The current landscape of Labor Justice in Brazil is undergoing significant transformations that could represent a turning point for the legal management of companies.
One example is the recent study by the Superior Labor Court, which will investigate labor enforcement, abusive litigation and the impact of judicial precedents. In 2024, the number of new labor lawsuits reached 3.6 million – a record not seen since 2017 – which reinforces the need for structural measures to contain this volume, as well as bring greater procedural speed and legal certainty.
Labor liabilities continue to be one of the greatest financial risks for companies in Brazil. In São Paulo, predatory litigation is estimated to generate an annual impact of R$2.7 billion, with approximately 330,000 lawsuits, according to the São Paulo Inspectorate’s Demand Profile Monitoring Center. This context demands preventive strategies based on technology, data management, and ongoing legal monitoring.
Abusive litigation is characterized by the deviation or manifest excess of the limits established for the social, legal, political and economic purpose of the right of access to the Judiciary, including when practiced in the passive side of the lawsuit. This conduct compromises the effectiveness of the provision of justice and access to justice itself.
For classification purposes, practices or demands without factual or legal basis must be analyzed, as well as those that are reckless, artificial, procrastinatory, frivolous, fraudulent, unnecessarily fragmented, constitute procedural harassment or violate the duty to mitigate losses, among others. This concept applies to cases where, in isolation, they are considered lawful, but when analyzed in conjunction with other practices or when repeated, they may demonstrate the aforementioned misuse of purpose. Therefore, depending on their severity, repetition, and impact, such conduct could be characterized as predatory litigation.
Based on regulations proposed by the National Council of Justice and the thesis established by the Superior Court of Justice this year, four practical actions that can be used by companies to reduce labor liabilities are highlighted below:
1. Strategic monitoring of initial petitions: Use artificial intelligence systems to identify repetitive patterns in petitions from different claimants;
2. Proactive communication protocol to the OAB: Formalize flows to report signs of predatory litigation, with robust documentary evidence;
3. Predictive risk analysis: Create management dashboards to map trends and seasonality of complaints, supporting preventive actions;
4. Review the company’s procedural posture: Train employees and internal/external lawyers to prevent refusal to conciliate from being interpreted as bad faith. Document justifications when conciliation is not possible, demonstrating good faith and transparency.
Carrying out a strategic diagnosis of labor liabilities becomes essential. While the Superior Labor Court seeks structural reforms aimed at bringing greater speed and legal certainty to labor proceedings, the National Council of Justice and the Superior Court of Justice also offer tools to combat predatory lawsuits. This analysis by companies should consider identifying critical points and mapping common types of actions to effectively apply new tools and develop preventive legal strategies.
