In the October–December 2024 quarter, the informal employment rate decreased 1.1 percentage points (pp) year on year to stand at 26.4%, according to information from the latest Bulletin of Labour Informality, which is produced by the National Statistics Institute (INE).

In the same period, the number of informally employed persons fell 3.4% year on year to stand at 2,453,943.

The year-on-year decrease in informally employed persons was influenced by falls in men (-3.3%) and women (-3.5%). By age bracket, the decrease can be attributed to the falls in the brackets 45–54 years (-12.6%) and 25–34 years (-6.0%).

By economic sector, the increase can mainly be attributed to the rises in commerce (-5.8%) and other service activities (-12.9%).

By occupational group, the main influences on the decrease in informally employed persons were the falls in service and sales workers (-5.7%) and craft and related trades workers (-6.1%).

By occupational category, the greatest influence on the increase in informally employed persons was the rise in own-account workers (-7.8%). Following in influence were the falls in unpaid family workers (-17.3%), domestic workers (-6.4%), and employers (-13.6%). In contrast, increases were observed in wage earners of the private sector (4.0%) and wage earners of the public sector (5.4%).

Own-account workers and wage earners of the private sector accounted for 85.2% of the total number of informally employed persons, and their informal employment rates were 65.1% and 15.6%, respectively.

The year-on-year decrease in informal own-account workers (-7.8%) was influenced by the falls in men (-8.0%) and women (-7.5%) and by the falls in commerce (-6.8%), construction (-11.4%), and transport (-11.3%).

When is someone informally employed?

Informally employed persons are dependent workers whose employment relationship does not provide access to social welfare benefits (healthcare and pension). The informally employed include those who work independently in a company, business, or activity that belongs to the informal sector. Unpaid family workers are also considered to be informally employed.

See:

Labour informality bulletin no. 29: October – December 2024