Unemployment in Mexico fell 4.7% in October

24/11/2020

Mexico's unemployment rate fell to 4.7% in October, from 5.1% in September, the local statistics institute reported Tuesday, amid a process of economic revival following the confinement of the coronavirus pandemic.

Unemployment: Mexican economy lost 700,000 formal jobs until April amid the uncertainty of the coronavirus crisis
Unemployment: Mexican economy lost 700,000 formal jobs until April amid the uncertainty of the coronavirus crisis

In total, 1.7 million people joined the Economically Active Population (EAP) in the month, which reached 55.6 million in October. Of the 12 million people who left EAP in April, the worst time of the coronavirus crisis, about 10.2 million have been reinstated.

The recovery in the volume of the employed population in the tenth month was mainly in the tertiary sector, that is, commerce and services, which employed 1.6 million people, said the state statistics agency, INEGI.

The second largest economy in Latin America, which collapsed during the second quarter due to the global crisis, rebounded during the third quarter of the year by 12%, due to the reactivation of businesses and companies in non-essential sectors.

Simultaneously, Mexico had until Monday 1,049,358 known cases of COVID-19 coronavirus and a total of 101,926 deaths linked to that disease, while authorities have warned of a resurgence during the winter season.

The institute, which saw reports of unemployment interrupted by the coronavirus pandemic, said that 86% of the interviews for the tenth month were conducted face-to-face, while the remaining 14% were by telephone.

The Inegi reported that the number of workers in the informal sector amounted to 29.7 million in October, a proportion of 56% compared to 54.9% in September.

The underemployed population, who have the need and availability to offer more working time than their current occupation demands, stood at 7.9 million in October, a decrease of 74,000 people compared to September, representing 15% of the total employed.

Likewise, the Inegi calculated that the Non-Economically Active Population (PNEA) rose to 41.3 million people in October, of which 8.9 million said they would take a job if an offer came.

The institute also revealed that the unemployment rate for women is 4.6% compared to 4.8% for men. However, while 74.1% of them are active, only 42.2% of them are in the labor market.

By Mexicanist, Source: INEGI