From December 2023 to February 2024, Chile’s unemployment rate increased to 8.5%, a slight increase from the previous year.
The National Institute of Statistics (INE) released this data, pointing to a growing labor market challenge.
The workforce expanded by 3.2%, just above the job growth rate of 3.1%. This small difference pushed the unemployment rate higher.
Jobs mainly grew in the retail, healthcare, education, and hospitality sectors.
The number of people without jobs increased by 4.9%, mainly due to new job seekers and those already unemployed.
Participation in the labor market was high, with 62.3% engaged, but only 57% employed. The number of people not seeking work dropped by 2.7%.
Women faced higher unemployment at 9%, compared to men at 8.1%.
Also, informal employment, which often offers less security, comprised 27.4% of jobs, slightly more than before.
This reflects the critical importance of creating more and better jobs in Chile.
Reducing unemployment is not just about reducing figures; it’s about ensuring people have stable, rewarding jobs.
Hiring sectors reveal opportunities, underscoring the need to align the expanding workforce with quality jobs to combat unemployment and support economic stability and growth.
Background
Chile’s labor market, shaped by global trends and technological changes, has traditionally leaned on sectors like mining and agriculture.
External factors’ impact on these sectors has driven efforts to diversify the economy, with sectors like retail and healthcare offering new jobs.
The large informal workforce, without job security or benefits, necessitates policies for formal job creation and better conditions.