President of the TCU, minister Vital do Rêgo TCU Disclosure The president of the Federal Court of Auditors, minister Vital do Rêgo, said in an interview with g1 that he signed the ordinance that created in June a bonus for the House's employees who occupy management, leadership and advisory roles with "great pride" and with "a lot of desire". ?The additional payment may increase the remuneration of these employees by up to 15% and will be directed to those who perform activities classified as highly complex technical, supervisory and institutional management. ??The novelty is characterized as a “hanging” from the Court. The term used is to define compensation funds, bonuses and extra assistance that are added to the salaries of public servants. As they are not included in the calculation of the constitutional ceiling (currently at R$46,300), these payments in practice increase paychecks above the legal limit. "What I justify is that, when my server reaches the ceiling, I will call him up to take on the role of managing a Secretariat, of a Unit, of being secretary general. Do you know how many want to come? None, because they will join a specialized Secretariat and receive nothing in return. Boy, I signed the ordinance with great pride. I am benefiting those who save R$65 billion to Brazil. For every R$1 that is in my budget, the TCU returns R$ 28", said Vital do Rêgo. ?Responsible, among other functions, for monitoring the use of federal public resources, applying sanctions and determining corrections in public administration, the TCU may also be called upon to investigate so-called "hangups" in public administration, based on rules defined by the Federal Supreme Court (STF). "The gratification I gave, maintaining a decision of the Supreme Court. The Supreme Court gave it, all the federal justice bodies gave it, but waiting for the legislation to come out of the National Congress. But I did it with great desire because I know the work of my civil servant, I know the importance he has for the country, I know that I can count on him", added the president of the TCU. Vital do Rêgo argued that the salaries of TCU employees are out of date, due to the fact that the constitutional command to correct for inflation has not been obeyed, which would raise the ceiling to R$72,800 per month. "How much do you think a CEO from the private sector earns? R$1 million? When do you think a doctor specializing in thoracic surgery earns? He earns well. Because he does a specialized service. My auditor who comes here, he completed the most difficult competition in the nation", he explained. ??According to a study by the World Bank, the Brazilian State spent around 10% of GDP on the payment of salaries and wages of public servants in 2018. "It is estimated that federal public servants in 2017 had salaries 96% higher than workers in the formal private sector and state public servants, 16%, on average", says the document. ??Public servants who have already acquired stability also have protection against dismissal without just cause, and may lose their position only in the cases provided for by law. STF forms majority to release part of the trinkets Vital do Rêgo assessed, however, that in some cases, not in the case of TCU, there was "excessive generosity, not only from the union, but replicated in the states" in granting the trinkets. “State justice has gone beyond its limit in these so-called penduricalhos,” declared Vital do Rêgo. Career progression in the public service The president of the TCU assessed that the bonus for House employees who occupy management, leadership and advisory roles is necessary, in the Court, due to the fact that employees reach the career ceiling in up to six years, that is, the maximum salary. As a result, according to him, there is no incentive to take on leadership positions. The Ministry of Management reported that it is expanding, in the agreements signed with civil servants in recent years, the career progression steps from 13 to 20 levels. According to Minister Esther Dweck, in practice, many Executive employees reached the top of their careers at the age of 13. In an interview with the newspaper Valor Econômico in 2024, she argued that this only happens after 20 years of service. According to the 2019 study, "The Federal Government's HR Reform", coordinated by economist Ana Carla Abrão, partner at Oliver Wyman, a document that served as the basis for discussions on administrative reform in recent years, the Brazilian model, which grants career progression to employees based on length of service, is not common. In developed countries, this survey shows that career progression, as well as leveraging internal growth opportunities, "are fundamentally supported by individual performance". This model was progression based solely on length of service and was considered a "distortion to be eliminated" in the administrative reform proposal of the government of former president Jair Bolsonaro, led by the then Minister of Economy, Paulo Guedes. The text was not approved by the National Congress. STF decisions on penduricalhos In March, the STF established the criteria for the payment of compensation amounts — called "penduricalhos" — to magistrates and members of the Public Ministry. At the time, it was reported that the decision would lead to savings of R$7.3 billion per year. ? At that time, some compensation payments were authorized, up to a limit of 35% of the value of the constitutional ceiling, corresponding to the value of the remuneration of Supreme Court ministers – currently R$ 46,366.19. This means that pendants can cost up to R$16,228.16. Also in March, the STF also released the benefit for career time, also limited to 35% of the constitutional ceiling. In practice, adding the two types of funds, the payment of up to R$32,456.32 plus the monthly salary was allowed, reaching R$78,822.32. In June, however, the STF decided to release part of the “hangings”. With the decision, the limit still needs to be respected, but restrictions that had been imposed on some compensation funds by the STF itself no longer apply. For example, payment in cash for vacations, bonus leaves and shifts accumulated before the trial is now allowed.