Also the bureaucracy, employee rights, etc.
Incorporating and getting a functional business entity in Brazil is harder. In USA I literally do in 5min online including bank account. In Brazil they are taking out microscopes to verify your signature on the paperwork matches.
And in the USA if you have one bad employee, just fire them any time. In Brazil for better or for worse nowhere near as easy. Obviously better for employees but businesses don’t like it because you can get stuck with a employee dragging down everyone unless you pay them a years salary etc.
> Incorporating and getting a functional business entity in Brazil is harder
It’s still something you can do in less than a month. That’s nothing compared to the life of a functional enterprise.
For you to have to pay “years of salary” the employee must have been with you for a very long time - as in decades. Considering most companies don’t live to 2 years, the odds of it happening to you are very slim. Labor laws exist to protect the weak part against the possible abuses of the company. You must agree the harm a company can do to its employees is far greater than what an individual employee can do to a company. And this is why unions exist: because collectively is the only way the employees have teeth.