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Dams, Reparation

Vale signs partial agreement for the emergency assistance in Brumadinho

Vale undertakes to pay the expenses with funerals and severances of the deceased

​Last Friday, (15/2/19), at the 5th Labour Court of Betim, a partial agreement was signed between Vale, the Labor Public Prosecutor's Office of the the State of Minas Gerais and trade unions aiming at the emergency assistance of the families of direct and third-party employees affected by the breach of Feijão mine's Dam 1, in Brumadinho, Minas Gerais, Brazil. Vale undertakes to pay the expenses with funerals and severances of the deceased, as per document issued by Brazil's National Social Security Institute (INSS). The salaries of the uncontacted people will be maintained.

The company will work for the insurance payment to be done as quickly as possible and will submit to Court the list of names and personal data of direct and third-party employees, as well as documents concerning the workers' health and safety.
A new hearing is scheduled so that the discussions on the matter can be carried on and, on that occasion, Vale's indemnity payment proposal will be evaluated. Among other items of the partial agreement, it includes:
- Material damage: monthly payment of 2/3 of the workers' net salary until the date they would turn 75 years old. If full pension period is paid in advance, a 6% discount will be applied to future installments. For example: a 40 years old worker, who receives a monthly salary of R$4,000.00 will receive, as material damage, about R$700,000.00.
- Non-material damages - indemnity to the immediate family of those deceased - as follows:
Spouse or common-law partner: R$300,000.00
Sons and daughters (at any age): R$300,000.00 each;
Father and mother: R$150,000.00 each;
Siblings: R$75,000.00
Note: Amounts for non-material damages are cumulative. For example: a family composed of common-law partner, 2 children, 2 siblings, father and mother of a deceased worker will receive R$1,350,000.00 (one million, three hundred and fifty thousand reais) for non-material damages.
- Health insurance: health insurance plan for the families of direct and third-party workers, on a registration basis, covering all the state of Minas Gerais, valid lifetime for widows, widowers or common-law partners and dependent children until they turn 22 years old.
- Psychological assistance to workers and families: until medical discharge.
- Childcare allowance: R$920.00 for the deceased worker's children under 3.
- Child education allowance: R$998.00 for the deceased worker's children from 4 to 18.
- The R$100,000.00 donation offered to the families of the affected workers will not be deducted from any indemnities.


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Our commitment to repairing the communities and people impacted by the B1 dam failure is constant. See the social, environmental and safety actions taken by Vale.