As we explained in our March 20 Daily Briefing and March 23 Weekly Report, experts have grim forecasts for the Brazilian economy heading into a coronavirus-related recession. Estimates for post-outbreak Brazil range from 20 million people out of work to up to 40 million. Total unemployment currently stands at 11.9 million.
Let that sink in. Brazil could have 40 million unemployed workers.
On Sunday evening, President Jair Bolsonaro signed a provisional decree (MP 927) that made workers’ conditions even more fragile, allowing companies to suspend workers’ contracts—with no pay—for up to four months.