Senate Backs TCU Compensatory Leave That Can Push Pay Above Brazil’s Salary Cap

Overview

• Approved in a symbolic vote under urgency, the bill grants at least one day of compensatory leave for every ten days of effective service, counting weekends and holidays.
• The leave may be converted into cash treated as indemnity, exempt from income tax and social security, and, per a TCU note, not subject to the constitutional cap of about R$46,366.
• The measure also restructures the career scale, allowing top-level federal auditors to earn up to R$58.6 thousand by 2029 based on performance evaluations.
• Estimates presented to lawmakers cite a budget impact of about R$24.5 million per year, and Gazeta do Povo reports scenarios of remuneration reaching roughly R$64 thousand per month in 2026.
• Outlets diverge on procedure, with some reporting the text goes to President Lula for sanction and others indicating a return to the Chamber, as senators also advanced a similar leave-for-cash option for commissioned Senate staff.