Formal employment in Peru grew by 4.6% in Q1 2026

The Central Reserve Bank of Peru (BCR) has reported that formal employment in the country grew by 4.6% at the end of the first quarter of 2026. This figure is a positive indicator amidst a challenging regional context, where many Latin American countries are still facing significant hurdles in recovering pre-pandemic employment levels.

The increase in formal employment has been driven by several sectors, including services and industry, which have shown notable recovery. In particular, the services sector, encompassing tourism, commerce, and telecommunications, has been crucial in generating new jobs. This trend is encouraging, as formal employment not only provides economic stability for families but also contributes to increased tax revenue and the formalization of the economy.

Despite this growth, the BCR emphasizes the importance of continuing to implement policies that encourage investment and the development of labor skills. At the regional level, the BCR report highlights that many Latin American countries still struggle with high rates of labor informality, which limits access to social benefits and leaves workers vulnerable to economic crises.

Experts suggest that to sustain this trend in formal employment growth, collaboration between the public and private sectors is essential, as well as the implementation of policies that strengthen education and vocational training. Improving the quality of jobs will be key to ensuring that this growth is sustainable in the long term, benefiting a larger portion of the Peruvian population.

In summary, while the 4.6% increase in formal employment is a positive sign, the country must continue working to consolidate and expand these improvements, addressing the ongoing challenges in the labor market.