Chile’s unemployment rate hit 9.6% in the June–August quarter as formal salaried jobs fell 2.9%, according to figures the National Statistics Institute (INE) published Wednesday, 30 September. The rate marked its highest level since May 2021, and the unemployed population grew 13.0% in a year.
Workers at Antofagasta Minerals’ Centinela mine voted 98.73% in favour of a strike over equal pay and took their protest to Santiago. Their vote came as employment fell across several industries and copper output sank to its lowest level in about 15 years.
Jobs and wages under pressure
The increase in the unemployed population included a 12.1% rise in people who had lost jobs and a 23.2% rise in first-time job seekers. Total employment fell 0.9%, with men’s employment down 1.7%; women’s employment rose 0.2%.
Women’s unemployment stood at 10.3%, compared with 9.1% for men. In the Santiago Metropolitan Region, unemployment reached 9.8%, up 0.9 percentage points in a year. The seasonally adjusted national rate was 9.4%, 0.1 point higher than the previous quarter.
Information and communications employment fell 16.8% over 12 months. Manufacturing employment declined 7.6%, while commerce fell 1.1%. Unpaid family work dropped 4.0%.
Informal work made up 26.3% of employment, up 0.3 percentage points. Growth centred on transport, administrative and support services, and domestic work. Total hours worked fell 2.4% in a year. The average workweek shortened to 36.4 hours.
The labour force grew 0.3%, but participation slipped to 61.5% and the employment rate fell to 55.6%. Unemployment has stayed above 9% for five consecutive rolling quarters.
Mining and organized resistance
Industrial production fell 5.7% in August, while copper output dropped 12.8%. The report said copper production had reached its lowest level in about 15 years.
At Centinela, workers voted to strike over equal pay. After the vote, the union took its protest to Santiago. The report gave no further details on negotiations or a strike date.
The head of shipping line CSAV said labour reforms cost US$4 billion. The report didn’t specify which reforms or provide a breakdown of that figure.
Government response and next figures
The government’s 2027 budget, delivered during the same week, raises spending by 1.5%. The finance ministry said it would scrutinize outlays.
President José Antonio Kast sent Congress a bill to extend a monthly fuel bonus of 100,000 pesos, about US$103, for taxis, shared taxis and school transport until December. The report didn’t describe a broader unemployment measure in the budget or the bonus bill.
The Senate president ruled that migrant detention reform could return with 29 Senate votes. The report also said local hiring was slowing, particularly in sectors where expatriates often compete for formal jobs. As the job market weakens, employers face a broader candidate pool.
INE’s next reading, covering July–September, was due at the end of October. The report said the release came without an official forecast.