The Central Bank of the Dominican Republic has released its latest labor market survey, revealing a significant drop in the country’s unemployment rate. At the close of 2024, the rate stood at a historic low of 4.8%, down from 5.0% in the same period of 2023.
Key Findings
• Job growth: The Dominican Republic’s economy added 97,988 jobs in 2024, bringing the total number of employed individuals to 5,050,930.
• Formal employment: The majority of this growth came from the formal sector, with 140,669 new formal jobs created. This contrasts with a decrease of 42,681 informal jobs.
• Record employment rate: The country’s employment rate reached a record high of 62.3%, indicating the highest proportion of working-age individuals in employment within the statistical series.
• Decreasing informal employment: The rate of informal employment fell to 54.8%, the lowest point in the statistical series, excluding the atypical figure recorded in the second quarter of 2020 due to the COVID-19 pandemic.
• Wage growth: Average hourly earnings increased by 10.1% in nominal terms and 7.1% in real terms, reaching RD$151.50 per hour in 2024.
• Poverty reduction: The country’s monetary poverty rate has declined to 20.8%, reflecting a reduction from the 24.4% rate observed in the same period of 2023.
• Labor force participation: The overall labor force participation rate reached nearly its maximum value at 65.4%, indicating the highest proportion of the population actively engaged in the labor market.
The Central Bank’s report highlights the positive performance of the Dominican Republic’s labor market, attributing it to the resilience of the country’s economy. This achievement is particularly notable considering the challenging global economic climate, marked by high interest rates, geopolitical uncertainties, and volatile commodity prices.
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Central Bank
13 February 2025