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President sanctions bill that helps airline industry

On 08/05, President Jair Bolsonaro signed the conversion bill which provides emergency measures for the civil aviation sector due to the crisis resulting from the Covid-19 pandemic. The bill originates from Provisional Measure 925/2020, which allowed airlines to have more time to reimburse passengers who canceled their flights due to the pandemic, extending this period to 12 months. According to the justification presented by the government, there was a sharp drop in demand in the sector, and airlines have struggled to meet their commitments. During the course of the congress, parliamentarians included in the project other measures to support airlines, airport concessionaires during the pandemic, and made changes to the Brazilian Aeronautical Code. VETOES – In his sanction, the president vetoed three provisions of the bill to adapt to constitutionality and the public interest. Article 5 and Paragraphs 2 and 3 of Article 9 were vetoed. The article that established aeronauts and airmen holding an account linked to the Brazilian Service Time Guarantee Fund (FGTS) would be allowed to monthly withdrawal the resources up to the limit of their balance was banned. The article that provided a compensation to the sector to soften the effects of the crisis was also vetoed.