Brazil generated 1.16 million new jobs formal in the first seven months of 2023, a number 27.7% lower than that of the same period of 2022, the Ministry of Labor reported this Wednesday.
Despite the reduction between January and July, the total number of formal jobs created by Brazil in the last twelve months until July it totaled 1.57 million.
This increase allowed the number of Brazilian workers with a formal employment contract and all labor guarantees to jump from 42.04 million in July 2022 to 43.61 million in July of this year.
The generation of new jobs so far this year has been driven mainly by the services sector, which created 656,000 new jobs, and by industry (194,500).
In July alone, the largest Latin American economy generated 142,702 new formal jobs, the result of the difference between 1.88 million hires and 1.74 million dismissals.
The jobs created in July, however, were 36.6% less than those generated in the same month last year (225,000) and also fell, by 8.9%, compared to those created in June of this year. (157,198).
Despite the fact that it has been losing momentum, the generation of formal jobs has helped to reduce unemployment in Brazilwhose rate fell from 9.3% of the economically active population in the second quarter of 2022 to 8.0% in the second quarter of this year, its lowest level for the period since 2014 (6.9%).
Economists expect the unemployment may increase again in the coming months due to the fact that the economic growth expected for 2023 is 2.0%, well below the expansion of 2.90% in 2022 and the 5.0% reached in 2021.
(With information from EFE)
Source: Gestion
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