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IBGE Data Shows That 12 States Had An Increase In The Unemployment Rate In The First Quarter Of 2025, Highlighting The North And Northeast; Informality And Lack Of Signed Work Cards Worsen Regional Inequalities.
In the first quarter of 2025, the unemployment rate increased in 12 states in Brazil, according to data released this Friday (16) by the IBGE (Brazilian Institute of Geography and Statistics). The national average rose to 7%, up from 6.2% recorded in the last three months of 2024.
The result represents an increase in the number of unemployed people, but it is still the lowest index for a first quarter since the beginning of the historical series of the survey in 2012.
Despite the apparent national stability, the data shows very different realities between the regions of the country.
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Strongest Increases In The North And Northeast
Piauí leads the ranking of the highest increases, with a growth of 2.7 percentage points in the unemployment rate.
Following are Amazonas (+1.7 p.p.), Ceará and Pará (both with +1.5 p.p.), and Pernambuco (+1.4 p.p.). All these states are located in the North and Northeast regions.
Other states with significant unemployment growth are Minas Gerais (+1.4 p.p.), Rio Grande do Norte (+1.3 p.p.), Maranhão (+1.3 p.p.), Rio de Janeiro (+1.1 p.p.), Mato Grosso (+1 p.p.), Paraná (+0.8 p.p.) and Rio Grande do Sul (+0.7 p.p.).
In the other 15 units of the federation, unemployment remained statistically stable, with no significant variations.
Worst Rates Remain Concentrated In The Northeast
The highest unemployment rates in the country continue to be recorded in the Northeast region. Pernambuco has the highest rate at 11.6%. Following are Bahia (10.9%) and Piauí (10.2%).
On the other end, Santa Catarina leads with the lowest unemployment rate, at just 3%. Rondônia comes in second, at 3.1%, and Mato Grosso completes the trio at 3.5%.
The data reinforces regional disparities in the Brazilian labor market. Southern and Central-Western states record lower unemployment levels, while the Northeast concentrates many of the highest rates.
Informality Grows In The Most Affected Regions
Inequality also appears in informal employment numbers. In the first quarter of 2025, 38% of the employed population in the country was in informal activities, such as unregistered work or without a CNPJ.
The highest rates were observed in Maranhão (58.4%), Pará (57.5%) and Piauí (54.6%). All these states also showed an increase in unemployment.
In total, seven states registered informality above 50%, a number only slightly lower than the same period in 2024, when there were eight.
On the other hand, the lowest informality rates are in Santa Catarina (25.3%), Federal District (28.2%) and São Paulo (29.3%).
Formal Employment Is Still An Exception In Some Regions
IBGE also revealed data on the percentage of workers with formal employment in the private sector. The national average was 74.6%. However, this rate varies significantly among the states.
The highest percentages were observed in Santa Catarina (87.8%), São Paulo (83.4%) and Rio Grande do Sul (81.5%). In contrast, Maranhão (51.8%), Piauí (52.0%) and Pará (55.1%) recorded the lowest rates.
According to William Kratochwill, an IBGE analyst, these differences reflect the weaker presence of large companies in regions with higher informality and unemployment.
Income Rises In A Few States
Even with the increase in unemployment in 12 states, the average income from work in the country grew in the quarter. The amount reached R$ 3,410 per month, a record in the historical series of the survey. The advance was 1.2% compared to the previous quarter.
However, only three states showed significant increases in income: Rio de Janeiro (6.8%), Santa Catarina (5.8%) and Pernambuco (4.7%). In the others, the variation remained within the margin of stability.
According to IBGE, these three states have enough weight to influence the national average, unlike smaller states, whose variations have a more limited impact.
Despite the rise in unemployment being considered seasonal, with a typical increase following the end of temporary contracts at the end of the year, IBGE data shows that the differences between states remain striking.
While some regions maintain low levels of unemployment, high formalization, and income growth, others face a more difficult scenario with high unemployment, strong informality, and a low presence of formal jobs.
These inequalities continue to be one of the main challenges for the labor market in Brazil.
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