Unemployment in the Philippines

Unemployment

The official unemployment figures for the Philippines in 2011 are among the worst in Asia, higher than its South-East Asian neighbors and according to the International Labor Organization the country is among the worst one-fourth in the world in terms of unemployment rates. Without a strong manufacturing industry or real Filipino industry, the economy will be unable to create enough decent paying jobs. Till then manufacturing or services will remain substandard, or of low value-addition. According to employment figures, jobs in the Philippines manufacturing sector increased by just 8% of the total employment. Nearly three out of every ten people in the labor force are looking for work or are jobless. The mining sub-sector said to be one of the fastest growing industry in 2011 failed to generate new jobs (just 0.6 % of total employment).

          Steadily rising inflation has contributed to the erosion of the value of the minimum wage. Though the Aquino administration increased the minimum wage and announced cash dole-outs but lack of quality decent paying jobs and higher real wages continue to be a problem. The government's policy to encourage foreign capital, even if in just low value-added assembly operations will continue to hinder real growth and development of the manufacturing sector. The Aquino administration needs to plan over the long-term, and prepare an industrialization program that encourages value-addition manufacturing or services and builds Filipino-owned industries.

What causes unemployment in the Philippines?

          The more probable cause of unemployment in the Philippines is the unavailability of jobs provided. With a growing population of about a 8 million, millions needed jobs and only few can sure provide one. The lack of investors and businesses that could provide good jobs for the Filipino people is one key factor in the growing unemployment in the Philippines. 
But probably, one cause of unemployment in the Philippines may be lack of education. With the increasing demands of the fast developing world, it is really hard to find jobs when you are not a graduate of a particular skill or course. Though the Philippines is a literate country, its not enough to be able to reach the qualifications of most in-demand jobs because even mere sales ladies nowadays are required to have at least 1-2 years in college. We are facing a competitive world and its a must to reach the norms of development. Thus, a high educational attainment, which most Filipinos lack, is one way to uplift the unemployment rate of the country.

Philippines Unemployment Rate

          The unemployment rate in Philippines was last reported at 6.9 percent in April of 2012. Historically, from 1995 until 2012, Philippines Unemployment Rate averaged 9.1 Percent reaching an all time high of 13.9 Percent in April of 2002 and a record low of 6.3 Percent in October of 2007. The unemployment rate can be defined as the number of people actively looking for a job as a percentage of the labour force. This page includes a chart with historical data for Philippines Unemployment Rate.

Philippine unemployment rate falls to 7 from 7.4%

          MANILA, Philippines—The number of Filipinos without jobs settled at 2.814 million in 2011 when the labor force breached the 40-million mark, according to the Bureau of Labor and Employment Statistics.

BLES data show that with 40.005 million economically active Filipinos — those who are at least 15 years old and are available for work—the unemployment rate in 2011 averaged 7 percent, improving from 7.4 percent the previous year.

The difference represents a decrease of 45,000 from the 2.859 million jobless in 2010. BLES attributed the improvement to the growth in job creation outpacing the growth in the labor force.

Job-generation grew faster in 2011 at 3.2 percent year-on-year with 1.156 million (exceeding the one-million target) added to the roster of the employed. In 2010, growth was pegged at 2.8 percent with 974,000 new jobs.

As for the unemployed, half or 1.4 million were aged 15-24 years. Also, three out of five of the jobless were men.

Compared to the national average, unemployment was higher in the National Capital Region (11.3 percent), Calabarzon (9.7 percent), and Central Luzon and Ilocandia (both at 8.5 percent).

According to the BLES, the growth in the size of the labor force went faster in 2011 with 1.1 million additions than in 2010 when one million joined.

“Correspondingly, the labor force participation rate (LFPR) was up to 64.6 percent from 64.1 percent” the previous year,” BLES said.

The LFPR takes into account the size of the labor force against the total number of working-age Filipinos or those 15 years and older.

In 2011, the working-age population was pegged at 61.88 million compared to 60.72 million in 2010.

“The increase in LFPR was higher among women than men. By age cohort, the increase was most pronounced among those aged 15-24 years,” the agency said.

On the other hand, participation was down among senior citizens.

Unemployment rate eases in April but job shortage remains' 

          MANILA, Philippines (Xinhua) - A survey of the labor force in the Philippines showed that the unemployment rate has dropped slightly to 6.9 percent in April from the 7.2 percent registered in the same period last year.

According to the National Statistics Office (NSO), which conducted the survey, there were about 2.803 million Filipinos who were unemployed in April this year, while the figure in the same period in 2011 was 2.871 million.

The survey results, which were released on Friday, showed that number of Filipinos who were underemployed rose to 7.312 million in April this year compared to the 7.127 million recorded during the same period last year.

The underemployment rate in April was at 19.3 percent, which was lower than the 19.4 percent recorded a year ago.

Underemployed persons are those who either want an additional job or more hours in their current job, or have a new job with longer working hours.

The survey also revealed that the country's employment rate was at 93.1 percent, compared to the 92.8 percent recorded in April 2011. It also showed that an estimated 37.8 million Filipinos have jobs in April.

Metro Manila, which has a population of more than 10 million, registered the highest unemployment rate at 10.4 percent.

What is significant in the latest survey is that more than one- half, or 51.7 percent of those without jobs, are between the ages of 15 to 27.

Almost one-third, or 32.8 percent, of the young unemployed Filipinos are high school graduates, 13.8 percent are college undergraduates, and 21 percent are college graduates.
In April, of the estimated 62.8 million Filipinos, aged 15 and above, 40.6 million are in the labor force, up slightly from the estimated 39.7 million recorded in April 2011.
Despite of the slight decrease of the unemployment rate in April, the shortage of jobs has continued to be a nagging problem in the Philippines.
A study made by an international research group showed the unemployment rate in the country has steadily increased from 1990 until 2000.
After a slight decline in 2001, the rate continued to rise until it peaked at 11.7 percent in 2005 before it dropped to 8.7 percent in 2006.
Even with the slight drop in April, the unemployment rate in the Philippines is still much higher than other South East Asian countries, whose rates tend to stay below 6 percent.
The research group cited the much higher population growth in the Philippines compared to its neighbors as the main cause of the country's high unemployment rate. The Philippines has now a population of almost 100 million.
"Mixed with poor economic performance, the high population is problematic. There are just too many people and not enough jobs, or money or resources to create more jobs," the study said.
It said that employment opportunities have failed to keep up with growing number of Filipinos joining the labor force.
Another factor that compounds the unemployment problem is the low gross domestic product (GDP) growth in the Philippines, which was only 3.7 percent last year, the lowest in the region.
The study said that less economic activities mean less spending by companies and thus making it difficult to create new jobs for the people.
Another criticism aired by some sectors is that the country's education system continues to turn out college graduates whose training and skills are not attuned to the needs of the labor market both at home and abroad.
Human resource groups and labor recruitment officials have decried the continuing popularity of glamorous and white-collar courses that produce diplomas but not well-paying jobs.
Politicians and the private sector have also criticized this mismatch in college training and job opportunities but the government so far has failed to institute meaningful and concrete measures to correct this dilemma.

Philippine unemployment rate drops to 6.9 percent

THE Philippines’ unemployment rate dropped slightly to 6.9 percent for April, the National Statistics Office’s latest Labor Force Survey revealed on Friday. 

The latest figure is lower than the 7.2 percent recorded during the same period in 2011.
The poll showed that Metro Manila registered the highest unemployment rate at 10.4 percent.Among the jobless, 62.3 percent are male and 37.7 are female. More than half—51.7 percent—are between 15 to 27 years old. 
Among educational groups, 32.8 percent—or almost a third—of the unemployed are high school graduates, 13.8 are college undergraduates and 21 percent are college graduates.
The survey also revealed that the country’s employment rate was at 93.1 percent, compared to the 92.8 percent recorded in April 2011.
It also showed that an estimated 37.8 million people have jobs in April.
More than half, or 51.4 percent, of those employed work in the services sector, while 33 percent work in the agricultural sector and 15.6 percent in the industry sector.
Of the estimated 62.8 million people aged 15 and older in April 2012, 40.6 million are in the labor force, up slightly from the estimated 39.7 million recorded in April 2011.
The labor force participation rate [LFPR] in April 2012 was 64.7 percent, up from the 64.2 percent registered in April 2011.
The country’s labor force is comprised of employed and unemployed people, 15 years old and older, who contribute to the production of goods and services in the country.
The underemployment rate was at 19.3 percent, or 7.3 million underemployed persons, which is lower than the 19.4 percent recorded a year ago.
Underemployed people are those who either want an additional job or more hours in their current job, or have a new job with longer working hours.
According to the survey, about 55.1 percent of those employed in April 2012 work full-time, while 42.8 percent work part-time.
Full-time workers are those who work 40 hours a week or more, while part-time workers work for less than that. 
More than half, or 51.4 percent, of those employed work in the services sector, while 33 percent work in the agricultural sector and 15.6 percent in the industry sector.
Of the estimated 62.8 million people aged 15 and older in April 2012, 40.6 million are in the labor force, up slightly from the estimated 39.7 million recorded in April 2011.
The labor force participation rate [LFPR] in April 2012 was 64.7 percent, up from the 64.2 percent registered in April 2011.
The country’s labor force is comprised of employed and unemployed people, 15 years old and older, who contribute to the production of goods and services in the country.
The underemployment rate was at 19.3 percent, or 7.3 million underemployed persons, which is lower than the 19.4 percent recorded a year ago.
Underemployed people are those who either want an additional job or more hours in their current job, or have a new job with longer working hours.
According to the survey, about 55.1 percent of those employed in April 2012 work full-time, while 42.8 percent work part-time.
Full-time workers are those who work 40 hours a week or more, while part-time workers work for less than that.