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Quarterly Continuous PNAD: unemployment retreats in 7 out of 27 FUs in Q3 2024

November 22, 2024 09h00 AM | Last Updated: November 25, 2024 11h21 AM

The Brazilian  unemployment rate was 6.4% in the third quarter of 2024, retreating 0.5 percentage points (p.p.) against the second quarter of 2024 (6.9%) and dropping 1.3 p.p. against the same quarter in 2023 (7.7%). Compared with the previous quarter, the unemployment rate retreated in seven out of 27 Federation Units (FUs), remaining stable in the other 20. The highest rates were in Pernambuco (10.5%), Bahia (9.7%), Federal District (8.8%) and Rio Grande do Norte (8.8%), and the lowest ones, in Santa Catarina (2.8%), Mato Grosso (2.3%) and Rondônia (2.1%).

The unemployment rate by sex was 5.3% for men and 7.7% for women in the third quarter of 2024. The unemployment rate by color or race was below the national average for white persons (5.0%) and above for blacks (7.6%) and browns (7.3%).

The unemployment rate for persons with incomplete secondary education (10.8%) exceeded the rates of other levels of schooling.  Among persons with incomplete higher education, the rate was 7.2%, more than twice as that of persons with a higher education degree (3.2%).

In the third quarter of 2024, the composite underutilization rate of the workforce (percentage of unemployed persons, time-related underemployed persons and in the potential workforce in relation to the extended workforce) was 15.7%. Piauí (33.8%) recorded the highest rate, followed by Bahia (28.6%) and Alagoas (26.5%). The lowest underutilization rates were those of Santa Catarina (5.1%), Rondônia (5.5%) and Mato Grosso (7.6%).

In the third quarter of 2024, 1.5 million persons were looking for a job during two years or more. This contingent reduced by 20.4% against the third quarter of 2023, when 1.8 million persons were looking for a job for two years or more.

The percentage of discouraged persons (against the population in the workforce or discouraged) was 2.7% in the third quarter of 2024. Alagoas (9.7%), Maranhão (9.5%) and Piauí (8.3%) had the highest percentages of discouraged persons, whereas the lowest ones were in Santa Catarina (0.3%), Mato Grosso (1.0%), Paraná (1.0%) and Rio de Janeiro (1.0%).

Among those employed in the private sector, the percentage of those with a formal contract was 73.1% in Brazil. The highest percentages of those employed with a formal contract were in Santa Catarina (87.3%), Paraná (81.6%) and São Paulo (81.0%), and the lowest ones, in Piauí (49.2%) Maranhão (52.6%) and Pará (54.3%).

The percentage of the self-employed population in the country was 24.6%.  The highest percentages were in Rondônia (33.6%), Amapá (32.6%) and Maranhão (30.7%), whereas the lowest ones were in Tocantins (19.9%), Mato Grosso do Sul (20.4%) and Federal District (20.4%).

The informality rate for Brazil was 38.8% of the employed population. The highest rates were in Pará (56.9%), Maranhão (55.6%) and Piauí (54.5%), whereas the lowest ones were in Santa Catarina (26.8%), Federal District (30.2%) and São Paulo (30.6%).

The usual monthly real average earnings was R$3,227, remaining stable in relation to the second quarter of 2024 (R$3,239) and increasing over the third quarter of 2023 (R$3,112).

In the quarter, the average earnings remained stable in all the Major Regions. In the annual comparison, it rose in the Northeast (R$2,216), Southeast (R$3,656) and South (R$3,577), remaining stable in the Central-West (R$3,683) and North (R$2,482).

Unemployment rate, by Federation Unit, against the previous quarter (%) - Q3 2024

FU Q2 2024 Q3 2024 status
Rio Grande do Norte 9.1 8.8
Federal District 9.7 8.8
Sergipe 9.1 8.4
Amapá 9.0 8.3
Amazonas 7.9 8.1
Piauí 7.6 8.0
Paraíba 8.6 7.8
Alagoas 8.1 7.7
Maranhão 7.3 7.6
Acre 7.2 7.4
Pará 7.4 6.9
Ceará 7.5 6.7
Roraima 7.1 6.2
São Paulo 6.4 6.0
Goiás 5.2 5.1
Tocantins 4.3 5.0
Minas Gerais 5.3 5.0
Espírito Santo 4.5 4.1
Paraná 4.4 4.0
Mato Grosso do Sul 3.8 3.4
Santa Catarina 3.2 2.8
Brazil 6.9 6.4
Rio Grande do Sul 5.9 5.1
Pernambuco 11.5 10.5
Mato Grosso 3.3 2.3
Rio de Janeiro 9.6 8.5
Rondônia 3.3 2.1
Bahia 11.1 9.7

Piauí has highest underutilization rate (33.8%) and Santa Catarina, the lowest one (5.1%)  

The composite underutilization rate of the workforce was 15.7% in the third quarter of 2024. Piauí (33.8%) recorded the highest rate, followed by Bahia (28.6%) and Alagoas (26.5%). The lowest underutilization rates were those of Santa Catarina (5.1%), Rondônia (5.5%) and Mato Grosso (7.6%).

Composite underutilization rate of the workforce by FU (%) - Q3 2024

Rondônia has the highest proportion of self-employed workers (33.6%) and Tocantins, the lowest one (19.9%) 

The percentage of the self-employed population in the country was 24.6%. The highest percentages were in Rondônia (33.6%), Amapá (32.6%) and Maranhão (30.7%), and the lowest ones, in Tocantins (19.9%), Mato Grosso do Sul (20.4%) and Federal District (20.4%).

Percentage of self-employed persons, by Federation Unit (%) - Q3 2024

The lowest percentage of workers with a formal contract is in Piauí (49.2%), and the highest one, in Santa Catarina (87.3%) 

Among those employed in the private sector in Brazil, 73.1% had a formal contract in the third quarter of 2024. Among the Federation Units, the highest percentages of those employed with a formal contract in the private sector were in Santa Catarina (87.3%), Paraná (81.6%) and São Paulo (81.0%), and the lowest ones, in Piauí (49.2%), Maranhão (52.6%) and Pará (54.3%).

Percentage of persons WITH a formal contract among workers in the private sector, by FU (%) - Q3 2024

Earnings remain stable in all the regions against the previous quarter

Compared with the second quarter of 2024, the real average earnings of the employed population remained stable in all the Major Regions. In the annual comparison, the Northeast (R$2,216), Southeast (R$3,656) and South (R$3,577) rose, remaining stable in the North (R$2,482) and Central-West (R$3,683). 

The real average wage bill of all jobs was estimated at R$327.7 million, remaining stable in relation to the previous quarter (R$325.2 million) and growing against the third quarter of 2023 (R$305.8 million). 

The Southeast Region showed the highest real wage bill (R$167.3 million) in the third quarter of 2024. The wage bill grew only in the South Region in relation to the second quarter of 2024, reamaining stable in the other regions.

Pará has the highest informality rate (56.9%) and Santa Catarina, the lowest one (26.8%) 

The informality rate for Brazil was 38.8% of the employed population.  The highest rates were in Pará (56.9%), Maranhão (55.6%) and Piauí (54.5%), whereas the lowest ones were in Santa Catarina (26.8%), Federal District (30.2%) and São Paulo (30.6%). 

In order to calculate the proxy of the employed population’s informality rate, the following populations are considered: workers in the private sector without a formal contract; domestic workers without a formal contract; employers without a CNPJ number; self-employed workers without a CNPJ number; and auxiliary family workers.

Informality rate of the employed population, by FU (%) - Q3 2024

Unemployment retreats more than 10% in all the ranges of time searching for work 

In the third quarter of 2024, the contingents of unemployed persons of the four ranges of period of job search analyzed by the Continuous PNAD reduced more than 10% against the same quarter in the previous year, as shown in the following table.  

Moreover, the number of persons who looked for a job for two years or more retreated to 1.5 million, reaching the lowest number of unemployed persons in this range for a third quarter since 2014. Although it had fallen 20.4% against the third quarter of 2023, this contingent was still 1.0% above the total number of persons looking for a job for two years or more in the third quarter of 2012, the first year of the time series of the Continuous PNAD.