warn of high public debt: Estado
• ONS forecasts recovery of reservoirs this month: Valor Economico

Newspaper Top Stories

• O Estado de S. Paulo
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• Folha de S.Paulo
  • Highlights that most law courses have only 30% of students approved by lawyers association OAB
• O Globo
  • Reports that electoral fund creates disputes among parties
• Valor Economico
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