Fear of unemployment falls and life satisfaction grows

Following an improvement in public confidence, the Fear of Unemployment Index (IMD) dropped by 6.7 points in September as compared to June, while the Life Satisfaction Index edged up by 2.5 points over the same period. Nevertheless, the situation remains critical. The IMD is still at a high level and the ISV remains at one of its lowest points in the series.

Despite the decline, it should be stressed that the IMD is up by 13 points from its historical average (48.2 points) at 61.2 points. Fear of unemployment is higher among respondents with a lower household income. Among people whose household income is more than five times the minimum wage, the IMD stood at 49.8 points. The index figure goes up to 67.9 points for those with a household income of between one and two minimum wages and to 66.9

The population, however, believes the situation is still critical

Fear of unemployment Index

Life Satisfaction Index

-6.7points -3.9

points

2.5points

1.9points

points among respondents with a family income of up to one minimum wage. This is because low-income families are most vulnerable to losing their jobs and thus experiencing a reduction in income, particularly in this period of crisis.

The Life Satisfaction Index (ISV) posted the second consecutive growth and hit the mark of 67.0 points, but remains short of its 70-point historical average. Life satisfaction is higher among respondents with a household income of more than five times the minimum wage, with the indicator totaling 70.9 points. Meanwhile, the indicator for people with a family income of up to one minimum wage reached 65.0 points. Life satisfaction is higher among people who live in the countryside as compared to those living in capital cities and suburbs.

Change from June 2016

Change from September 2015

61.2September 2016

historical average: 48.2

67.0September 2016

historical average: 70.0

Change from June 2016

Change from September 2015

FEAR OF UNEMPLOYMENT AND LIFE SATISFACTION

CNI indicatorsISSN 2317-7020 • Year 4 • Number 3 • September 2016

2

Fear of unemployment index Life satisfaction index

Sep/2015 Jun/2016 Sep/2016 Sep/2015 Jun/2016 Sep/2016Total 65.1 67.9 61.2 65.1 64.5 67.0

GENDER

Male 60.7 63.6 58.7 66.9 65.1 68.1

Female 69.4 71.7 63.6 63.5 63.9 66.0

AGE

16 to 24 65.4 68.9 62.7 69.3 67.7 70.3

25 to 34 65.7 71.6 63.2 66.0 65.4 68.3

35 to 44 68.6 68.3 60.7 65.7 63.6 64.7

45 to 54 66.1 66.6 63.6 63.5 63.1 66.1

55 or above 60.5 63.4 56.3 61.9 62.6 65.6

EDUCATION LEVEL

Up to the 4th grade of elementary school 65.0 68.4 59.9 62.9 62.7 66.2

5th-8th grade of elementary school 64.2 68.4 62.9 61.7 63.5 65.1

Secondary education 67.3 70.0 64.0 66.6 64.6 67.0

Higher education 61.5 62.5 54.8 68.8 67.2 70.0

GEOGRAPHIC REGION

North and Mid-west 63.4 61.9 62.1 64.7 64.5 67.0

Northeast 68.9 69.5 65.8 66.2 67.0 67.2

Southeast 66.9 71.0 62.8 64.6 62.3 65.8

South 55.5 62.0 48.3 65.7 65.9 69.9

FAMILY INCOME (IN MINIMUN WAGES)

Over five 58.9 56.5 49.8 70.7 68.9 70.9

Over two up to five 63.1 65.5 58.1 66.5 65.8 68.4

Over one up to two 68.4 70.5 67.9 63.5 63.2 64.9

Up to one 69.3 76.2 66.9 61.4 61.1 65.0

CONDITION OF THE MUNICIPALITY

Capital 62.8 63.3 62.2 64.9 63.5 65.9

Outskirts of capitals 65.2 66.7 62.1 63.7 63.7 63.4

Country 66.3 70.3 60.5 65.7 65.2 68.3

Note: the Fear of Unemployment (IMD) and Life Satisfaction (ISV) indices have changed

These indicators are no longer disseminated as fixed base indexes, but rather as diffusion indexes. This change makes it possible to make straightforward comparisons between different strata. As the diffusion index reflects current response rates, one can directly compare the different strata and identify those with greater (or lower) fear of unemployment and more (or less) satisfaction with life. Furthermore, we have recovered old data and the series were calculated retroactively to 1996.

The indices range from 0 to 100. The higher the IMD, the greater the fear of unemployment, while the higher the ISV, the higher the life satisfaction. For further details on the new methodology for calculating the indices, kindly visit www.cni.org.br/e_imd-isv

Fear of unemployment and life satisfactionISSN 2317-7020 • Year 4 • Number 3 • September 2016

Fear of Unemployment Index Base: average 2003 = 100

Life Satisfaction Index Base: average 2003 = 100

Technical specifications Learn more

iPeriod in which information was collected for this issue: September 20-25, 2016. Sample profile: 2002 interviews in 143 municipalities.

For more details, kindly visit www.cni.org.br/e_imd-isv

FEAR OF UNEMPLOYMENT AND LIFE SATISFACTION | English version of “Medo do Desemprego e Satisfação com a Vida - setembro/2016” I Quarterly publication of the National Confederation of Industry - CNI | www.cni.org.br | Policy and Strategy Directorate - DIRPE | Research and Competitiveness Unit - GPC | Executive manager: Renato da Fonseca | Team: Priscila Garcia and Edson Velloso | CNI Publishing Center | Graphic Design Supervision: Carla Gadêlha | Customer Service - Phone: +55 (61) 3317-9992 - email: sac@cni.org.br. This publication may be copied, provided that the source is mentioned.

Methodological note: The Fear of Unemployment and Life Satisfaction survey is prepared by the National Confederation of Industry based on a national public opinion poll conducted by the IBOPE Inteligência institute.

historical average: 48.2

20

30

40

50

60

70

96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16

historical average: 70.0

60

65

70

75

80

96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16

Sep/2016

Sep/2016

61.2

67.0

Fear of unemployment and life satisfactionISSN 2317-7020 • Year 4 • Number 3 • September 2016