TST Orders Correios to Resume Work, Sets 5.1% Retroactive Raise

Overview

• The labor court deemed the strike lawful but mandated an immediate return to duties, with strike days to be discounted in up to three monthly installments or offset by make‑up work at the company’s discretion.
• Most clauses from the prior collective agreement were preserved for roughly one year, including a 70% vacation bonus and 200% pay for work on rest days, with the normative sentence valid until July 31, 2026.
• The 5.1% pay adjustment is retroactive to August 1, 2025 and extends to benefits such as meal vouchers, dependent aid and childcare reimbursement.
• Correios received R$10 billion of a contracted R$12 billion loan from a five‑bank consortium with a three‑year grace period and amortization starting December 2029 at 115% of the CDI rate.
• A recovery plan outlines closing about 1,000 deficit agencies and a voluntary dismissal program of up to 15,000 positions, while the TST presidency suspended payment of labor precatórios for 90 days with nine‑month parceling pending CSJT confirmation.