Between April and May this year, the number of hirings in the industrial sector surpasses again the number of dismissals, in the seasonally adjusted series, with the level of employment posting a 1.0% increase. The rise in the number of job posts seen in May influences the quarterly moving average indicator, which presents an upward trend of employment. This result is confirmed in the comparison with the same month a year ago: employment up 0.9%, which had not been seen since April 2003. However, in the other comparisons, for longer periods, the rates are still negative, but with less intense results than those of the previous months: -0.3% in the cumulative index of the year and -0.9% in the last 12 months.

In the comparison between May 03/ May 04, the level of employment increases in nine of the 14 areas investigated, with Minas Gerais (3.8%), followed by the North and Central-West Regions (4.8%) and Paraná (3.6%) exerting the largest positive influences on the national index. In Minas Gerais, the increment of personnel, observed in the rubber and plastic industry (45.0%) was crucial in the formation of the local result; in the North and Central-West Regions, the most significant expansion was posted by food and beverages (8.1%) and , in Paraná, wearing apparel (16.3%) was the main positive contribution. In the same comparison, Santa Catarina (2.4%) makes a positive pressure over the general index, mostly due to the hirings in wood (10.5%) and machinery and equipment (12.8%).

Among the places that had losses in job posts, the highlights are Rio de Janeiro (-3.6%), Rio Grande do Sul (-1.1%) and Pernambuco (-4.6%), pushed by the reduction in the number of workers in the sectors of fabricated metal products (-38.3%), footwear and leather (-6.5%) and food and beverages (-11.6%), respectively.

In that same comparison, there are employment increases, in the country’s overall result, in 12 of the 18 sectors surveyed. The highlights are machinery and equipment (12.5%) and food and beverages (2.6%), pushed by the production dynamism and the hiring increase. In contrast, the sectors where dismissals were the greatest responsible for the final result were wearing apparel (-8.8%), fabricated metal products (-8.8%), paper and press (-6.0%) and non-metallic mineral products (-5.3%).

         Employment reduces falling pace in the cumulative index of the year

Minas Gerais stands out with the hiring rise in the sector of food and beverages

The cumulative indicator of the year since July last year shows a slight deceleration in the falling pace over the previous months. It recorded -0.8% in March, -0.6% in April and -0.3% in May. The number of dismissals was larger than that of hirings in ten places surveyed, among which the negative highlights, in terms of influence, are the industries in São Paulo (-1.1%) and, consequently, those in the Southeast Region (-0.7%).  It is also worth mentioning, in terms of impact, the drops recorded in Rio Grande do Sul (-2.4%) and Rio de Janeiro (-3.9%).

On the other hand, Minas Gerais appears once again as the state with the largest positive contribution to employment, registering a 3.0% growth, supported mainly by the hirings in the sector of food and beverages (10.0%).

Among the sectors, in the cumulative index for the January-May period, eight segments shrank the hirings, with a highlight to wearing apparel (-10.7%). In contrast, the most significant positive pressures were exerted again by machinery and equipment, with an increase of 11.4% in job posts.

In relation to the cumulative index over the last 12 months, there is a slight deceleration in the falling pace of employment between April (-1.0%) and May (-0.9%), with ten places and nine sectors surveyed contracting the contingent of workers. The biggest negative contribution came from wearing apparel (-8.7%), whereas the highest positive one was due to machinery and equipment (7.3%). In terms of areas, São Paulo (-1.7%) exerted the main negative influence, followed again by drops in Rio Grande do Sul (-2.5%) and Rio de Janeiro (-4.4%). On the other hand, the four places with positive indexes were: North and Central-West Regions (2.8%), Paraná (2.0%), Minas Gerais (0.8%) and Santa Catarina (0.3%).

                Number of hours paid rises 0.3% in May

In May, the total of hours paid to the industrial employees grew 0,3% in relation to April, in the seasonally adjusted series and 0,6% in the comparison with May last year, even though the cumulative index was stable (0,0%) and the cumulative index over the last 12 months records a 0.9% drop.  

The 0.6% growth over May last year in the number of hours paid occurred mainly in the activities of machinery and equipment (14.5%), rubber and plastic (7.7%) and means of transportation (5.4%). Conversely, the main negative impacts came from wearing apparel (-9.8%), fabricated metal products (-8.9%) and paper and press (-4.6%).

The places with the highest increases in the hours paid, in the May 04/ May 03 comparison, were Minas Gerais (4.1%), North and Central-West Regions (3.4%) and Paraná (2.8%).  In Minas Gerais, the industrial segments of rubber and plastic (83.8%), electric-electronic machinery and equipment (18.2%) and food and beverages (4.1%) exerted the main positive impacts; of the industry of the North and Central-West Region, the highlights were food and beverages (5.0%), electric-electronic machinery and equipment (12.5%) and means of transportation (11.1%). In the industry in Paraná, the apparel segment, expanding 9.6%, was the main positive pressure. However, the main negative influence was recorded by Rio de Janeiro (-5.2%), Rio Grande do Sul (-1.2%) and São Paulo (-0.2%). In those places, the segments of fabricated metal products (-40.5%), footwear and leather (-6.4%) and wearing apparel (-29.3%) were the main negative impacts.

Income drops in May in relation to April, but grows in the other comparisons

The payroll of the industrial employed persons, in the seasonally adjusted series, receded 1.1% in relation to April's result, a less significant increase than the one recorded from March to April (-2.3%). In the other indicators, the value of industrial payroll grew: 7.2% in comparison with May 2003; 8.8% in the cumulative index of the year, and 1.9% in the cumulative index in the last 12 months. In relation to the average payroll, the three main indicators also recorded positive figures: 6.3% in the comparison with May last year, 9.2% in the cumulative index in the year, and 2.8% in the cumulative index of the last 12 months.

In May's monthly indicator, the real payroll expanded 7.2%, reflecting favorable figures in 13 out of the 14 surveyed areas. The major positive impact on the payroll was in the Southeast region (7.0%), due the performance of São Paulo (8.6%) and Minas Gerais (12.5%). The good result of São Paulo was mainly determined by machinery and equipment (50.4%) and, to a lesser extent,  by means of transportation (7.5%). In Minas Gerais, chemicals (36.4%) and food and beverages (18.6%) were the highlights. It is important to highlight the good performance of the North and Central-West Regions (11.3%), leveraged by the payroll value increase on food and beverages (22.0%) and machinery and electric-electronic apparatus. The only area with payroll value decrease was Rio de Janeiro (-10.4%), with strong negative impact from mining and quarrying industry (-54.5%).

In May, the cumulative index in the year recorded an expansion of 8.8% in the value of the real payroll with increase in all surveyed areas. The major positive impacts took place in the Southeast Region (8.9%), due to salary gain in São Paulo (9.0%) and Minas Gerais (12.4%), with a highlight to machinery and equipment (47.6%) and basic metals (19.2%), respectively. It is important to mention the state of Paraná, which expanded its salary in 9.5%, mainly due to food and beverages (17.9%)

By sector, the most significant contribution for the formation of the 8.8% rate came from machinery and equipment (29.7%), chemicals (11.6%) and food and beverages (8.5%). On the other hand, the main negative pressures were in textiles (-9.7%) and fabricated metal products (-3.1%).

In relation to the real average payroll, there was increase in almost all industrial activities (16 out of 18) and in all surveyed areas, ranging from the 6.7% recorded in Pernambuco and the 14.2% in Espírito Santo, according to the graph below.