Current Employment and Unemployment Rate in the Philippines

Beginning now, I’ll start to make articles about the unemployment condition and the unemployment rate in the Philippines and hopefully could give my opinions on how to fight unemployment in our country. There are lots of unemployed persons these days and you could see it everywhere, even in the US, the world’s biggest economy, has a problem of unemployment and layoffs.

Unemployment could be also one of the hardest problems that Philippine government cannot solve and find a solution. It is the reason why there are many OFWs now working abroad and it is still increasing each passing day. Without employment or job, how a family can survive or meet its daily needs for food, education, shelter and clothing? The only good thing is, we Filipinos, can be easily employed in other countries because of our competency, tenacity and adaptability in any environment that we are living.

However, there are many disadvantages of increasing number of Filipinos leaving the country for employment abroad particularly to the families left behind by OFWs. Many studies show that there is a higher probability that husband and wife will separate because of loneliness and temptations.

To give you some figures about the the latest unemployment rate in the Philippines, I research the data from NSO and I found out it is 6.4% in October 2011. The following table shows the employment rate in the Philippines during October 2010 and October 2011 based on the Labor Force Survey (LFS).

October 2011 October 2010
Population 15 years and over (in ‘000) 62,165 61,169
Labor Force Participation Rate (%) 66.3 64.2
Employment Rate (%) 93.6 92.9
Unemployment Rate (%) 6.4 7.1
Underemployment Rate (%) 19.1 19.6

Notes: 1. Estimates for October 2011 are temporary and may change
2. Population 15 years and over is from the 2000 Census-based population projections.

From the data above, you can see that the unemployment rate for October 2011 is lower by 0.7% than the unemployment rate in October 2010. In addition, underemployment is lower by 0.5% compared last year. Employed persons who wants to have additional hours of work in their present job or to have additional job, or to have a new job with longer working hours are considered underemployed.

Top Four Regions in terms of Employment Rate for October 2011

The table below shows the top four regions with the highest employment rate in the Philippines.

Region Percentage
Autonomous Region in Muslim Mindanao (ARMM) 97.7%
Cagayan Valley 97.2%
Zamboanga Peninsula 96.6%

What are the Factors that Contribute to Unemployment?

Basically, there are several factors that contribute to the unemployment condition in our country. The most common factor is the lack of employment opportunites because of few job openings and low job creation. This condition is the result of few businesses being established and small number of foreign investments who want to do business in the Philippines.

Another factor that affects the unemployment rate in the Philippines is the fast population growth. As the number of people increases, unemployment also increases since there are more people who wants to get a job. That’s why it is also important for the government to address the rapid population growth in our country because there’s a problem of creating more jobs for the people.

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