Brazil Betting Ban Triggers Layoffs at 36 Licensed Brands

Brazil's ban on online betting has triggered layoffs across the regulated industry, with at least 36 of the 188 previously authorised brands cutting staff before licensed platforms were required to shut down.

The figure comes from a survey by the Association of Women in the Gaming Industry, AMIG, obtained by Brazilian newspaper Folha de S.Paulo.

The tally covers layoffs reported by operators through October 5, one day before licensed betting sites and apps were required to become unavailable under Provisional Measure No. 1,394/2026.

Suppliers and other businesses serving the gambling sector are not included in the 36-brand figure, meaning the broader employment impact is already larger than the operator data alone suggests.

H2Bet Cuts 170 of 270 Employees

H2Bet has announced one of the largest confirmed reductions.

The operator dismissed 170 of its 270 employees, according to its chief operating officer Diego Breda de Carvalho.

That represents approximately 63% of its workforce.

H2Bet is expected to retain activities connected with its H2 Club poker business and sponsorship of card competitions, while its regulated online betting operation has been affected by the nationwide prohibition.

Rivalo has also made substantial cuts.

Former employees told Folha that the operator dismissed almost its entire Brazilian team of approximately 100 people.

Rivalo Brazil director Daniel Eskinazi confirmed that layoffs were caused by Provisional Measure No. 1,394, which interrupted the company's operations.

The company is retaining some employees in case regulated betting is allowed to resume.

Rei do Pitaco Cuts Staff as Ana Gaming Confirms Layoffs

Rei do Pitaco has also reduced its workforce.

According to former employees, around 40 people were dismissed and another 30 were placed on collective leave from a team of approximately 100.

A company executive confirmed the employment measures to Folha but did not provide additional details.

Ana Gaming, which operates brands including 7K and Cassino, has also confirmed layoffs but has not disclosed how many employees were affected.

The company said the forced interruption of operations undermines the economic conditions supporting employment and commercial contracts.

It also warned that even if the betting prohibition is subsequently reversed, some of the damage caused by the shutdown will not automatically be undone.

Unnamed Operator Cut 500 Call Centre Jobs

The impact extends beyond the cases documented in the AMIG survey.

In an earlier report, Folha said an unnamed betting company had dismissed 500 call centre workers following the introduction of the prohibition.

Businesses supplying marketing, events and sponsorship services have also begun reducing activity.

Alob Sports, which worked on events, influencer campaigns and live marketing for companies including Betano, reported staff reductions as client projects were suspended.

Portuguese sports marketing startup Hoopers has also said contracts were suspended or placed on hold following the regulatory change.

These supplier cuts are not included in AMIG's count of 36 affected gambling brands.

Larger Operators Are Holding Teams for Now

The first rounds of layoffs appear to be concentrated among smaller and medium-sized businesses.

Folha reported that multinational operators with larger financial reserves, including Betano and Superbet, were continuing to retain employees.

One reason is the cost and difficulty of rebuilding specialised local teams if Brazil's regulated market returns.

That creates different levels of resilience across the industry. Operators with sufficient liquidity can maintain employees while waiting for greater legal certainty, while smaller companies may be forced to reduce costs immediately.

Industry executives speaking anonymously to Folha said some operators without enough cash reserves could close permanently if the shutdown continues.

Regulated Sector Supported Around 15,000 Jobs

An industry-commissioned study by LCA Consultores Econômicos estimated that Brazil's regulated betting sector supported approximately 10,000 direct jobs and another 5,000 indirectly before the prohibition.

Those figures include a wider employment chain covering areas such as technology, marketing, customer service, events and professional services.

They should not be interpreted as a forecast that all those positions will disappear.

However, the first week of layoffs shows that the employment impact began before the legal dispute over the ban was resolved.

Brazil's licensed betting sites went offline on October 6 after operators were given a transition period to stop accepting deposits and return customer funds.

Industry groups are challenging the measure in the Supreme Federal Court, while Congress must also decide whether the provisional measure will remain in force.

For employees and suppliers, that process may move more slowly than corporate restructuring.

The early layoffs show that even if regulated betting eventually returns, operators are already reducing teams and cancelling contracts in response to the immediate loss of Brazilian revenue.