Brazil: Unemployment insurance

Brazilian unemployment insurance was instituted in 1986 and expanded through the 1990s and 2000s. In 2008, 6.7 million workers received benefi ts amounting to an average of R$ 595 (US$ 275), or 1.3 times the current minimum wage (R$ 465). Although programme coverage is relatively extensive when compared with other programmes in Latin America, only 35% of the country's economically active population are registered wage-earners (known as carteira de trabalho assinada), of whom only fulfi l the minimum eligibility requirements (contributions for at least six months in the last three years). Benefits are paid for three to fi ve months, depending on the worker's time in service. In March 2009 the Government announced an extension of the benefi t for two additional months for workers in sectors heavily affected by the crisis (mining, steelmaking) who lost their jobs as of November 2008. Approximately 216,500 workers will benefi t from this measure, equal to 0.013% of GDP.