Remembering May 1
|
Statistic |
Jan 2015 |
Oct 2015 |
Jan 2016 |
Labor Force Participation |
63.8 |
63.3 |
63.3 |
Employment Rate |
93.4 |
94.4 |
94.2 |
Unemployment Rate |
6.6 |
5.6 |
5.8 |
Underemployment Rate |
17.5 |
17.7 |
19.7 |
The Services sector is the highest employer of labor in the country, followed by agriculture and lastly industry. The dominant age demographic of laborers in the country range from 15 to 54 years old, while two thirds of the employed labor force comprise of workers whose highest educational attainment are elementary and high school education. There has also been a disturbing increase in the population of working children (5 – 17 years old), with 8% of the demographic engaging in work. It is also of note that there are still more male workers than there are female represented in the labor force.
The average wage in the Philippines as of April 2015 is at Php 380.23 pesos a day. This figure varies across regions and sectors.
The average wage in the Philippines as of April 2015 is at Php 380.23 pesos a day. This figure varies across regions and sectors.
It can be seen from these figures that average wage in the NCR is markedly higher than the wage rates in other regions, making the national figure above a majority of the country. Another glaring figure is that workers in the agricultural sector gain much less wage than members of the industry and services sector. Studies would confirm that the agricultural sector’s employment demographic consists of the rural poor.
Daily wage rates are also way below daily costs of living. IBON Foundation, for example, states that it takes Php 1088 a day for a family in NCR to get by. Also, peso purchasing power has been slowly decreasing since 2013.
Daily wage rates are also way below daily costs of living. IBON Foundation, for example, states that it takes Php 1088 a day for a family in NCR to get by. Also, peso purchasing power has been slowly decreasing since 2013.
Other Issues
There are some issues that laborers face, however, that are much closer to the core of their everyday lives. One of which is the issue of unjust contractualization and other labor rights. According to our Labor Code, employees must be entitled to benefits and insurances after six months of employment. Perhaps to cut costs, or to deal with the seasonal nature of some occupations, companies have resorted to signing employees to contracts below six months. This results to constant uncertainty for workers and frictional unemployment in the economy. Furthermore, some companies also disallow workers from aggregating interests through worker unions. This deprives workers with a venue to be able to bargain for and raise their interests.
Another prevalent issue regarding labor is both the international and regional migration of workers. According to the Country Migration Report of the International Organization of Migration, international migration has soared exponentially, from from 372, 784 in 1985, to 1,802,031 OFW’s in 2012. This can be attributable to the development in the country not being inclusive, despite shows of economic growth. Furthermore, tremendous social costs are incurred, with workers being susceptible to abuse and violation of rights in another country, as well as the cost of leaving their families in the Philippines.
There are some issues that laborers face, however, that are much closer to the core of their everyday lives. One of which is the issue of unjust contractualization and other labor rights. According to our Labor Code, employees must be entitled to benefits and insurances after six months of employment. Perhaps to cut costs, or to deal with the seasonal nature of some occupations, companies have resorted to signing employees to contracts below six months. This results to constant uncertainty for workers and frictional unemployment in the economy. Furthermore, some companies also disallow workers from aggregating interests through worker unions. This deprives workers with a venue to be able to bargain for and raise their interests.
Another prevalent issue regarding labor is both the international and regional migration of workers. According to the Country Migration Report of the International Organization of Migration, international migration has soared exponentially, from from 372, 784 in 1985, to 1,802,031 OFW’s in 2012. This can be attributable to the development in the country not being inclusive, despite shows of economic growth. Furthermore, tremendous social costs are incurred, with workers being susceptible to abuse and violation of rights in another country, as well as the cost of leaving their families in the Philippines.
Another trend that must be looked into however, is the internal migration phenomenon in the country. Studies have shown that urban populations have been growing in a fast pace due to rural-to-urban migrations in order to find sources of livelihood. This poses to be difficult as it causes increased congestion, crime and environmental waste in said areas. Furthermore, population congestion in the Metro areas have caused a spilling over of urban residents to rural communities, creating “rurban” place, prevalent especially in Central Luzon.
Calls of Action
It is clear that despite the steady decrease in unemployment in the country, laborers still undergo a plethora of issues and obstacles. Average wages are not enough to cover daily living costs. Underemployment remains to be an alarming phenomenon in the country. Laborer’s rights to tenure and to form unions continue to be trampled. Lack of inclusive growth has forced workers to abandon their families and move either to the Metro areas or abroad.
As we celebrate Labor Day, we invite everyone to learn more about the plights of our workers in the country, and work together to demand for initiatives that would ensure quality jobs for our citizens across the nation, accompanied by equitable compensation, equal representation and recognition of labor rights.
Sources
https://psa.gov.ph/sites/default/files/attachments/ird/pressrelease/E-CLS-January%202016.pdf
https://psa.gov.ph/statistics/survey/labor-force
http://ibon.org/2015/03/p15-wage-increase-meaningless-amid-rising-cost-of-living/
http://www.poea.gov.ph/stats/2014%20POEA%20Stats.pdf
http://www.philstar.com/business/2015/12/16/1532990/contractualization-labor-2016-election-issue
Calls of Action
It is clear that despite the steady decrease in unemployment in the country, laborers still undergo a plethora of issues and obstacles. Average wages are not enough to cover daily living costs. Underemployment remains to be an alarming phenomenon in the country. Laborer’s rights to tenure and to form unions continue to be trampled. Lack of inclusive growth has forced workers to abandon their families and move either to the Metro areas or abroad.
As we celebrate Labor Day, we invite everyone to learn more about the plights of our workers in the country, and work together to demand for initiatives that would ensure quality jobs for our citizens across the nation, accompanied by equitable compensation, equal representation and recognition of labor rights.
Sources
https://psa.gov.ph/sites/default/files/attachments/ird/pressrelease/E-CLS-January%202016.pdf
https://psa.gov.ph/statistics/survey/labor-force
http://ibon.org/2015/03/p15-wage-increase-meaningless-amid-rising-cost-of-living/
http://www.poea.gov.ph/stats/2014%20POEA%20Stats.pdf
http://www.philstar.com/business/2015/12/16/1532990/contractualization-labor-2016-election-issue
The Free Market is a blog created by the SESC for both informative articles, as well as opinion pieces, for the consumption of the UPSE community and the public at large. Should you have any ideas that you would want to share on a larger platform, kindly contact SESC Education and Reserach at 09063595378 or message the SESC Facebook Page.
Ideas and opinions in The Free Market do not necessarily reflect the stand of the SESC or the UPSE student body.
Ideas and opinions in The Free Market do not necessarily reflect the stand of the SESC or the UPSE student body.
