Chile Unemployment Rate Edges Higher

Chile’s unemployment rate rose to 9.5% in the May-July 2026 rolling quarter, slighly up from 9.4% in the previous period. The number of unemployed people increased 10.4%, driven by both those who had previously worked and first-time jobseekers. The participation and employment rates declined to 61.7% and 55.9%, respectively. Unemployment reached 10.3% among women, up 0.6 percentage points, and 8.9% among men, up 1 percentage point. The employment decline was driven by information and communications (-14.6%), education (-3.3%), and manufacturing (-2.7%). Meanwhile, the informal employment rate rose 0.5 percentage points to 26.5%.

Chile's unemployment rate stood at 9.4% in the April-June 2026 period, unchanged from the previous rolling quarter and in line with market expectations. The reading remained at its highest level since the quarter ending June 2021. The labor force increased 1.5% year-on-year, while the labor force participation rate edged down to 62.3% from 62.4%, as the number of unemployed eased slightly to 980 thousand. Meanwhile, employment rose 0.9% from a year earlier to 9.403 million, although the employment rate edged down to 56.4% from 56.5% in the previous period. Job creation was primarily driven by gains in transportation (6.8%), administrative and support service activities (12.9%), and human health activities (5.1%).

Chile's unemployment rate rose to 9.4% in the March–May 2026 period, up from 8.9% a year earlier and above market expectations of 9.1%. It was the highest reading since the quarter ending June 2021, as the labor force grew faster than employment. The number of unemployed reached 981 thousand, the highest since the quarter ending October 2020. The labor force participation rate edged up to 62.4%, with the labor force increasing 1.3% to 10.4 million. Employment rose 0.8% to 9.42 million, lifting the employment rate to 56.5%. Job growth was led by manufacturing (5.2%), health activities (6.0%), and professional, scientific and technical activities (11.6%).