• Wed. May 18th, 2022

Josilmar Cordenonssi economist and professor at Mackenzie University

ByVik Singh

Feb 21, 2022

The issue of seasonality for the increase in unemployment insurance claims in January is also highlighted by economist Josilmar Cordenonssi an economics professor at Mackenzie Presbyterian University

Despite January 2022 being 10 above the same month last year the accumulated of the last 12 months had a decrease of more than 834 in orders Thus in general this number of applications 529826 does not indicate any worsening or improvement in the labor market.

For Cordenonssi unemployment data better portray labor market conditions than unemployment insurance You can see that throughout the 2000s when Brazil had a reasonable economic growth the unemployment insurance claims were increasing But from the end of 2014 the unemployment insurance claims fell along with the recession of 20152016 So the increase in unemployment insurance claims is not always bad news he says

One of the points defended by the government to avoid a further drop in jobs during the Covid19 pandemic was the creation of the BEm Emergency Program for Employment and Income Maintenance which allowed companies to sign agreements to reduce working hours and wages or suspension of employment contracts The program ran until August last year benefiting 10 million workers in 2020 and 25 million in 2021

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