Small businesses account for 71% of jobs created through September

In the period from January to September 2023, a total of 1.5 million new formal jobs were generated in Brazil, and micro and small businesses played a significant role in this employment surge, accounting for 1.1 million of these positions, which makes up 71% of the total.

Small businesses account for 71% of jobs created up to September

The months of August and September emerged as particularly promising, witnessing the creation of 219,330 and 211,764 new formal jobs, respectively. These statistics have been revealed in a report released on November 6th by the Brazilian Micro and Small Business Support Service (Sebrae), utilizing data from the Ministry of Labor.

In September alone, over 211,000 new jobs were added to the workforce, with micro and small businesses contributing 69.5% of this total, equaling 147,173 new positions. In August, of the 219,000 new jobs, small businesses were responsible for 73.17%, creating 160,899 of them.

Medium-sized and large enterprises collectively generated 307,900 new job opportunities, constituting 19.2% of the total 1.5 million jobs created during this time frame.

Small businesses account for 71% of jobs created up to September

Décio Lima, the head of Sebrae, sees these positive employment figures as a clear sign of economic recovery in Brazil. He stated, “Job creation is paving the way for Brazil to regain its status as a nation of employment, enabling its citizens to resume consumption and income generation.” Lima also highlighted that the country’s economy is growing, evident in its increasing GDP, a trade surplus, and well-managed inflation.

Highlights

Key Insights The services sector emerged as the primary contributor to job creation in September, with a total of 68,400 positions filled by micro and small companies. Following closely, the commerce sector added 37,300 new jobs, while the construction sector created 19,800 jobs.

Small businesses account for 71% of jobs created up to September

Among medium-sized and large companies, the services sector was also prominent in September, with 26,500 new positions. Manufacturing and commerce sectors followed with 24,400 and 6,000 jobs created, respectively. Over the course of the year, the most significant contributions came from the services sector (177,600 jobs), manufacturing (90,000 jobs), and construction (26,000 jobs).