São Paulo retail labor turnover hits highest level since 2022

Retail labor turnover in the state of São Paulo reached its highest level since 2022. According to data from the Federation of Trade in Goods, Services, and Tourism of the State of São Paulo (FecomercioSP), the turnover rate relative to active jobs reached over 63% in the 12 months leading up to June.

This represents a significant increase from the 51% rate recorded in 2022. For every 100 formal jobs in the state's retail sector, 63 underwent changes within the last year.

Analysts note that this high turnover presents a direct financial challenge for companies. Increased turnover leads to higher expenses related to terminations, such as severance and FGTS fines, as well as costs for new recruitment processes and initial employee training. Additionally, companies face invisible costs during the period required for new hires to reach full productivity.