In Q1 2018, the rate of labor underutilization (which aggregates the unemployed, the time-related unemployed and the potential labor force) increased to 24.7%, that is, by 27.7 million persons. That is the highest rate of underutilization in the PNAD time series, which started in 2012. The number of underutlized workers is also the biggest in the time series. 

Bahia (40.5%), Piauí (39.7%), Alagoas (38.2%) and Maranhão (37.4%) recorded the highest rates of underutilization and the lowest rates were those of Santa Catarina (10.8%), Rio Grande do Sul (15.5%), Mato Grosso (16.0%) and Paraná (17.6%).

The unemployment rate in Q1 2018 in Brazil, released on 27/04, was 13.1%. Versus Q4 2017, the unemployment rate increased in all the areas: North (from 11.3% to 12.7%), Northeast (from 13.8% to 15.9%, the biggest among the five Regions), Southeast (from 12.6% to 13.8%), South (from 7.7% to 8.4%) and Central West (from 9.4% to 10.5%). in the annual comparison, the rate decreased in all the areas. 

In Q1 2018, the biggest unemployment rates among the Federation Units were: Amapá (21.5%), Bahia (17.9%), Pernambuco (17.7%), Alagoas (17.7%) and Maranhão (15.6%). The lowest rates were those of Santa Catarina (6.5%): Mato Grosso do Sul (8.4%), Rio Grande do Sul (8.5%) and Mato Grosso (9.3%).

The number of discouraged workers, in Q1 2018, was 4.6 million persons, the biggest in the time series. In Q4 2017, that number was 4.3 million persons. The rate of discouragement, in Q1 2018 was 4.1% of the extended workforce in Brazil, the highest resut in the time series. Among the Federation Units, Alagoas had the highest rate of discouragement (17.0%) and Rio de Janeiro and Santa Catarina, the lowest (0.8%, both).

The smallest percentages of jobs (except domestic ones) with a formal contract in the private sector were found in the Northeast (59.7%) and North (62.9%) and the biggest one, in the South (83.3%). The North was the only Major Region to record increase in that proportion against that of Q1 2017 (from 59.9% to 62.9%), whereas the others recorded decrese.

In th North (32.4%) and Northeast (29.0%), the percentage of self-employed workers was higher than in other Major Regions. The Southeast (70.5%) and Central West (70.1%) had the biggest participation of workers. Support material on the survey can be found on the right of the page. 

Number of discouraged ones in the North corresponds to 60.6% of the national total

The discouraged population is defined as that out of the workforce due to one of the following reasons: could not hold a job, or did not have any experience, or was too young or old, or could not find a job in the locality – and that, if it could hold a job, would be available to take over the job position. It is part of the potential workforce. In Brazil, this population reached 4.6 million persons in Q1 2018, the biggest contingent since the beginning of the time series, started in 2012. Of the national total, 60.6% were in the Northeast (2.8 million persons). Among the Federation Units, the biggest contingents were in Bahia (805 thousand) and Maranhão (430 thousand).

The discouragement rate stayed at 4.1% of the extended workforce in Brazil, in the fourth quarter. Alagoas  and Maranhão (13,3%) registered the lowest rates in Rio de Janeiro and in Santa Catarina, (0.8%, both).

The combined time-related underemployment and unemployment rate – employed persons working less than 40 hours per week, but who would like to work for longer hours, added to those unemployed – was 19.1% in the first quarter of 2018, which represented 6.2 million time-related underemployed workers and 13.7 million unemployed persons. In the third quarter of 2017, this rate was 18.5% for Brazil, and, in the fourth quarter of 2016, 17.2%. That was the highest rate in the time series initiated in 2012. (15.3%). In Q4 2017, that rate was 19.3%.

South and Central West Regions have highest employment-population ratios 

The indicator that measures the parcel of the employed population in relation to the population at working age, the employment-population ratio, was estimated at 53.6% for Brazil in Q1 2018, with an increase of 0.9 percentage points over the last quarter of 2017 (54.5%) and 0.5 percentage points over the first quarter in 2017 (53.1%).

The South (58.6%) and Central-West (58.3%) were the ones with the highest percentages of employed persons among those at working age. The Northeast Region recorded the lowest employment-population ratio (45.9%). Compared with the first quarter of 2017, only the Southeast Region expanded the employment-population ratio.

The age groups with the highest employment-population ratios were those between 25 and 39 yearsof age (72.3%) and between 40 and 59 years of age (67.1%).

Percentage of self-employed workers is highest in the North and Northeast

The employed population in the first quarter of 2018, estimated at 90.6 million persons, was formed by 67.4% of employees, 4.8% of employers, 25.3% of self-employed workers and 2.5% of assisting family workers.

In the North (32.4%) and Northeast (29.0%) the percentage of sel-employed persons was above that in other Regions. On the contrary, among employees it was observed that the Southeast Region (70.5%) and Central West Region (70.1%) had a bigger participation of those workers. 

Percentage of workers with a formal contract below that of 2017 in four of the five Major Regions 

In the first quarter of 2017, 75.4% of those employed in the private sector had a formal contract, 1.2 percentage points less than in Q1 2017. Among domestic workers, 30.0% had a formal contract; in the same quarter a year ago that figure was 31.5%. The North (62.9%) and Northeast (61.0%) recorded the lowest estimates of this indicator, whereas the South Region maintained the highest level 59.7%), stayed at lower levels than the other Major Regions, whereas the South stayed at the highest level (83.3%). Against Q1 2017, there was increase of the estimate in the North Region, only, from 59.9% to 62.9%), and decrease in the others. 

Women remains as a minority in the employed population 

In Q1 2018, women remained as the majority in the population at working age, both in Brazil (52.4%) and in every Major Region. Among the employed persons, men prevailed (56.5%), maintaining the trend in the time series. All the Major Regions confirmed this predominance, especially the North Region, in which men represented 60.3% of workers. There has not been statistically significant change throughout the time series. 

The employment population rate of men, in Brazil, was estimated at 63.6% and, that of women, 44.5%, in Q1 2018. The difference between the indicator in male and female groups was a reality in the five Major Regions, especially in the North. This state recorded a bigger difference btween men and women (22.7 percentage points), and for the Southeast, which recorded the lowest difference (18.2 percentage points).

Considering the unemployed population in the first quarter of 2018, women were the majority (50.9%). In almost all the Mjor Regions, the percentage of women in the unemployed population was bigger than that of men, the exception being the Northeast Region (47.3%). In the Central West Region, the percentage of women was bigger: they made up 52.8% of the unemployed persons.

The overall unemployment rate of Brazil in Q1 2018 was 13.1%, but with significant differences between men (11.6%) and women (15.0%). That was observed in the five Major Regions. Women also remained as the biggest part of the population out of the workforce, both in the country (65.2%) and in all the regional analysis. 

Unemployment rate is higher among blacks (16.0%) and browns and surpasses that of white persons (10.5%)

The contingent of unemployed persons in the first quarter of 2012 was estimated at 7.6 million persons for Brazil, led by brown persons (48.9%), followed by white (40.2%) and black (10.2%) persons. This contingent rose to 13.7 million persons in Q1 2018, changing the share of brown persons to 52.6%, reducing that of white persons to 35.2% and increasing that of black persons to 11.6%.

The unemployment rate, in Q1 2018, those self-declared white (10.5%) stood below the national average (13.1%), whereas that of black (16.0%) and brown (15.1%) persons stood above it. While the average rate was estimated at 7.9% in the first quarter of 2012, that of black persons corresponded to 9.7%, of brown persons, to 9.1% and that of white persons, to 6.6%.

In Q1 2018, brown persons made up 48.1% of the persons out of the workforce, followed by white (42.5%) and black ones (8.4%).

Average earnings remain stable in all the Major Regions