Brazil Creates Record 1.5 Million Jobs But Primary Surplus Is Lowest Ever

construction_brazilBrazil has created a total of 212,952 registered jobs in June, according to reports from the Brazilian Ministry of Labor’s Caged. the General Register of Employed and Unemployed.

This was the second best result for the month since Caged began compiling these data in 1992.  However, it was less than the 298,000 jobs created in May this year and interrupted a series of five consecutive months of job growth.

The June 2010 job numbers are lower only than June 2008 (309,000), but higher than June 2004 (208,000)

For the first half of this year (January to June) the total of new jobs created was 1,473,000, a new record. The former record was in 2008 – before the Great Recession.

Federal Tax

The tax collectors in Brazil raked in 61.488 billion reais in June. When the amount is corrected by the Broad Consumer Price Index (IPCA), which is the government’s inflation yardstick, that is an increase of 8.54% over tax revenue in June 2009.

However, the comparison of the two months is unequal given that a year ago Brazil was feeling the effects of the Great Recession along with the rest of the world.

Even so, a comparison of the first half of this year and the same period in 2009 shows that tax revenue is up 12.48%.

The Brazilian IRS (Receita Federal”) says the numbers demonstrate a recovery of the country’s principal macroeconomic indicators, such as industrial output, up 14.08%; general volume of sales, up 9.50%; and salary mass, up 14.49%.

And, the strong showing (June tax revenue) it must be pointed out, was actually a reflection of economic performance in May. On the other hand, some tax specialists point out that total 2010 tax revenue may increase by over 12%, compared to 2009. And the total burden of federal, state and municipal taxes in Brazil are headed for a record of over 37.5% of GDP.

Central Bank’s Bad Times

The head of the Economic Department at the Central Bank, Altamir Lopes, says that two factors will improve the primary account in the near future: more tax revenue and cuts in government spending.

Lopes spoke after the “consolidated” primary surplus in May came in at 1.43 billion reais, the lowest since 1991 when records began. 

Meanwhile, the National Treasury released its primary account figures,  which is calculated differently, showing a deficit of 509.7 million reais, the worst result since 1999.

Altamir Lopes said that over the next few months two things will happen. The primary surplus will rise and the Central Bank and National Treasury figures will converge.



  • Show Comments (4)

  • ch.c.

    continued for the wiseman
    to make a fair salary comparison, here it is with the new French minimum wages

    “Le nouveau taux horaire du SMIC 2010 est donc fixé à 8,86 euros brut, soit 1.343,77 euros bruts mensuel pour 35 heures hebdomadaires (environ 1.056 euros net mensuel).”

    Meaning GROSS 12 Swiss francs per hour, 1840 Swiss francs monthly, at current exchange rate.

    Or about HALF the Swiss salaries.

    Guess why now our french, but even Germans and Italians, but also all EU members ARE QUEUING to find job OVER HERE !

    And guess why a very very recent poll concluded that our French neighbours would be quite willing to be annexed to Switzerland !

    Last but not least :
    Do you really think that our country is that much more expensive than in ouer french neighours areas for example ?????
    Wellll here is the sad truth regardless of what the stats may say : NOOOOOOO except for real estate.
    And despite the recent EURO decline, our gasoline, tobacco, clothes, and some foods are CHEAPER OVER HERE !

    Ask them, if you dont trust me !!!!

    Ask them why they fill their car tank and buy not 1 pack of butts at a time, but 1-2-3 BOXES !
    They are NOT totally idiots our neighbours citizens.
    And this regardless if that pleases Sarko, Merkel or Berlusconi.

    But on the other hand, very true that OUR meat prices are more expensive than in France for example !!!!
    But mostly for 2nd and 3rd choices.
    But about same for First choice !

    For gasoline, I recently saw an article saying that our good IMMEDIATE neighbours paid 300 millions Swiss francs in taxes IN 2009 by filling their car tank over HERE !!!!!

    And trust me it is not because they have a shortage or unavaible supply of gasoline OVER THERE !!!!

    Consumers know what are comparative prices, contrary to the populists politicians.

  • ch.c.

    Brazil Creates Record 1.5 Million Jobs
    Including 500’000 sugarcane cutters and 400’000 additional public servants,in my view !

    Elections are getting closer and closer.

    Pump pump pump…the stats !

    and to the wiseman ” I would like to know how these foreigners contribute to Swiss society & if most of them are highly educated & with special skills.”

    We need both thus we get both !
    We have the World Best scientists here, such as those in CERN (European Center for Nuclear Research) funded by the governmentsd around the world for example.

    Or those who designed, built the boats that won TWICE the America Cup !
    Or those in our drugs industries !

    Or the ones who designed and built the solar plane that is going to do an Around the World trip in 2013 on solar PV alone !

    As to our engineers universities, such as the EPFL, it is a rainbow of colors and passports !

    and in our Banks ? Believe it or not, A melting pot of passports too from admin employees, to mid and high level management.

    Ohhhh and dont forget that for patents we are the Worldwide No 1 when adjusted per 100’000 capita !

    And in our foods and clothings stores, a minority are Swiss born !

    Our cleaning maids are nearly 100 % NON Swiss !
    And somewhat the same in our hotels and restaurants !!!
    Maids are paid by the hour, 20/25 dollars/hour.
    In supermarkets, foods and clothing stores, hotels and restaurants, STARTING salaries are 3600/3800 per month, with 13 salaries.
    On the other hand, salaries increases are VERY VERY LOW !!!!
    About 2-3 per cent yearly on a long term average.



  • Alandria Ferreira

    Haja-lhes graça
    Brazil Creates Record 1.5 Million Jobs But The Salary Is Lowest Ever: 2 dollars a day. 😀

  • wiseman

    To Christ Cartesian (no nome de pai, filho e espirito santo)
    Herr Doktor, You are in good form! Definitely must be the french wine at the swimming pool along with some delightful ‘foreign’ company.

    I read somewhere that about 22% of the Swiss population is foreign born. I would like to know how these foreigners contribute to Swiss society & if most of them are highly educated & with special skills.

    Kindly enlighten me on this subject.


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