Unemployment Falls in Brazil. Shrinking of Economically Active Population Helps.

The encouraging results of the National Employment Survey, announced by the Brazilian Institute of Geography and Statistics (IBGE), can be explained by the creation of a record number of job market openings and the decline in the growth of the Economically Active Population (PEA).

This is the view of Marcelo de ívila, an economist at the Institute of Applied Economic Research (IPEA), an organ linked to the Ministry of Planning.

The unemployment rate in December was determined to be 8.3%, the lowest since 2002. In ívila’s opinion, the reason for December’s positive figures is not simply the seasonal factor, which leads to the hiring of more people around Christmastime.

"It is certainly true that there is a large number of temporary workers at the end of the year, but that is not the reason for the drop in unemployment," he said.

ívila attributes the drop, first of all, to the record number of job openings in December: 107,000. In addition, the population comprising the active age bracket, working or not, forming what is referred to as the PEA, grew far more slowly in 2005: 1.1%, compared with 2.2% in 2004. The economist expects the unemployment rate to remain below 10% in 2006.

In ívila’s view, the tendency is for the job market to improve this year, since it shows signs of the quantitative component evidenced in 2004 in terms of employment levels and the qualitative component that showed growth in 2005.

"More formal jobs were created, and with better remuneration. I think that these two ingredients will mix in 2006, improving conditions for workers and those who are unemployed. Consequently, there will be economic growth, including highly positive results for the GDP (Gross Domestic Product)," he judged.

Agência Brasil

Tags:

You May Also Like

Brazil: When El Dorado Was Here

The food arrived on the steamships from Europe and North America. Trade between Manaus ...

Brazilian Scientist Develops in California Technique to Reduce Dengue Mosquitoes

A method developed by a Brazilian researcher at the University of California, Irvine, Dr ...

Europe and Latin America in Brazil Discussing Information

Today and tomorrow, November 22 and 23, Rio de Janeiro, Brazil, is hosting the ...

We Love Chopin

In Brazilian politics today, it is not the rustic landowner from Bahia that rises ...

Will the US Ever Comply with the WTO? Brazil Wants to Know.

The United States has still not complied with a World Trade Organization ruling that ...

Another Brazilian Minister Bites the Dust Accused of Corruption

The wave of corruption shell shocking the Brazilian government reached Communications Minister Luiz Gushiken ...

Brazil's Computers for All program uses free software

Brazil’s Computers for All Program Gets 50,000 Linux Machines

Computers for All, a program from the Brazilian federal government whose goal is to ...

Defending the Amazon

Cavalcanti is the author of three projects proposing a referendum, as the Constitution determines, ...

Presidents Chavez, Kirchner and Lula

Brazil’s Lula Swings Through Chile and Argentina Under Chavez’s Shadow

Luiz Inácio Lula da Silva, the president of Brazil is scheduled to visit Argentina ...

Brazil Recognizes There’s Still a Long Way to Include Indians in Society

The executive secretary of Brazil’s Ministry of Justice, Luiz Paulo Barreto, participated, Tuesday, March ...