Brazilian unemployment rate fell to 8.9% in July, the lowest level since July 2015

There are currently more than 100 million employed Brazilians in the country. In July, the total number of employed persons increased by 7.5% to 100.2 million.

The unemployment rate fell for the 14th consecutive month, reaching 8.9% in July, the lowest level since July 2015.

Calculations by the Institute for Applied Economic Research (Ipea) also show that the number of unemployed fell by almost 30% between July 2021 and July this year.

There are 4 million fewer unemployed, from 13.6 million to 9.7 million.

The increase in employment occurred mainly among young and older people, who are the most affected in times of crisis, with double-digit growth rates.

The sharpest drop in unemployment was among those employed in higher education, where an increase of 4.1% was recorded.

The Ipea indicators of underemployment and discouragement also confirm the improvement in the Brazilian labor market.

They also point to some segments that were severely affected during the Covid 19 pandemic: Housing, Food, and Personal Services.

Ipea researcher Maria Andrea Lameiras expects further improvements in the labor market by the end of this year, mainly because of the prospect of higher GDP in 2022.

“In the coming months, this improvement will tend to continue, even if the growth rate of employment and the speed at which unemployment is falling slow down a bit, these two movements will continue.

All growth forecasts for the Brazilian economy in 2022 are being revised upward. And we know that only in a growing economy will we create jobs and bring down the unemployment rate. And that is what we are currently experiencing.

He explained that we are in a period of economic growth, which will continue to affect the labor market,” he explained.