Articles | Postado no dia: 5 November, 2026
Investment Funds and Labor Liability: What Does the Court Say?
Brazilian Labor Courts have become increasingly strict when examining whether an economic group exists among companies, particularly when investment funds are involved. This issue is especially relevant to business owners who structure their operations through multiple legal entities.
The Brazilian Superior Labor Court (TST) has established that common shareholders or a coordinated relationship between companies are not sufficient, on their own, to establish an economic group. Proof of hierarchical subordination and effective administrative control is essential.
A recent case before the Regional Labor Court of Santa Catarina (TRT-SC) reinforces this position. A former employee of a telemarketing company undergoing judicial reorganization sought to include an investment fund as a defendant in her labor claim in order to increase her chances of recovering the amounts owed. The Court, however, rejected this request because there was no evidence that the fund exercised management or control over the company.
This precedent highlights an important point for business owners: investment funds and companies may have commercial relationships and even share common shareholders, but this does not, in itself, establish an economic group for labor liability purposes. For such liability to arise, clear evidence of joint management and control is required.
For companies and investors, this decision underscores the importance of strategic legal planning. If your business structure involves multiple companies or investment funds, specialized legal counsel can help prevent unnecessary risks and ensure greater legal certainty.
Author: Mateus Amaral.
