Brazilian Economy Outlook
Brazilian labor market is in good shape
Despite the moderate pace in economic activity in 2011, the labor market remained robust, highlighted by the decline
in the annual average unemployment rate to 6.0%.
It is well known that changes in activity in the labor market occur with some time lag compared with changes in
production, but recent data have not shown unfavorable signs at the margin. According to IBGE, the Brazilian Bureau
of Statistics, the unemployment rate stood at 5.7% in February 2012, a record low for the month. It is a much better
situation than that of the labor market in the world’s largest economies.
The Brazilian Government is still very focused on fostering growth with social and productive inclusion. The expansion
of the conditional cash transfer program “Bolsa FamÃlia” plays an important role in that matter and it is now part of
the “Brazil without Poverty” Plan, which aims at improving the income and well-being of the very poorest. It means
tracking these families and including them in the social safety net.
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Brazilian Economy Outlook
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