Prescription and forfeiture are related to the employee's inaction.
While prescription is the loss of the enforceability of a right, forfeiture is the loss of the right itself.

Labor statute of limitations is addressed in Article 7, XXIX of the Federal Constitution and Article 11 of the Consolidation of Labor Laws (CLT).

Article 11. Claims regarding credits arising from employment relationships are subject to a five-year statute of limitations for urban and rural workers, up to a maximum of two years after the termination of the employment contract.

Therefore, the two-year statute of limitations is one in which the employee has up to two years to file a labor claim. Once the lawsuit is filed, the employee can request the last five years (five-year statute of limitations).

There are also total and partial statutes of limitations, according to Article 11, § 2 of the Consolidation of Labor Laws (CLT).

§ 2. In the case of a claim involving a request for successive payments due to a change or breach of the agreement, the statute of limitations is complete, except when the right to the installment is also guaranteed by law.

In labor law, there are only three statutes of limitations: 30 days for a judicial inquiry to determine serious misconduct; 120 days for a writ of mandamus; and 2 years for a rescission action.

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