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são paulo - a tale of two cities

In 2006, SEADE found that 43.3 per cent of the population of Metropolitan São Paulo had a household income of three MS or less. Further, 41.1 per cent earned the equivalent of between three and 10 times the minimum salary, and 9.6 per cent earned between 10 and 20 times the MS, while just 4 per cent had a monthly income that exceeded 20 times the MS. Almost 2 per cent had no income. The table below shows their findings in more detail. SEADE/UN-HABITAT data, analysed and crosstabulated by vulnerable and non-vulnerable social strata, provides valuable insights into who benefits from social security and other income sources. The next table reveals the heterogeneity of incomes among households in both categories. The vulnerable areas had a relatively high proportion of households (24.4 per cent) earning up to one MS equivalent from their main source of work. A further 55.7 per cent of households had incomes of between one and three MS equivalent; therefore, a total of 83.1 per cent of vulnerable households had income ranging from none at all (3 per cent) to three MS. Only 11.7 per cent of households in the vulnerable areas earned more than three MS. In the non-vulnerable areas surveyed, only 28.6 per cent of the households reported income from their main source of work exceeded the equivalent of three MS. A surprising 60.9 per cent of households in non-vulnerable areas claimed to earn the equivalent of three MS or less from their main work.73 While not offering a conclusive perspective of different households’ total income from all sources, the data does illustrate the wide range of incomes in the city. Furthermore, the data suggests that an average of 70 per cent of the MRSP households earn only three MS or less from their main employment. Despite the considerable additions made by earnings from the informal sector, private holdings and social security, the data reveals that for most of the population, household incomes are low. Despite the evident inequality in the city, there is perhaps some homogeneity across a wide swath of the population that finds it difficult to rise above two or three MS from their main jobs.

Table 4.1: Division of monthly family income in MRSP, by categories of minimum salaries (MS), 2006 Percentage of households within this category

Accumulative percentage

No income

1.9

1.9

Up to one MS

8.8

10.7

From one MS and up to 2 MS

19

29.7

From 2 MS and up to 3 MS

15.5

45.2

From 3 MS and up to 5 MS

22.7

67.9

From 5 MS up to 10 MS

18.4

86.3

From 10 MS up to 20 MS

9.6

95.9

More than 20 MS

4.1

100

Total

100

100

Source: Fundação Seade. Pesquisa de Condições de Vida – PCV 2006.

The pressure to develop alternative income streams, irregular or informal, and pressures for adolescents to work instead of study, and for mothers (or the family child-carers) to work is therefore considerable among the poorer strata of São Paulo society. Table 4.2: Gross earnings from principle income source expressed in minimum salaries and cross-tabulated between vulnerable and non-vulnerable households Percentage of vulnerable households within this category

Percentage of non-vulnerable households within this category

No income

3.0

2.6

Up to one MS

24.4

13.0

From one MS and up to 2 MS

41.6

27.9

From 2 MS and up to 3 MS

14.1

17.4

From 3 MS and up to 5 MS

7.6

11.6

From 5 MS up to 10 MS

3.6

11.5

From 10 MS up to 20 MS

0.4

4.0

More than 20 MS

0.1

1.5

Outlier or no information offered

5.3

10.6

Total

100

100

Source: Fundação Seade/UN-HABITAT. Pesquisa de Condições de Vida – PCV 2006.

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Profile for UN-Habitat

Sao Paulo; A tale of two cities  

UN-HABITAT’s new Cities and Citizens series examines urban inequality in the developing world through in-depth analysis of intracity data de...

Sao Paulo; A tale of two cities  

UN-HABITAT’s new Cities and Citizens series examines urban inequality in the developing world through in-depth analysis of intracity data de...

Profile for unhabitat
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