TST Rules That Indemnified Notice Period Must Be Included in Profit Sharing Calculation

Written by Sara Aquino

Published on 23/09/2025 at 09:28

Decisão do TST garante que o aviso prévio indenizado seja incluído no cálculo da participação nos lucros e resultados. Entenda os impactos para empresas e trabalhadores. Imagem: Catho

Be the first to react!

TST Decision Ensures That Indemnified Notice Period Is Included in the Calculation of Profit Sharing. Understand the Impacts for Companies and Workers.

A recent decision by the Superior Labor Court (TST) definitively changed how companies must calculate profit sharing (PLR). In a session held on June 30, 2025, the Court decided that the period of the indemnified notice must be considered in the calculation basis for the benefit, enhancing workers’ rights and bringing more clarity for employers.

What Is Profit Sharing and How Does It Work

Profit sharing is an incentive regulated by Law 10.101/2000 and the Federal Constitution.

It is an optional benefit that can be negotiated through agreements or collective conventions, with criteria based on goals, productivity, or revenue.

ARTICLE CONTINUES BELOW

The Controversy Over Indemnified Notice Period

For years, there was a divergence between regional courts regarding whether the indemnified notice should be included in the calculation of profit sharing.

Many employers argued that since there was no service rendered during this period, it would not be fair to count it.

This interpretation, however, was eventually questioned, as Article 487 of the CLT and the jurisprudence of the TST itself have always indicated that the notice period — even if indemnified — is part of the employment contract for all legal purposes.

What the TST Decided

With the new decision, the TST’s Plenary unanimously established that the indemnified notice must count towards the calculation of PLR.

The ruling was made under the system of repetitive appeals, meaning the decision becomes mandatory for all courts in the country.

In addition to reaffirming previous understandings, the TST settled a topic that generated legal uncertainty, preventing employees and employers from facing lengthy and exhausting disputes in Labor Court.

What Changes for Companies and Workers

Companies that already have profit sharing programs will need to review their internal regulations and adjust the clauses in collective agreements to expressly include the indemnified notice in the calculation.

It will also be necessary to accurately provision the amounts in terminations to avoid future labor liabilities.

For workers, the decision represents a significant victory.

Those who are dismissed without just cause will be entitled to receive PLR proportionally, also considering the projection of the notice period.

If this period is disregarded by the company, it will be up to the employee to question the human resources department or seek legal advice.

A Step Further in the Valorization of Labor

The uniformity of understanding by the TST strengthens legal certainty and ensures equal treatment throughout the country.

More than just a matter of calculation, the decision reinforces the role of profit sharing as a tool for valuing labor and promoting productivity.

0 Comments

most recent

older Most voted

TST Rules That Indemnified Notice Period Must Be Included in Profit Sharing Calculation

TST Decision Ensures That Indemnified Notice Period Is Included in the Calculation of Profit Sharing. Understand the Impacts for Companies and Workers.

What Is Profit Sharing and How Does It Work

The Controversy Over Indemnified Notice Period

What the TST Decided

What Changes for Companies and Workers

A Step Further in the Valorization of Labor

Engineers want to carve through Africa with a giant canal to bring water from the world’s second-largest river to a dying lake on the edge of the Sahara Desert that has already lost 90% of its water.

A giant brown band visible from space, approximately 8,850 kilometers long, connected Africa to America in the Atlantic Ocean, and satellites revealed that it is neither land nor pollution, but the largest accumulation of seaweed in the world, which broke records in 2025.

Workers were opening a modern road in Dover when they found, 6 meters below the asphalt, a 3,500-year-old boat made of stitched oak and plant fibers.

Instead of burning or burying old tires, an American city is transforming about 2,000 of them into the street itself, paving its first sections with a quieter and more durable rubber asphalt.

In just one cast, fishermen are surprised to capture 14,096 mullets in Bombinhas and close a historic season with 58,000 fish; scene recorded in the Santa Catarina paradise marks the last day of the 2026 season.

Consumers eat six times more chicken than in the 1960s, global meat supply quadruples in 60 years, and FAO report reveals the invisible cost on the plate: livestock could drive 80% of the increase in agricultural emissions over the next decade.

Motorcyclist sees excavator arriving at the edge of a river in Bosnia, calls neighbors in minutes and turns a hydroelectric project into a resistance lasting more than 10 years with five expired concessions.

Saudi Arabia launched the first hydrogen truck that drives itself and travels 1,500 kilometers without stopping.

Residents saw a flash before dawn in Mexico, Pemex refinery became the focus of an oily leak, removed 549 m³ of fossil fuels and raised an alert in a lagoon used by fishermen.

Spray technology promises to shield electrical cables against severe storms and prevent blackouts caused by the weight of ice in winter.

A dredge pulled from the river mud in the United States 19 giant cannons weighing over 450 kilograms that had been forgotten at the bottom for almost 250 years and had once fired in the American War of Independence.

Construction material store starts selling modular units that resemble small houses, assembled in a few days in the backyard, as the housing crisis pushes families towards unconventional solutions in Australia.

TST Rules That Indemnified Notice Period Must Be Included in Profit Sharing Calculation

TST Decision Ensures That Indemnified Notice Period Is Included in the Calculation of Profit Sharing. Understand the Impacts for Companies and Workers.

What Is Profit Sharing and How Does It Work

The Controversy Over Indemnified Notice Period

What the TST Decided

What Changes for Companies and Workers

A Step Further in the Valorization of Labor

Engineers want to carve through Africa with a giant canal to bring water from the world’s second-largest river to a dying lake on the edge of the Sahara Desert that has already lost 90% of its water.

A giant brown band visible from space, approximately 8,850 kilometers long, connected Africa to America in the Atlantic Ocean, and satellites revealed that it is neither land nor pollution, but the largest accumulation of seaweed in the world, which broke records in 2025.

Workers were opening a modern road in Dover when they found, 6 meters below the asphalt, a 3,500-year-old boat made of stitched oak and plant fibers.

Instead of burning or burying old tires, an American city is transforming about 2,000 of them into the street itself, paving its first sections with a quieter and more durable rubber asphalt.

In just one cast, fishermen are surprised to capture 14,096 mullets in Bombinhas and close a historic season with 58,000 fish; scene recorded in the Santa Catarina paradise marks the last day of the 2026 season.

Consumers eat six times more chicken than in the 1960s, global meat supply quadruples in 60 years, and FAO report reveals the invisible cost on the plate: livestock could drive 80% of the increase in agricultural emissions over the next decade.

Motorcyclist sees excavator arriving at the edge of a river in Bosnia, calls neighbors in minutes and turns a hydroelectric project into a resistance lasting more than 10 years with five expired concessions.

Work less and produce more? Nobel Prize in Economics explains why shorter workdays can increase productivity

Unions are growing again in Brazil after more than a decade, but they face an urgent challenge to win back digital workers and maintain relevance.

From the typewriter to the home office: how work has changed and why new generations think differently

Work on holidays changes in Brazilian commerce and new rule targets supermarkets, pharmacies, retailers, and companies under mandatory collective bargaining agreement.

When does the end of the 6×1 schedule take effect in Brazil? Discussion gains momentum in Congress and could redefine the working hours of millions of employees, altering traditional work models in various sectors.

Saudi Arabia launched the first hydrogen truck that drives itself and travels 1,500 kilometers without stopping.

Residents saw a flash before dawn in Mexico, Pemex refinery became the focus of an oily leak, removed 549 m³ of fossil fuels and raised an alert in a lagoon used by fishermen.

Spray technology promises to shield electrical cables against severe storms and prevent blackouts caused by the weight of ice in winter.

A dredge pulled from the river mud in the United States 19 giant cannons weighing over 450 kilograms that had been forgotten at the bottom for almost 250 years and had once fired in the American War of Independence.

Construction material store starts selling modular units that resemble small houses, assembled in a few days in the backyard, as the housing crisis pushes families towards unconventional solutions in Australia.