Corporate Immigration 2024 Comparisons

Last Updated June 25, 2024

Contributed By Machado Meyer

Law and Practice

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Machado Meyer is a trusted partner to each client – an ally in the search for the most appropriate legal solutions for each client’s needs. The lawyers create lasting relationships with their clients, based on a culture of commitment and collaboration, development of highly competent teams, and continuous updating of their legal and business knowledge. The lawyers at Machado Meyer aim to challenge conventional thinking in search of truly innovative answers to unique problems. Their purpose is to provide legal intelligence that leverages opportunities and helps preserve and create value for each client’s business.

Brazil is well known for its welcoming approach to immigrants. Its vibrant culture, easygoing way of life, beautiful landscape, and burgeoning employment opportunities, have made Brazil a coveted destination for international professionals and immigrants alike.

According to information on the Brazilian government’s official website, over 1.2 million immigrants arrived in Brazil between 2013 and 2022. Some of these are immigrants hailing from Venezuela, Bolivia and Argentina.

Although the immigration rates dropped significantly during the COVID-19 pandemic, the economy’s signs of recovery, coupled with the crises affecting countries in South America and in Europe, mainly due to the Russia-Ukraine conflict, have drawn multinational companies back to Brazil. In fact, government data confirms a steady uptick in visa issuance since January 2021.

The applicant profiles for visas, which were traditionally dominated by certain demographics, have now been expanded to include digital nomads. The labour shortage in Europe and Brazil across various professions could potentially boost co-operation between Brazil and European countries. In line with this, Brazil and Germany signed a declaration of intent in early June 2023 aimed at mutually capitalising on the services and skills of highly qualified workers.

The Migration Law

Law 13,445/2017 (the “Migration Law”), in effect since November 2017, is the main legislation governing the different types of visas and work permits that allow foreign citizens to enter, live and work in Brazil.

In addition to the Migration Law, several normative resolutions and ordinances have been issued outlining the procedures and requirements for the issuance of the different categories of visas and residence permits.

As a rule, foreigners intending to work in Brazil must be sponsored for a work visa, either by a Brazilian firm or a Brazilian subsidiary of an overseas company. To employ foreign labour, companies are required to apply for a work permit through the General Immigration Coordination Office, along with the necessary documents from both the sponsoring company and the foreign citizen.

The Migration Law introduced important changes to the immigration scenario in Brazil:

  • firstly, it introduced an electronic visa system to streamline the application process and expedite the issuance of visas;
  • secondly, the law prioritises humanitarian objectives, providing simplified procedures for issuing visas and residence permits to refugees, political asylum seekers, individuals seeking medical treatment, and stateless individuals; and
  • finally, two different types of work visas were introduced –
    1. a visa for highly qualified workers; and
    2. a visa for digital nomads.

Other Developments

Technological advancement, coupled with the growing internationalisation of economies, has spurred employment mobility worldwide.

While developed countries leverage immigration programmes to attract qualified professionals and foreign investors to bolster national development, such robust and structured programmes are not yet fully implemented in Brazil. Despite the recent welcome changes and improvements in the immigration landscape brought about by the Migration Law, Brazil still does not have solid immigration programmes or policies designed to support its national development strategy.

However, a co-ordinated understanding of the opportunities presented by the global mobility of qualified professionals and international investors is currently under examination and discussion, and some measures have been introduced.

Significant measures include the issuance of normative resolutions permitting residency permits for foreign entrepreneurs and start-ups, qualified professionals sponsored by Brazilian companies, foreign investors (including those in real estate), and digital nomads. Additionally, the declaration of intent signed by Brazil and Germany in June 2023, aimed at mutually capitalising on the services and skills of highly qualified workers, signals Brazil’s openness to opportunities arising from global mobility, thereby incentivising the inflow of human and financial resources.

Data from the Ministry of Justice indicates that from 2011 to 2022, 56,580 visas were granted to qualified workers with an employment contract with locally based companies. Although these numbers declined during the pandemic, they have regained momentum since 2021 and continue to grow. Most of these workers come from Europe, the United States and Asia.

After a period of caution in the run-up to the presidential elections in the second half of 2022, the Brazilian economy is showing concrete signs of recovery and stability. New foreign investments have emerged, and there is rekindled interest in the Brazilian market on the part of foreign corporations. In this landscape, the demand for skilled labour is projected to rise significantly.

Moreover, job opportunities span various industries, such as technology, oil and gas, infrastructure, and renewable energy. This positions Brazil as an appealing hub for those seeking to reside in the country temporarily or permanently.

Under the Migration Law, business visas can be broadly classified into two categories: temporary visas and resident permits. These, in turn, are subdivided into several subcategories.

Requirements for Work Visas and Residence Permits

Evidence of education, qualifications and professional experience

To apply for visas associated with employment within a Brazilian company or a Brazilian subsidiary of a foreign company, foreign citizens must demonstrate evidence of education, qualifications and professional experience that align with their prospective role in the Brazilian organisation. Proficiency in Portuguese (Brazil’s official language) is not considered a prerequisite.

This evidence typically takes the form of diplomas, certificates, statements, and letters of experience from overseas companies or previous employers. While in Brazil, foreign citizens are protected by Brazilian labour laws to the same extent as Brazilian nationals.

The “two thirds rule”

Note that in this case, the Brazilian company must adhere to the “two thirds rule”, stipulating that two thirds of employees are Brazilian citizens and two thirds of the total payroll is paid to Brazilian employees.

Validity of visas

The visa will be valid for a maximum period of two years. However, after the end of the second year, it can be converted into a residence permit for an indefinite term. This conversion is contingent upon several factors, most notably the development of the company’s workforce since the initial visa application, the need for the services provided by the foreign citizen, and the individual’s stated intent to settle in Brazil.

It is important to highlight that the beneficiaries of a visitor’s visa, granted for tourism, business, transit, artistic or sporting activities, are prohibited from engaging in paid activities (work).

Categories of Work Visas and Residence Permits

Officers of companies

These apply if a Brazilian entity intends to appoint a foreign citizen as an administrator, manager, officer or director with managerial powers to represent the company. In this case, the residence permit is issued for an indefinite term. However, residency will always be linked to the officer’s continuation in the services of the sponsoring company. 

Linked to a technical assistance agreement without an employment contract with a Brazilian company

These apply to technicians coming to Brazil under a technical assistance contract or a co-operation agreement between a Brazilian company and a foreign company. The foreign citizen will remain an employee of the foreign entity and will not receive compensation from the Brazilian company. The visa and work permit are valid for one year, and renewable for a further year.

Linked to a technology transfer agreement without an employment contract with a Brazilian company

These apply to foreign citizens coming to Brazil to work under a technology transfer agreement or technology transfer co-operation between a Brazilian and a foreign company. The foreign citizen will remain an employee of the foreign entity and will not receive compensation from the Brazilian company. The visa and residence permit are valid for one year, and renewable for a further year.

Investors and entrepreneurs

Foreign citizens may apply for a temporary visa and residence permit if they want to invest their own capital in Brazil either in productive activities or in start-up companies. A minimum investment is required, which may range from BRL150,000 to BRL500,000 for start-ups, and at least BRL500,000 for other productive activities. Also, a certain number of job positions must be created in accordance with the information to be provided during the application process.

Although the residence permit is indefinite, the identity card issued for the foreign national is valid for nine years, after which it must be renewed. This is to verify the individual’s continued investor status and ascertain if the business plan and job creation indicated during the application process have been implemented.

It is important to point out that the individual will only be allowed to engage in any paid activity in Brazil once their application is approved and their visa is issued.

Researchers, journalists, interns, etc

Temporary visas and residence permits can also be granted under other specific circumstances provided for in the Migration Law and its relevant normative resolutions and ordinances, such as for research, teaching or academia, religious activities, representation of non-profit entities, journalists working as international press correspondents, and internships.

Highly qualified workers

According to the Migration Law, highly skilled professionals who have a university degree can apply for a temporary visa and residence permit without having a visa sponsor in Brazil or a pre-existing job offer. This visa category is designed to address the shortage of skilled manpower in certain sectors, as identified periodically by the Brazilian government. However, the regulation of this visa type is still pending with the Brazilian immigration authorities.

Under international treaties and conventions

International treaties and conventions may simplify the requirements for visa and residence permit applications – for instance, the Agreement on Residency for Nationals of the Signatory States of the Mercosur Agreement (Decree No 6975 of 7 October 2009). According to this decree, foreign nationals from countries that are signatories or associates of the Mercosur Agreement (Argentina, Brazil, Paraguay, Uruguay, Bolivia, Chile, Colombia, Ecuador and Peru) can apply for temporary residency, which can potentially be converted into a permanent residency permit after two years. Such individuals are permitted to work in Brazil.

It is important to point out that the individual will only be allowed to engage in any paid activity in Brazil once their application is approved and their visa is issued.

Once the visa is issued, the individual will have to obtain a National Migration Registry Card (Carteira de Registro Nacional Migratório – CRNM), issued to foreigners by registering with the Federal Police within 30 days.

The CRNM, along with the visa and work permit, must be requested and stored by the employer as proof of the individual’s right to work in Brazil.

The Brazilian Labour Law expressly authorises and regulates remote working, setting forth the main rules which must be observed by both the employer and the employee.

Overall, any individual, native or foreigner, who can work in Brazil can work remotely.

Driven by technological advances and the need for social distancing measures during the COVID-19 pandemic, remote work not only emerged as a viable response to emergency situations but also as an innovative method of hiring and attracting talent. Companies have recognised the desire for improved work-life balance and flexibility among the younger generations, and have found remote work to be a critical tool for attracting and retaining talent by allowing employees to work from anywhere in the world.

These global shifts have consolidated a recruitment model that enables companies worldwide to seek out highly qualified professionals who align with their business models and objectives, unimpeded by geographical and bureaucratic constraints.

Digital Nomads

In Brazil, Resolution No 45/2021 of the National Immigration Board governs the granting of temporary visas and residence permits to “digital nomads”. As defined in the Migration Law, these are foreign workers who wish to live in Brazil temporarily and can carry out their professional activities remotely for a foreign employer by using information and communication technologies. These digital nomads do not have a Brazilian visa sponsor, and neither do they develop activities for Brazilian companies. For those purposes, a different visa and residence permit would be necessary. These workers are not considered employees under Brazilian law while they are providing services to a foreign company. The temporary visa for digital nomads is valid for one year, and renewable for a further year.

Requirements for a digital nomad visa

According to Resolution No 45/2021, to apply for a digital nomad visa and residence permit, the foreign citizen must present:

  • evidence of their relationship with the foreign entity either by means of a declaration or a copy of their employment/services agreement;
  • proof of means of living in Brazil, evidencing a regular monthly income equivalent to at least USD1,500 or bank funds equivalent to at least USD18,000; and
  • health insurance cover in Brazil.

According to information provided by the Ministry of Justice, up to January 2023 (one year after the digital nomad visa was governed by Resolution No 45/2021), over 400 digital nomad visas had been issued, indicating an average of at least one new visa per day.

One crucial consideration is that Brazilian-based companies should not derive benefits from services provided by foreign citizens with a digital nomad temporary visa. Although labour and employment laws do not apply to individuals holding a digital nomad temporary visa, under the assumption that the services are performed for a foreign company, the opposite holds true if the individual works locally for a company based in Brazil, even if the individual works remotely, within the Brazilian territory.

The Brazilian Labour Law expressly authorises and regulates remote working, setting forth the main rules which must be observed by both the employer and the individual.

In other words, if a foreign citizen holding a digital nomad temporary visa in Brazil works on behalf of a Brazilian company, they will be entitled to all labour and employment rights available to Brazilian nationals. However, besides potential labour liabilities, the company could face administrative fines and sanctions for violating immigration laws.

Proficiency in Portuguese is not required to obtain a visa. It is only required for naturalisation.

Although this is not currently required, the individual may also have to present a medical/vaccinations certificate, depending on the protocols of the National Health Surveillance Agency (Agência Nacional de Vigilância Sanitária – “ANVISA”).

Although there is no specific threshold for sponsored foreign workers, salary wise, the conditions offered to the individual must respect the Brazilian federal monthly minimum wage of BRL1,412, the state’s minimum wage, or other minimum wage rules set forth in specific regulations or by an applicable collective bargaining agreement negotiated by a trade union.

In theory, sponsored employed individuals are not bound to one employer, and are allowed to work for different and/or multiple employers. However, to work for a different employer to the one that hired them initially, the individual must obtain formal authorisation from the Ministry of Labour and Employment.

The current visa processing times cannot be estimated.

The foreign worker will only be allowed to engage in paid activities in Brazil once their application is approved. However, they may be allowed to travel to Brazil for 90 days, either under a visitor’s visa or without a visa (if Brazil has a policy of reciprocity with the foreign worker’s country of residence and offers a visa waiver).

Although the proceedings are straightforwardly presented in Brazilian legislation, the Brazilian migration regulations do not allow for fast-tracked processing times for the issuance of visas, and the current visa processing times cannot be estimated.

Once the visa is issued, the individual will have to obtain the CRNM for foreigners by registering with the Federal Police, see 2.3 Restrictions on Visitors.

The typical cost of a sponsored employment visa is EUR110. However, other expenses might be necessary, depending on the case.

There are no legal provisions expressly requiring the employer to bear these costs. Therefore, it would be possible for the individual to pay the visa costs.

If any immigration rules are violated, both the individual and the sponsor will be subject to administrative fines and penalties, and the individual will also be subject to deportation.

See 2.2 Unsponsored Work and Investment Visas. The main penalty for non-compliance is the refusal of the visa application and/or fines to the company, with the individual also being subject to deportation.

The individual is required to present the relevant documentation related to their visa and work permit.

The Migration Law also allows for the granting of specific visas designed for accompanying family members, which as defined by law include:

  • a spouse or partner;
  • the child of an immigrant holding a residence permit;
  • an individual who has a Brazilian child or an immigrant child holding a residence permit;
  • an ascendant or descendant up to the second degree, or a sibling of a Brazilian or immigrant holding a residence permit; or
  • an individual who has a Brazilian under their guardianship or custody.

The accompanying family members, once granted a temporary visa, are allowed to work.

The accompanying family members, once granted a temporary visa, are allowed to work.

Machado Meyer

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Law and Practice in Brazil

Authors



Machado Meyer is a trusted partner to each client – an ally in the search for the most appropriate legal solutions for each client’s needs. The lawyers create lasting relationships with their clients, based on a culture of commitment and collaboration, development of highly competent teams, and continuous updating of their legal and business knowledge. The lawyers at Machado Meyer aim to challenge conventional thinking in search of truly innovative answers to unique problems. Their purpose is to provide legal intelligence that leverages opportunities and helps preserve and create value for each client’s business.