In the seasonally adjusted series, the number of persons employed in industry declined both in relation to June (-0.7%) and July 2013 (-3.6%), registering a cumulative loss in the year (-2.6%) and in the last 12 months (-2.2%). The number of hours paid also recorded negative rates in these four comparisons: -0.3%, -4.2%, -3.1% and -2.6%, respectively.
The value of the real payroll dropped 2.9% in relation to June and 3.4% against July 2013, yet posting positive cumulative rates of 0.6% in the year
and of 0.1% in 12 months. The complete publication of the survey can be accessed on page www.ibge.gov.br/english/estatistica/indicadores/industria/pimes/.

Short-term Indicators of Industry - Brazil - July 2014

SALARIED EMPLOYED PERSONS

In the seasonally adjusted series, the number of persons employed in industry dropped 0.7% in July 2014 over June. It was the fourth consecutive negative rate in this type of comparison, registering a cumulative loss of 2.4% in this period. Considering these figures, the quarterly moving average index declined 0.7% in the quarter ended in July 2014 over the previous month and maintained the downward trend started in April last year.

Compared with July 2013, the industrial employment dropped 3.6%, the 34th consecutive negative figure in this type of comparison and the most intense since November 2009
(-3.7%). As a result, the cumulative index in the year also declined (-2.6%) and the cumulative index in the last 12 months (-2.2%) also maintained the downward path started in September last year (-1.0%).

Compared with the same month a year ago, the industrial employment declined in the 14 places surveyed. The main negative impact came from São Paulo (-5.1%), pressed, at a great extent, by the reduced number of employed persons in 16 out of the 18 activities, highlighted by the industries of fabricated metal products (-12.2%), transportation means (-7.2%), machinery and equipment (-6.7%), food and beverages (-3.8%), textiles (-13.5%), other products from the manufacturing industry (-9.7%) and footwear and leather (-12.3%). It is also worth mentioning the negative figures registered in Paraná (-5.6%), Rio Grande do Sul
(-3.8%), the Northeast Region (-2.6%), Minas Gerais (-2.3%) and Rio de Janeiro (-2.9%).

Still in relation to July 2013, the number of employed persons declined in 15 out of the 18 sectors surveyed, highlighted by transportation means (-6.6%), fabricated metal products (-7.3%), machinery and equipment (-5.5%), communication and electric-electronic machinery and apparatus (-7.1%), footwear and leather (-7.9%), food and beverages (-1.5%), wearing apparel (-4.6%), textiles (-5.4%) and other products from the manufacturing industry (-4.5%). On the other hand, the positive impacts on the industry average came from the sectors of non-metallic minerals (1.6%), chemicals (1.1%) and paper and press (0.1%).

As to the cumulative index in the year, the industrial employment recorded negative rates in 13 out of the 14 places and in 14 out of the 18 sectors surveyed. São Paulo (-3.7%) posted the main negative impact, followed by Rio Grande do Sul (-4.0%), Paraná (-3.9%), Minas Gerais (-1.8%), the Northeast Region (-1.3%) and Rio de Janeiro (-1.9%). Conversely, Pernambuco exerted the only positive pressure (1.1%). In terms of sectors, the most relevant negative contributions came from fabricated metal products (-6.7%), machinery and equipment (-5.0%), communication and electric-electronic machinery and apparatus (-6.7%), footwear and leather (-7.7%), transportation means (-3.7%), textiles (-5.1%), oil refining and ethanol production (-8.3%), wearing apparel (-2.6%) and other products from the manufacturing industry (-3.2%). The main positive impacts came from food and beverages (0.5%) and chemicals (1.9%).

Number of hours paid changes -0.3% in the seasonally adjusted series

Discounted the seasonal influences, the number of hours paid to workers of industry in July 2014 declined 0.3% over the immediately previous month, the third negative rate in a row and a cumulative loss of 2.4% in the period. Considering these figures, the quarterly moving average index declined 0.8% in the quarter ended in July 2014 over the previous month and maintained the downward trend started in May 2013.

In relation to July 2013, the number of hours paid to industrial workers (-4.2%) registered the fourteenth consecutive negative rate in this type of comparison and the most intense since October 2009 (-5.3%). The cumulative index in the seven months of 2014 also declined (-3.1%). The cumulative index in the last 12 months changed from -2.3% in June to -2.6% in July 2014 and maintained the downward trend started in September 2013 (-1,0%).

In July 2014, 14 places surveyed and 16 out of the 18 sectors posted negative rates in the number of hours paid when compared with the same month a year ago. The main negative influences came from transportation means (-8.0%), fabricated metal products (-9.1%), machinery and equipment (-7.1%), communication and electric-electronic machinery and apparatus (-8.9%), footwear and leather (-8.7%), wearing apparel (-5.6%) and food and beverages (-1.7%). The sectors of chemicals (1.9%) and non-metallic minerals (1.5%) registered the positive impacts in July.

Among the places, still comparing with the same month a year ago, São Paulo (-5.4%) recorded the main negative influence, pressed, at a great extent, by the reduced number of hours paid in the sectors of transportation means (-10.1%), fabricated metal products (-14.0%), machinery and equipment (-8.6%), textiles (-14.5%), food and beverages (-3.2%) and other products from the manufacturing industry (-9.0%). It is also worth mentioning the negative figures registered in Paraná (-7.0%), Rio Grande do Sul (-5.3%), the Northeast Region (-3.4%), and Minas Gerais (-3.2%).

Fourteen out of the 18 sectors surveyed posted negative rates in the cumulative index in the year. The most relevant negative impacts were registered in the sectors of communication and electric-electronic machinery and apparatus (-9.4%), fabricated metal products (-7.7%), machinery and equipment (-6.2%),  transportation means (-5.1%), footwear and leather (-8.0%) and textiles (-6.2%). In the opposite way, the sector of non-metallic minerals (1.6%) exerted the main positive contribution to the total number of hours paid to industrial workers. At regional level, 13 out of the 14 places surveyed recorded losses, highlighted by the decline of 4.4% reported in São Paulo, followed by the losses in Rio Grande do Sul (-5.3%), Paraná (-5.1%), Minas Gerais (-2.6%) and the Northeast Region (-2.3%). By changing 0.4%, the North and Central-West Regions registered the only positive influence in the first seven months of 2014.

Real payroll falls 2.9% in the seasonally adjusted series

In July 2014, the value of the seasonally-adjusted real payroll of industrial workers declined 2.9% over June, registering the second consecutive negative figure in this comparison and a cumulative reduction of 5.2% in this period. By falling 2.7%, both the manufacturing industry and the mining and quarrying sector recorded negative rates. As a result, the quarterly moving average for the overall industry dropped 1.1% in the quarter ended in July of 2014 against the level of the previous month, maintaining the predominantly negative behavior started last March.

The value of the real payroll declined 3.4% in relation to July 2013. The cumulative index in the year rose 0.6%, yet below that of June (1.3%). By changing 0.1%, the cumulative index in the last 12 months decelerated its pace against the figures of January (1.6%), February (1.5%), March (1.4%), April (1.2%), May (0.9%) and June (0.7%).

Compared with the same month a year ago, the value of the real payroll declined in 12 out of the 14 places surveyed. The main negative influence was registered in São Paulo (-4.2%), pressed, at a great extent, by the drop in the value of the real payroll in the sectors of transportation means (-5.4%), food and beverages (-7.2%) and fabricated metal products (-12.0%). It is also worth mentioning the negative contributions coming from Rio Grande do Sul (-5.7%), the Northeast Region (-4.3%), Paraná (-3.4%) and Minas Gerais (-2.3%). The positive impacts were reported in Bahia (2.4%) and in the North and Central-West Regions (0.5%).

In terms of sectors, still in relation to July 2013, the value of the real payroll declined in 17 out of the 18 sectors surveyed, highlighted by transportation means (-3.5%), oil refining and ethanol production (-13.9%), fabricated metal products (-7.8%), food and beverages (-2.2%), mining and quarrying industries (-6.3%), communication and electric-electronic machinery and apparatus (-5.9%), machinery and equipment (-3.0%), basic metals (-3.7%) and footwear and leather (-6.5%). On the other hand, the only positive impact was recorded in the sector of non-metallic minerals (0.8%).

In the cumulative index in the year, the value of the real payroll advanced 0.6%, recording positive rates in nine out of the 14 places surveyed. The main positive contribution came from the North and Central-West Regions (4.3%), followed by Santa Catarina (2.2%), São Paulo (0.3%), Paraná (1.4%) and Minas Gerais (0.7%). Conversely, the most relevant negative impacts came from Rio Grande do Sul (-1.0%), Rio de Janeiro (-0.5%), Ceará (-1.9%) and the Northeast Region (-0.3%).

Still considering the cumulative index in the year, the value of the real payroll rose in ten out of the 18 activities surveyed, mainly with the gains coming from food and beverages (4.6%), non-metallic minerals (5.1%), rubber and plastic products (3.8%), transportation means (1.0%), mining and quarrying industries (2.0%), chemicals (1.0%) and wearing apparel (1.7%). On the other hand, the sectors of communication and electric-electronic machinery and apparatus (-4.3%), fabricated metal products (-3.6%), machinery and equipment (-1.8%), paper and press (-2.1%) and footwear and leather (-3.0%) were the main negative contributions to the cumulative index in the year.