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Caged Minas Indicates Recovery of Formal Employment in January with 7,4 Thousand Vacancies Boosted by Industry and Construction.
Formal employment in Minas Gerais returned to grow in January 2026, after three consecutive months of contraction.
Data released this Tuesday (3) by the Ministry of Labor and Employment, through Caged Minas, shows that the state registered a positive balance of 7,425 formal job vacancies.
The result was mainly driven by industrial jobs and the recovery of construction, sectors that resumed hiring at the beginning of the year.
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According to the survey, Minas recorded 225,801 admissions and 218,376 dismissals throughout the month.
Thus, the result reverses the significant loss recorded in December, when the state eliminated 73,640 formal job positions.
The performance also exceeds the negative results observed in November (-9,023) and October (-4,120).
Consequently, the beginning of 2026 brings signs of gradual recovery in the labor market in Minas, although analysts point to caution in assessing a more consistent trend.
Industrial Jobs Lead Recovery of Formal Employment in Minas
Among the sectors of the economy, industrial jobs were the main highlight in the advancement of formal employment in the state.
In December, the industry had registered a negative balance of 17,137 vacancies, reflecting the termination of temporary contracts and production adjustments at the end of the year.
In January, however, the sector showed a strong reversal, creating 9,195 new formal vacancies.
The performance aligns with a moderate improvement in the number of employees in the mining industry compared to December 2025.
According to a survey by the Federation of Industries of the State of Minas Gerais (Fiemg), the movement indicates a gradual resumption of productive activities after the year-end recess.
Moreover, the advancement of the industry was crucial to sustain the overall positive balance of Caged Minas, reinforcing the weight of the sector in the dynamics of the labor market in the state.
Construction Also Boosts Generation of Formal Employment
Another sector that contributed significantly to the result was construction, which also showed recovery at the beginning of 2026.
In December, the segment had recorded a deficit of 15,441 formal vacancies.
However, in the first month of the year, the sector reversed the scenario and reported a surplus of 4,243 job positions.
Data from Caged Minas indicates that construction ended 2025 with about 335,000 workers with formal employment in the state.
This total represents a slight decline of 1.28% compared to 2024, when the sector accounted for 341,212 formal workers.
Industry entities assess that the previous retraction occurred mainly due to a decrease of 7.28% in infrastructure works, a segment that greatly influences the level of hiring.
Commerce and Services Show Different Behavior in the Labor Market
Despite the overall improvement in formal employment, other sectors exhibited a more moderate behavior at the beginning of the year.
The services sector, which had been the largest contributor to dismissals in December, with 28,889 dismissals, registered a situation of relative stability in January.
On the other hand, commerce was the only sector to increase the negative balance during this period.
The result changed from -5,294 vacancies in December to -5,741 in January, reflecting typical adjustments after the seasonal hiring period at the end of the year.
Still, experts believe that the movement is part of the traditional behavior of the labor market.
Seasonal Factors Help Explain Recovery of Formal Employment
According to economist and professor of the Management and Business course at UniBH, Fernando Sette Júnior, the strong change between December and January is largely linked to seasonal factors.
“The construction sector, in particular, tends to react quickly when there are active contracts, while the industry adjusts inventories and resumes orders at the beginning of the fiscal year.
Moreover, a very negative base in December amplifies the statistical effect of recovery in January, explains the economist.
He emphasizes that the last month of the year usually concentrates dismissals related to the termination of temporary contracts and budget adjustments.
January traditionally marks the recomposition of teams and the resumption of productive activities.
Still, the specialist points out that it is early to affirm that there has been a definitive change in the trend of the labor market in Minas.
Prospects for the Labor Market Throughout 2026
Despite the recovery of formal employment, the economic scenario still presents challenges for job creation throughout 2026.
The economy management team at Fiemg assesses that factors such as high interest rates, fiscal pressures, economic slowdown, and the electoral calendar may reduce the pace of hiring throughout the year.
The forecast is that Brazil’s Gross Domestic Product (GDP) will grow around 1.82% in 2026, below the performance recorded in 2025.
This more moderate growth is likely to impact the dynamism of the labor market.
However, the industry may continue to play a significant role in sustaining hiring.
“In a context of greater economic moderation, industrial performance becomes even more relevant for sustaining the level of occupation, income, and the dynamics of productive activity in the state,” says the chief economist of Fiemg, João Gabriel Pio.
Recent Evolution of Formal Employment in Minas Gerais
Data from Caged Minas shows strong volatility in formal employment in recent months:
September: 11,784 vacancies;
October: -4,120 vacancies;
November: -9,023 vacancies;
December: -73,640 vacancies;
January: 7,425 vacancies.
The recovery observed at the beginning of 2026 indicates an initial recomposition of the labor market, especially driven by industrial jobs and construction.
Still, experts warn that the consolidation of a stronger trend will depend on the performance of the Brazilian economy in the coming months.
See more at: After Strong Decline, Balance of Formal Jobs Accelerates in Minas
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