Unemployment Rate Drops To 7.1% In Brazil, Hitting A 10-Year Low
Date
6/28/2024 10:29:11 AM
(MENAFN- The Rio Times) Brazil's unemployment rate dropped to 7.1% in the quarter ending in May, the lowest since 2014, down from 8.3% a year ago, reported the IBGE .
Analysts had expected a rate of 7.3%. The number of unemployed people fell by 8.8%, or 751,000 individuals, over the quarter.
Annually, this figure dropped by 13%, equating to 1.2 million fewer job seekers. The total unemployed population is now 7.8 million, the lowest since early 2015.
Employment figures also reached new highs. The employed population grew to 101.3 million, up by 1.1% (1.1 million people) over the quarter and 3% (2.9 million people) over the year.
Both formal and informal employment set records, with formally employed workers at 38.3 million and informal workers at 13.7 million. The private sector employed 52 million people, another record.
The number of people not in the labor force remained steady at 66.8 million. Adriana Beringuy, IBGE's coordinator of household surveys, stated that growth in both formal and informal employment drove these increases.
Various economic activities, including public administration, social security, education, healthcare, and social services, expanded their workforce, partly due to seasonal factors.
The average real income of employed individuals was R$ 3,181 for the quarter, with no significant change from the previous quarter but a 5.6% annual increase.
The rise in income and employment boosted the total wage mass to a record R$ 317.9 billion, a 2.2% increase (R$ 6.8 billion) over the quarter and a 9% rise (R$ 26.1 billion) over the year.
Unemployment Rate Drops to 7.1% in Brazil, Hitting a 10-Year Low
These statistics reflect a significant improvement in Brazil's labor market, indicating broader economic recovery.
The drop in unemployment and rise in employment suggest a robust recovery, driven by job growth across sectors.
This trend benefits individuals and the national economy, boosting consumer spending and economic stability.
Higher wage mass points to a healthier economy, with more people earning and spending money, driving demand and supporting businesses.
This environment fosters economic resilience and sustainable growth, improving living standards for many Brazilians.
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