Brazil Job Creation Slows in May

Brazil created 72,960 formal jobs in May 2026, below April’s 85,888, marking the lowest level of job creation in 2026 so far. The result reflected 2.21 million hires and 2.13 million layoffs during the month. In the first five months of the year, Brazil generated 767,326 formal jobs, lifting the total stock of formal employment to 47.88 million. Services led job creation with 45,655 new positions, followed by construction (+12,096), agriculture (+10,205), and industry (+4,974), while commerce was broadly flat with just 40 net jobs. Regionally, 22 of Brazil’s 27 states posted positive job balances, led by São Paulo (+18,224), Espírito Santo (+9,532), and Rio de Janeiro (+9,195). Meanwhile, the average starting salary fell to R$2,384.10 in May from R$2,402.07 in April.

Brazil created 85,888 formal jobs in April 2026, falling short of forecasts for 230 thousand and marking the smallest monthly gain since last November. The figure reflects the net difference between 2.27 million hires and 2.18 million layoffs during the month. Services led employment growth with 69,601 new positions, followed by construction (+23,525) and industry (+9,256), while commerce shed 26,614 jobs. Agriculture also posted a modest gain of 6,760 jobs, driven by coffee and apple cultivation. Regionally, 24 of Brazil’s 27 states recorded positive job balances, led by São Paulo with 20,202 new jobs, followed by Rio de Janeiro (+11,741) and Minas Gerais (+8,991). The stock of formal employment relationships was revised to 47.81 million after an update to the RAIS database. Meanwhile, the average real starting salary rose to BRL 2,386.56 in April from BRL 2,369.88 in March and was 1.8% higher than a year earlier.

Brazil created 255,321 jobs in February 2026, up from 112,334 net payrolls in January and the highest since February 2025. There were 2,381,767 hires and 2,126,446 layoffs. By sector, all five major activity groups posted gains: services up 177,953, general industry up 32,027, construction up 31,099, agriculture up 8,123, and commerce up 6,127. By region, all five Brazilian regions showed positive balances, with the Mid-West recording the highest percentage increase at 0.89%. By state, 24 of 27 posted gains, led by São Paulo up 95,896 (0.66%), Rio Grande do Sul up 24,392 (0.84%), and Minas Gerais up 22,874 (0.46%). By demographics, women accounted for 155,064 new jobs and men for 100,257. People aged 18–24 led with 116,925 jobs. Those with high school education gained 162,295 positions. People earning 1–1.5 minimum salaries added 169,007 jobs.