The STF decided that the application of the Referential Rate (TR) is unconstitutional and that labor debts will be corrected based on the SELIC rate.
After the Labor Reform (in 2017), the CLT expressly determined the use of the TR to update credits arising from labor sentences (paragraph 7 of article 879 of the CLT). However, also based on court decisions, the Labor Courts had been applying the monetary correction by the IPCA-E + default interest of 1% per month, retroactively to 2009.
With the new STF decision, they are now applied to labor debts: (i) the IPCA-E until the date of filing of the lawsuit (pre-judicial phase); and (ii) as of the summons, only the SELIC rate. The understanding also applies to appeal deposits in a judicial account.
As for the interest on arrears, the STF considered that the labor debt should be updated by the same criteria used in civil convictions, that is, without the incidence of 1% per month. The SELIC rate, it should be said, already includes interest and monetary correction. This understanding, however, still needs some clarification, since the legislation in this regard was not being questioned in the action.
The DDSA team is at your disposal for further clarifications on the subject.