Continuous PNAD-Q: labor underutilization is 24.6% in Q2 2018
August 16, 2018 09h00 AM | Last Updated: August 17, 2018 01h46 PM
In the second quarter of 2018, the labor underutilization rate – which gathers the unemployed, time-related underemployed and the potential workforce – was 24.6%, which represents 27.6 million persons. The result was statistically stable in relation to the first quarter of 2018 (24.7%) nd increases in the comparison with the second quarter of 2017 (23.8%).
Piauí (40.6%), Maranhão (39.7%) and Bahia (39.7%) registered the highest labor underutilization rates and the lowest ones were in Santa Catarina (10.9%), Rio Grande do Sul (15.2%) and Rondônia (15.5%).
In the second quarter of 2018, the biggest unemployment rates among the Federation Units were: Amapá (21.3), Alagoas (17.3%), Pernambuco (16.9%), Sergipe (16.8%) and Bahia (16.5%). The lowest unemployment rate were reported in Santa Catarina (6.5%) Mato Grosso do Sul (7.6%), Rio Grande do Sul (8.3%) and Mato Grosso (8.5%). In Brazil, the unemployment rate was 12.4%.
The number of discouraged workers, in the second quarter of 2018, reached 4.8 million persons aged 14 and older, above the 1st quarter of 2018 (4.6 million) and the 2nd quarter of 2017 (4.0 million persons). This was the biggest amount of discouraged workers of the time series of the Continuous PNAD, which started in 2012.
The percentage of discouraged workers (in relation to the workforce or discouraged population), in the second quarter of 2018, stood at 4.4%, the biggest in the time series. Among the Federation Units, Alagoas (16.6%) and Maranhão (16.2%) had the highest discourage figures and Rio de Janeiro (1.2%) and Santa Catarina (0.7%), the lowest.
In the 2nd quarter of 2018, 74.9% of the persons employed in the private sector had a formal labor contract, 0.9 pp less than in the 2nd quarter of 2017. The highest percentage o employer with a formal contract was in the South Region (82.9%) and the lowest, in the Northeast (59.9%). The FUs with the highest percentages were Santa Catarina (88.4%), Rio de Janeiro (82.3%) and Rio Grande do Sul (82.0%), and the lowest ones were Maranhão (50.2%), Pará (55.4%) and Paraíba (55.9%). Among domestic workers, 29.4% had a formal contract. In the second quarter in 2017, this proportion was 30.6%
In the second quarter of 2018, 91.2 million persons were employed, with 67.6% of the employed (including domestic workers), 4.8% of employers, 25.3% of self-employed workers and 2.3% of contributing family workers. The North (31.7%) and Northeast (28.9%) Regions recorded the biggest percentages of self-employed workers. Among the FUs, the highest percentages were in Amazonas (32.2%), Maranhão (33.0%) and Pará (34.3%), whereas the lowest stood with the Federal District (18.2%), São Paulo (21.7%) and Mato Grosso do Sul (22.1%). The support material of this release is on the right side of this page.
Discouraged workers are defined as those who were out of the work force for one of the following reasons: they could not get an adequate job, had no experience or qualifications, were considered very young or old, or had no work options in their hometown - and that if they had gotten a job, they would have been available to take it. They are part of the potential workforce.
The combined rate of time-related underemployment and unemployment (people working less than 40 hours a week, but who would like to work more, in addition to the unemployed) was 18.7% in Brazil, in the second quarter of 2018, representing 6.5 million time-related underemployed personsand 13.0 million unemployed persons.
The combined rate of unemployment and of potential workforce, which covers the unemployed and people who would like to work, but did not seek work, or who sought it but were not available to work (potential workforce), was 18.8% in the second quarter of 2018, which represents 21.1 million persons.
|Measures of Labor Underutilization - Persons aged 14 and above
Time series - Brazil (%)
|Quarters||Unemployment rate||Underemployment rate||Combined rate of time-related underemployment||Combined rate of unemployment and potential workforce||Total Labor Underutilization Rate||% of discouraged workers.
over the population in the workforce or discouraged population
|Source: PNAD Contínua|
Amapá had the highest unemployment rate in the second quarter of 2018
In Brazil, the unemployment rate in the second quarter of 2018 was 12.4%. This indicator presented a reduction of 0.7 pp in relation to the first quarter of 2018 (13.1%). In relation to the second quarter of 2017 (13.0%), the rate decreased by 0.6 percentage points.
Throughout the series, the Northeast has the highest rates of unemployment, registering a rate of 14.8% in the second quarter of 2018. The South Region had the lowest rate (8.2%). Compared to the first quarter of 2018, all the Regions showed a decrease in the unemployment rate. The Northeast had the highest change (1.1 pp) and the South, the lowest (0.2 pp). In the annual comparison, this indicator fell in all Regions.
In the second quarter of 2018, the highest unemployment rates among the Federation Units were: Amapá (21.3), Alagoas (17.3%), Pernambuco (16.9%), Sergipe (16.8%) and Bahia (16.5%). The lowest, were observed in Santa Catarina (6.5%), Mato Grosso do Sul (7.6%), Rio Grande do Sul (8.3%) and Mato Grosso (8.5%).
|Measures of Labor Underutilization (%)|
|Brazil, Major Regions and federation Units||Unemployment Rate||Underemployment Rate||Combined rate of time-related underemployment||Combined rate of unemployment and potential workforce||Total Labor Underutilization Rate||% of discouraged workers,
over the population in the workforce or discouraged population
|Rio Grande do Norte||15.6||13.1||9.8||12.3||23.9||23.8||26.1||26.4||33.4||35.4||8.7||10.4|
|Rio de Janeiro||15.6||15.4||2.4||3.0||17.7||17.9||17.4||17.5||19.4||20.0||0.8||1.2|
|Rio Grande do Sul||8.4||8.3||5.2||4.8||13.1||12.7||11.4||11.0||16.0||15.2||1.5||1.3|
|Mato Grosso do Sul||8.9||7.6||4.9||4.8||13.4||11.9||13.0||12.5||17.3||16.7||2.0||2.3|
|Source: PNAD Contínua|
North and Northeast have more self-employed The employed population, in the second quarter of 2018, estimated at 91.2 million people, was made of 67.6% of employees (including domestic workers), 4.8% of employers, 25.3% of self-employed workers and 2.3% of contributing family workers. In the North (31.7%) and Northeast (28.9%), the percentage of self-employed workers was higher than in the other Regions.
Fewer domestic workers have a formal contract
In the second quarter of 2018, 74.9% of employees in the private sector had a formal contract, 0.9 pp less than in the second quarter of 2017. The North (61.9%) and Northeast (59.9%) had the lowest percentages and the South Region (82.9%), the highest. Compared to the second quarter of 2017, this estimate only increased in the North: from 59.0% to 61.9%. Among domestic workers, 29.4% had a formal contract. In the same quarter last year, the proportion was 30.6%.
Lower employment-population ratio for women have
In the second quarter of 2018, women were the majority both in the working-age population in Brazil (52.4%) and in all Major Regions. However, among the employed persons, men predominated in Brazil (56.3%) and in all Regions, especially in the North, where men represented (60.2%).
The employment-population ratio for men in Brazil was 63.6% and that for women, 44.8% in the second quarter of 2018. The difference between men and women regarding this indicator was seen in the five Major Regions. The North was the highlight, with the highest difference between men and women (22.6 percentage points), whereas the Southeast recorded the lowest difference (18.0 percentage points).
In the unemployed population, in the first quarter of 2018, women were the majority (51.0%). In almost all Regions, the percentage of women in the unemployed population was higher than that of men, except for the Northeast (46.9%). In the South, the percentage of women was the largest, they represented 53.4% of the unemployed.
The unemployment rate in Brazil, in the second quarter of 2018, was 12.4%, but with significant differences between men (11.0%) and women (14.2%). This behavior was observed in the five Major Regions. Women also remained as the majority of the population outside the workforce, both in the country (64.9%) and in all Regions.
Unemployment rate for blacks and browns is higher than the national rate
The contingent of the unemployed in Brazil in the first quarter of 2012 was 7.6 million persons, when brownsrepresented 48.9% of this population; followed by whites (40.2%) and blacks (10.2%). In the second quarter of 2018, this number increased to 12.9 million persons and the browns' participation increased to 52.3%, whites' decreased to 35.0% and blacks' increased to 11.8%.
The unemployment rate, in the second quarter of 2018, of those who declared themselves white (9.9%) was below the national average (12.4%); but those of blacks (15.0%) and browns (14.4%) were higher. In the 1st quarter of 2012, when the average rate was estimated at 7.9%, that of blacks corresponded to 9.7%; of browns, to 9.1% and that of whites was 6.6%.
In the second quarter of 2018, browns accounted for 47.9% of the population outside the labor force, followed by whites (42.4%) and blacks (8.5%).
Average income remained stable in all Regions
In the 2nd quarter of 2018, the average real income of all jobs, usually received per month, by persons 14 years of age and older, employed in the reference week, with income from work, was estimated at R$2,198. There was stability both in relation to the preceding quarter (R$2,192) and in relation to the same quarter of the previous year (R$2,174). In the Major Regions, there was also statistical stability in both comparisons.