Employment Rate in January 2013 is Estimated at 92.9 Percent (Results from the January 2013 Labor Force Survey)

Reference Number: 

2013-026

Release Date: 

Friday, March 15, 2013

 

Philippines

January 20131/

 

January 2012

 

Population 15 years and over (in 000)2/

63,682

62,683

Labor Force Participation Rate (%)

64.1

64.2

Employment Rate (%)

92.9

92.8

Unemployment Rate (%)

7.1

7.2

Underemployment Rate (%)

20.9

18.8

 1/ Estimates for January 2013 are preliminary and may change.             
    2/ Population 15 years and over is an estimate taken from the 2000 Census-based population projections. 

 

The results of the January 2013 Labor Force Survey (LFS) revealed that there were approximately 37.94 million employed persons in January 2013.  This figure translates to an employment rate of 92.9 percent, which is similar to the employment rate reported in January 2012 (92.8%).  Among the regions, Cagayan Valley (96.7%), and Zamboanga Peninsula (96.6%) had the highest employment rate.  The National Capital Region (NCR) recorded the lowest employment rate at 90.5 percent.

The population aged 15 years and over was estimated at 63.7 million in January 2013.  Out of this estimate, 40.8 million persons were in the labor force, or were either employed or unemployed.  These figures resulted in a labor force participation rate (LFPR) of 64.1 percent, which is similar to the LFPR recorded in January 2012 (64.2%).  Northern Mindanao had the highest LFPR among the regions, with 68.5 percent, while Autonomous Region in Muslim Mindanao had the lowest LFPR with 58.1 percent.

Of the estimated 37.94 million employed persons in January 2013, majority (54.1%) were working in the services sector.  Among the workers in this sector, those engaged in wholesale and retail trade; repair of motor vehicles and motorcycles comprised the highest percentage (18.9% of the total employed).

Those who worked in the agriculture sector comprised the second largest group making up 30.4 percent of the total employed while workers in the industry sector made up the smallest group registering 15.5 percent of the total employed.  Workers in the industry sector were mostly in the manufacturing and construction sub-sectors, comprising 8.3 percent and 6.0 percent, respectively, of the total employed.

Among the major occupation groups, laborers and unskilled workers constituted the largest group making up 32.8 percent of the total employed in January 2013.  Farmers, forestry workers and fishermen were the second largest group comprising 12.7 percent of the total employed.  This percentage is lower than that reported in January 2012 wherein farmers, forestry workers and fishermen comprised 15.6 percent of the total employed.

Employed persons fall into any of these categories: wage and salary workers, self-employed workers without any paid employee, employer in own family-operated farm or business, and unpaid family workers.  Wage and salary workers are those who work for private households, private establishments, government or government-controlled corporations, and those who work with pay in own family-operated farm or business.  The January 2013 LFS results revealed an increase in the percentage shares to the total employed  of workers in private establishments, from 41.7 percent to 46.1 percent, and of workers in private households, from 4.9 percent to 5.6 percent.  Thus, the percentage of the wage and salary workers to the total employed had increased to 60.2 percent in January 2013 from 55.2 percent in January 2012.  The percentage shares to the total employed of the self-employed and of those working without pay in own family-operated farm or business had decreased correspondingly.  In January 2013, about 26.9 percent of the total employed were self-employed workers without any paid employee, while in January 2012, the corresponding figure was 29.7 percent.  The unpaid family workers accounted for 9.4 percent of the total employed in January 2013, while in January 2012, such workers comprised 11.6 percent of the total employed.

Employed persons are classified as either full-time workers or part-time workers.  Full-time workers are those who work for 40 hours or more while part-time workers work for less than 40 hours.   Of the total employed persons in January 2013, 65.1 percent were full time workers, while 33.9 percent were part-time workers.  By comparison, in January 2012, full-time workers comprised 62.1 percent while part-time workers made up 36.7 percent.

Employed persons who express the desire 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. The estimated number of underemployed persons in January 2013 was 7.93 million, placing the underemployment rate at 20.9 percent of the employed population.  In comparison, in January 2012, the underemployed was estimated at 7.02 million comprising 18.8 percent of the total employed.  The visibly underemployed persons or those working for less than 40 hours in January 2013 accounted for 55.2 percent of the total underemployed.  Those who worked for 40 hours or more made up 43.3 percent.  About 42.3 percent of underemployed worked in the services sector, while 41.8 percent were in the agriculture sector.  Those in the industry sector accounted for 15.9 percent.

The unemployment rate in January 2013 was estimated at 7.1 percent, which is similar to the rate reported in January 2012 (7.2%).  Unemployment rate was highest in NCR at 9.5 percent and lowest in Cagayan Valley at 3.3 percent.  Among the unemployed, 63.6 percent were males.  Almost half (49.3%) of the unemployed were aged 15 to 24 years.

By educational attainment, one-third or 33.7 percent of the unemployed were high school graduates, 13.1 percent were college undergraduates, while 16.9 percent were college graduates.        

 

(Sgd.) CARMELITA N.  ERICTA
Administrator

 

Technical Notes

 

  • Starting July 2003, the Labor Force Survey (LFS) adopted the 2003 Master Sample Design, with a sample size of approximately 50,000 households.
  • Starting January 2012 LFS, the codes for industry adopted the 2009 Philippine Standard Industrial Classification (PSIC).  Prior to this, codes for industry used the 1994 PSIC.
  • Additional codes for highest grade completed were incorporated in the January 2012 LFS questionnaire.
  • Question on vocational course was also introduced in the January 2012 LFS questionnaire.
  • Starting April 2005, the new unemployment definition was adopted per NSCB Resolution Number 15 dated October 20, 2004.  As indicated in the said resolution, the unemployed include all persons who are 15 years and over as of their last birthday and are reported as: (1) without work and currently available for work and seeking work; or (2) without work and currently available for work but not seeking work for the following reasons:

1.    Tired/believed no work available

2.    Awaiting results of previous job application

3.    Temporary illness/disability

4.    Bad weather

5.    Waiting for rehire/job recall

  • Starting with the July 2007 LFS round, the population projections based on the 2000 Census of Population was adopted to generate the labor force statistics.  This is in compliance with NSCB Resolution No. 1 series of 2005 entitled “Adoption of the Methodology Used in Generating the 2000 Census of Population and Housing-Based National Population Projections”.

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