During the past year a significant decline can be observed in the labour market. Expectations for next year are not promising.

The unemployment rates in Chile show an increase of unemployment during the past 12 months, with a rate of 6, 6% in the July-September trimester. Workforce went up in 181.690 people, exceeding the amount of jobs created which was 91.890 vacancies. Meanwhile, the strong increase of people entering the labour market is related to the currently 515.000 unemployed personas, a number that grew 19% during the past year.

This shows a generalized deterioration, though young people are the most affected, as the unemployment rates are higher, reaching two digit figures for people up to 29 years old.

During the past year, the industries that cut down jobs the most were commerce (-40.230 jobs) and construction (-26.690) and the regions with highest unemployment rates are Biobío (8, 3%), Valparaíso (7 ,7%) and Atacama (7,2%).

The setback in the labour market is related to the slow paced performance of the activity during 2014, caused by the weak internal demand. Expected growth for 2015 is modest. Therefore, an increase of job vacancies is not expected. These means that unemployment is expected to grow.

In such context, the statement of Javiera Blanco, Ministry of Labour, regarding the labour reform contents, brought certain peace, as this reform, like the others reforms applied, are not expected to cause great impact on companies.