MercoPress. South Atlantic News Agency

Uruguay: Unemployment falls in November

Underemployment and informal work will pose a challenge for President-elect Orsi

Unemployment in Uruguay fell to 7.2% of the Economically Active Population (EAP) last month, which represented a slight improvement from October’s 7.3%, according to the latest report from Montevideo's National Statistics Institute (INE) this week. It was the lowest figure since December 2021.

 In addition, the employment rate climbed to 59.8%, up from 59.6% in October. The INE's Continuous Household Survey (ECH) also mentioned that the labor force participation rate (supply) grew to 64.5% from the previous 64.3%. In the interannual comparison, unemployment fell by more than one percentage point, down from 8.3% in November 2023.

Of the employed population last month, 9% were underemployed seeking more work hours, while non-registration to social security for their main job stood at 21.7%. As is usually the case, unemployment was lower on average in Montevideo (6.3%) than in the rest of the country (7.8%), which would suggest an uneven economic development across the country.

According to local analysts, the Uruguayan job market is on an upward trend. However, underemployment and informal work need to be taken care of, it was explained. It will be a challenge for President-elect Yamandú Orsi of the Broad Front (Frente Amplio - FA) who is to take office in March 2025.