Brazil: Strategic developments in Brasília
Brazil creates 165.8 thousand jobs in August, according to Caged The data released by the General Register of Employed and Unemployed (Caged), of the Ministry of Labor and Employment, indicate that 165,827 jobs with formal contracts were opened in August. The indicator measures the difference between hires and layoffs. The balance is 183.1% higher compared to July, when the country created 58,568 jobs. Related news: Unemployment rate drops to 5.3%, the lowest for the quarter ending in August. Alcolumbre says the Senate will vote on the end of the 6x1 scale after the elections. Market raises inflation projection to 4.99% and reduces GDP. Job creation rose 7.2% compared to August last year, pressured by high interest rates and economic slowdown. In the same month of 2025, 154,683 jobs had been created, according to adjusted data, which considers declarations submitted late by employers. In relation to the months of August since 2020, however, this is the second lowest result in the series, only losing to the same month last year. The change in methodology in Caged prevents comparison with years prior to 2020. Accumulated From January to August, Caged registered a 25.2% drop in the accumulated number of formal vacancies: • 1,134,033 (eight months of 2026); • 1,516,881 (eight months of 2025). The data include adjustments, when the Ministry of Labor registers declarations submitted late by employers and rectifies data from previous months. Sectors By division of activity branches, all five sectors surveyed created formal jobs in August. • Services: +110,346 posts; • Civil Construction: +20,848; • Industry (manufacturing, extraction, and other types): +16,613; • Commerce: +16,565; • Agriculture: +1,452; Traditionally, August is a weak month for agriculture, due to the start of planting. However, it marks the peak of industrial activity, with factories starting to produce for Christmas. Higlights In services, job creation was driven by the education segment, with the opening of 25,416 formal positions. The human health and social services category opened 19,142 vacancies. The transport, storage, and mail sector created 16,819 positions. In civil construction, the positive highlight was the specialized construction services segment, which opened 8,415 formal jobs. Second, come infrastructure works, with 7,396 positions. In industry, the largest job generator was the manufacture of food products, with 10,171 vacancies, followed by the manufacture of motor vehicles, trailers, and bodies (+3,311) and the manufacture of coke, petroleum products, and biofuels (+2,845). Regions and states All five regions registered the opening of formal vacancies in August. • Southeast: +73,167 posts; • Northeast: +59,356; • North: +13,603; • South: +10,850; • Center-West: +8,699. In the division by Federation units, 24 registered a positive balance and three laid off more than they hired. The highlights in job creation were in São Paulo (+42,533), Rio de Janeiro (+20,886), and Pernambuco (+13,428). The Federation units that eliminated formal jobs in August were Rio Grande do Sul (-1,611), Rondônia (-923), and Espírito Santo (-287). According to the Ministry of Labor and Employment, in Espírito Santo, layoffs are due to the end of the coffee harvest. In Rondônia, they are related to the food industry. In Rio Grande do Sul, they were concentrated in the tobacco industry and commerce. Average admission salary The average real admission salary in August totaled R$ 2,410.74. This represents: • a reduction of R$ 0.74 (-0.03%) compared to July (R$ 2,411.48); • an increase of R$ 24.31 (+1.02%) compared to August 2025 (R$ 2,386.43). Formal contract With the creation of formal jobs, the number of workers with formal contracts ended August at 48,244,696, an increase of 1% compared to July and 1.02% compared to the same month last year.
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