Over the last ten years, Brazilian industry has seen a decline in jobs of 8.6%

The Brazilian Institute of Geography and Statistics (IBGE) has reported that the Brazilian industry lost 758,600 jobs, equivalent to an 8.6% decrease, between 2012 and 2021.

Wages in the sector also experienced a decline during the same period.

The majority of job losses were observed in the transformation industry, which saw a reduction of 749,300 jobs, while the extractive industry lost 9,300 jobs.

The IBGE highlighted three activities that accounted for over half of the job losses.

The manufacturing of clothing articles and accessories saw a decline of 193,200 jobs, the manufacturing of motor vehicles, trailers, and bodywork experienced a reduction of 110,800 vacancies, and the manufacturing of metal products (excluding machinery and equipment) lost 110,200 jobs.

In 2021, the Brazilian industry employed 8.1 million individuals, with 97.4% of them working in the transformation industries.

However, the IBGE also noted a recovery in employment in the shorter term.

Between 2020, the year with the highest mobility restrictions and significant economic contraction due to the pandemic, and 2021, there were 407,700 new jobs, representing a growth of 5.3%.

In terms of wages, the average monthly salary in the sector declined from 3.4 minimum wages to 3.1 minimum wages.

Throughout the period, the average wage in the extractive industries remained higher than that of the manufacturing industry.

Among specific industrial segments, the IBGE highlighted oil and natural gas extraction with an average wage of 20.1 minimum wages in 2021, support activities for mineral extraction with 9.6 minimum wages, and the manufacturing of coke, petroleum products, and biofuels with an average of 6.8 minimum wages.

The report also revealed an increase in industrial concentration among the eight largest companies, rising from 22.5% to 27.3% of the Gross Value of Industrial Production.