Brazil’s unemployment rate fell to 5.6% in the rolling quarter ending in May 2026 from 5.8% in the previous period, matching forecasts and marking the lowest reading since January. The number of unemployed stood at 6.1 million, broadly unchanged from the prior quarter, while employment rose 0.5%. Sector data showed quarterly gains in transportation and public administration, while annual growth was led by agriculture, transportation, and public services. Domestic services remained the only sector to post an annual decline. The underemployed population due to insufficient working hours fell 5.7% in the quarter, while the number of discouraged workers dropped 10.2%. The informality rate edged down to 37.3% of total employment from 37.5%. Meanwhile, average real monthly earnings across all jobs held steady at BRL 3,726.

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