The number of Brazilian workers receiving temporary incapacity benefits because of gambling addiction rose 441% in two years following the regulation of online betting, according to a Ministry of Labour study.
In 2023, 67 people received temporary incapacity benefits from Brazil’s National Social Security Institute (INSS) due to gambling disorder. The figure rose to 136 in 2024, the first year under the new regulatory framework and reached 363 in 2025.
The study also found more employment contract terminations among beneficiaries. The proportion of formal contracts ending in this group rose from 35% in 2023 to 42.5% in 2025, meaning around four in 10 beneficiaries had left formal employment by the end of last year.
Nearly 70% of those terminations were either requested by workers or classified as dismissals without just cause.
Men represented about seven in 10 beneficiaries, and almost 67% were aged 30 to 49.
Brazil regulated online betting at the end of 2023 and the Government prohibited operations in September 2026 through a provisional measure. Still, even after the ban, some betting sites are exploiting international domains to remain active in Brazil despite the ban.
The study has also reported a close association between legalization and rising gambling disorder cases, although it does not establish that regulation caused the increase.
However, Paula Montagner, undersecretary for Labour Statistics and Studies and the study’s author, cautioned that the data are insufficient to establish that gambling addiction caused the job losses.
Brazil is placing its betting regulator, the Secretariat of Prizes and Betting (SPA), within an interagency oversight committee coordinated by Casa Civil, the Presidential Chief of Staff's office
