From February to March, industrial employment grew 0.4% in the seasonally adjusted series, the third consecutive positive result, accumulated, between December of 2003 and March of 2004 had a 1.7% growth. The expansion movement is confirmed by the quarterly moving average index, which shows an increase of 0.5% in the first quarter of the year. In other comparisons, industrial employment remains with negative rates: -0.1% compared to March 2003, 0.7% cumulative in the year and -1.0% in the last twelve months.

Compared to March 2003, eight of the fourteen places surveyed had negative results in industrial employment. In the overall rate formation (-0.1%) industries of São Paulo (-0.7%) and, consequently, the Southeast region (-0.5%) responded, once again, for the main negative contributions. The results were influenced, in great part, by the decline in apparel (23.6% in São Paulo and -16.9% in the Southeast) and paper and press (-14.2% and 10.9%, respectively). Rio de Janeiro (-3.9%) and Rio Grande do Sul (-1.4%) also pushed negatively the overall index, influenced, mainly by apparel (-19.1%) and footwear and leather (-8.1%) respectively. In contrast, among the areas that increased employment, highlights are Minas Gerais (3.2%), followed by the Northeast (1.7%) and the North and Central-West Regions (1.7%), all driven by the food and beverage sector which had rates of 14.9%, 10.7% and 2.0% in the respective places.

Also in this comparison decreases were observed in eight of the eighteen sectors analyzed. The biggest negative pressure came from apparel (-9.9%), then paper and press (-7.3%), textiles (-5.8%) and non-metallic mineral products (-5.1%). On the other hand, among the ten branches that grew in employment, the positive highlight was machinery and equipment (13.5%).

 In the quarterly analysis, there was a slowdown in the falling pace in employment from the last quarter of last year (-1.9%) to the first quarter of this year (-0.7%). This movement reached nine of the fourteen areas surveyed, being more relevant in Minas Gerais, where the rate rose from -0.3% to 3.2%, and Pernambuco (-1.9% to 1.4%). Among the sectors, 12 branches had an increase from the last quarter of 2003 to the first quarter of 2004, especially machinery and equipment, whose rate went from 3.4% to 10.5%.

In the cumulative of the year (-0.7%), the number of layoffs was greater than the admissions in nine of the surveyed areas. However, it is worth mentioning that this indicator showed slight deceleration in the falling pace, since the first quarter had a result of -1.1%. São Paulo (-1.4%) showed the main negative contribution, while Minas Gerais (3.2%) had the biggest positive impact.  Among the sectors, nine branches reduced the total of employees, with a highlight in apparel (-11.6%). The main positive contributions were again from machinery and equipment (10.5%).

In the cumulative of the last twelve months, the indicator kept stable (-1.0%), with ten places and nine sectors presenting negative results. The biggest negative result came from apparel (-7.5%), while machinery and equipment (6.5%) was the positive highlight. In terms of areas, it was São Paulo (-1.8%) the main negative influence, followed by Rio de Janeiro (-4.3%) and Rio Grande do Sul (-2.3%). On the other hand, the North region and the Central-West Region (2.7%) and the states of Paraná (2.0%), Santa Catarina (0.3%) and Minas Gerais (0.1%) had positive indexes.

Payroll keeps growing

In March, the real payroll indicator of the overall industry continued to present positive rates, in the monthly comparison (11.6%) as well as in the cumulative of the year (9.1%). Even so, in the index of the last twelve months, the rate was negative (-0.5%), although the falling pace has been slowing down in the last twelve months. In the seasonally adjusted series, in March, the real payroll fell 1.2% in comparison with February. The result needs to be made relative, since it contrasts with the good result seen in January (9.3%) and February (4.6%), whose rates were influenced by vacation pay and extra benefits. The indicator for the quarterly moving average - which best describes the trend line -, shows in March its first positive rate (1.3%), continuing the recovery movement in the falling pace started in December 2003. As to the real payroll by employee (average payroll), the index was positive in the various comparisons: 11.6% in the monthly rate; 9.9% in the cumulative rate of the year and 0.5% in the last twelve months. 

In comparison to March of 2003, salaries earned by employees of the industrial companies grew 11.6%, the biggest monthly rate since January of 2002. This expansion reached all the surveyed places, with the exception of Espirito Santo (-0.9%). The biggest positive impact in the composition of the growth rate came from the Southeast Region (12.2%), with a highlight to São Paulo (13.4%) and Minas Gerais (14.0%), which showed the biggest positive rates in this kind of comparison. In both places, the respective highlights were machinery and equipment (49.4%) and basic metals (27.8%). The second main positive result came from the South Region (9.9%), influenced by the growth of Rio Grande do Sul (9.5%) and Paraná (10.7%), the two biggest industrial states.

Among the segments, 16 of the 18 surveyed segments had a growth of value in the payroll. Machinery and equipment (30.5%) was the industrial group with the largest positive effect, followed by food and beverages (13.3%); means of transportation (11.2%) and chemical products (11.5%). The only two segments which had a decrease in the payroll were textiles (-6.5%) and metal products (-0.7%)

In the first quarter of the year, the performance of the real payroll was also positive (9.1%), with highlights to machinery and equipment (28.7%), basic metals (15.9%) and chemical products (11.8%). Among the states, the picture was mainly positive, with the exception of Espirito Santo, which showed negative result (-0.1%). The Southeast (9.2%) was one of the main responsible places for the global increase of the real payroll in this quarter, whose main positive impact in the industry overall came from São Paulo (10.0%), followed closely by Minas Gerais (11.1%). The South Region also expanded the real payroll (8.6%), influenced, above all, by Paraná (10.3%) and by Santa Catarina (10.4%).

Despite the negative result of the cumulative indicators in the last twelve months (-0.5%), there was a noticeable recovery in the falling pace comparing to the last months. The negative situation, however, is still a reflex of the bad performance of São Paulo (-0.8%) and Rio de Janeiro (-5.4%). In the analysis by industrial activities, twelve segments had a decrease, with highlights in paper and press (-8.7%); textiles (-9.5%), non-metallic mineral products (-7.8%) and electric machines and devices (-5.7%).

 In the first quarter of the year the real payroll grew 9.1% in relation to the same period of 2003, a result that reverses the movement observed in the end of last year (-4.3%). This rate reflects the effects of the considerable reduction in the inflation indexes, as well as specific factors such as the postponing of last year's salary until the beginning of this year and profit distribution.

Total of hours paid to workers keeps growth trend

After the growth of 2.2% between January and February, in March, the total of hours paid to the industry workers fell 0.5%, seasonal influences already deducted. However, in comparison to the same month a year ago there was growth (1.0%). The indicators for longer periods indicate decrease: -0.2% in the cumulative index of the year and -1.0% in the last twelve months. The average working day in the month of March grew 1.0% in the monthly indexing system and 0.5% in the cumulative index of the year and, in the last twelve months, it remained stable.

Between the months of February and March, the indexing system of the quarterly moving average showed a growth of 0.8% in working hours, maintaining the upward trend begun in January of this year.

In comparison to March 2004, the indexing system of the number of hours paid of the industrial sector had an increase of 1.0%, a reflex of the positive behavior of 10 of the 14 places and of 11 of the 18 surveyed sectors. The sectors that contributed the most to this positive performance were machinery and equipment (14.5%), food and beverages (2.4%) and manufacturing of means of trans portion (6.4%), while the main decreases came from wearing apparel (-10.3%), paper and press (-5.7%) and textiles (-5.7%). In the analysis by area, the positive highlights were the Northeast (4.1%), Minas Gerais (4.1%) and São Paulo (0.5%). The main negative results came from Rio de Janeiro (-4.4%), Espirito Santo (-5.9%) and Bahia (-0.9%). In the Northeast, food and beverages (16.0%), footwear and leather (12.2%) and paper and press (15.0%) stood out. In the industry in Minas Gerais, the biggest growth was concentrated in food and beverages (16.0%), rubber and plastic (50.4%) and mining and quarrying industries (12.0%). In the industry in São Paulo, the main positive impact came from machinery and equipment (23.8%), rubber and plastic (8.4%) and fabricated metal products (6.0%).

In the cumulative index of the year, the number of hours paid decreased 0.2% in relation to the same period of last year, despite the increase in the working hours in 11 of the 18 industrial sectors. Among the sectors, the most significant reductions came from wearing apparel (-11.1%), textiles (-6.5%) and paper and press (-4.9%). In contrast, the main contributions were from machinery and equipment (11.4%), basic metals (7.9%) and manufacturing of means of trans portion (3.8%). Regionally, the biggest negative results happened in Rio de Janeiro (-4.6%), in São Paulo (-0.6%) and in Rio Grande do Sul (-1.9%). On the other hand, Minas Gerais (3.6%) was the place which showed the biggest positive impact, followed by the Northeast (1.1%) and Pernanbuco (4.2%).

In the cumulative indicator for the last twelve months (-1.0%), the result was negative, with half the sectors presenting a reduction in the overall of hours paid. The biggest losses were concentrated in wearing apparel (-7.6%), other products of the manufacturing industry (-9.1%) and textiles (-6.5%). São Paulo (-1.6%), Rio de Janeiro (-5.0%) and Rio Grande do Sul (-2.4%) were responsible for the main negative impacts.