Interim MEASURE No 1.950-69, of October 19, 2000.

Disposes on supplementary measures to the Real Plan and gives other arrangements.

THE PRESIDENT OF THE REPUBLIC, in the use of the assignment that gives it the art. 62 of the Constitution, adopts the following Provisional Measure, with force of law:

Art. 1º The stipulations of payment of exeitcible pecuniary obligations in the national territory shall be made in REAL, by its value nominal.

Single paragraph. They are vetted, under penalty of nullity, any stipulations of:

I-payment expressed in, or linked to, gold or foreign currency, ressalvated the provisions of the arts. 2º and 3º of the Decree-Law No. 857 of September 11, 1969 and in the final part of the art. 6º of Law No. 8,880 of May 27, 1994;

II-readjustment or monetary correction expressed in, or linked to, the monetary unit of account of any nature;

III-monetary correction or readjustment by general price indices, sectoral or that reflect the variation in production costs or the inputs used, re-saved the provisions of the following article.

Art. 2º It is admitted stipulation of monetary correction or readjustment by general price indices, sectoral or that reflect the variation in production costs or inputs used in the term contracts of a duration of one year or more.

§ 1º It is void of full rule any stipulation of readjustment or periodicity monetary correction less than one year.

§ 2º In the event of a contractual review, the initial term of the monetary correction period or readjustment, or of further revision, will be the date on which the previous revision it has occurred.

§ 3º Ressalvado the provisions of § 7º of the art. 28 of Law No. 9,069 of June 29, 1995, and in the following paragraph, are void of full duty any expedients which, in the ascertaining of the readjustment index, shall produce financial effects equivalent to those of lower periodicity readjustment to annual.

§ 4º In term contracts of a duration of three years or more, the object of which is the production of goods for future delivery or the acquisition of goods or rights to them relative, the parties will be able to package the update of the obligations, each period of one year, counted from the contracting, and at its final maturity, considered the periodicity of payment of benefits, and abated the payments, updated in the same way, effectuated in the period.

§ 5º The provisions of the preceding paragraph shall apply to contracts concluded from October 28, 1995 until October 11, 1997.

§ 6º The time limit to which you rent the preceding paragraph may be extended by act of the Executive Power.

Art. 3º The contracts in which it is a part organ or entity of the direct or indirect Public Administration of the Union, the States, the Federal District and the Municipalities, will be retuned or corrected monetarily in accordance with the provisions of this Provisional Measure, and, in what with it does not conflict, of Law No. 8,666 of June 21, 1993.

§ 1º The annual periodicity in the contracts of which it treats the caput of this article will be counted from the cut-off date for submission of the proposal or the budget to which that is referred.

§ 2º The Executive Power shall regulate the provisions of this article.

Art. 4º The contracts entered into in the scope of the markets referred to in § 5º of the art. 27 of Law No. 9,069, of 1995, inclusive of financial savings remuneration conditions, as well in that of closed private pension, remain governed by own legislation.

Art. 5º Stay instituted Basic Rate Financial-TBF, to be used solely as a base of remuneration for operations carried out in the financial market, of a term of duration equal to or greater than sixty days.

Single paragraph. The National Monetary Council shall expedite the necessary instructions for compliance with the provisions of this article, and may, including, extend the minimum period provided for in the caput.

Art. 6º The Fiscal Reference Unit-UFIR, created by Law No. 8,383 of December 30, 1991, will be readjusted:

I-semester, during the calendar year 1996;

II-annually, from 1º January 1997.

Art. 7º Observed the provisions of the previous article, become extinct, as of 1º July 1995, the monetary units of account created or regulated by the Public Power, except the state fiscal account units, state monetary account, municipal and the Federal District, which will go extinct from 1º January 1996.

§ 1º In 1º July 1995 and on 1º January 1996, the values expressed respectively in the extinguished account monetary units in the form of the caput of this article will be converted into REAL, with observance of the provisions of the art. 44 of Law No. 9,069, 1995, in what couber.

§ 2º The States, the Federal District and the Municipalities will be able to use the UFIR under the same conditions and periodicity adopted by the Union, in substitution to the respective units currency of extinct fiscal accounts.

Art. 8º As of 1º July 1995, the Brazilian Institute of Geography and Statistics Institute-IBGE will cease to calculate and publicize the IPC-r.

§ 1º In obligations and contracts in which there is stipulation of readjustment by the IPC-r, this will be replaced, as of 1º July 1995, by the contractually predicted index to this end.

§ 2º In the hypothesis of no prediction of surrogate price index, and should there be no agreement between the parties, average national comprehensive price index, in the form of regulation to be lowered by the Executive Power, should be used.

Art. 9º Is assured to the workers, in the first date-base of the respective category after July 1995, the readjustment payment concerning the cumulative variance of the CPI-r between the last date-base, prior to July 1995, and June 1995, inclusive.

Art. 10. The wages and the remaining conditions regarding the work continue to be fixed and revised, in the respective annual basis, through the free collective bargaining.

Art. 11. Frustrated the negotiation between the parties, promoted directly or through mediator, can be helped to the action of collective dissent.

§ 1º The mediator will be designated as common agreement by the parties or, at the request of these, by the Ministry of Labour and Employment, in the form of the regulation of which it treats § 5º of this article.

§ 2º The part that considers itself without the appropriate conditions for, in equilibrium situation, to participate in direct negotiation, may, since soon, to request the Ministry of Labour and Employment the designation of mediator, who will convene the other party.

§ 3º The designated mediator will have a deadline of up to thirty days for the completion of the negotiation process, unless agreement express with interested parties.

§ 4º Not reached the understanding between the parties, or refusing any of them to mediation, will wash away at the motivating causes of conflict and claims of nature economic, document that will instruct the representation for the help of collective dissent.

§ 5º The executive branch will regulate the provisions of this article.

Art. 12. In the helping of the collective dissenting, the parties are expected to present, grounded, their final proposals, which will be the subject of conciliation or deliberation of the Court, in the normative sentence.

§ 1º The decision that puser endure Judgment will be substantiated, under penalty of nullity, should translate, in its whole, the fair composition of the conflict of interest of the parties, and to guard suitability with the interest of the collectivity.

§ 2º The normative sentence should be published within fifteen days of the Court's decision.

Art. 13. In the agreement or convention and on the dysidium, collectives, it is vetted the stipulation or fixation of readjustment clause or automatic wage correction linked to the price index.

§ 1º In the wage reviews on the annual basis, will be Deduced the anticipations granted in the period prior to the review.

§ 2º Any grant of salary increase to productivity should be amidable in objective indicators.

Art. 14. The interposed legal decision-making appeal of the Labour Justice shall have suspensive effect, to the extent and extent conferred in order of the President of the Superior Court of Labour.

Art. 15. Legal provisions concerning monetary correction of labor debts, of debits resulting from court decision, of debit concerning ressarcement by virtue of inaddition of contractual obligations and liabilities of Businesses and institutions under the regimes of bankruptcy, bankruptcy, intervention and extrajudicial settlement.

Art. 16. The § 3º of the art. 54 of Law No. 8,884 of June 11, 1994, with the essay being given by art. 78 of Law No. 9,069, of 1995, goes on to invigorate with the following essay:

? § 3º Include in the acts of which it treats the caput those who target any form of economic concentration, whether through merging or incorporating it companies, constitution of society to exercise control of companies or any form of a societarium grouping, which entails company participation or group of companies resulting in twenty percent of a relevant market, or in which any of the participants had recorded annual gross billing in the last balance sheet equivalent to R$ 400,000,000.00 (four hundred million reais).? (NR)

Art. 17. They are convalidated the acts practiced on the basis of the Provisional Measure No. 1.950-68, of September 21, 2000.

Art. 18. This Interim Measure shall come into force on the date of its publication.

Art. 19. § § 1º and 2º of the art are revoked. 947 of the Civil Code, the § § 1º and 2º of the art. 1º of Law No. 8,542, of December 23, 1992, and the art. 14 of Law No. 8,177, from 1º to March 1991.

Brasilia, October 19, 2000; 179º of Independence and 112º of the Republic.

Fernando Henrique Cardoso

Pedro Malan

Francisco Dornelles

Waldeck Ornélas

Martus Tavares