Unemployment continues its downward trend, despite the fact that the difference is not significant. According to the latest figures reported by the National Administrative Department of Statistics (Dane), the unemployment rate stood at 10.5% in May 2023, while in May 2022, the country’s unemployment rate was 10.6%.
(See: Unemployment: why it continues to fall and how is informality).
In other words, for May of this year there were 2.6 million unemployed people and 14.2 million people outside the labor force.
In the 13 main cities, the unemployment rate during the fifth month of the year was 11.2%, while in 2022 for the main cities it was 11%.
The unemployment rate for women, in May 2023, was 13.2% and for men it was 8.4%, with a gap of 4.9%.
At the level of the 13 cities and metropolitan areas, the unemployment rate for women was 12.7%, while for men it was 9.9%, which represents a gap of 2.7%.
Lto taglobal sa of women’s participation, for the fifth month of the current year it was 57.6%, which is a significant difference from May 2022. Regarding the female employment rate (50.3%), this also had a significant increase compared to May of the previous year.
(See: This is how the country did in terms of unemployment during February 2023).
Compared to the occupancy rate for May 2023, the figure was 57.2%, while in May 2022 the rate was 57%. Thus, in May of this year there were 22.5 million people employed.
The city with the highest unemployment rate as of May of this year was Quibdó, Chocó, (25.4%); followed by Ibagué, Tolima, (17.7%) and Florencia, Caquetá, (15.4%).
For May 2023, the national total was 55.7%, compared to 57.1% in May 2022, which represents a decrease of 1.3 percentage points.
This figure also decreased in the 13 cities and metropolitan areas, going from 43.3% in 2022 to 41.3% in 2023, which gives a decrease of 2 percentage points.
It must be added, according to the Dane report, that the highest informality rates are found in the Caribbean region: Sincelejo (69.1%), Riohacha (64.9%), Valledupar (64.2%), Santa Marta (64%) and Monteria (62.6%).
Of the 22.5 million people employed in May 2023, The largest contribution is made by the commerce branch, with 18.3% of workers and had an increase of 356,000 jobs compared to May 2022.
It is followed by the manufacturing industry, which has a distribution of 10.7%, with the creation of 213,000 jobs compared to May of the previous year.
In the case of the accommodation and food services branch, the contribution in jobs is 6.8%, with a growth of 136,000 jobs between the two Mays.
The construction reported a distribution of 6.3% for May 2023, with a decrease of 82,000 jobs compared to May 2022.
Faced with these figures, Camacol “reiterates the need to implement countercyclical measures to reactivate the sector and prevent more Colombians from losing their jobs.”
(See: The number of people who are not working or looking for a job increased).
According to the Anif Center for Economic Studies, “The figure reported by the Dane is in line with what was announced about a slowdown in the recovery of employment.” To this extent, they affirm that it is possible that in the following months of the year “a deterioration in the unemployment rate will be observed, this due to a low dynamic in the generation of jobs that coexists with forecasts of a slowdown in economic activity.”
And, for the researchers, this effect is already clear in the 13 main cities of the country.
Furthermore, Anif says that “It is important to consider that the employment rate has decreased, deteriorating the employment figures, which are offset by decreases in the General Participation Rate (TGP)”.
The Center for Economic Studies adds that “This last effect reduces the total number of people in the labor force (employed or unemployed people) and consequently generates less pressure on job creation and reflects lower unemployment rates. However, the TGP is still at lower levels than in the pre-pandemic period and if it grows again it could lead to a higher value of the unemployment rate”.
(See: Unemployment in Colombia: the panorama of 2022 and what is coming for 2023).
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