Overview of the Job Market in April
In April, the job market maintained its pace of job creation, albeit more moderately, with the addition of 165,841 individuals to the employed population. However, the impetus behind job generation in the early second quarter of the year was linked to a deterioration of labor conditions, primarily due to the concentration in informality and underemployment, according to the National Occupation and Employment Survey (ENOE).
Informality and Formal Job Reduction
Practically all job growth at the start of the second quarter was concentrated in informality, which increased by 258,756 occupied individuals. Meanwhile, formal employment decreased by 92,915.
Rising Informality Rate
As a result, the informality rate increased from 54.4% to 54.7%, the highest level since November 2023.
Unemployment and Subemployment
In line with the rise in the employed population, 202,957 more individuals joined the unemployed, causing the unemployment rate to rise from 2.2% to 2.5% compared to the previous month. Despite this, it remains below its level at the beginning of the year.
Another crucial indicator that worsened in April was the subemployment rate, which increased from 6.6% to 7.1%, the highest figure recorded so far this year. Also known as subemployment, it includes individuals who need to offer more work hours than the labor market guarantees.
Key Questions and Answers
- Q: What was the job market’s performance in April? A: The job market maintained its pace of job creation, adding 165,841 individuals to the employed population, though more moderately.
- Q: What drove the job growth in April? A: The job growth was primarily driven by informality and underemployment, with a concentration in informal jobs and a decrease in formal employment.
- Q: How did the informality rate change in April? A: The informality rate increased from 54.4% to 54.7%, the highest level since November 2023.
- Q: What happened to the unemployment rate in April? A: The unemployment rate rose from 2.2% to 2.5%, with 202,957 more individuals joining the unemployed.
- Q: How did subemployment fare in April? A: The subemployment rate increased from 6.6% to 7.1%, the highest figure recorded so far this year.
