A new rule effective from January 2010 provides for an additional 60-day maternity leave – on top of the 120-day-leave currently in force – allowable to female employees working at Brazilian legal entities.

The wording of this legal provision enacted by the Brazilian President abides by a long-established recommendation of the WHO (World Health Organization), based on a consolidated understanding among health professionals that the baby should be breastfed for at least six months.

However, the change in maternity leave from 120 to 180 days will not benefit all workers at once. It will be the employer's decision to join the so-called Programa Empresa Cidadã (a Corporate Citizenship Program) by way of an application to be filed with the Brazilian Internal Revenue Service.

Decree No. 7052/09 also provides that companies subject to tax based on taxable income may deduct from their tax due the total compensation paid to the employee over the extended maternity leave term.

During this extension period, the employee cannot keep the child in day care facilities or any similar organization. Any remunerated activities will be allowed only under an employment contract simultaneously and previously executed, otherwise the employee may lose such extended benefit.