2014 World Cup generates 1 million jobs in Brazil

The 2014 FIFA World Cup is expected to generate approximately 1 million jobs in Brazil, which corresponds to 15% of the 4.8 million formal positions created since 2011. The event has also brought $13.4 billion into the country’s economy.

Out of the amount of employment positions opened due to the World Cup, 710 thousand are permanent and 200 thousand are temporary, all of which officially registered. In tourism alone, 40 thousand new openings were made available by the football tournament.

These figures are part of a survey conducted by the Foundation Institute of Economic Research (“Fipe”), as requested by the Ministry of Tourism. It is based on the comparison between forecasts on the impact made by the World Cup and data from the General Current and Former Employee Roll (“CAGED”), from the Ministry of Labor. The period under analysis comprises from January 2001 to March 2014.

The data were provided by the president of the Brazilian Tourist Board (“Embratur”), Vicente Neto, on Friday (Jun 20), during a visit to FIFA’s media center in Rio de Janeiro. He added that the occupancy rate in the hotel sector from all 12 host cities, during the first week of the tournament, was 45% higher than expected. Up to June 11, 340 thousand days were reported as booked, 100 thousand more than the estimate made by Brazil’s Forum of Hotel Operators (“FOHB”). “The figures are beating expectations,” said Embratur’s president.

The chairman of the institution went on to say that large-scale events, like the World Cup, are expected to help promote the image of Brazil as a major international tourist destination, boosting the generation of jobs and income in the country.

Vicente Neto also reiterated that Brazil has been under the global spotlight for hosting events. He pointed out that the nation has risen from the 19th to the 9th position on the list of countries with the largest number of congresses and conventions. The list covers from 2003 to 2013 and was drawn by the International Congress and Convention Association (“ICCA”).

“The amount of events held in Brazil during this period has leapt from 62 to 315. The number of cities hosting such meetings has increased from 22 to 54. This evolution comes as a result of the policy for decentralizing the choice of venues for international events,” he declared.

Translated by Fabrício Ferreira