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Mexico Sheds 1.3 Million Jobs in August as Informal Work Collapses

A steep drop in informal employment paired with a lower participation rate suggests slack behind the 2.9% unemployment reading.

Overview

  • INEGI’s ENOE shows a month‑to‑month loss of 1,302,773 employed persons in August, the worst single‑month decline since January 2022.
  • Informal employment fell by roughly 1.5 million while formal jobs rose by 197,127, lowering the informality rate to 54.8%.
  • Services shed about 1.0 million jobs and primary activities lost around 416,830, whereas industry added approximately 185,439 positions.
  • The economically active population declined to 61.3 million with a 58.8% participation rate as more people moved out of the labor force.
  • Job losses hit women harder, with female employment down about 767,113 versus 535,660 for men, while underemployment eased to 7.1%.