Brazil's employment indicators — Caged (formal payrolls, Labor Ministry), Pnad (IBGE) and earnings — gauging activity and household income.
Last 90 days
July's Caged marked the inflection: 58,568 formal jobs, the worst July since 2020 and half the roughly 114,000 consensus, knocking short rates down the next session. With IPCA-15 deflation the same week, the labor market now reinforces — rather than blocks — Selic-cut bets.
Updated November 05, 2026 · 18 verified articles
Market transmission
Strong employment sustains consumption, credit and services inflation, delaying Selic cuts; weak employment brings easing forward and lowers short rates — Caged is the first monthly signal in that chain.
Explanatory mechanism, not a forecast or recommendation.The National Commerce Confederation asked the Supreme Court to ease the transition to the end of the 6x1 schedule, seeking the cut to 42 weekly hours from October 2027 and the 40-hour limit from October 2028, according to the Supreme Court and Gazeta do Povo.
Brazil created 121,300 formal jobs in September, according to the Labor Ministry Caged, a balance 43.5% below a year earlier and below August 161,000, according to CNN Brasil and Agência Brasil.
The unemployment rate fell to 5.2% in the quarter ended September, the lowest for the period since the series began in 2012, according to IBGE PNAD Contínua released on October 30 and reported by Agência Brasil and InfoMoney.
Brazil's Senate approved on the night of October 14, by 75 votes to 1, the constitutional amendment that ends the six-days-on, one-day-off work schedule. The text cuts the maximum workweek from 44 to 40 hours, with some changes phased in, according to Agência Senado.
Candidate Flávio Bolsonaro (PL) announced on October 13 that he will vote for the amendment ending the six-day work week and argued the government should pay compensation to companies. The Senate floor first-round vote is scheduled for October 14 and requires 49 of 81 votes.
The Senate began floor debate on October 6 on the constitutional amendment ending the six-day work schedule. It requires five debate sessions before the first-round vote and three before the second, and needs 49 votes in each round. The Senate president expects the first-round vote this week or next.
Senate President Davi Alcolumbre scheduled for next week, right after the first round of the elections, the start of debate on the constitutional amendment that ends the 6x1 work schedule and reduces working hours, according to g1, Exame and Gazeta do Povo on October 2. According to Estadão, the agenda date is October 6.
Brazil added 165,827 formal jobs in August, according to the New Caged released by the Labor Ministry on September 29. From January to August, the balance reaches 1.13 million jobs. According to Valor, it is the weakest August since 2020, and according to InfoMoney the figure beat the median forecast.
The unemployment rate fell to 5.3% in the quarter ended in August, the lowest for that period in the IBGE PNAD Contínua series, released on September 29. The employed population hit a record. According to Agência Brasil, the rate was 5.6% in the previous quarter and in the same period of 2025, and average income stood at R$ 3,777.
The Superior Labor Court ruled on September 24, by majority, that the strike by Correios employees, which began on September 10, is not abusive, but ordered a return to work on September 25. Days lost will not be deducted from pay, but the hours must be made up. During the stoppage, the court had required 80% of staff to keep working; unions said they would meet to decide on the return.
In virtual assemblies held on September 21, more than 90% of the union bases of Caixa employees rejected the bank third offer and kept the nationwide strike that began on September 10, for an indefinite period. The offer raised from 6.5% to 9% of payroll, from 2027, the cap on the bank contribution to the Saúde Caixa health plan, the main item of the specific agreement negotiated since June. The strike command is due to announce next steps; there is no date for a new round.
The president of the Superior Labor Court (TST), Justice Vieira de Mello Filho, suspended on September 21 the trial of the Correios collective dispute because the state company filed reports and videos on Friday and Saturday, leaving no time for worker representatives to respond, which would breach due process. The session was rescheduled for Thursday, September 24, at 3:30 pm, according to CNN Brasil. The nationwide strike, started on September 10 by the Findect and Fentect federations, continues indefinitely; the main sticking point is the health plan, of which the company wants to stop being the sponsor.
In assemblies closed on the night of September 11, Caixa employees rejected the bank's final collective-agreement offer, with 68% voting against in the São Paulo base, and keep the national strike begun on September 10; the sticking point is the Saúde Caixa plan, with contributions of 2.3% to 4.1% of salary, charges per dependant and a co-payment cap rising from R$ 3,600 to R$ 4,800, and the bank is expected to withdraw the offer and seek arbitration in the labour court. At Banco do Brasil most bases approved the offer, the agreement was signed on September 11 valid through 2028, with profit-sharing brought forward to September 16, R$ 360 million to the Cassi health plan and 35-day paternity leave, and the stoppage continues in only 18 bases.
Caixa employees began an open-ended national strike on September 10 after more than 90% of union bases rejected the bank-specific collective agreement, with the Saúde Caixa health plan at the centre of the dispute; at Banco do Brasil the stoppage is partial, in Brasília, Rio de Janeiro, Porto Alegre, Pernambuco and Florianópolis, where bases rejected the convention. The general bank-workers convention, with INPC plus 0.6% real increase, was signed by Fenaban on September 9.
IBGE reported on September 4 that about 1.8 million to 2 million people worked through digital service platforms such as transport and delivery in Brazil in 2025, per Poder360, InfoMoney, Valor and Estadão. These workers put in longer hours and earn less per hour than other employed people, per Correio Braziliense and BBC Brasil; only a third contribute to social security, per Valor.
The Supreme Court ruled on September 3 that free legal aid in labor courts requires proof of income and is limited to those earning up to R$ 5,000, ending the labor high court's practice of accepting hardship declarations without proof, per Agência Brasil and Money Times. The case was brought by Consif, the financial system confederation; rapporteur Edson Fachin and Justice Cármen Lúcia dissented.
The Senate Constitution and Justice Committee approved on September 2 PEC 221/2019, which cuts the maximum weekly workweek from 44 to 40 hours and secures two rest days a week, per Agência Senado, CNN Brasil, Poder360 and Agência Brasil. The text, reported by Omar Aziz, heads to the floor, where it needs 49 votes in two rounds.
July's Caged payroll report, released August 28, showed a net 58,568 formal jobs created — the worst July since 2020 and well below the market consensus of about 114,000. Per Money Times, short-term rates fell after the data as markets firmed bets on Selic cuts.