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[BUSINESS] · Brazil · 95 sources

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Brazil unemployment rate hits 5.3% as employment reaches record high

Brazil's labor market showed significant strength in the quarter ending in August, with the unemployment rate falling to 5.3%, the lowest recorded for this period since the IBGE series began in 2012. The number of employed people reached a record high of 103.5 million, an increase of 774,000 compared to the previous quarter.

Formal employment also reached historic milestones. The number of private sector employees with formal contracts hit a record 39.5 million. Data from Caged indicated that 165,827 formal jobs were created in August alone, a 183.1% increase compared to July.

While the indicators are positive, structural challenges remain. The informal labor rate stood at 37.5%, representing approximately 38.8 million workers. Economic analysts noted that while employment is rising, the growth is partly driven by informality, and high interest rates continue to pose challenges for broader economic activity.

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Brazil · Caged · IBGE · Ministry of Finance · Ministry of Labor and Employment · Pnad Contínua

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