The transition to a market driven development strategy in Latin America for more than a decade has redefined business strategies and reshaped the state`s traditional role as guarantor of employment, stability, and protection. These changes, plus the move to create more flexible labor markets in...

We document the evolution of labor markets of five Latin American countries during the COVID-19 pandemic, with emphasis on informal employment. We show, for most countries, a slump in aggregate employment, mirrored by a fall in labor participation, and a decline in the informality rate. The...