December 05, 2018 | Last Updated: December 06, 2018 07:29:37 PM

Summary of Social Indicators: figures indicate increase of poverty between 2016 and 2017

The Summary of Social Indicators (SIS) analyzed the issue of poverty making use of different measurements that show its increase between 2016 and 2017. According to the World Bank Poverty Line (income of up to US$ 5.5 per day, or R$ 406 per month), poor people in Brazil made up 25.7% of the population in 2016 and that figure increased to 26.5%, in 2017. In absolute figures, that number changed from 52.8 million to 54.8 million persons, in the period. In this same analysis, the proportion of children and teenagers aged 0 to 14 who lied on an income of up to US$ 5.5 per day changed from 42.9% to 43.4%, in the same period. 

The number of persons with an income below US$ 1.90 per day (R$ 140 per month), who would be in extreme poverty according to the line proposed by the World Bank, made up 6.6% of the country's population in 2016, versus 7.4% in 2017. In absolute figures, that number increased from 13.5 million in 2016 to 15.2 million persons in 2017.

In 2017, the average monthly household income per capita in the country was R$ 1,511. The lowest averages were those of the Northeast (R$ 984) and North (R$ 1,011), areas where almost half of the population (respectively, 49.9% and 48.1%) had an average monthly household income per capita of up to half a minimum wage. These are some of the data found in the Summary of Social Indicators 2018, which presents an analysis of the labor markets, educational aspects and the income distribution in the Brazilian population, based on data from the IBGE continuous PNAD and other sources. 

SIS 2018 showed that 27 million persons (13.0% of the population) used to live in housing units with at least one of the fours inadequate conditions listed. Exceptionally high densities (a housing unit with more than three residents per bedroom) was the one affecting the biggest number of persons: 12.2 million, or 5.9% of the country's population in 2017.

In terms of educational analysis, SIS 2018 showed that the proportion of enrollments by means of the quota system tripled in the last seven years: from 2009 to 2016, that percentage increased from 1.5% to 5.2%. In private institutions, in the same period, the percentage of enrollments by means of PROUNI increased from 5.7% to 7,3%, that is, by 28.1%. 

The rate of admission to higher education of students coming from private schools was 2.2 times that of students from public schools. Among those who finished high school in publis schools, 35.9% had come from the public education segment, whereas those from the private education segment made up 79.2%.

In the analysis of labor market, SIS 2018 shows that the unemployment rate was 6.9% in 2014 and increased to 12.5% in 2017. That is equivalent to 6.2 million unemployed persons more between 2014 and 2017. In the period, unemployment increased in all the Major Regions and age groups. 

In 2017, informal work was a reality for 37.3 million persons,  that is, 40.8% of the employed population, or two out of every five workers in the country. That figure has increased by 1.2 million since 2014, when it represented 39.1% of the employed population.

In 2017, white workers earned,  on the average, 72.5% more than black or brown ones (R$ 1,516) and men (R$ 2,261) earned 29.7% more than women (R$ 1,743). The earnings per hour of whites surpassed that of black persons in all levels of schooling, and the biggest difference lies in higher education: R$ 31.9 per hour for whites versus R$ 22.3 per hour for black or brown perons. Support material for SIS 2018 can be found on this same page. 

Proportion of persons living in poverty increases from 25.7% to 26.5% from 2016 to 2017

As there is no official poverty live set in Brazil, the Summary of Social Indicators analyzed the topic makig use of different measures which, in general, indicate the increase of poverty between 2016 and 2017. 

Considering the World Bank poverty line (an income of up to US$ 5.5 per day or R$ 406 per month), the proportion of poor people in Brazil increased from 25.6% of the population, in 2016, to 26.5%, in 2017. In absolute figures, that means 52.8 million persons, in 2016, and 54.8 million ones, in 2017.

In the Northeast Region, 44.8% of the population was living in poverty . That is equivalent to 25.5 million persons. On the other hand, the South Region had about 3.8 million persons living in poverty, which is equivalent to 12.8% of the almost 30 million residents. In the Southeast, the percentage of persons below that line reached 17.4% of the population, encompassing 15.2 million persons.

Porto Velho (RO) and Cuiabá (MT) are also highlights, and were the only two capitals where the proportion of persons below the line of US$ 5.5 per day surpassed that of the respective states: in Porto Velho it was 27.0%, against 26.1% in Rondônia; in Cuiabá, 19.2%, versus 17.1% in Mato Grosso.

Brazil had 15.2 million persons persons in extreme poverty in 2017

The number of persons with an income below US$ 1.90 per day (R$ 140 per month), classified as living in extreme poverty, according to the line set by the World Bank, represented 6.6% of the country's population, in 2016, a participation that increased to 7.4% in 2017. The proportion of persons below that line increased in all the Major Regions, except the North, which was stable. In absolute figures, that number chaned from 13.5 million, in 2016, to 15.2 million, in 2017.

Proportion of children and teenagers below the poverty line records increase

The proportion of children and teenagers aged 0 to 14 years of age lived in housing units with an income of up US$ 5.5 per day (R$ 406 per month) changed from 42.9% to 43.4%. The Summary of Social Indicators of the IBGE also analysis the prevalence of poverty considering the characteristics of reference persons of housing units. 

Considering total residents in housing units where the reference person was a woman without a partner and with children aged up to 14, 56.9% were below that line. If the person responsibe for the housing unit was black or brown (also without a partner anf with children in the same age group), that figure rose to 64.4%.

The intensity of poverty increased between 2016 and 2017

The poverty gap is an approximate calculation of the amount needed to eradicate poverty. In 2017, it was estimated at R$10.2 billion per month, perfectly allocated, so that people with income below US$ 5.5 per day would reach that line. The average distance between the poor population's income sand the line had an increment, between 2016 and 2017, from R$ 183 to R$ 187 reais.

The poverty gap can also be calculated for other lines. For the exteme poverty line (R$ 140 per month or US$ 1.90 per day), the necessary amoutn for everyone to reach that line would be R$ 1.2 billion per month.

Since poverty is a dynamic phenomenon the gap is only an element of estimation for the eradication of poverty in the year considered. 

In 2017, the Federal Distric was a leader in nequality, according to the Palma ratio

In 2017, the 10% earning the highest income (from all sources) concentrated 43.1% of the total income, whereas the 40% with the lowest income held only 12.3%. That stratum from the top concentrated 3.51 time more income than the base, that figure being known as the Palm ratio. In this same comparison, the Federal District presented most inequalities among the Federation Units: 40% of the persons earning the lowest income held 8.4% of the total and the 10% earning the highest income held 46.5%. In 2017, the ratio between those two figures reached 5.57 in the Frederal District, having surpassed figures in other 26 Federation Units. 

Half of the population in the North and Northeast lived on up to half a minimum wage 

In 2017, the average monthly household income per capita in the country was R$ 1,511. The lowest averages were those of the Northeast (R$ 984) and North (R$ 1,011), Major Regions where almost half of the population (49.9% and 48.1%, respectively) had an average income of up to half a minimum wage. In these same Regions, only 7.8% and 7.7% of the persons had a monthy income (from all the activities) above two minimum wages.

Black and brown persons are the majority among the poorest 

Amon blacks and browns, 13.6% were part of the 10% earning the lowest income. However, only 4.7% of them were among the 10% with the highest income. Among white persons, 5.5% were part of the 10% with the lowest income and 16.4%, part of the 10% with the highest income.

By income range, blacks and browns represented, in 2017, 75.2% of the persons with the 10% lowest income, against 75.4% in 2016. In the range of 10% with the highest increase, the participation of blacks and browns recorded increase: from 24.7%, in 2016, to 26.3%, in 2017. In spite of that increase, inequality remains high. 

Black or brown women without a partner and with children have more restrictions in terms of rights and services 

The analysis by restriction of access  to goods in several dimensions completes the monetary analysis and allows  the evaluation of restrictions of access to education, social protection, adequate housing, basic sanitation services and Internet. 

In housing units headed by black or brown women without a partner and with children up to 14 years of age, 25.2% of the residents had at least three restrictions to the dimensions analyzed. That is the group with most restrictions to social protection (46.1%) and to adequate housing (28.5%).

Access to Internet increases among people living in poverty

The proportion of the population with access to Internet in the housing unit changed from 67.9% in 2016 to 74.8% in 2017. Among the population with household income per capita below R$ 406 per month (US$ 5.5 per day), the increase was more significant, from 47.8%, in 2016, to 58.3%, in 2017.

Inequality of access between the population overall and those below the poverty line is more significant in terms of access by means of a personal computer, 40.7% versus 14.5%, than in the access by means of other equipment such as tablets, mobile telephones and television sets, 73.7% against 57.5%.

Inadequate housing affects 27 million persons

SIS showed that 27 million persons (13.0% of the population) lived in housing units with at least one of the four types of inadequacy listed. Exceptionally-high densities (a housing unit with more than three residents per bedroom) was the one affecting the biggest numer of persons: 12.2 million (5.9% of the population) in 2017.

Excessive rental expenses (when rent surpasses 30% of household income) affected 10.1 million persons (4.9%), in a context in which 17.6% of the real estate are rented. That inadequacy was more commonly observed in the Federal District (9.1%) and in São Paulo (7.1%), both of which have the highest average income the country.

In 2017, 5.4 million persons (2.6% of the population) lived in housing units without a batheroom for exclusive use. In the population with an income below R$ 406 per month (US$ 5.5 per day), 28.6% faced at least one type of household inadequacy  (versus 13.0% in the population overall).

Also among persons below that poverty line, 57.6% faced restrictions concerning at least one sanitation service (versus 37.6% in the populayion overall).

More than one-third of the population does not have access to sewage services 

In 2017, more than one third (35.9%) of the population had limited access to sewage sanitation services provided by the public sewer system. Piauí recorded the biggest proportion in the population with this restriction, 91.7%.

The absence of direct or indicrect collection affected 10.0% of the population and 15.1% of the total perons did not have water supply. A proportion of 37.6% lived in housing units where at least one of these three basic sanitation services was missing. 

In terms of the water supply system, the main restriction was that of Rondônia (54.0%). Regarding garbage collection, the highest restriction figure came from Maranhão (32.7%).

Ceará and Piauí have highest rates of access to preschool

Between 2016 and 2017, the proportion of children aged 0 to 5 attending school or daycare increasd from 50.7% to 52.9%. In the group of children aged 4 and 5, to whom school or daycare attendance is compulsory, that percentage changed from 90.2% to 91.7%, not enough to hit the universalization target set by the National Education Plan (PNE). PNE had as due date, in the case of children aged 4 and 5, the year 2016.

None of the Major Regions or Federation Units hit the universalization rate. Northeast (94.8%) and Southeast (93.0%) recorded rates above the national average and the North (85.0%) had the lowest index. Among the Federation Units, the biggest proportions of children aged 4 and 5 attending school or daycare were in Ceará (97.8%) and Piauí (97,6%), and the smallest, in Amapá (72.4%), Amazonas (77.8%) and Acre (79.5%).

The proportion of children aged 4 and attending schol or daycare in Brazil, was 87.1%. In comparison with countries in the  Organization for Economic Cooperation and Development (OECD) Brazil was immediately below the average of 88.0%, in the 27th position among 35 countries, ahead of Chile, Finland and the United States, for example.

Considering children aged 0 to 3, 32.7% were attending school or daycare in in 2017. For this age group, the target rtae of attendance to school or daycare is 50% of to the year 2024. In 2017, the North Region had the smallest percentage o school attendance in this second age group, with 16.9%. The biggest rates were those of the Southeast (39,2%) and in the South (40.0%). Amapá (6.2%), Amazonas (10.3%) and Acre (18.0%) had the lowest percentages of school attendance. the highest ones were those of Santa Catarina (46.1%) and São Paulo (46.0%).

Access to school or daycare is smaller in rural areas

The school attendance of children living in rural housing units was 43.4%; that of children living in urban housing units was 54.7%, in 2017. The disparities related to the urban/rural location are even more striking when it comes to children aged 0 to 3: for urban housing units, the rate was 35.4% and, for rural ones, 18.3%, a difference of 17.1 percentage points.

Children aged 0 to 5 in housing units where the level of schooling of the most schooled resident was incomplete primary school or an equivalent level were the ones with least attendance to school or daycare in 2017 (46.9%). Recording higher school attendance were children living in housing units where at least one of the residents had complete higher education.

Public segment covers 74.1% of preschool education

In 2017, 74.1% of the children aged 0 to 5 years of age were attending a public school or daycare. That proportion increases as the household income per capita decreases: the fifth with the lowest income holds 92.9% of the children in public school and the of the highest, 25.1%.

Attendance of private school or daycare prevailed among children aged 0 to 5 living in housing units where a resident had completed higher education: 62.9%. Among the housing units where the most schooled resident had incomplete higher education, 33.8% of the children are in the private segment. When the highest level of schooling is incomplete primary school or without instruction, 96.2% are in the public segment.

Proportion of quota enrollments tripled in the last 7 years

From 2009 to 2016, the proportion of enrollments by means of higher education quotas increased 3.5 times, having changed from 1.5% to 5.2%. In private institutions, in the same period, the proportion of enrollments by means of PROUNI rose 28.1%, with a change from 5.7% to 7.3%. So, the public segment has been the main responsible for the increase of enrollments that adopted democratization criteria of access to higher education as stated by target 12 of the National Education Plan.

With reference to bachelor courses (higher education) attended in public institutions, there was an increase from 809 thousand to 1.2 million in the total enrollments. In private institutions, in the same period, enrollments in these courses increased from 2.8 million to 3.9 million.

The proportion of students attending bachelor courses in public institutions by means of quotas tripled from 2009 to 2016, with a change from 5.6% to 22.7%, and hit 270.6 thousand enrollments in 2017.

From the total 2.84 million enrollments in the private sector in bachelor courses in 2009, 26.3% had received some type of financial support, by means of funding granted to the student, or by means of interest subsidies. In 2016, more than half (52.0%) of the 3,88 million enrollments in the private sector benefited from some type of financial support.

Rate of admission to higher education in private school is 2.2 above the rate in public schools

In 2017, considering the population with complete high school, only 43.2% went to university. Among those who finished high school in the public segment, 35.9% wen to university, versus 79.2% of those who were in the private segment. So, the rate of admission to higher education of students from private schools was 2.2 above the rate of those who had gone to public schools.

Inequality of access to higher education is also seen in terms of color and race.  In 2017, 51.5% of the White persons with complete high school went to university, whereas 33.4% of the blacks and browns under the same conditions had access to that level of schooling. The rate of admission of white persons coming from the public segment was 42.7% and that of blacks or browns in the same segment, was 29.1%. The rate of admission of white persons coming from private high school was 81.9% and that of blacks or browns, 71.6%.

Employed population records decrease of 1.1% in the last three years

Between 2012 and 2014, the number of workers in the country increased by 3.1% and then fell by 1.1% in the three years that followed. From 2012 to 2017, the four activities that lost workers were Agriculture (-15.9%), Public administration (-12.14%), Industry (-7.9%) and Construction (6.4%). Domestic services (0.7%) followed the opposite direction, having decreased by 2.9% until 2014 and an increase by 3.7% from 2014 to 2017.

From 2012 to 2017, the average monthly income usually earned by the employed population increased 2.4%, in real terms, having changed from R$ 1,992 to R$ 2,039. Public administration (14.6%), Agriculture (11.9%) and Domestic services (9.7%) were the activities that had the main increases. On the other hand, Construction (-0.7%), Trade and repair (-7.1%) and Other services (-3.8%) recorded decreases in average income.

According to the employment population ratio, Employers had the highest average income (R$5,211), and the lowest , Employees without a formal contract (R$1,158), who earned an equivalent to 56.8% do income of an Employee with a formal contract (R$ 2,038).

White persons earned 72.5% more than black or brown ones

In 2017, the White employed population (R$ 2,615) earned, on the average, 72.5% more than the black or brown population (R$ 1,516) and men (R$ 2,261) earned 29.7% more than women (R$ 1,743).

The income per hour of white persons surpassed that of black or brown persons in all levels of schooling, the biggest difference being that in higher education: R$ 31.9 per hour for white persons versus R$ 22.3 per hour for black or brown ones.

In 2017, black or brown workers had bigger insertion in activities with lowest average income: Agriculture (60.8%), Construction (63.0%) e Domestic services (65.9%). White workers had more participation in activities related to Education, health and social services (51.7%).

The average income of persons employed in the North and Northeast Regions were equivalent, respectively, to 77.0% and 69.1% of the national average.  The lowest average incomes were those of Maranhão (R$ 1,170), Piauí (R$ 1,233) and Alagoas (R$ 1,309), and the highest ones were those of the Federal District (R$ 3,805), São Paulo (R$ 2,609) and Santa Catarina (R$ 2,259).

Number of unemployed persons increased by 6.2 million between 2014 and 2017

The unemployment rate was 6.9% in 2014 and increased to 12.5% in 2017. That increase is equivalent to more 6.2 million unemployed persons between 2014 and 2017.

In this period, the unemployment ratr increased in all the areas: in the North, it changed from 75% to 11.9%; in the Northeast, from 8.5% to 14.7%; in the Southeast, from 7.0% to 13.3%; in the South, from 4.3% to 8.3% and n the Central West, from 6.0% to 10.5%.

Unemployment also increased in all the age groups. Among persons aged 14 to 29, the rate was 13.0% in 2014 and increased to 22.6% in 2017. Among persons aged 60 and over the rate had remained below 2.0% between 2012 and 2014, but surpassed 4.0% for the first time in 2017.

Throughout the time series, the unemployment rate of the black or brown population surpassed that of the wihite population, the biggest difference being recorded in 2017 (4.76 percentage points).

Women are the minority among employed persons, but the majority among the underemployed 

In 2017, women made up 43.4% of the employed population, but they were 53.2% of the underemployed populayion due to insufficient hours, that is, persons who work less than 40 hours per week, and who would like and are available to work more. 

Other groups were in similar conditions: blacks or browns made up 53.2% of the unemployed, but 65.4% of the underemployed; workers aged 14 to 29 made up 26.6% of the employed, but 34.1% of the underemployed and workers without instruction or with incomplete promary school were 27.6% of the employed and 37.7% of the underemployed.

In 2017, two out of every five workers in the country worked as informal employees  

In 2017, informal work reached 37.3 million persons, and made up 40.8% of the employed population (or two out of five workers). That figure increased by 1.2 million in 2014, when it represented 39.1% of the employed population.

Between 2015 and 2016, the proportion of informal workers remained around 39.0%. In 2017, formal employment remained on a downward trend and the number of formal jobs increased. So, the proportion of informal workers increased to 40.8%, the main highlight being the increase of categories of workers without a formal contract, 13.0 million, in 2014, to 13.5 million, in 2017) and own-account workers - non contributors (from 15.5 million, in 2014, to 16.1 million, in 2017).

In 2017, the proportion of informal workers was 59.5% in the North Region and 56.2%, in the Northeast. In the Southeast and South, those proportions were 33.8% and 29.1%, respectively.

Informal work is present in more than 2/3 of Domestic services and Agriculture

In 2017, the activities with the biggest proportions of informal workers were those of Domestic services (70.1%) and Agriculture (68.5%), that is, more than 2/3 of the employed persons in each activity. Except for Agriculture, the proportion of informal workers increased in all the other activities, from 2014 to 2017, a highlight being Construction (+4.7 percentage points), Industry (+4.4 percentage points) and Other services (+4.2 percentage points).

IAmong women, the highest informality rates were those of Domestic services (71.2%) and Agriculture (75.5%). Informal work among men, on the other hand, was predominant in Agriculture (66.8%) and Construction (63.7%).

The participation of the black or brown population in informal activities (46.9%) surpassed that of white workers (33.7%). Among the employed persons withou instruction or with incomplete primary school, the participatio of informal ones was 60.8%, versus 19.9% for those with complete higher education.