Costa Rica: Unemployment Slowly Declines

During the mobile quarter from September to November 2020, the unemployment rate at the national level stood at 21.3%, which is lower than the 21.9% reported from August to October of the same year.

Thursday, January 7, 2021

For the mobile quarter September, October and November 2020, the population of 15 years of age and older with an incidence of labor due to the effect of Covid-19 was 1.07 million people (26.7%), according to an official report.

Learn more about the "System for monitoring markets and the economic situation in Central American countries", prepared by CentralAmericaData.

According to the National Institute of Statistics and Census (INEC), the incidence of labor in the workforce was estimated at 940 thousand people (38.8%). A total of 430,000 employed persons (22.6%) have some labor incidence from the pandemic. Of the unemployed, 510,000 people (98.8%) were affected in their search for employment. Finally, the labor incidence caused by the emergency affected about 131 thousand people (8.3%) outside the labor force.

The report adds that "... the unemployment rate in the first quarter of the year meant that 13 out of every 100 people in the labor force were unemployed, the highest value was obtained in the quarter May, June and July 2020 with 24 unemployed people for every 100 people in the labor force, and a slight recovery began until reaching 21 unemployed people for every 100 in the labor force."

The document states that "... the employment rate in the first quarter represented 55 out of every 100 people of working age had a job, once the pandemic was declared at the end of March, the situation in the market reflected a contraction of the occupation reaching the lowest value in the quarter May, June and July 2020, where 43 out of every 100 people of working age had a job, and is gradually increasing to 48 out of every 100 people of working age in the last published quarter."

See full report (in Spanish).



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In the current scenario of economic crisis, during the mobile quarter from August to October 2020 the unemployment rate at the national level was 21.9%, a proportion similar to the 22% reported from July to September.

The National Institute of Statistics and Censuses (INEC) reported that for the August, September and October 2020 moving quarter, the population of 15 years old and older with an incidence of labor due to the effect of Covid-19 was 1.13 million people (28.3%). The incidence of labor in the labor force was estimated at 981,000 people (40.8%). A total of 474,000 employed people (25.2%) have some incidence of the pandemic in the workplace. Of the unemployed, 507,000 people (96.3%) were affected in their search for employment. Finally, the labor incidence caused by the emergency affected about 154 thousand people (9.6%) outside the workforce.

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According to the report released by the National Institute of Statistics and Censuses (INEC), 42% of the people who were unemployed during the third quarter of 2020 said that they had less than three months to look for work.

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Between the third and fourth quarters of 2019, the open unemployment rate in Costa Rica rose from 11.4% to 12.4%, partly because of the increase in women's unemployment.

In a year-on-year comparison, the National Institute of Statistics and Censuses (INEC) report states that the national unemployment rate for the fourth quarter of 2019 remains unchanged from the fourth quarter of 2018 at 12.4%.