The Brazil betting industry is facing significant job losses following a controversial provisional measure. The measure prohibits licensed sportsbooks from operating in the country. As a result, thousands of jobs are at risk.
More than 3,500 workers have already lost their jobs since the introduction of Provisional Measure 1.394. This is according to a partial survey by the National Association of Games and Lotteries (ANJL). The figures highlight the growing impact of the restrictions on Brazil’s betting sector.
The survey draws on data submitted by betting operators. It was released on Wednesday and highlights the growing employment challenges facing the industry.
In addition to the layoffs, 4,167 employees have been placed on collective furlough. The ANJL estimates that Brazil betting industry job losses could reach 5,600 within 90 days. This projection raises further concerns about the sector’s future.
The figures cover dismissals and contract terminations recorded since September 25. On that date, Brazilian President Luiz Inácio Lula da Silva announced the measure.
ANJL president Plínio Lemos Jorge stressed the need for reliable data. He said the figures would help assess the measure’s impact on businesses and workers.
Read also: Aviator Ruling Overturned by UK Court of Appeal
Legal Challenge Raises Concerns Over Further Brazil Betting Industry Job Losses
The restrictions are having wider economic consequences. Thousands of Brazilian families face losing their income. The impact also extends beyond sportsbook operators to businesses supporting the sector.
These include payment processors, marketing agencies, compliance providers, affiliates and specialised media outlets. Many depend on the betting industry for their business activities.
Lemos Jorge argued that the sector supports a wide network of businesses and professionals. He warned that the restrictions could affect many parts of the industry.
In response, the ANJL and the Brazilian Institute of Responsible Gaming filed a lawsuit. They approached Brazil’s Supreme Federal Court to challenge the ban.
The court’s decision remains crucial to the industry’s future. Continued uncertainty could lead to further job cuts. According to the ANJL, some of the 4,167 furloughed employees could lose their jobs permanently.
The association has called for an urgent review of its request to suspend the measure. It warns that delays could trigger further layoffs across Brazil’s betting sector.
