Court Overturns Bank Employee's Termination for Bodybuilding During Medical Leave
A regional labor court in Bahia, Brazil, has overturned the justifiable cause termination of a Banco Santander employee who was dismissed after competing in a bodybuilding championship while on medical leave for psychological disorders. The employee had been on leave from the National Social Security Institute (INSS) to treat anxiety, physical and mental exhaustion, and other psychological health issues. Santander received an anonymous tip about her bodybuilding activities, and after reviewing her social media, initiated an internal investigation. The bank concluded that her participation in sports was incompatible with her claimed incapacity and terminated her employment.
The employee's defense argued that she had been a bodybuilder before being hired by the bank and that physical activity was part of her prescribed psychiatric treatment for mental illness. The Fourth Chamber of the TRT-5 ruled that participating in a sports competition, by itself, does not prove an individual is fit to work or has committed fraud while receiving disability benefits. The court emphasized that there is no automatic incompatibility between a psychological disorder diagnosis and sports participation, especially when medically recommended. Furthermore, the court found that the bank failed to guarantee the employee's right to defense during the internal inquiry, as she was not called for clarification, nor was her psychiatrist consulted before the termination.
As a result, the court ordered the bank to reinstate the employee. However, her employment contract remains suspended while she continues to receive disability benefits for her work-related illness. Santander has stated it disagrees with the ruling and intends to appeal to the Superior Labor Court (TST).
This ruling highlights the critical need for employers to balance the verification of employee incapacity with respect for individual autonomy and medical advice. The court's decision suggests that a blanket assumption of fraud based on participation in physical activity, even during medical leave for psychological distress, is insufficient without further evidence of malingering or a direct contradiction with medical directives. The analysis underscores the importance of due process in internal investigations, ensuring employees have adequate opportunity to present their case and that medical professionals are consulted. Moving forward, companies may need to develop more nuanced policies regarding employee activities during medical leave, considering the therapeutic benefits of exercise and the specific nature of medical conditions, while also safeguarding against potential abuse of benefits.
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