Who worked from home in Brazil? Inequalities highlighted by the pandemic

Castro, Nicole Rennó; Moreira, Gustavo Carvalho

doi:10.1590/0103-6351/6687

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Articles • Nova econ. 31 (03) • Sep-Dec 2021 • https://doi.org/10.1590/0103-6351/6687 copy

Who worked from home in Brazil? Inequalities highlighted by the pandemic

Quem trabalhou remotamente no Brasil? Desigualdades evidenciadas pela pandemia

Authorship SCIMAGO INSTITUTIONS RANKINGS

Abstract

There is some consensus that the pandemic can widen pre-existing inequalities in the labor market and that an essential issue concerns the unequal possibilities of working remotely. This study analyzes inequalities in remote work in Brazil through descriptive analyzes and Probit regressions using PNAD COVID-19 microdata. We have found that workers with the least possibilities for remote work were the poorest, males, rural residents, non-whites, youngest, without college education, self-employed or wage workers from the private sector and agriculture workers. An important part of that stems from differences in selection into occupations; however, some variables maintained important independent effects, especially the college education and the labor income. The pandemic, regarding the possibility of remote work, had the effect of widening the existing inequalities, favoring the wealthier, more educated, and more formalized workers and imposing on the others the need to choose between employment and income versus risk of contagion.

Keywords:
COVID-19; inequalities; labor market; pandemic; remote job

Filters	Excluded	Final sample
PNAD COVID-19 final sample (May-Aug)		1,501,262
Under 16 and over 65 years	473,861	1,027,401
Attending school	55,231	972,170
Undetermined or undeclared income	449,822	522,348
Occupation not defined	4,345	518,003
People who did not answer if they worked from home	98,163	419,840

Variable	Description
Hourly earnings	Logarithm of hourly earnings from the main job.
No schooling Elementary school High school Higher education	Schooling level. No schooling is the benchmark.
Employer	Status in employment. Employee without a formal contract is the benchmark.
Self-employed
Private sector (formal contract)
Public sector (formal contract)
Employee without a formal contract
Age (16-19) Age (20-29)	Age (in years). Age (16-19) is the benchmark.
Age (30-39)
Age (40-49)
Age (50-59)
Age (60-65)
Agriculture	Economic sectors. Agriculture is the benchmark.
Industry
Retail
Services
Rural	1 if the individual lives in a rural area, 0 otherwise.
Man	1 if the individual is a man, 0 otherwise.
White	1 if the individual is white, 0 otherwise.
F. U.	Federal Units (27 dummy variables, one omitted).
Month	Months (4 dummy variables, one omitted).
Types of work	Categories of types of work, position, or function (36 dummy variables, one omitted).

	(1)	(2)	(3)	(4)
Hourly earnings	0.0545^*	0.0525^*	0.0523^*	0.0420^*
	(0.0000)	(0.0000)	(0.0000)	(0.0000)
Elementary school	0.0107^*	0.0107^*	0.0106^*	0.0096^*
	(0.0000)	(0.0000)	(0.0000)	(0.0001)
High school	0.0649^*	0.0637^*	0.0635^*	0.0511^*
	(0.0000)	(0.0000)	(0.0000)	(0.0001)
Higher education	0.2270^*	0.2231^*	0.2233^*	0.1178^*
	(0.0001)	(0.0001)	(0.0001)	(0.0001)
Employer	-0.0216^*	-0.0223^*	-0.0218^*	-0.0204^*
	(0.0001)	(0.0001)	(0.0001)	(0.0001)
Self-employed	-0.0529^*	-0.0521^*	-0.0521^*	-0.0475^*
	(0.0001)	(0.0001)	(0.0001)	(0.0001)
Private sector (formal contract)	0.0064^*	0.0032^*	0.0033^*	-0.0098^*
	(0.0001)	(0.0001)	(0.0001)	(0.0001)
Public sector (formal contract)	0.0315^*	0.0347^*	0.0349^*	0.0015^*
	(0.0001)	(0.0001)	(0.0001)	(0.0001)
Age (20-29)	-0.0224^*	-0.0211^*	-0.0194^*	-0.0022^*
	(0.0002)	(0.0002)	(0.0002)	(0.0002)
Age (30-39)	-0.0392^*	-0.0392^*	-0.0360^*	-0.0127^*
	(0.0002)	(0.0002)	(0.0002)	(0.0002)
Age (40-49)	-0.0404^*	-0.0414^*	-0.0383^*	-0.0179^*
	(0.0002)	(0.0002)	(0.0002)	(0.0002)
Age (50-59)	-0.0388^*	-0.0413^*	-0.0380^*	-0.0164^*
	(0.0002)	(0.0002)	(0.0002)	(0.0002)
Age (60-65)	-0.0099^*	-0.0144^*	-0.0109^*	0.0118^*
	(0.0002)	(0.0002)	(0.0002)	(0.0002)
Industry	0.0031^*	-0.0004^*	0.0002^***	-0.0128^*
	(0.0001)	(0.0001)	(0.0001)	(0.0001)
Retail	0.0087^*	0.0055^*	0.0062^*	-0.0116^*
	(0.0001)	(0.0001)	(0.0001)	(0.0001)
Services	0.0646^*	0.0579^*	0.0579^*	0.0336^*
	(0.0001)	(0.0001)	(0.0001)	(0.0001)
Rural	-0.0372^*	-0.0286^*	-0.0283^*	-0.0305^*
	(0.0001)	(0.0001)	(0.0001)	(0.0001)
Man	-0.0302^*	-0.0303^*	-0.0304^*	-0.0219^*
	(0.0000)	(0.0000)	(0.0000)	(0.0000)
White	0.0174^*	0.0166^*	0.0165^*	0.0123^*
	(0.0000)	(0.0000)	(0.0000)	(0.0000)
Federal Units F. E.	No	Yes	Yes	Yes
Time F.E.	No	No	Yes	Yes
Types of work F. E.	No	No	No	Yes

	Gender (%)		Race (%)			Rural (%)			Schooling (%)			Status in employment (%)				Inc.	Age
	W	M	N-W	W	U	R	WS	ES	HS	HE	S-E	EM	PrS	PuS	ENC
Domestic worker, daily cleaner, cook (in households)	92.9	7.1	68.0	32.0	79.3	20.7	43.0	23.5	31.8	1.8	0.0	0.0	29.1	0.0	70.9	1.8	43.3
Cleaning staff (in companies)	70.3	29.7	69.9	30.1	83.2	16.9	32.1	23.7	39.7	4.6	0.0	0.0	55.1	26.1	18.8	2.0	42.6
Office clerk	63.6	36.4	49.3	50.7	93.7	6.3	2.1	6.6	54.8	36.5	0.0	0.0	65.3	21.7	13.0	2.3	35.9
Secretary, receptionist	87.6	12.4	52.5	47.6	91.9	8.1	2.6	8.0	61.6	27.8	0.0	0.0	60.7	20.5	18.8	2.1	36.7
Telemarketer	74.9	25.2	61.3	38.7	95.5	4.5	1.1	5.6	76.5	16.9	0.0	0.0	92.6	1.2	6.2	2.0	29.8
Merchant (owner of the bar, shop etc.)	42.9	57.1	51.3	48.7	88.9	11.1	20.4	17.7	45.0	17.0	71.9	28.1	0.0	0.0	0.0	2.2	44.5
Store salesman	63.1	36.9	57.2	42.8	91.4	8.6	6.3	13.9	70.4	9.4	0.0	0.0	80.4	0.1	19.5	1.9	32.6
Home seller, sales representative, catalog seller	51.0	49.0	51.4	48.6	91.7	8.3	11.1	14.8	54.2	19.9	67.1	1.2	22.3	0.1	9.3	2.3	40.7
Hawker	42.4	57.6	69.1	30.9	88.8	11.2	33.4	21.7	39.9	5.0	89.4	1.7	2.4	0.1	6.5	1.8	42.0
Cook and waiter	67.4	32.6	62.8	37.2	86.4	13.6	23.7	24.6	46.5	5.2	19.6	1.8	48.7	6.8	23.2	2.0	39.7
Baker, butcher and confectioner	42.0	58.0	57.7	42.3	86.8	13.3	26.7	22.0	45.4	5.9	43.7	2.7	40.2	0.2	13.2	2.0	39.2
Farmer, animal breeder, fisherman, forester and gardener	20.0	80.0	52.0	48.0	22.5	77.5	55.9	19.0	22.2	2.8	78.9	2.3	9.0	0.2	9.7	1.7	44.0
Agriculture assistant	13.2	86.8	71.4	28.6	27.3	72.7	62.5	19.9	16.9	0.7	25.0	0.1	33.9	0.1	40.9	1.7	39.0
Driver	4.8	95.2	62.8	37.3	89.0	11.0	19.7	19.7	53.4	7.3	51.1	0.5	28.2	10.2	10.1	2.2	42.8
Trucker	1.6	98.4	51.4	48.7	84.3	15.7	29.7	27.5	40.4	2.4	28.6	1.0	58.1	2.5	9.8	2.3	42.9
Delivery biker (self-employed)	2.8	97.2	67.0	33.0	93.7	6.3	18.5	22.2	56.1	3.3	52.4	0.4	28.2	0.6	18.5	2.0	34.0
Delivery biker (restaurant, pharmacy, store and apps)	5.3	94.7	65.9	34.1	90.0	10.0	20.2	25.0	49.5	5.3	33.9	1.0	36.0	1.9	27.3	1.9	34.4
Mason, painter, electrician, joiner	1.8	98.2	66.5	33.5	84.7	15.4	41.7	25.3	30.8	2.3	65.5	1.6	18.9	1.5	12.6	2.0	41.6
Vehicle mechanic	2.8	97.2	58.3	41.7	88.9	11.1	24.4	25.7	45.6	4.3	40.7	5.8	38.8	1.2	13.6	2.2	39.2
Craftsman, dressmaker and shoemaker	79.4	20.6	52.1	47.9	87.3	12.7	24.3	22.9	44.4	8.4	67.5	1.7	22.3	0.1	8.4	1.8	43.5
Hairdresser, manicure and others	79.5	20.6	61.7	38.3	92.7	7.3	13.2	20.6	57.2	9.1	86.6	2.5	2.6	0.0	8.3	2.1	37.3

	Gender (%)		Race (%)			Rural (%)			Schooling (%)			Status in employment (%)				Inc.	Age
	W	M	N-W	W	U	R	WS	ES	HS	HE	S-E	EM	PrS	PuS	ENC
Machine operator, assembler in the industry	11.8	88.2	54.8	45.2	81.1	18.9	22.2	20.4	53.3	4.1	0.0	0.0	88.2	3.9	7.9	2.3	38.0
Production assistant, loading and unloading	24.1	75.9	58.6	41.4	82.5	17.5	24.0	23.6	48.9	3.5	5.7	0.3	80.8	0.7	12.5	2.0	34.8
Kindergarten, elementary, high school or higher education teacher	79.3	20.7	51.7	48.3	87.6	12.4	0.4	0.9	11.0	87.8	0.0	0.0	17.6	66.2	16.2	2.9	42.6
Pedagogue, teacher of languages, music, art and tutoring.	74.7	25.3	44.7	55.3	91.3	8.7	0.8	2.6	25.9	70.8	26.3	0.6	21.7	35.6	15.8	2.7	41.0
Doctor, nurse, health professionals with higher education	72.8	27.2	37.0	63.0	96.3	3.7	0.0	0.0	0.0	100.0	19.3	5.3	23.0	35.3	17.1	3.2	40.0
Health professional (with high school level)	78.6	21.4	60.8	39.3	86.7	13.3	0.0	0.0	80.2	19.8	3.1	0.3	32.6	49.9	14.2	2.3	41.0
Caregiver of children, sick or elderly	93.2	6.8	62.5	37.5	88.1	11.9	18.6	17.6	51.6	12.2	32.0	0.3	28.2	13.3	26.2	1.9	41.0
Protection services worker	9.3	90.7	67.2	32.8	88.2	11.8	15.1	15.9	56.3	12.8	3.3	0.1	55.9	28.6	12.1	2.3	42.0
Civil police	25.4	74.6	50.6	49.4	96.9	3.1	1.3	4.3	25.6	68.9	0.0	0.0	0.0	97.7	2.3	3.4	43.7
Concierge, janitor	23.9	76.1	66.3	33.7	88.0	12.0	27.9	22.9	45.1	4.2	0.0	0.0	75.8	14.7	9.5	2.1	44.5
Artist, religious (priest, pastor, etc.)	23.5	76.5	54.1	45.9	93.5	6.5	7.8	9.8	46.5	35.9	61.0	1.3	7.8	1.4	28.6	2.7	42.9
Political or commissioned position (Director, manager)	38.2	61.8	35.7	64.3	92.6	7.4	4.5	6.7	35.6	53.2	9.3	24.7	38.8	14.5	12.7	3.0	43.3
Other professions with higher education (lawyer, engineer, etc)	47.1	52.9	32.9	67.2	97.2	2.8	0.0	0.0	0.0	100.0	25.6	5.3	37.5	22.4	9.3	3.2	39.8
Other technician or professional with high school	33.3	66.8	50.1	49.9	94.3	5.7	0.0	0.0	70.3	29.8	15.8	1.1	48.0	26.2	8.9	2.6	39.0
Others	36.4	63.6	54.0	46.0	87.2	12.8	16.0	14.6	45.8	23.7	27.0	2.8	41.5	14.1	14.6	2.3	39.0

	(1)	(2)	(3)	(4)
Hourly earnings	0.3651^*	0.3569^*	0.3566^*	0.3180^*
	(0.0002)	(0.0002)	(0.0002)	(0.0002)
Elementary school	0.2418^*	0.2346^*	0.2326^*	0.1144^*
	(0.0010)	(0.0010)	(0.0010)	(0.0011)
High school	0.8397^*	0.8204^*	0.8194^*	0.4993^*
	(0.0008)	(0.0008)	(0.0008)	(0.0009)
Higher education	1.6240^*	1.6073^*	1.6103^*	0.9346^*
	(0.0008)	(0.0008)	(0.0008)	(0.0009)
Employer	-0.1520^*	-0.1582^*	-0.1554^*	-0.1522^*
	(0.0004)	(0.0005)	(0.0005)	(0.0005)
Self-employed	-0.4171^*	-0.4118^*	-0.4136^*	-0.3829^*
	(0.0007)	(0.0007)	(0.0007)	(0.0008)
Private sector (formal contract)	0.0418^*	0.0214^*	0.0218^*	-0.0712^*
	(0.0004)	(0.0004)	(0.0004)	(0.0005)
Public sector (formal contract)	0.1934^*	0.2138^*	0.2153^*	0.0104^*
	(0.0005)	(0.0005)	(0.0005)	(0.0005)
Age (20-29)	-0.1356^*	-0.1288^*	-0.1197^*	-0.0161^*
	(0.0011)	(0.0011)	(0.0011)	(0.0012)
Age (30-39)	-0.2463^*	-0.2494^*	-0.2309^*	-0.0941^*
	(0.0011)	(0.0011)	(0.0011)	(0.0012)
Age (40-49)	-0.2546^*	-0.2651^*	-0.2467^*	-0.1348^*
	(0.0011)	(0.0011)	(0.0011)	(0.0012)
Age (50-59)	-0.2435^*	-0.2641^*	-0.2447^*	-0.1234^*
	(0.0011)	(0.0011)	(0.0011)	(0.0012)
Age (60-65)	-0.0582^*	-0.0866^*	-0.0660^*	0.0829^*
	(0.0012)	(0.0013)	(0.0013)	(0.0014)
Industry	0.0273^*	-0.0034^*	0.0016^***	-0.1088^*
	(0.0008)	(0.0009)	(0.0009)	(0.0010)
Retail	0.0749^*	0.0462^*	0.0528^*	-0.0984^*
	(0.0008)	(0.0009)	(0.0009)	(0.0010)
Services	0.4627^*	0.4144^*	0.4167^*	0.2513^*
	(0.0008)	(0.0008)	(0.0008)	(0.0009)
Rural	-0.2491^*	-0.1941^*	-0.1927^*	-0.2309^*
	(0.0007)	(0.0007)	(0.0007)	(0.0008)
Man	-0.2004^*	-0.2041^*	-0.2050^*	-0.1644^*
	(0.0003)	(0.0003)	(0.0003)	(0.0003)
White	0.1162^*	0.1126^*	0.1123^*	0.0933^*
	(0.0003)	(0.0003)	(0.0003)	(0.0003)
Constant	-3.2155^*	-3.2882^*	-3.2235^*	-2.4347^*
	(0.0016)	(0.0022)	(0.0022)	(0.0025)
Federal Units F. E.	No	Yes	Yes	Yes
Time F.E.	No	No	Yes	Yes
Types of work F. E.	No	No	No	Yes

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[1] About the authors

Nicole Rennó Castro - nicole.renno@cepea.org.br

Departamento de Ciências Econômicas, Universidade Federal de São João del-Rei, São João del-Rei, MG, Brasil.

ORCID: https://orcid.org/0000-0003-4768-8976

Gustavo Carvalho Moreira - gustavocmoreira@ufsj.edu.br

Departamento de Ciências Econômicas, Universidade Federal de São João del-Rei, São João del-Rei, MG, Brasil.

ORCID: https://orcid.org/0000-0001-9526-0267