P H I LIPPINE

E M P LOY MENT
SITUATION
ANNUAL GDP
ANNUAL GDP GROWTH RATE (2010-2016)
GDP 9.0
YEAR (at constant
prices) 8.0
7.6 7.1 6.9
7.0 6.7

2010 5,701,539 6.0

6.1 6.1

2011 5,910,201 5.0

4.0
2012 6,305,229
3.7
3.0
2013 6,750,631
2.0

2014 7,165,478 1.0

2015 7,600,175 0.0

2009 2010 2011 2012 2013 2014 2015 2016 2017

2016 8,126,403 Source: Philippine Statistics Authority (PSA) and World Bank

The Philippine economy is on a higher growth trajectory since the beginning of the
current decade. From 2010, the average growth of the economy is 6.3% which is the
highest seven-year average since the 1970’s.
SECTOR CONTRIBUTIONS TO GDP
GROWTH
AVERAGE SECTOR CONTRIBUTIONS TO GDP SERVICE
FROM 2010-2016 ➢ Private consumption (i.e.,
remittances)
AGRICULTURE
10% ➢ ICT

INDUSTRY
➢ Electronic products

AGRICULTURE
SERVICE
57% INDUSTRY
33%

➢ Exports of agricultural
products (i.e., oil, fresh
banana, tuna, pineapple,
tobacco, and seaweeds
Source: Philippines Statistics Authority (PSA), National Accounts
GROSS DOMESTIC PRODUCT OUTLOOK
FORECASTYEAR GDP

Asian Development Bank 2017 – 2018 6.5 - 6.7

World Bank 2017 – 2018 6.2 – 6.9

PEPM 2016 – 2022 5.8 - 6.2

Sources: Asian Development Bank, World Bank, Philippine Employment Projection Model 2015

The 2016-2022 PEPM range of projection of GDP at 5.8 to 6.2 is much lower than the GDP
forecast of 2017-2018 by World Bank at 6.2 to 6.9 and ADB 6.5 – 6.7.
 DEMOGRAPHICS (POPULATION)
POPULATION COUNT
2015 – 100.98 M
80+

70 ELDERLY
60 PROJECTION
50
2020 – 109.95 M
PRIME
Males – 55.46 M or 50.4%
40
Females - 54.49 M or 49.6%
30

20 YOUTH

10
YOUNG
0

-15000 -10000 -5000 0 5000 10000 15000

Female (2020) Male (2020) Male (2015) Female (2015)

Source: Philippine Statistics Authority, 2010 Census-based Population Projections in collaboration with the Inter-Agency Working Group on Population Projections,

By 2020, the Philippine population will grow by 1.6% bringing total count to almost 110 M. There are
relatively more males than females in the young and prime ages. But there are more females in the
old category than males due to the difference in life expectancy. Almost 1 in every 5 (18.4%) person
is youth while two-fifths (38.7%) of the population is of prime working age.
 POPULATION BY REGION
POPULATION (IN MILLIONS)
REGION 2020 RANK
Region IV-A registered the 2015 RANK
PROJECTION
RANK
DIFF
biggest population in 2015 RO IVA 14.4 1 15.4 1 -
with 14.4 M among the 18 NCR 12.9 2 13.3 2 -
administrative regions. NCR REGION III 11.2 3 11.9 3 -
placed second with 12.9 M REGION VII 6.0 4 6.5 5
REGION V 5.8 5 6.6 4
followed by Region III with 11.2
REGION I 5.0 6 5.5 6 -
M. The CAR with 1.7 M was the REGION XI 4.9 7 5.4 7 -
least populous region in 2015. REGION X 4.7 8 5.1 8 -
REGION XII 4.5 9 5.1 9 -
By 2020, it is projected that REGION VI 4.5 10 4.9 12
there will be no change in the REGION VIII 4.4 11 5.0 10
most and least populous regions NIR 4.4 12 4.9 11
in the country, however the ARMM 3.8 13 4.2 13 -
ranking of some regions REGION IX 3.6 14 4.1 14 -
changed (i.e. Region V will REGION II 3.5 15 3.7 15 -
overtake Region VII in terms of MIMAROPA 3.0 16 3.4 16 -
total population count). CARAGA 2.6 17 3.0 17 -
CAR 1.7 18 1.9 18 -
TOTAL 101.0 109.9

Source: Philippine Statistics Authority, Census of Population and Housing an 2010 Census-based Population Projections in collaboration with the Inter-Agency Working Group on Population
Projections
POPULATION BY AGE GROUP
50
By 2020, the share of the
working age population is
40
37.6
38.7 projected to increase to 69.7%
from 68.3% in 2015.
31.7
30.3
30
Contributory to this increase
are the growth of share in the
19.5
20 18.4 prime and elderly age group.
12.6
Portion of youth population
11.2
10
will decline by 2020.

0
Less than 15 15 -24 25 - 54 55 and over

2015 2020 (Projection)

Source: Philippine Statistics Authority, 2015 Census of Population and Housing and 2010 Census-based Population Projections
KEY EMPLOYMENT INDICATORS
PHILIPPINES 2010-2016
INDICATOR 2010 2011 2012 2013 2014 2015 2016P

Household Population (15 years old and

over) 60,717 61,882 62,985 61,176 64,033 64,936 68,308

Labor Force (‘000) 38,893 40,006 40,426 39,088 41,379 41,342 43,356
Employed Persons (‘000) 36,035 37,192 37,600 36,286 38,651 38,741 40,993
Unemployed Persons (‘000) 2,859 2,814 2,826 2,801 2,728 2,602 2,363
Underemployed Persons (‘000) 6,762 7,163 7,514 6,912 7,118 7,180 7,512
Labor Participation Rate (%) 64.1 64.6 64.2 63.9 64.6 63.7 63.5
Employment Rate (%) 92.0 92.8 93.1 92.8 93.4 93.7 94.5
Unemployment Rate (%) 8.0 7.2 7.0 7.2 6.6 6.3 5.5
Underemployment Rate (%) 18.8 19.3 20.0 19.0 18.4 18.5 18.3
Youth Unemployment Rate (%) 17.6 16.3 16.2 16.1 15.3 15.0 16.1
Source: Philippine Statistics Authority, averages of four (4) rounds of 2010-2016 Labor Force Survey
P - Preliminary

* The annual estimates for 2013 and 2014 exclude Region VIII or Eastern Visayas.

The Philippine employment situation has generally reflected a positive trend from
2010 to 2016.
 KEY EMPLOYMENT INDICATORS
PHILIPPINES 2016 – 2022 PROJECTIONS
INDICATOR 2016 2017 2018 2019 2020 2021 2022

Household Population (15 years old and

over)
67,960 67,600 69,330 72,040 73,390 74,780 76,170

Labor Force (‘000)

43,550 44,430 45,300 46,170 47,040 47,900 48,760
Employed Persons (‘000)
40,330 41,300 42,270 43,150 43,860 44,630 45,440
Unemployed Persons (‘000)
3,220 3,130 3,030 3,020 3,180 3,280 3,320
Labor Participation Rate (%)
64.08 64.08 64.09 64.09 64.09 64.06 64.02
Employment Rate (%)
92.61 92.96 93.3 93.45 93.25 93.16 93.2
Unemployment Rate (%)
7.39 7.04 6.70 6.55 6.75 6.84 6.80

Source: Philippine Employment Projection Model 2015

Base year 2013 and earlier

From 2016 to 2022, the PEPM 2015 forecasts that the Philippine employment
situation will continue the positive trend recorded in the last seven (7) years.
 EMPLOYED BY REGION
% SHARE
Region IV-A, NCR, and REGION 2022 RANK
Region III recorded the 2016 RANK RANK (+/-)
PROJECTION DIFF
top 3 highest
employment share in REGION IV-A 13.9 1 13.2 1 (0.7) -
2016 among the 17 NCR 12.8 2 2 (0.6) -
administrative regions. 11.6
While CAR has the REGION III 10.7 3 10.1 3 (0.6) -
lowest share in REGION VII 7.9 4 8.2 4 0.3 -
employment. REGION VI 7.8 5 7.8 5 0.0 -
REGION V 5.7 6 6.1 6 0.4 -
By 2022, Region IV-A, REGION X 4.9 7 4.9 8 0.0
NCR, and Region III’s REGION XI 4.9 8 4.7 10 (0.2)
employment will remain REGION I 4.8 9 5.0 7 0.2
the top highest but the REGION XII 4.5 10 4.5 11 0.2
shares is projected to REGION VIII 4.4 11 9 0.5
4.9
decline.
REGION IX 3.8 12 3.7 12 (0.1) -
Biggest employment REGION II 3.6 13 3.5 13 (0.1) -
share gainer are Region MIMAROPA 3.1 14 3.4 14 0.3 -
VII, Region V, and ARMM 2.8 15 3.3 15 0.5 -
ARMM CARAGA 2.6 16 2.8 16 0.2 -
Source: Philippine Statistics Authority, Labor Force Survey CAR 1.9 17 2.0 17 0.1 -
and DOLE PEPM 2015
EMPLOYMENT
BY SEX
From 2010-2015, the
Employment Rate by Sex (2010-2015) average employment rate of
94.5
94.2 men is 92.9 % with an
93.9
94.0 average of 0.2 % growth
93.5
93.4
93.3
93.4 every year.
93.2
93.1 93.1
93.0
92.7
92.8 92.7 On the other hand,
92.5
92.4
women employment
has a higher rate with an
92.0
average of 93.5 % and 0.2
91.5
2010 2011 2012 2013 2014 2015
% growth annually.
MALE FEMALE

Source: Philippines Statistics Authority (PSA), Labor Force Survey (LFS)

 UNEMPLOYMENT TARGET
BY AGE GROUPS ➢ unemployment rate continues to
decline in the past half-decade -

Baseline
5.5% is the lowest point
2013 2014 2015 2016 2022 recorded since 2006.
2012
➢ PDP 2011-2016 unemployment
UNEMPLOYMENT
2,826 2,905 2,728 2,602 2,363 targets achieved
(‘000)

UNEMPLOYMENT ➢ Youth unemployment remains to

7.0 7.1 6.6 6.3 5.5 be a dominant problem in the labor
RATE
market - almost half of the
PDP Target 6.7- 6.6-
7.0 7.1 6.5-6.7 5.0 Philippines’ unemployed are the
6.9 6.8
youth (those 15-24 years old) and
15-24 16.1 15.3 15.0 15.6 16.1 more than twice that of the
25-54 5.1 4.7 4.5 4.1 5.1 national rate. Although youth
unemployment has also declined, the
55 and over 2.3 1.9 1.7 1.7 2.3 trend still holds.
Source: Philippines Statistics Authority (PSA), Labor Force Survey (LFS)
UNEMPLOYMENT
BY SEX
• The nation’s unemployment
Unemployment Rate by Sex (2010-2015) rates of both men and
8.0 7.6 women are significantly
7.3 7.2 7.3
7.0 6.9 6.6 decreasing in an average
6.9 6.8 of 0.2% annually.
6.0 6.6 6.7
6.1
5.0 5.8
• The biggest decrease of men
4.0 unemployment from 2010-
2015 was recorded in 2014
3.0 with a 0.4 percent
2.0 decrease while the lowest
decrease of women
1.0 unemployment was 0.7%
-
in the same year.
2010 2011 2012 2013 2014 2015
MALE
Source: Philippines Statistics Authority (PSA), FEMALE
Labor Force Survey (LFS)
 EMPLOYMENT
BY EDUCATIONAL LEVEL The share of workers with
less than a primary
HIGHEST GRADE education is the biggest
2010 2011 2012 2013 2014 2015
COMPLETED
followed by workers who
No Grade Completed 97.8 98.2 97.9 97.7 98.3 98.5
attained at least primary
Elementary 96.7 96.9 96.8 96.7 97.1 97.1
Undergraduate 96.9 97.2 97.1 97.0 97.4 97.2
education.
Graduate 96.5 96.6 96.4 96.4 96.8 97.0
High School 91.6 92.1 92.2 92.2 93.0 93.2
Educated workers who
Undergraduate 93.0 94.0 93.7 93.6 94.4 94.4
Graduate 91.0 91.2 91.4 91.6 92.4 92.7
reached/attained post-
Post-secondary - - 87.1 88.0 89.1 89.7 secondary and college
Undergraduate - - 88.1 89.0 90.5 89.5 education have the least
Graduate - - 86.8 87.7 88.8 89.8
percentage in the nation’s
College 89.7 90.0 90.8 90.5 90.7 91.5
Undergraduate 88.7 89.1 90.1 89.8 90.2 91.3 employment rate.
Graduate and Higher 90.6 90.7 91.2 90.9 91.0 91.7

Source: Philippines Statistics Authority (PSA), Labor Force Survey (LFS)

UNEMPLOYMENT
BY EDUCATIONAL LEVEL “EDUCATED
UNEMPLOYMENT”

HIGHEST GRADE
Notably, most of the
2010 2011 2012 2013 2014 2015
COMPLETED unemployed are educated
No Grade Completed 2.2 1.8 2.1 2.4 1.7 1.5 individuals who
Elementary 3.3 3.1 3.2 3.3 2.9 2.9 reached/attained high school,
Undergraduate 3.1 2.8 2.8 3.0 2.6 2.8 post-secondary, and college
Graduate 3.5 3.4 3.6 3.6 3.2 3.0
level.
High School 8.4 7.9 7.8 7.8 7.0 6.8
Undergraduate 7.0 6.0 6.3 6.4 5.6 5.6
Graduate
Jobseekers who are college
9.0 8.8 8.6 8.4 7.5 7.3
Post-secondary - - 12.9 12.0 10.9 10.3
undergraduates or graduates
Undergraduate - - 12.1 10.9 9.5 10.5
are less likely to get
Graduate - - 13.2 12.3 11.1 10.2 employed compared to
College 10.3 10.0 9.2 9.5 9.3 8.5 jobseekers with lower level
Undergraduate 11.3 10.9 9.9 10.2 9.8 8.7 of educational attainment.
Graduate and Higher 9.4 9.3 8.8 9.1 9.0 8.3

Source: Philippines Statistics Authority (PSA), Labor Force Survey (LFS)

EMPLOYMENT
BY SECTOR
55% - SERVICE
26.9% - AGRICULTURE
17.5% - INDUSTRY

Agriculture sector employment Source: Philippines Statistics Authority (PSA), Labor Force Survey (LFS)
contracted within the last half decade. This was driven by the growth of the wholesale
and
The larger portion was mostly retail services and BPO sub-sectors. The
absorbed by the services sector.
industry sector growth was fueled by manufacturing
primarily by electronics products.
EMPLOYMENT
BY CLASS OF WORKER
Employment in the
formal sector or wage
and salary employment
has been increasing

In 2016, wage employment

accounted for 25 million
(61.6%) of total employed, with
about 19.7 million or 78% in
private establishments.

Self-employed workers
accounted for 27.6% while
workers in own-family operated
business and unpaid family
workers had less than 10% each.
Source: Philippines Statistics Authority (PSA), Labor Force Survey (LFS)
UNDEREMPLOYMENT
BY SECTOR
➢ Lack of quality of
employment is the key issue

➢ Underemployment ranged at 18
to 20% over the past years.

➢ Underemployment
correspondingly decline in times
of high GDP growth but increase
in times of economic slowdown.

➢ Based on the PDP 2011-2016,

underemployment targets
were not achieved.

➢ Underemployment is dominant
in the agriculture sector.
Source: Philippines Statistics Authority (PSA), Labor Force Survey (LFS)
 YOUTH NOT IN EDUCATION AND NOT
IN EMPLOYMENT (NEE)
NUMBER OF NUMBER OF TOTAL NUMBER OF NEE (2010-2015)
YEAR YOUTH NEE PERCENTAGE
('000) ('000) 4,750,000
2010 18,220 4,591 25.2%
4,700,000
4,690,000
2011 18,576 4,514 24.3% 4,669,000
4,650,000
2012 18,928 4,690 24.8%
4,600,000 4,591,000
2013 19,285 4,669 24.2%
4,550,000
2014 19,223 4,435 23.1%
4,514,000
4,500,000
2015 19,522 4,439 22.7%
4,450,000
4,435,000 4,439,000
In 2012, the total number of youth NEE had a 4,400,000

significant increase by 3.8% however, the number has 4,350,000

been notably decreasing. According to ILO, one 4,300,000

2010 2011 2012 2013 2014 2015
in every four Filipino young persons
The difference between female youth is of note. In 2015, 28.6%
belongs to the NEE group.
women are NEE, more than 10% to the percentage of men
who belong to said group (17.1%). This difference can be
accounted to both higher unemployment and higher
Source: Philippines Statistics Authority (PSA), Labor Force Survey (LFS) inactivity rates among female youth.
LABOR SUPPLY
2010-2016 (CURRENT SUPPLY)
From 2010 to 2016, the number
CUMULATIVE NUMBER OF REGISTERED
PROFESSIONALS (2010 -2016) of registered professionals
4,500,000 increased by an average of
4,000,000 5.3% yearly.
4,122,413
3,920,201
3,500,000
3,741,068
3,353,720
3,529,213 From the total number of
3,000,000
3,181,607 registered professionals in 2016,
3,015,864
2,500,000
teachers have the highest
2,000,000
proportion with 37%, followed by
1,500,000
nurses with 21%. Certified
1,000,000
Public Accountants (CPAs)
500,000 and Civil Engineer account to
-
2010 2011 2012 2013 2014 2015 2016
both 4% and Physicians with
3%.
Source: Professional Regulations Commission (PRC)
 LABOR SUPPLY
SENIOR HIGH (POTENTIAL WORKFORCE)
➢ 3 out of 5 Grade 11 senior high school
SENIOR HIGH GRADE 11 ENROLMENT
enrollees took the Academic track.
2016 - 2017
Among the sub-programs, the most
subscribed strand is General
0%
0%
Academic with around 300,000 takers.

39%
Academic
➢ Around 2 out of 5 Grade 11 students
Technical Vocational Livelihood
Arts and Design Track are enrolled in the Tech-Voc track the
61%
Sports Track
most subscribed course is Bread and
Pastry Production (NC II), Cookery
(NC II), Food and Beverage
Services (NC II).
Source: Department of Education
 LABOR SUPPLY
OUTLOOK
Annually, the percentage of school-aged population participating in basic education is
expected to increase by an average of 1.50%.
BASELINE TARGETS
INDICATORS
(2015) 2016 2017 2018 2019 2020 2021 2022
KINDER 74.65% 77.56% 80.46% 83.37% 86.28% 89.19% 92.09% 95.00%
ELEMENTARY 91.05% 91.61% 92.18% 92.74% 93.31% 93.87% 94.44% 95.00%
JUNIOR HIGH SCHOOL 68.15% 69.19% 70.23% 71.27% 72.32% 73.36% 74.40% 75.44%
SENIOR HIGH SCHOOL No Baseline Yet

On the other hand, the proportion of students completing basic education is expected to
increase by an average of 0.79% yearly.
ELEMENTARY 83.43% 84.37% 85.31% 86.25% 87.18% 88.12% 89.06% 90.00%
JUNIOR HIGH SCHOOL 73.97% 76.49% 76.82% 77.15% 77.48% 77.82% 78.15% 78.48%
SENIOR HIGH SCHOOL No Baseline Yet

Source: Department of Education (DepEd)

JOBSEEKER PROFILE
JOBSTREET LMI (2015-2016)

Source: Jobstreet Labor Market Information (2015-2016)

JOBSEEKER PROFILE
PERCENTAGE OF JOBSEEKERS BY WORK
EXPERIENCE (2015-2016)
WITH WORK
EXPERIENCE

PEIS (2015-2016)
4%

WITHOUT
WORK
EXPERIENCE
96%

TOTAL REGISTERED JOBSEEKERS BY

EDUCATIONAL ATTAINMENT (2015-2016)
TOP 10 OCCUPATIONS OF REGISTERED Not Stated 102,112
JOBSEEKERS (2015-2016) Masteral/Post-Graduate 601
Masteral/Post-Graduate Level 250
WELDER 3,682
College Graduate 158,971
MERCHANDISER 4,092
College Level 83,935
PRODUCTION MACHINE OPERATOR 5,460
Vocational Graduate 40,303
OFFICE CLERK 5,963
Vocational Level 9,346
LABORER 8,625
High School Graduate 219,146
SALESLADY 9,581
High School Level 62,188
SALES CLERK 12,221
Elementary Graduate 42,503
SERVICE CREW 12,646
Elementary Level 29,838
CASHIER 17,311
PRODUCTION WORKER 30,519 0 50,000 100,000 150,000 200,000 250,000

0 5,000 10,000 15,000 20,000 25,000 30,000 35,000

Source: PESO Employment Information System (PEIS) (2015-2016)
PRICEWATERHOUSE COOPERS (PWC)
THE FUTURE OF WORK: A JOURNEY TO 2022
65% of people want to work for an
Drivers of change organization with a powerful
• Technology breakthroughs social conscience.
GREEN
• Resource scarcity and climate change WORLD
Socially and
• Shifts in global economic power environmentally
beneficial good
• Demographic shifts
BLUE
• Rapid urbanization
WORLD
Profit, growth ORANGE
and WORLD
market Maximizing
leadership flexibility while
64% of people believe that minimizing 46% of HR professionals
technology will improve their job prospects. fixed costs expect at least 20% of their
workforce to be made up of
contractors or temporary workers.
.
THE ECONOMIST INTELLIGENCE UNIT
AUTOMATED, CREATIVE AND DISPERSED: THE FUTURE OF
WORK IN THE 21ST CENTURY (2015)
• IMPACTS
– EVERYWHERE is a potential working environment
• Productivity of employee improved
• Invest on technologies that improve performance

– Creative and social skills will dominate the automated world

• focus on more valuable work than repetition of tasks
• Creativity and communication is an important skill
THE ECONOMIST INTELLIGENCE UNIT
AUTOMATED, CREATIVE AND DISPERSED: THE FUTURE OF
WORK IN THE 21ST CENTURY (2015)
• IMPACTS
– Well-being and employee development top the management agenda
• Advancing employee skills and capabilities should be a priority
• Mentoring is the most widely used strategy to improve employee well-being and
nurture talent