Can Brazil’s record employment rate get any better? The Labor Ministry reported the creation of 280,799 last month. Beating the 209,425 posted last January. Before the numbers came out, the market was suggesting gains of 206,000.
What do the numbers mean? Other than the fact that Brazil is still hiring like mad, it means demand is still there. And demand for goods and services means inflation, which is already 6%, its highest in around 8 years.
Last week, the Labor Ministry reported that the country’s hiring frenzy is bringing in more workers from abroad. In 2010, Brazil companies hired 56,006 workers from other countries, up 30% from 2009.
“The increase in these authorized workers since 2006 is because of increased foreign investments in Brazil,” says the Labor Minister’s General Coordinator for Immigrant Workers, Paulo Sergio Almeida. He cited hiring especially at industrial factories, and at oil and gas companies.
In the industrial sector, the increase in workers is due to our own industrial park expansion, including modernization and implementation of new industrial segments. The acquisition of new equipment and technology from abroad demands that you bring in professionals specialized in supervising the building and execution of the most sensitive steps in the process of setting up this equipment in order for a decent transfer of technology to happen,” he says.
Most of Brazil’s highest paid, high demand jobs are specialized.
A quick look at where Brazil’s jobs will be in the next 10 years.
From a March 15 report by the Applied Economic Research Institute, a government think tank affiliated with the President’s Office. Data assumes 4% GDP growth.
SECTOR & ANNUAL JOB GROWTH RATE 2011-2020
Petroleum & Gas: 15.9%
Public Administration/Education: 10.3%
Residential Construction: 8.7%
Commercial Engineering: 7.7%
Information Tech: 6.7%
Total job growth expectations: 8.4%
The numbers are around 200 to 300 basis points higher with GDP at 6% and around 200 to 300 bp lower with GDP at 2.5%.
BIGGEST JOB & SALARY GROWTH 2004-2009
– 2004-09 job growth – 2004-09 real salary increase
Biotechnology – 35.5% – 24.4%
Precision Metrology – 27.2 – 12.8
Geologists/Geophysicists – 43.1 – 10.9
Construction Mngmnt – 16.7 – 5.7
Mining Engineers – 11.8 – 4.6
Mechatronics Eng. – 24.9 – 3.5
Systems Analyst – 11.9 – 3.5
Source: Instituto de Pesquisa Economico Aplicada, 15 Março, 2011