After being constant for six months, the unemployment rate in December fell to its lower level since March 2002 and, for the first time, the number of unemployed persons in the six main metropolitan areas of Brazil remained below two million. The average income of workers (R$ 995.40) increased by 1.8% in relation to November 2005 and 5.8% compared to December 2004.
Employment with a formal contract increased by 2.0% in the monthly and by 6.0% in the annual comparison - or more 466 thousand jobs with a formal contract in 2005.

In December 2005, the unemployment rate remained as 8.3% of the Economically Active Population (PEA), for the total of the six surveyed areas, the lowest rate of the new series of the Monthly Employment Survey of IBGE, started in March 2002.

In relation to November 2005, there were falls in the unemployment rates of Belo Horizonte (from 8.2% to 7.0%), Rio de Janeiro (from 7.7% to 6.8%) and São Paulo (from 9.7% to 7.8%). In the other areas there was stability. In the annual comparison, only the metropolitan area of Recife increased (from 11.1% to 13.9%). Belo Horizonte (from 8.5% to 7.0%), Rio de Janeiro (from 8.5% to 6.8%) and São Paulo (from 9.8% to 7.8%) fell, while in Salvador and Porto Alegre, the scenario was of stability.

In December 2005, the number of unemployed persons in the six metropolitan areas investigated by PME (1.8 million), fell by 13.6% in relation to November 2005, and 12.3% (or approximately 258 thousand persons) in relation to December 2004. Women represented 54.6% of the unemployed persons.

In relation to November 2005, there were falls in Belo Horizonte (14.9%), Rio de Janeiro (12.5%) and São Paulo (20.1%), and stability in the other areas. In relation to December 2004, there was increase in Recife (30.3%), falls in Belo Horizonte (-14.7%), Rio (-19.9%) and São Paulo (-20.2), and stability in the other areas.

Among the unemployed persons, 7.2% were between 15 and 17 years old, 38.9% between 18 and 24 years old, 47.3% between 25 and 49 years old and 5.9% from 50 years old and over. Besides this, 20.6% among them were searching for their first job and 26.0% were the main responsible for their family. In relation to the duration of the job search: 21.0% had been searching for a job for 30 days or less; 42.6%, from 31 days to 6 months; 10.1% from 7 to 11 months and 26.1% for at least 1 year.

In December 2002, 38.6% of the unemployed persons had completed at least the secondary instruction, against 40.7% in December 2003, 43.8% in December 2004, and 48.0% in the last PME.

EMPLOYED POPULATION

In December 2005, the employed population (20.2 million) did not change in relation to November 2005, but increased by 2.4% (or more 474 thousand persons) in relation to December 2004.

In the monthly comparison, all the metropolitan areas had stability. In relation to December 2004, there were hikes in Belo Horizonte (4.5%), Rio de Janeiro (2.5%), São Paulo (2.0%) and Porto Alegre (2.6%), and stability in the other metropolitan areas.

Considering the level of employment (1) (51.5%), the results show stability in the labor market, in both comparisons. In the analysis by areas, in the monthly comparison, the scenario was of stability in all the areas, and only the metropolitan area of Belo Horizonte increased by 1.2 percentage point in the comparison with December 2004.

Men represented 56.0% of the employed population, and women, 44.0%. The group from 25 to 49 years old represented 63.0% of the employed population. The percentage of employed persons with 11 years or more of study represented 51.2%.

The PME estimated in 56.8% the proportion of persons working in enterprises with 11 or more employed persons. In the enterprises with 6 to 10 employed persons the proportion was 6.7%, while with those with maximum of five employed persons, the proportion was 36.5%.

In December 2005, 47.1% of the employed population had 40 to 44 weekly hours of work and approximately 34.3%, above 45 weekly hours. On the average, 67.1% of the workers had been in that job for at least 2 years; 11.8% between 1 year and less than 2 years; 19.3% between one month and one year and only 1.7% for less than one month.

Results in relation to the main groups of activity

Mining and quarrying, manufacturing and distribution of electricity, gas and water

(17.6% of the employed population). In the total of the six areas, in both comparisons, there was stability. In the analysis by area, in the monthly comparison there was fall in São Paulo (-3.8%) and, compared to December 2004, hike in Salvador (13.8%).

Construction (7.3% of the employed population).

In the total and in each one of the six areas, in both comparisons, there was stability.

Trade,

repair of automotive vehicles, personal and domestic objects and retail fuel trade (19.7% of the employed population). There was stability in relation to November 2005 as well as in relation to December 2004. In the analysis by area, in the comparison with November 2005 there was stability in all areas, except in São Paulo (5.2%). In the annual comparison there was stability.

Services rendered to companies, rents, real estate activities and financial mediation

(14.2% of the employed population). There was stability in relation to November 2005 and hike of 5.8% in relation to December 2004. In the analysis by area, there was stability in relation to November 2005 and in the comparison with December 2004, hikes in Recife (14.5%), Belo Horizonte (10.7%) and Porto Alegre (12.3%).

Education, health, social services, public administration, defense and social security

(15.3% of the employed population). There was only significant change, for the total of the six areas, in the annual comparison (4.3%). In the analysis by area, in the comparison with November 2005, there was stability in all the surveyed areas and, in the annual comparison, hike only in Recife (12.5%).

Domestic services

(8.1% of the employed population). There was stability in relation to November 2005 as well as in relation to December 2004, in the total of the six metropolitan areas and, also in each one of them separately.

Other services (lodging, transportation, urban sanitation and personal services)

(17.1% of the employed population). In the total of the six areas and in the analysis by area, there was stability in both comparisons.

Classes of workers in the labor market

Employees WITH a formal contract in the private sector (2) (40.9% of the employed population).

In relation to November 2005, there was a hike of 2.0%. Compared to December 2004 there was a hike of 6.0%, or, approximately, more 466 thousand persons. In the analysis by area, in the monthly comparison, there was a hike in São Paulo (2.6%). In relation to December 2004, there were hikes in Belo Horizonte (12.4%), São Paulo (5.2%) and Porto Alegre (12.1%).

Employees WITHOUT a formal contract in the private sector) (2)

 (15.4% of the employed population). There was stability in relation to November 2005 and fall in relation to December 2004 (-4.5%). In the analysis by area, in the monthly comparison, only Belo Horizonte increased (8.9%). In the annual comparison, there was hike in Salvador (12.9%) and fall in São Paulo (-6.5%).

Self-employed workers

(19.3% of the employed population). There was not any change in the total of the six areas in none comparison. In the analysis by area, in the monthly comparison, there was change only in Belo Horizonte (-6.3%). In the annual comparison, change was registered in Salvador (-7.8%).

AVERAGE REAL INCOME

In December 2005, in the total of the six areas, the average real income usually earned (R$ 995.40) increased by 1.8% in relation to November 2005 and 5.8% in the comparison with December 2004.

In relation to November 2005, there was recovery in Recife and Belo Horizonte (0.4%), Rio de Janeiro (2.2%), São Paulo (2.4%) and Porto Alegre (0.8%). In Salvador there was stability. In the annual comparison, there was recovery in all the metropolitan areas: Recife (6.4%), Salvador (10.5%), Belo Horizonte (3.2%) Rio de Janeiro (7.0%), São Paulo (6.6%) and Porto Alegre (0.7%).

By classes of workers, in relation to November 2005, for the total of the six areas, there was:

recovery (0.8%) in the income of employees with a formal contract (R$ 974.30). In Belo Horizonte (1.6%), Rio de Janeiro (1.7%), São Paulo (0.7%) and Porto Alegre (1.8%) there were gains, and stability in Recife.

recovery of 2.4% in the income of employees without a formal contract (R$ 686.80). Salvador (5.1%), São Paulo (6.1%) and Porto Alegre (0.9%) had gains and Recife (-5.3%), Rio de Janeiro (-3.9%) and Belo Horizonte (-0.7%), losses.

recovery of 3.4% in the income of self-employed workers (R$ 812.50). In São Paulo (4.8%), Belo Horizonte (4.6%), Porto Alegre (4.1%) and Rio de Janeiro (2.0%) there were gains, and in Recife (-2.7%) and Salvador (-1.2%), losses.

In relation to December 2004, for the same classes of workers, in the total of the six areas, there was:

recovery of 0.7% in the income of employees with a formal contract (R$ 974.30). There were gains in Rio and Salvador (4.3%) and Recife (4.2%), loss in Belo Horizonte (-1.8%) and stability in São Paulo and Porto Alegre.

recovery of 13.5% in the income of employees without a formal contract (R$ 686.80). There were gains in all the metropolitan areas: Rio de Janeiro (17.0%) São Paulo (16.1%) Salvador (16.0%), Porto Alegre (7.0%) Belo Horizonte (6.3%), and Recife (3.4%). recovery of 11.5% in the income of self-employed workers (R$ 812.50), also in all the areas: Salvador (15.4%), São Paulo (14.7%), Rio de Janeiro (9.7%), Porto Alegre (9.6%), Recife (9.0%) and Belo Horizonte (0.5%).

Below, the variations of income by groups of activity:

NON-ECONOMICALLY ACTIVE POPULATION (PNEA)

In December 2005, in the six metropolitan investigated areas, the non-economically active population, not classified by the survey as employed or unemployed, was estimated in 17 million. There were hikes in relation to November 2005 (1.7%) and December 2004 (3.4%, or more 566 thousand persons).

In the PNEA, 64.0% were women and 36.0% men, while in the PEA (Economically Active Population), women represented 44.9% and men 55.1%. The population with less than 18 years and with more than 50 years of age, respectively, represented 31.0% and 36.2% of the PNEA, although only 2.6% and 17.4% of the PEA.

In the PNEA, 78.5% had not completed the secondary instruction and 16.6% would like and were available to work, although only 6.7% worked or had searched for a work in the previous year (marginally connected to PEA).

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1 Proportion of employed persons in relation to the population in active age

2 Excluding private household worker, military, public and statutory servants and other employees in the public sector.