Notícias
Employment
Market hiring prospects reach highest level since 2010
Iaemp hike was influenced by indicators that measure business expectations - Credit: Agência Brasil
Two indicators developed by the Getulio Vargas Foundation (FGV), a think-thank, show that entrepreneurs are more optimistic with the economy, which is expected reflect in positive prospects for future hiring.
The numbers work in a manner similar to a meter: the higher the score, the stronger the trend for increased hiring in the country.
The Employment History Indicator (Iaemp) went up 5.6 points in January, reaching 95.6 points – the highest since 2010 (98.7). The month also showed a recovery in relation to December 2016, when the indicator dropped 3.1 points.
“The Iaemp results were driven by the renewed optimism in the industry regarding the future of the country, and are likely related to the cycle of interest rate cuts initiated last year by the Central Bank", explains FGV economist Fernando de Holanda.
Business expectations
Holanda points out that the basic interest rate’s increased downward momentum – signalled by the stronger cut at the beginning of 2017 – should contribute to accelerating the economy throughout the year. The hike in the Iaemp indicators was influenced by business expectations as measured for the next six months and hiring impetus for the next three, both based on data collected through the FGV’s Industry Survey. The two indicators varied by 11.1 and 10.9 points, respectively.