Brazilian Superior Labor Court rules that unions may represent a single employee

Ruling applies to all stages of litigation and must be followed by Brazil’s labor courts

On September 28, 2026, Brazil’s Superior Labor Court (TST) ruled that a labor union may file a lawsuit to protect the rights of an entire workforce category, a group of employees, or even a single employee. The union may also continue representing those interests during the calculation and enforcement stages, without requiring authorization from the employees involved.

The ruling was issued in Precedent Case No. 27 under Brazil’s repetitive appeals procedure. This means that labor courts must follow the precedent when deciding cases involving the same legal issue.

Background to the ruling

The case arose from a lawsuit filed by the Union of Bank Employees of Apucarana and Surrounding Region against Itaú Unibanco. The union sought to enforce the career progression rules of the former Banestado on behalf of a single employee.

The trial court dismissed the case without examining the merits, finding that the employee should have filed an individual claim. The Regional Labor Court for the 9th Circuit upheld that decision. The matter was then brought before the TST, which decided to establish a precedent for similar cases.

By majority vote, the TST’s Full Court held that unions may protect the individual or collective rights of both union members and non-members, even when a lawsuit benefits only one person. The Court also ruled that the need to determine who is entitled to benefit from a judgment or to calculate the amount owed to each employee does not prevent union representation.

What this means for companies

The ruling limits the possibility of dismissing a union-filed lawsuit solely on the grounds that the union cannot represent an individual employee or a small group. As a result, proceedings are more likely to focus on the substance of the claim and on identifying those entitled to benefit from the judgment. Pending cases involving this issue must also be assessed in light of the new precedent.

Union representation may also reduce the personal exposure of employees who remain employed by the company and might otherwise be reluctant to bring claims in their own names. In addition, unions may participate in calculating the amounts owed and enforcing collective judgments even when there is only one beneficiary.

For companies, it is increasingly important to monitor matters involving the interpretation of collective bargaining agreements, internal policies, and career and compensation plans, as illustrated by the case considered by the Court.

The ruling addresses who may bring a claim, not which party is ultimately entitled to prevail. The union must still establish the right it seeks to enforce. Companies may continue to raise defenses concerning the merits, statutes of limitations, and the relationship between union-filed claims and any individual lawsuits.

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