“The annual growth in employment in the last four months has been explained entirely by informal employment.”
The firm warns that formal employment not only falls in monthly terms, but also accumulates four consecutive months of annual contractions, something that, historically, had only occurred during recessions such as 2009 or the 2020–2021 pandemic.
The informality rate reached its highest level since July 2025, with 33.9 million workers in some informal scheme.
“The informality rate stood at 55.38%, its highest level in three months and with an increase of 1.5 percentage points compared to October 2024,” explained Monex in an analysis note, where it also highlights that the year closes with a labor market that only seems to be sustained by low-productivity activities.
By sectors, the advance was concentrated in restaurants, accommodation, commerce and various activities, while manufacturing barely grew and professional services fell. That is, the employment that is generated is located in segments with less stability and lower incomes.
In turn, the rate of critical employment conditions—which measures jobs with low income and/or few hours—remains around 34.4%, slightly below the October 2024 level, while underemployment reaches 7.5%.
