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Digital platforms and employment status: what the TST and the STF say and how companies should prepare

Ride-hailing driver inside a car holding a phone with a trip map

As of September 2026, there is no binding precedent on employment status between workers and digital platforms in Brazil. Theme 1291 of general repercussion before the Federal Supreme Court (STF), whose lead case is Extraordinary Appeal No. 1.446.336, reported by Justice Edson Fachin, addresses exactly whether app drivers should be recognized as employees or as self-employed workers, and it remained without a concluded decision on the merits after repeated postponements. At the Superior Labor Court (TST), the picture is one of divergence between panels: there are rulings recognizing employment status and rulings rejecting it. Until the STF settles the matter, the analysis remains case by case, focused on facts rather than on the label used in the contract.

For companies, that means one thing: the risk cannot be eliminated today, but it can be managed. And it is managed through the reality of the relationship, not the wording of the instrument.

What the law requires for employment status

Articles 2 and 3 of the Brazilian Labor Code (CLT) remain the starting point. There is an employment relationship when the following are present at the same time: personal performance, meaning the service is rendered by a specific individual who cannot freely send a substitute; remuneration, with payment for the work; non-occasional work, with continuous integration into the company's activity; and subordination, the most disputed element, which involves the worker's submission to the directive, supervisory and disciplinary power of the party taking the service. To these is added the risk of the business, which by definition belongs to the employer.

The platform controversy revolves almost entirely around subordination. The legal debate has even acquired its own name, algorithmic subordination, and asks whether control exercised by software, through task allocation, pricing, star ratings, incentives and automated deactivation, is equivalent to the personal command of the classic employer.

What the TST has already decided

On April 11, 2022, the Third Panel of the TST recognized an employment relationship between a driver and Uber do Brasil Tecnologia Ltda., in case RR-100353-02.2017.5.01.0066. The ruling, based on the opinion of Justice Maurício Godinho Delgado, found the elements of employment to be present and stressed that continuous technological monitoring, the hours actually worked and the individualized passenger rating system amounted to subordination, noting that algorithmic control can be even more intense than traditional control.

Pulling the other way, the Fifth Panel of the TST, in a decision reported by Justice Breno Medeiros in case RR-1000123.89.2017.5.02.0038, rejected employment status. The central ground was autonomy: the worker's broad flexibility to set his own routine, hours, areas of operation and number of clients per day was considered incompatible with subordination. The panel also weighed the high share of the fare retained by the driver as an indication of partnership.

The correct reading of this body of case law is that there is no settled position at the TST, but rather competing lines of argument resting on different facts in each case. Companies with rigid control of working hours lose; those that can show real autonomy tend to win. Two practical consequences follow. The first is evidentiary: a company that keeps organized records of the freedom the worker actually enjoyed, such as tasks declined without consequence, irregular routines and simultaneous work for competitors, starts the case in a much better position than one that relies on the contract alone. The second is cultural: a single manager improvising a shift roster or a disciplinary message can undo a contracting model built over years, because courts look at the daily routine, not at the intention behind the design.

Theme 1291 before the STF

Extraordinary Appeal No. 1.446.336 was designated Theme 1291 of general repercussion and addresses the recognition of an employment relationship between an app driver and the company running the platform. The reporting justice is Edson Fachin. The case was scheduled and postponed more than once, including in 2026, and as of early September 2026 no binding thesis had been set.

Three outcomes are technically possible and are being debated: recognition of employment status, bringing the model closer to the CLT; rejection of employment status, consolidating the autonomous partnership thesis; or a middle path, granting social rights and social security protection without full employment status. Because the case carries general repercussion, the thesis eventually set will be binding and will reach the thousands of cases currently stayed or pending.

What about legislation

In Congress, Complementary Bill No. 12/2024, introduced by the Executive Branch, deals with work intermediated by companies operating private individual passenger transport apps using four-wheel vehicles and creates social security inclusion mechanisms and other rights. Filed on March 5, 2024, the bill received a favorable opinion from the rapporteur, with a substitute text, at the Industry, Commerce and Services Committee of the Chamber of Deputies, and was withdrawn from the agenda by agreement on July 2, 2024, remaining ready for deliberation in that committee. In other words: it is not law, and it should not be treated as if it were.

While there is no binding thesis and no enacted statute, a company's best investment is not legal, it is operational: designing the relationship so that autonomy is genuine.

How to reduce risk in contractor and platform arrangements

This applies to transport, delivery, technology, marketing, customer service and to iGaming operations that work with affiliates, streamers, analysts and outsourced squads.

  • Real autonomy over working time. No imposed shifts, no minimum availability requirement, no punishment for declining a task. Delivery targets are acceptable; time clocks are not.
  • No personal performance requirement. The contractor may send a substitute or work through its own team. A clause requiring performance by a named individual pushes the relationship toward employment.
  • Exclusivity out of the contract. A contractor who serves other clients is strong evidence of autonomy, and preventing that without consideration is unnecessary risk.
  • No hierarchical structure. Keep contractors off the org chart, with no direct manager, no internal performance review, no disciplinary warnings and no mandatory participation in team rituals.
  • A contract consistent with practice. Defined scope, price per delivery or per project, term, intellectual property, confidentiality and compliance with Brazil's General Data Protection Law (LGPD). An excellent instrument combined with the routine of an employee protects no one: the primacy of reality prevails.
  • Communication and evidence. Messages telling someone to clock in, justify an absence or consider themselves suspended become evidence. Train your managers.
  • Governance of affiliates and influencers. In iGaming, labor risk stacks on top of regulatory risk: beyond the employment discussion, there is liability for commercial communication produced by third parties.

What to do now

  1. Run a diagnostic of contractor and platform arrangements, comparing the contract with actual practice.
  2. Fix the critical points, above all control of working hours, de facto exclusivity and informal hierarchy.
  3. Provision for risk using scenarios, including the possibility of an unfavorable thesis in Theme 1291.
  4. Follow the STF judgment and the progress of Complementary Bill No. 12/2024, adjusting the model once there is a definition.

How our firm can help

We work on assessing employment status risk in contractor and platform models, on reviewing contracts and internal policies, on training leadership and on defending labor claims and public civil actions, including for technology companies and companies in the betting sector. No outcome can be promised in litigation, but exposure can be reduced by documenting and practising a genuinely autonomous relationship before the discussion reaches a courtroom.

Frequently asked questions

Is there already a final STF ruling on employment status with apps?

No. Theme 1291 of general repercussion, whose lead case is Extraordinary Appeal No. 1.446.336, reported by Justice Edson Fachin, has been scheduled and postponed several times and, as of September 2026, no thesis had been set. Once there is one, it will be binding on the other cases.

Does a service contract with a company avoid employment status?

Not on its own. The primacy of reality applies: if in practice there is personal performance, remuneration, non-occasional work and subordination, under articles 2 and 3 of the Brazilian Labor Code (CLT), employment status can be recognized even with a well-drafted civil contract. The contract helps when it reflects autonomy that actually exists.

What should technology and iGaming companies review first?

Control of working hours, exclusivity requirements, informal hierarchy over contractors and manager messages that reveal disciplinary power. In iGaming, add governance over affiliates and influencers, which also carries regulatory liability for commercial communication.

Do ride-hailing drivers have an employment relationship with the app?

There is still no definitive answer: as of September 2026, the STF (Brazil's Supreme Federal Court) had not set a thesis in Theme 1291 and the TST (Superior Labor Court) had rulings in opposite directions. Meanwhile, each case is decided on its facts, with particular weight on whether there is subordination. Strict control of working hours weighs in favor of an employment relationship, while real autonomy to set hours and routine weighs against it.

What is algorithmic subordination?

It is control exercised by software over the worker, through task allocation, pricing, rating scores, incentives and automatic deactivation. The legal question is whether this control is equivalent to a traditional employer's personal command and therefore amounts to the subordination required by the CLT (Brazil's Consolidated Labor Laws). In the TST 3rd Panel ruling on Uber, algorithmic control was considered capable of being even more intense than traditional control.

What are the requirements for an employment relationship under the CLT?

There are four simultaneous elements under Articles 2 and 3 of the CLT (Brazil's Consolidated Labor Laws): personal service, compensation, non-occasional work and subordination. Added to them is the rule that the business risk lies with the employer. Without all of these elements there is no employment relationship, and subordination is the most disputed point in platform work.

What has the TST decided on drivers' employment relationship with Uber?

There are rulings in opposite directions. On April 11, 2022, the 3rd Panel of the TST (Superior Labor Court) recognized the relationship in RR-100353-02.2017.5.01.0066, based on continuous technological monitoring and individualized ratings. The 5th Panel, in RR-1000123.89.2017.5.02.0038, rejected it because of the driver's broad autonomy to set routine, hours and work locations.

Has PLP 12/2024 already regulated app-based work?

No, PLP No. 12/2024 (a supplementary law bill) is not law. The Executive branch bill covers drivers providing individual passenger transport in four-wheel vehicles and provides for social security inclusion, but it was withdrawn from the agenda by agreement in the Chamber of Deputies' Committee on Industry, Trade and Services on July 2, 2024. Any change in its progress should be checked in the Chamber of Deputies' legislative tracking record.

What are the possible outcomes of the STF ruling in Theme 1291?

Three outcomes are technically possible: recognition of the employment relationship, rejection of it under the autonomous partnership thesis, or a middle path granting social rights and social security protection without a full employment relationship. Because the case has general repercussion status, the thesis set will be binding on pending cases. That is why it makes sense to provision for the risk based on scenarios.

How can a company reduce employment risk when hiring contractors or through platforms?

The way forward is to ensure real autonomy in practice, because the primacy of reality prevails over the contract. That means not imposing schedules or minimum availability, allowing the contractor to be substituted, not requiring exclusivity without consideration and not placing the contractor in a hierarchy, internal appraisal or disciplinary regime. Training managers also helps, since messages such as clock in become evidence.

By Gabriel Oliveira · OAB/PE 30.970Oliveira & Jacobovitz Advogados

A partner at Oliveira & Jacobovitz Advogados, he works in civil, corporate, administrative, regulatory and employment law. He has expertise in iGaming and sports betting, a market whose Brazilian regulation he has followed since it took shape.

Avenida República do Líbano, 251, Torre C, Salas 2911 e 2912, Pina, Recife/PE

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Sources

  1. Third Panel recognizes employment relationship between driver and Uber, TST (in Portuguese)
  2. Uber: Fifth Panel rejects recognition of a driver's employment relationship, TST (in Portuguese)
  3. Complementary Bill No. 12/2024, legislative tracking record, Chamber of Deputies (in Portuguese)
  4. Employment status between app drivers and platforms: what to expect from the STF judgment (in Portuguese)

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