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Agência Brasil · G. Rok ·

Labor Market Hits Record with Unemployment at 5.3% in Quarter to August

IBGE's Continuous PNAD reveals lowest unemployment rate since 2012, with 103.5 million employed and rising wage bill.

Labor Market Hits Record with Unemployment at 5.3% in Quarter to August

Employment Performance Exceeds Expectations

Brazil's unemployment rate fell to 5.3% in the quarter ended August, the lowest level recorded by the IBGE historical series that began in 2012. The result beat market projections and came below the 5.6% seen both in the previous quarter and in the same period of 2025.

Employed Population Reaches New Peak

The number of people with jobs reached 103.5 million, up 0.8% from the quarter to May, representing 774 thousand new positions. The sectors that contributed most were industry, with 2% growth, and construction, which advanced 4.1%.

Formal Employment and Informality

Earnings and Total Payroll Rise

Average monthly earnings stood at R$ 3,777. Total payroll reached R$ 385.6 billion, the highest value in the series, with a 1.4% expansion in the quarter and 4.8% over twelve months.

Social Security Contributors Hit Record

For the first time, 68.5 million workers contribute to Social Security, equivalent to 66.2% of the employed population. This guarantees access to benefits such as retirement and survivors' pensions.

Survey Methodology

IBGE's Continuous PNAD interviews 211 thousand households across the country and considers people aged 14 or older employed, regardless of contract type. Only those who sought work in the previous 30 days are counted as unemployed.

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