IBGE: Unionization drops below 10% for the 1st time, with labor reform and increase in self-employed people

IBGE: Unionization drops below 10% for the 1st time, with labor reform and increase in self-employed people

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The reduction began in 2016, and was accentuated with the start of more flexible employment rules and the end of the union tax. In recent years, in addition, there has been a boost from self-employed workers and informal employees, who do not usually have representation. The public accompanies the unique party of CUT and Força Sindical on Labor Day Bárbara Muniz/G1 The Brazilian Institute of Geography and Statistics (IBGE) reported this Friday (15) that Brazil has reached its lowest percentage of unionized workers: just 9, 2% of the employed population had a formal link with unions in 2022. ✅Click here to follow the new g1 channel on WhatsApp. ⚠️The old group will be deactivated. Even if you are already part of our community, you need to sign up again. This is the lowest value in the survey’s historical series, which has measured this percentage since 2012. The survey is an excerpt from the Continuous National Household Sample Survey (PNAD), by IBGE itself. By way of comparison, the percentage of unionized workers was 16.1% in the first year of measurement. Since then, the indicator has been decreasing year after year. Due to the Covid-19 pandemic, the survey with in-person collection was not carried out in 2020 and 2021. (see graph below) A combination of factors explains the decrease in union members, both in absolute and percentage terms. The main ones are the following: Flexibility of labor relations; End of union tax; Increase in self-employed workers; Increase in autonomous and informal workers; Increase in the employed population without an increase in membership. The first two topics are directly related to the labor reform, approved by the government of Michel Temer (MDB) in 2017. In the new legislation, clauses of the Consolidation of Labor Laws (CLT) were changed, which expanded temporary employment contracts and individualized agreements, in addition to reducing the power of unions. Although some reduction in the number of union members had already been observed in 2016, it was after the approval of the labor reform that the drop became more pronounced. The union federations have always opposed the project, mainly due to the prohibition of the union tax, which took away their main source of financing. This year, in fact, the financing of trade unions returned to the agenda, with the decision of the Federal Supreme Court (STF) to consider the collection of assistance contributions valid. It is not similar to the union tax, but it allows for a cash boost to fund activities such as collective negotiations. Find out more here. In addition to financing issues, the labor market itself suffered, during and after the Covid-19 pandemic, structural changes in work models, which also started to contribute to the decline among unionized workers. Initially, due to the increase in unemployment, a large proportion of workers relocated to informal jobs or self-employment. But, even though part of the employed population returned to formal positions, it was informal job vacancies that brought down the country’s unemployment rate last year. According to Adriana Beringuy, coordinator of Household Sample Surveys at IBGE, there is also the influence of new types of employment. This is the case of app drivers and delivery people, bank employees at startups and digital banks, among others. They are workers with occasional representation models — when there is one — and who join those who work on temporary contracts in public and private administration. The new labor reform legislation paves the way for new contractual modalities, but there are also structural changes, within the dynamics of economic activities, that have changed the collective organization of workers. In 2022, people employed as self-employed workers or employers reached 34.2% of the employed population. In 2012, it was 23.9%. These are positions that have always had less organization and union representation. And, during the recovery of the job market in 2022, the weakening of unions meant that organizations were unable to attract back formal workers. Pnad shows that, while the employed population began to rise in recent years, the number of unionized workers continued to fall. Between 2019 and 2022, for example, the country gained 4.6 million employed persons, while unions lost 1.3 million members. The percentage of workers with completed higher education, who were always the majority of the sample of union members, fell from 28.3% in 2012 to 14.5% in 2022. Unionization fell among all levels of education, but the number The number of workers with a higher education degree has grown a lot in 10 years. It is not only an effect of the job market, but also of the educational background of the population.

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