The Reunion economy managed to overcome the tightening of health restriction measures in the 2nd quarter, estimates INSEE. After a decline in April and May, the volume of paid working hours increases again in June and July and is above the 2019 level. Salaried employment increases sharply compared to the previous quarter : + 1,1 %, i.e. 2,900 jobs created. This increase is primarily due to a continued increase in the number of apprentices : 1,200 apprenticeship contracts were signed or extended in the 2nd quarter. It is also explained by temporary employment which remains very dynamic, by an increase in the number of subsidized contracts, as well as the continued increase in employment in services, both merchant and non-merchant. In transport and accommodation and catering, employment remains stable thanks to partial activity schemes. However, the volume of paid hours in these sectors is down compared to the pre-crisis level. Business creations reach a record level this quarter. On the other hand, activity remains limited in the tourism sector, more exposed to health restrictions. Tourist attendance in hotels fell by 38% in the 2nd quarter compared to the same period in 2019..
Conjuncture : the economy held up in the 2nd quarter
