Brazil creates almost 400,000 formal jobs, twice the expected

Data from Brazil’s Economy Ministry shows that the country created 394,989 net formal jobs in October. The result is almost twice as many as market analysts expected, and was the highest number for a month of October since 1992. 

The annual figures for net jobs in 2020 still stands at negative 171,139, which, considering the magnitude of the coronavirus crisis, is seen as a manageable result. Moreover, the holiday season is expected to create a boom in hires, barring the emergence of a second coronavirus wave in Brazil.

However, the rally in formal jobs does not reflect the situation of the job market as a whole, as informal labor makes up a huge part of the Brazilian economy and was hard hit by the pandemic. Official data shows unemployment rates sitting around 14.4 percent.

• #recession
• #unemployment