Continuous PNAD: unemployment rate is 12.6% and underutilization rate is 25.6% in quarter ending in April 2020

May 28, 2020 09h00 AM | Last Updated: May 29, 2020 01h02 PM

The unemployment rate (12.6%) in the moving quarter ended in April 2020 increased 1.3 percentage points in relation to the quarter from November 2019 to January 2020 (11.2%) and remained statistically stable in relation to the same quarter of 2019 (12.5%).

Indicator/Period Feb-Mar-Apr2020 Nov-Dec-Jan 2020 Feb-Mar-Apr 2019
Unemployment rate 12.6% 11.2% 12.5%
Underutilization rate 25.6% 23.2% 24.9%
Usual real earnings R$2,425 R$2,378 R$2,366
Change of the usual real earnings in relation to: 2.0% 2.5%

 

The unemployed population (12.8 million persons) rose 7.5% (more 898 thousand persons) against the previous moving quarter (11.9 million persons) and remained statistically stable in relation to the same quarter of 2019 (13.2 million persons).

The employed population (89.2 million) dropped 5.2% over the previous quarter (less 4.9 million persons) and 3.4% (less 3.1 million persons) in relation to the same quarter of 2019. Both drops were records in the time series.

The employment-population ratio – percentage of employed persons in the population at working age – fell to 51.6%, the lowest figure in the time series started in 2012, with a reduction of 3.2 p.p. against the previous quarter (54.8%) and of 2.6 p.p. over the same quarter of 2019 (54.2%).

The compound rate of labor underutilization (25.6%) was a record in the time series, growing 2.5 p.p. in relation to the previous quarter (23.2%) and 0.7 p.p. over the same quarter of 2019 (24.9%).

The underutilized population (28.7 million persons) was a record in the time series, growing 8.7% (more 2.3 million persons) against the previous quarter (26.4 million persons) and remaining statistically stable over the same quarter of 2019 (28.4 million persons).

The population out of the workforce (70.9 million persons) hit a new record in the time series started in 2012, with rises of 7.9% (more 5.2 million persons) in relation to the previous quarter and of 9.2% (more 6.0 million) over the same period of 2019.

The discouraged population (5.0 million) was a record in the time series, increasing 7.0% in relation to the previous quarter and remaining stable in relation to the same period of 2019. 

The percentage of discouraged persons in relation to the workforce or discouraged population (4.7%) was also a record, rising 0.5 percentage points in relation to the previous quarter (4.2%) and 0.3 p.p. compared with the same quarter last year (4.4%).

The number of persons employed with a formal contract in the private sector – excluding domestic workers – fell to 32.2 million persons, the lowest level in the time series, dropping 4.5% against the previous quarter and 2.8% against the same quarter of 2019.

The number of employed persons without a formal contract in the private sector (10.1 million persons) dropped 13.2% in relation to the previous and 9.7% against the same quarter of 2019.

The number of self-employed workers fell to 23.4 million persons, a reduction of 4.9% in relation to the previous quarter and of 2.1% against the same period of 2019.

The informality rate hit 38.8% of the employed population, representing a contingent of 34.6 million informal workers, the lowest one in the time series started in 2016. This rate had been 40.7% in the previous quarter and 40.9% in the same quarter last year.

The usual real earnings (R$2,425) rose 2.0% over the previous quarter and 2.5% in relation to the same quarter of 2019. In contrast, the usual real wage bill (R$211.6 billion) retreated 3.3% over the previous quarter (R$218.9 billion) and remained statistically stable against the same period of 2019 (R$213.3 billion).

Unemployment rate (%) - Brazil - 2012-2020 (%)

In the activity groups, employment rose only in the group of Public Administration, Defense, Social Security, Education, Human Health and Social Services against the previous quarter.

On the other hand, seven activities decreased: Industry (-5.6%), Construction (-13.1%), Trade and Repair of Vehicles (-6.8%), Transportation, Storage and Mailing (-4.9%), Housing and Food (-12.4%), Other Services (-7.2%) and Domestic Services 
(-11.6%).

Also only the group involving Public Administration (2.9%) increased over the same quarter of 2019. In this comparison, the drops were: Industry (-2.9%), Construction (-10.2%), Trade and Repair of Vehicles (-4.5%), Housing and Food (-9.3%) and Domestic Services (-10.1%).

Estimated at 102.1 million persons, the workforce – employed and unemployed persons – dropped 3.8% (less 4.0 million persons) compared with the previous quarter and recorded a reduction of 3.5 million persons in relation to the same period of 2019.

The number of employers (4.2 million persons) retreated 5.1% (less 226 thousand persons) over the previous quarter, though it remained statistically stable in relation to the same quarter of 2019.

Estimated at 5.5 million persons, the category of domestic workers reduced 11.8% when compared with the previous quarter and 10.1% against the same period a year ago.

The group of those employed in the public sector (11.9 million persons), which includes statutory servants and the military, rose 3.3% (more 379 thousand persons) against the previous quarter and 3.9% (more 442 thousand persons) compared with the same period last year.

The number of time-related underemployed persons (6.1 million) retreated 7.6% against the previous quarter (less 501 thousand persons) and 12.8% over the same period of 2019, when 7.0 million persons were underemployed in Brazil.

Compound underutilization rate – quarters from February to April – 2012-2020 - Brazil (%)

Concerning the usual real average earnings, all the activity groups remained stable both in the comparison with the previous quarter and in relation to the same period a year ago.

Among the categories, the usual real average earnings of the persons employed with a formal contract (3.2%) increased and that of those employed in the public sector (-2.4%) dropped over the previous quarter. The category of those employed without a formal contract increased in relation to the same period last year.

Usual real monthly average earnings, earned in the reference month, from all jobs of employed persons - Brazil - 2012/2020 - (R$)