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Law 14.611/2023 Requires Companies to Pay Equal Salaries for Men and Women Performing the Same Function. Supervision Has Begun and Penalties Are Already Being Applied.
Enacted on July 4, 2023 and regulated on November 23 of the same year by Decree No. 11.795/2023, Law 14.611/2023 marks a new chapter in the fight for salary equality between men and women in Brazil. The regulation determines that private companies and public agencies with 100 or more employees must ensure equal pay for equal work, regardless of gender, race, ethnicity, origin, or age.
Supervision officially began in 2024, after the federal government required companies to submit detailed reports on salaries, compensation criteria, and job functions. This data will be analyzed by the Ministry of Labor and Employment (MTE), which may impose fines, sanctions, and require wage correction plans whenever unjustified inequalities are detected.
Companies Will Have to Prove They Pay Equal Salaries
The new law is not limited to prohibiting discrimination: it requires companies to prove that they are adhering to the principle of salary equality. Companies need to submit biannual reports on salary transparency and compensation criteria, containing individualized, anonymized, and auditable information.
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These reports must be published in an easily accessible location on the company’s official website, ensuring that employees and the public can verify if there is a salary difference between men and women performing the same job or function.
According to the Ministry of Labor, if a company presents a salary difference without objective justification (such as length of service, performance, or qualifications), it will be required to develop and implement an action plan with measures to eliminate the inequality. This plan must be submitted within 90 days, under penalty of a fine.
Fines Can Exceed R$ 400 Thousand
Noncompliance with Law 14.611/2023 can result in fines of up to 10 times the highest salary paid by the company, potentially exceeding R$ 400 thousand in large companies. In cases of recidivism, the amount may be doubled.
In addition to financial sanctions, companies that do not comply with the legislation may be included in public registries of irregular employers, which can affect their reputation and participation in public bids.
A Milestone for the Labor Market
The law updates and expands Article 461 of the Consolidation of Labor Laws (CLT), which already provided for wage equality but lacked effective oversight mechanisms. Now, with the use of official reports and data cross-referencing, the government seeks to make transparency a tool for labor justice.
For the Minister of Labor, Luiz Marinho, the legislation “puts an end to the culture of disguised difference” and creates a “new level of respect between employers and employees.” He emphasizes that “a woman doing the same work, with the same performance, should receive the same salary, without exceptions.”
The Direct Impact on Millions of Working Women
Law 14.611/2023 represents a significant advance for millions of Brazilian women. According to data from IBGE, women still earn, on average, 22% less than men in equivalent positions — a difference that is expected to decrease with the implementation of the new rules.
Companies operating in the technology, finance, and health sectors have already begun to release their salary transparency reports, and the Ministry of Labor announced that the first cycle of supervision will be completed by March 2026.
The new law, therefore, is not just a legal instrument: it is a concrete step toward correcting historical inequalities, promoting justice, and valuing women’s work in the Brazilian market.
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