Late severance penalties in Brazil: CLT arts. 477 and 467
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If the employer does not pay severance within 10 days, it owes a one-month salary fine (art. 477). If undisputed amounts are not paid at the hearing, 50% more (art. 467).
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The employer has 10 days from the end of the contract to pay severance and hand over the termination documents (CLT, art. 477, § 6). If late, it owes the employee a fine equal to one month's salary (art. 477, § 8). And if, once a lawsuit is filed, it fails to pay at the first hearing the amounts it does not dispute, it pays them with a 50% increase (art. 467).
Quick summary
- Deadline: 10 calendar days after the contract ends, for any type of exit.
- Art. 477 fine: one month of the employee's salary, on top of what is owed.
- Art. 467 fine: 50% on undisputed amounts not paid at the first hearing.
- Documents: forms and notices to authorities must also be delivered on time.
- Exception: if the employee caused the delay, the art. 477 fine does not apply.
How the art. 477 fine works
The 10-day deadline applies both to payment and to delivering the documents that allow FGTS withdrawal and unemployment insurance. Partial or underpaid amounts may also trigger the fine, depending on the case. The fine equals the employee's monthly salary.
How the art. 467 fine works
When there is a labor claim, the employer must pay at the first hearing the severance amounts it acknowledges as owed. If it does not, each is increased by 50%. Amounts disputed in good faith are not included.
How to claim
- Note the contract end date and the payment date.
- Keep the TRCT and the deposit receipt.
- Claim the fines in a labor lawsuit, together with any differences, within 2 years of leaving.
Frequently asked questions
Does the 10-day deadline apply to those who resign?
Yes. It applies to any form of termination.
Is the fine one month's salary even if the delay is one day?
Yes. The law does not scale the fine by the number of days late.
Does an employer in judicial reorganization pay the art. 477 fine?
Yes, according to TST case law. The exemption applies to bankrupt estates, not to judicial reorganization.
Calculate: use the Severance calculator — free, no registration.
Read more in this series
- Severance pay for each type of exit
- How to check the TRCT
- Labor hearings: how they work
- Index: complete guide to labor rights
Topic: this guide is part of Dismissal and termination, with all the guides on the subject.
Official sources consulted
Informational content, updated in October 2026. This does not replace an individual analysis of your case.
Informational content produced by the Human Case editorial team based on official public sources. Does not replace individual advice.
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