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September 2, 2022
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Small businesses generate 70% of new jobs in July

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Micro and small companies were responsible for seven out of ten formal job vacancies created in July this year, maintaining the pace of job creation registered in the first six months of the year.Small businesses generate 70% of new jobs in July

The survey was carried out by the Brazilian Micro and Small Business Support Service (Sebrae), the from data from the General Register of Employed and Unemployed (Caged), of the Ministry of Labor and Welfare.

Small businesses had a positive balance of 176.8 thousand new hires, against a balance of 50.6 thousand medium and large jobs, which corresponds to 70.2%. According to Sebrae, the monthly average of jobs generated by small businesses, since the beginning of the year, remains above 160 thousand.

In 2022, Brazil has already surpassed the mark of 1.5 million jobs created, with micro and small companies responsible for 1.1 million (72% of the total). In turn, medium and large companies created 327,200 jobs (21%).

“Just as it had already been registered in May and June, all sectors, of all sizes, had positive hiring balances in July. Among micro and small companies, the three sectors that generated the most jobs remained: services (61,996), commerce (34,469) and construction (30,661)”, says Sebrae, in a note.

The entity celebrated the recovery of the service sector, heavily impacted by the covid-19 pandemic:

“The strong recovery of services is also detected when analyzing the accumulated for the year. Among small businesses, this sector alone generated almost 600 thousand jobs among the 1.1 million created by the segment. All sectors of small businesses have a positive balance of job creation. Among medium and large companies, the only segment that continues with a negative balance is the commerce sector”.

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