Unemployment Falls To Record Low of 7.1%

• The country’s unemployment rate fell to a record low of 7.1% for October 2021, according to the Statistical Institute of Jamaica (STATIN) Labour Force Survey. 
• This is 0.1 percentage points lower than the previous 7.2% pre-pandemic outturn recorded in October 2019. The October 2021 figure also represents a 3.7 percentage-points decline, relative to the corresponding period last year. 
• There were 1,234,800 persons employed in October 2021, an increase of 76,600 (6.6%) compared to 1,158,200 employed in October 2020. This increase resulted in the male unemployment rate declining from 8.7% to 5.5%, the female unemployment rate decreasing from 13.2% to 9.0%. 
• The three industries that accounted for the largest increase in employment were Real Estate and Other Business Services; Arts, Entertainment, Recreation and Other Services; and Construction. 
• This reduction in unemployment augurs well for the recovery as it should support an increase in private consumption of goods and services. However, this could fuel greater inflation and increase the likelihood of further rate hikes by the BOJ, to reduce inflationary pressures.

(Sources: STATIN & NCBCM Research)