LABOR ACTIONS AND THEIR IMPACTS ON PERSONNEL EXPENDITURE LIMITS: A CASE STUDY IN A CITY HALL

Abstract

Public service spending is increasingly present in Brazilian municipalities. However, it is up to the public manager to be adequately prepared to lead the municipality to balance its public accounts. Thus, responsible fiscal management leads the Municipal Entity to comply with the Fiscal Responsibility Law and to avoid penalties such as the revocation of the mandate and the loss of the public office of the Mayor. The general objective of this study is to analyze the labor lawsuits filed against a City Hall and their impact on legal limits. A qualitative and quantitative research was developed regarding the problem, descriptive regarding the objective and regarding the procedures, it was a case study carried out in a City Hall. The data were collected from documents, which dealt with the filing of labor lawsuits, the reasons and motivations detected in the lawsuits. The results of the research found the types of funds claimed in labor lawsuits. The municipality under study exceeded the maximum limits for personnel expenses in 2015 and 2016 by 56.86% and 57.19% respectively, and the prudential limits in 2014 and 2017 by 53.46% and 51.77% respectively. Regarding the legal limits, 2/3 of the labor lawsuits are directly related to the legal provisions of the LRF.