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Continuous PNAD

Unemployment remains stable, but informality increases in May

Section: Social Statistics | Eduardo Peret | Design: Helena Pontes

June 29, 2018 09h00 AM | Last Updated: June 29, 2018 11h40 AM

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The number of employees in the private sector without a formal contract increased by 2.9% in the quarter from March to May 2018 compared to the previous quarter. In absolute numbers, the result represents more than 307 thousand people in jobs without several labor rights guarantees. Compared to the same quarter of the previous year, the increase was 5.7%, which corresponds to 597 thousand more people in the informal sector.

The unemployment rate in the quarter, of 12.7%, was stable in relation to the previous quarter (12.6%) and fell by 0.6% in comparison with the same period in 2017. This information is part of the Continuous National Household Sample Survey (Continuous PNAD), released today by the IBGE. 

Among employees with a formal contract in the private sector, there was a decrease of 1.1% in relation to the previous quarter (351 thousand people) and 1.5% (483 thousand people) in comparison with the same quarter of 2017. 

This negative change draws attention, as explained the IBGE Labor and Income Coordinator, Cimar Azeredo: "The reduction of the jobs with a formal contract is not in line with the stability of the unemployment rate. It indicates a significant reduction in quality employment, which continues to fall at the beginning of the second quarter of the year. " 

Domestic workers had a reduction of 2.5% in relation to the previous quarter. The public service had an increase of 290 thousand jobs, an increase of 2.6%. Among the groups of activity, only the public administration increased by 2.7%. The sectors of trade(-1.5%), information and communication (-2.1%) and domestic services (-3.0%) fell in the comparison between the quarters. The remaining groups remained stable during the period. 

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