Change with regards to July’s unemployment rate (11.2%) was not statistically significant. Average earnings of employed population (R$ 893.10) decreased 1.4% compared to July and 0.9% compared to August of last year.

The unemployment rate (percentage of unemployed compared to the economically active population) in August (11.4%) in the six metropolitan regions surveyed by the PME, did not register a statistically significant change compared to July (11.2%), but did register a statistically significant decrease (1.6 percentage point) compared to August 2003 (13.0%).

Compared to July, the change in the unemployment rate was only significant in Salvador (14.9% to 16.6%). There was stability in the other metropolitan areas: Recife (13.4% to 13.5%); Belo Horizonte (10.7% to 10.2%); Rio de Janeiro (8.1% to 8.6%); São Paulo (12.5% to 12.6%) and Porto Alegre (8.9% to 8.5%). Compared to August 2003, there was stability in the metropolitan areas of Recife (15.0% to 13.5%); Salvador (17.6% to 16.6%) and Rio de Janeiro (9.5% to 8.6%). There were decreases in Belo Horizonte (12.1% to 10.2%); São Paulo (14.9% to 12.6%) and Porto Alegre (9.8% to 8.5%).

UNEMPLOYED PERSONS (PD)

After decreasing for three months in a row, the contingent of unemployed persons in the six metropolitan areas that were surveyed by the PME (2.5 million) increased in comparison to July (2.4 million), although this high is not statistically significant. Compared to August 2003 (2.8 million), the decrease was significant (-11.2%).

Compared to July, the number of unemployed persons remained stable in Recife (0.6%), Belo Horizonte (-3.3%), Rio de Janeiro (7.4%), São Paulo (-0.4%) and Porto Alegre (-5.5%), and increased only in Salvador (15.7%). Compared to August 2003, the number of unemployed persons decreased in Recife (-12.4%), Belo Horizonte (-12.8%), São Paulo (-13.9%) and Porto Alegre (-13.3%). Salvador (-1.9%) and Rio de Janeiro (-7.0%) remained stable.

Women continued to represent the greatest share of the unemployed: they represented 53.1% in August 2002 and 55.4% in August 2003, increasing to 56.1% in August 2004.

Among the unemployed, 19.6% were looking for their first job and 26.0% were heads of their families. With regards to the time of the job search: 22.0% were job searching for a period that was not greater than 30 days; 40.7%, for a period greater than 30 days and lower than 6 months and 11.9%, for a period of 7 to 11 months; and 25.4% for at least 1 year. The population with less than 24 years of age represented 46.9% of the unemployed, among which more than 90% had between 16 and 24 years of age. 36.7% of the unemployed in August 2002 had at least a high school education, compared to 39.9% in August 2003 and 42.8% in August 2004.

EMPLOYED POPULATION (PO)

The number of employed persons in August 2004 (19.2 million) remained statistically stable compared to July (19.1 million). The employment level – share of employed persons compared to the population in an economically active age – increased 1.0 percentage point from the total of the six regions, revealing a favorable scenario in the labor market compared to August 2003. Such result was mainly due to the changes registered in the metropolitan areas of Belo Horizonte (2.0 percentage points) and São Paulo (1.5 percentage point).

Men remained as the majority of employed persons in August 2004: 56.6%, while women were 43.4%. The population between 25 and 49 years of age represented 63.1% of the employed. The percentage of employed persons with 11 or more years of study in August 2004 was of 48.5%. The PME estimated that 56.1% of employed persons worked in endeavors with 11 or more persons, compared to 6.8% in endeavors with 6 to 10 persons and 37.1% in those with up to 5 employed persons.

Electricity, gas and water extraction, manufacturing and distribution industry (17.9% of the PO) Compared to July, there was stability for the total of the six regions as well as for each one of them separately. Compared to August 2003, there was a growth of 5.3% in the total of the six areas. Changes were registered only in the metropolitan regions of Belo Horizonte (10.2%) and São Paulo (8.1%).

Construction (7.1% of the PO) There were no significant changes in the monthly and annual comparisons for the six areas. Only Recife (15.6%) and Rio de Janeiro (8.6%) had significant monthly variations. There was stability in all six metropolitan regions in the year.

Commerce (19.6% of the PO) There was stability in the monthly comparison, both for the total of the six areas as for each one of them. Compared to August 2003, there was stability for the total of the six metropolitan regions (2.7%) and in each one of them, except Belo Horizonte (9.9%).

Services offered to companies, rentals, real-estate activities and financial intermediation (13.6% of the PO) In the total for the six areas there was stability in this contingent of employed persons, both in comparison to July (-1.4%) as in comparison to August of last year (3.5%). The only change that was observed in this activity sector was in Recife, in the monthly comparison: decrease of 9.8%.

Education, health, social services, public administration, defense and social security (16.0% of the PO) There was stability compared to July (-1.1%) for the total of the six areas. In the annual comparison, there was a high of 5.3%. The metropolitan areas did not register statistically significant changes in both comparisons for this group.

Domestic services (7.9% of the PO) In the total of the six areas, there was stability in the comparison with July and a high of 8.2% compared to August of last year. There was no change in the regional ambit compared to July. In the annual analysis, São Paulo (12.6%) and Porto Alegre (17.4%) registered the only variations.

Other services (lodging, transport, urban sanitation and personal services) (17.1% of the PO) For the total of the six areas, there was no statistically significant variation compared to July (0.7%). In comparison to August 2003, the variation was of 3.8%, with an increase of the contingent of employed persons within this group in Salvador (12.5%) and Belo Horizonte (7.6%). There was stability in the other areas.

EMPLOYMENT CATEGORIES

Employees WITH signed working papers in the private sector

¹ (38.6% of the PO) There was no significant change in this form of employment in the labor market, in the monthly (-0.6%) or annual (1.5%) comparison. Compared to July, there was stability in all regions. Compared to August 2003, only Belo Horizonte (6.8%) registered a change.

Employees WITHOUT working papers in the private sector

¹ (15.9% of the PO) There was stability compared to July, but a significant increase (5.0%) compared to August 2003. There was stability in al regions, compared to July. Compared to August 2003, only Belo Horizonte (13.5%) had a significant change.

Self-employed workers

(20.3% of the PO) There was stability in the comparison with July (1.0%) and a statistically significant variation compared to August 2003 (4.2%).

Salvador (9.2%) and Porto Alegre (-6.6%) registered a significant variation compared to July. Compared to August of last year, there were highs in São Paulo (7.8%) and Salvador (18.4%). There was a decrease in Recife (-7.6%) and Porto Alegre (-8.4%). The metropolitan area of Rio de Janeiro did not register a significant variation (4.5%).

REAL MONTHLY EARNINGS²

In August, the real monthly earnings usually received by employed persons in the six metropolitan regions was estimated at R$ 893.10 (approximately three and a half minimum wages). Earnings decreased 1.4% compared to July (R$ 905.97) and 0.9% compared to August 2003 (R$ 901.49).

In August, the real average earnings usually received by employees with signed working papers in the private sector (R$ 925.50) decreased 1.6% in the monthly and 0.9% in the annual comparison.

The earnings of employees without signed working papers in the private sector (R$ 581.30) increased 0.9% compared to the previous month and decreased 2.9% compared to August 2003.

The real average earnings usually received by self-employed workers (R$ 705.30) decreased 1.8% compared to July and, although less intensely, also decreased (0.3%) compared to August 2003.

Compared to July, there was a real loss in the earnings of workers in the following activity groups: electricity, gas and water extraction, manufacturing and distribution industry (-2.8%); commerce (-0.9%); services offered to companies, rentals, real-estate activities and financial intermediation (-1.7%); education, health, social services, public administration, defense and social security (-1.0%). In the remaining groups the performance of earnings was inverse: construction, (1.7%); other services (lodging, transport, urban sanitation and personal services) (0.9%); domestic services (1.2%).

Compared to August 2003, there was a decrease in the real average earnings of workers from the: electricity, gas and water extraction, manufacturing and distribution industry (-0.8%); commerce (-1.5%); services offered to companies, rentals, real-estate activities and financial intermediation (-1.1%); domestic services (-3.1%); other services (lodging, transport, urban sanitation and personal services), (-7.1%). The other groups registered a positive performance: construction (2,8%); education, health, social services, public administration, defense and social security (3,1%).

Compared to July, there was a decrease in the real average earnings usually received in Salvador (-2.1%), Rio de Janeiro (-2.6%), São Paulo (-1.5%) and Porto Alegre (-1.2%). The metropolitan regions of Recife (3.1%) and Belo Horizonte (1.8%) had a real increase. Compared to August 2003, there was a decrease in the earnings of workers in Salvador (-3.3%), Rio de Janeiro (-5.2%) and São Paulo (-0.5%). An increase in the real average earnings of workers was registered in Recife (5.3%), Belo Horizonte (6.2%) and Porto Alegre (0.5%).

ECONOMICALLY INACTIVE POPULATION (PNEA)

The population with 10 or more years of age, not classified by the survey as employed or unemployed for the total of the six Metropolitan Regions was estimated at 16.0 million. There was no significant change compared to July (-1.0%). There was a high of 1.8% compared to August 2003. In this contingent, 64.6% were women and 35.4% men, while women represented 44.9% and men 55.1% among the economically active population.

The groups of persons with less than 18 years and with 50 or more years of age represented, respectively, 31.9% and 34.8% of the PNEA. Such groups represented 3.2% and 16.7%, respectively, in the PEA. In the PNEA, 79.6% declared not to have a high school education.Also in the PNEA, 18.1% would like to and were available to work, but only 6.7% worked or had job searched in the previous year (those considered marginally related to the PEA). It should also be noted that 0.07% of those in the PNEA declared to have given-up searching for a job for not having found any type of employment, or employment with adequate remuneration, or according to their qualifications.

¹ Excluding domestic workers, military, public or statutory servants and other employees in the public sector.

² Usually received earnigns.