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Continuous PNAD: unemployment rate is 14.6% and labor underutilization rate is 30.3% in the quarter ended in September

November 27, 2020 09h00 AM | Last Updated: November 30, 2020 05h46 PM

The unemployment rate (14.6%) in the quarter from July to September 2020 was the highest in the time series started in 2012, growing 1.3 percentage points (pp) in relation to the quarter from April to June (13.3 %) and 2.8 pp compared to the quarter from July to September 2019 (11.8%).

The unemployed population (14.1 million persons) rose 10.2% (1.3 million more persons) compared to the 2nd quarter (12.8 million) and rose 12.6% (1.6 million more persons) ) compared to the same quarter of 2019 (12.5 million).

The employed population (82.5 million) reached the lowest level in the time series and fell 1.1% (880 thousand less) compared to the previous quarter and 12.1% (11.3 million less) compared to the same quarter of 2019 .

The employment-to-population ratio (47.1%) was the lowest in the series, falling 0.8 pp compared to the previous quarter and 7.7 pp against the same quarter of 2019.

The composite rate of labor underutilization (30.3%) is a record in the series, rising 1.2 p.p. in relation to the 2nd quarter (29.1%) and 6.3 p.p. compared to the same quarter of 2019 (24.0%).

The underutilized population (33.2 million persons) rose 3.9% (1.2 million more) compared to the previous quarter and 20.9% (5.7 million more) against the same quarter of 2019.

The population in the workforce (96.5 million persons) was stable compared to the previous quarter and fell 9.2% (9.8 million less persons) compared to the same quarter of 2019.

The population out of the workforce (78.6 million) reached the highest level in the time series, with increases of 1.0% (more 785 thousand persons) compared to the previous quarter and 21.2% (more 13.7 million) compared to the same quarter of 2019.

The discouraged population (5.9 million) is a record in the series, up 3.2% (183 thousand more persons) compared to the previous quarter and 24.7% (over 1.2 million persons) compared to the same quarter 2019.

The percentage of the discouraged in the population in the workforce or simply the discouraged (5.7%) was stable compared to the previous quarter and increased 1.5 pp against the same quarter of 2019.


The number of employees with a formal contract in the private sector (excluding domestic workers), estimated at 29.4 million, fell 2.6% (788 thousand less persons) compared to the previous quarter and 11.2% (3.7 million less) compared to the same quarter of 2019.

The number of employees without a formal contract in the private sector (9 million) increased 4.3% (374 thousand more persons) compared to the 2nd quarter and 23.9% (2.8 million less) compared to the same quarter of 2019.

The number of self-employed workers (21.8 million) changed by 0.6 (119 thousand more) compared to the previous quarter and fell 10.8% (2.6 million less persons) compared to the same period in 2019.

The number of domestic workers (4.6 million) fell by 2.2% (102 thousand less persons) compared to the previous quarter and 26.5% (minus 1.7 million persons) compared to the same quarter of 2019 (4.2 %).

The informality rate reached 38.4% of the employed population (or 31.6 million informal workers). In the previous quarter, the rate was 36.9% and, in the same quarter of 2019, 41.4%.

The average usual real earnings (R$ 2,554) in the quarter ended in September was statistically stable compared to the previous quarter (R$ 2,519) and rose 8.3% against the same quarter of 2019 (R$ 2,359).

The usual real wage bill (R $ 205.3 billion) was stable compared to the previous quarter and fell 4.9% (minus R $ 10.6 billion) in relation to the same quarter of 2019.

Indicator/Period Jul-Aug-Sept 2020 Apr-May-Jun 2020 Jul-Aug-Sept 2019
Unemployment rate
14.6% 13.3% 11.8%
Labor underutilization rate
30.3% 29.1% 24.0%
Usual real earnings (R$) 2,554 2,519 2,359
Cjnage of the ususla real earnings in relation to:
1.4% (stable) 8.3%

In the groups of activity, compared to the previous quarter, employment increased in: Agriculture, livestock, forestry, fishing and aquaculture (3.8%, or 304 thousand more persons) and Construction (7.5%, or 399 thousand more persons). There were reductions in Transportation, storage and mailing (5.2%, or 227 thousand less persons) and Public administration, defense, social security, education, human health and social services (3.7%, or 616 thousand less persons). In the other groups, there was no statistically significant change.

Unemployment rate - Brazil - 2012-2020 (%)

Compared to the same quarter of 2019, there were reductions in employment in Industry (12.2%, or 1.5 million less persons), Construction (16.6%, or 1.1 million less persons), Trade, repair of motor vehicles and motorcycles (13.5%, or less 2.4 million persons), Transportation, storage and mailing (15.5%, or less755 thousand less persons), Lodging and food (29.9%, or 1 6 million less persons), Information, Communication and Financial, Real Estate, Professional and Administrative Activities (6.5%, or 688 thousand less persons), Other Services (20.8%, or 1.0 million less persons) and Domestic services (26.5%, or 1.7 million less persons). In the other two groups, there was no statistically significant change.

The potential workforce (12.8 million persons) fell 4.9% (665 thousand less persons) compared to the previous quarter and increased 63.1% (5 million more persons) compared to the same quarter of 2019.

The number of time-related underemployed persons (6.2 million) increased 10.6% compared to the previous quarter (597 thousand more persons) and fell in relation to the same quarter of 2019 (-11.8% or 834 thousand less persons)

Compound labor underutilization rate - quarters from July to September - 2012 to 2020 - Brazil (%)

 

The number of employers (3.6 million persons) was stable compared to the previous quarter and decreased by 11.6% compared to the same quarter of 2019 (509 thousand less persons).

The category of employees in the public sector (11.8 million persons), which includes statutory and military employees, fell compared to the previous quarter (-4.3% or 532 thousand less persons) and remained stable in relation to the same quarter of 2019 .

The average usual real earnings from the main job, according to the groups of activity and in relation to the April-June 2020 quarter, showed an increase in: Information, Communication and Financial, Real Estate, Professional and Administrative Activities (7.6%, or + R$ 255) and Public administration, defense, social security, education, human health and social services (3.2%, or + R$ 114). There was a reduction in the following groups: Construction (5.6%, or - R$ 110); Other services (6.9%, or - R$ 132) and Domestic services (2.7%, or - R$ 25).

Compared to the same quarter of 2019, income increased in: Agriculture, livestock, forestry, fishing and aquaculture (7.5%, or + R$ 100); Industry (13.2%, or + R$ 308); Trade, repair of motor vehicles and motorcycles (6.8%, or + R$ 128); Information, Communication and Financial, Real Estate, Professional and Administrative Activities (7.8%, or + R$ 261) and Public Administration, defense, social security, education, human health and social services (5.1%, or + R$ 179). The other groups did not show significant change.

The analysis of the average usual real earnings from the main job, according to employment type, compared to the April-June 2020 quarter, showed an increase in the categories: Employed in the public sector (including statutory and military servants) (3.8%, or + R$ 145) and Employer (6.6%, or + R$ 417). There was a reduction for domestic workers (2.7%, or - R$ 25) and stability in the other categories.

Compared with the quarter of July to September 2019, there was an increase in the categories: Employee with a formal contract (3.4%, or + R$ 76); Employee without a formal contract (15.6%, or + R$ 225); Employed in the public sector (including military and statutory servants) (5.2%, or + R$ 195); Employer (12.6%, or more R $ 756) and Self-employed (5.0%, or + R$ 85). The other categories showed stability.