2009 Annual Survey of Philippine Business and Industry (ASPBI) - Health and Social Work for Establishments with Total Employment of 20 and Over : Preliminary Results

Reference Number: 

2011-653

Release Date: 

Wednesday, December 28, 2011

 

Hospital activities and medical and dental practices industry accounts for the biggest number of establishments 

  1. The preliminary results of the 2009 Annual Survey of Philippine Business and Industry (ASPBI) conducted nationwide reported a total of 718 health and social work establishments with total employment (TE) of 20 and over. As shown in Figure 1, hospital activities and medical and dental practices (N851) garnered the highest number of establishments at 677 (94.3 %). The remaining 5.7 percent or 41 establishments were engaged in social work activities (N853).

    Most establishments are located in National Capital Region (NCR) 

  2. On the regional level, the NCR had the most number of establishments with 33.3 percent. CALABARZON and Central Luzon placed second and third with 15.0 percent and 9.7 percent, respectively.

    Hospital activities and medical and dental practices industry generates the highest employment

  3. Employment reached a total of 90,576. Out of this total, 89,655 or 99.0 percent were paid employees while the remaining 921 or 1.0 percent were working owners and unpaid workers. 

  4. Figure 2 shows that hospital activities and medical and dental practices industry, having the highest number in terms of establishments, had the most number of employees with 87,577 or 96.7 percent. The social work industry employed the remaining 2,999 employees or 3.3 percent.

    Hospital activities and medical and dental practices industry pays the highest compensation 

  5. Total compensation paid by the sector amounted to PhP15.0 billion, translating to an average annual compensation of PhP167,391 per paid employee. 

  6. Across industries, hospital activities and medical and dental practices paid the highest compensation to its employees amounting to PhP14.4 billion or 96.1 percent of the total. On the other hand, social work activities paid PhP0.6 billion.

    Hospital activities and medical and dental practices industry contribute the biggest share in revenue and cost 

  7. Gross revenue generated by the sector reached PhP60.1 billion. Hospital activities and medical and dental practices contributed the biggest share with PhP57.6 billion representing 95.8 percent of the total while the social work activities earned only PhP2.5 billion or 4.2 percent. 

  8. With respect to regions, NCR produced the highest revenue amounting to PhP31.5 billion or 52.4 percent. The least was made by Autonomous Region in Muslim Mindanao. 

  9. Total cost (excluding compensation paid to employees) amounted to PhP38.8 billion. Being the major contributors in revenue, hospital activities and medical and dental practices also had the largest proportion in cost with PhP37.5 billion or 96.6 percent while social work activities incurred the lowest cost of PhP1.3 billion or 3.4 percent. Figure 3 shows the revenue generated and cost incurred by the health and social work sector by industry division. 

  10. By region, National Capital Region spent the highest cost of operation with PhP20.3 billion or 52.2 percent, followed by Central Visayas with PhP3.6 billion or 9.4 percent. The least cost was incurred by ARMM.

    Revenue-cost ratio amounts to 1.5, social work industry records the highest returns 

  11. Revenue-cost ratio, the revenue generated per PhP1 cost, amounted to PhP1.5. Among industries, social work activities recorded the highest with PhP1.9 indicating PhP1.9 revenue per PhP1 cost while hospital activities and medical and dental practices with PhP1.5. 

    Value added amounts to PhP27.1 billion 

  12. Value added was estimated at PhP27.1 billion. Almost 95.5 percent of the total value added of the sector was contributed by hospital activities and medical and dental practices industry. Among regions, NCR made the highest value added amounting to PhP14.4 billion. Figure 4 displays the distribution of value added by industry.

     

    Social work industry employees are the most productive 

  13. Value added per total employment, another measure of labor productivity, was valued at PhP299.1 thousand, indicating an average of PhP299.1 thousand added value to services per employee. Among industries, social work activities had the highest average of PhP405.1 thousand while for hospital activities and medical and dental practices industry, it was estimated at PhP295.5 thousand. 

    Total change in inventories values at PhP355.0 million 

  14. Change in inventories, defined as the value of ending inventory less the beginning, amounted to PhP355.0 million. Among industries, hospital activities and medical and dental practices industry recorded the highest with PhP347.0 million, while social work industry had inventories amounting to PhP8.0 million.

    Gross additions to fixed assets totals PhP6.2 billion 

  15. Gross additions to fixed assets totaled to PhP6.2 billion with the hospital activities and medical and dental practices industry recorded the highest amount of PhP6.1 billion or 98.8 percent. Social work industry had gross additions amounting to PhP73.7 million or 1.2 percent.


    TECHNICAL NOTES

    Introduction

    The 2009 Annual Survey of Philippine Business and Industry (ASPBI), conducted in 2010 with 2009 as reference year, is one of the continuing activities of the National Statistics Office. It will be a source of benchmark levels on the structure and trends of economic activities in the country for the year 2009. Particularly, the data from ASPBI will be used in constructing national and regional income accounts in the country, determining and comparing regional economic structures, and formulating plans and policies of the government in the attainment of economic goals..

    The conduct of the ASPBI is governed by legislative acts and presidential directives, specifically Commonwealth Act No. 591 which was approved on August 19, 1940..

    Scope and coverage

    The 2009 ASPBI covered establishments engaged in 14 economic sectors classified under the Amended 1994 Philippine Standard Industrial classification (PSIC) namely:.

    • Agriculture, Hunting and Forestry

    • Fishing

    • Mining and Quarrying

    • Manufacturing

    • Electricity, Gas and Water Supply

    • Construction

    • Wholesale and Retail Trade; Repair of Motor Vehicles, Motorcycles and Personal and Household Goods

    • Hotels and Restaurants

    • Transport, Storage and Communications

    • Financial Intermediation

    • Real Estate, Renting and Business Activities

    • Private Education

    • Health and Social Work

    • Other Community, Social and Personal Service Activities

    The scope of the ASPBI was confined to "formal sector" only, which consists of the following:.

    • Corporations and partnership

    • Cooperatives and foundations

    • Single proprietorships with employment of 10 or more

    • Single proprietorships with branches

    Like all other establishment surveys conducted by the NSO, the 2009 ASPBI used establishment as the unit of enumeration. It is defined as "an economic unit under a single ownership or control, i.e. under a single legal entity, engaged in one or predominantly one kind of economic activity at a single fixed location."

    Classification of Establishments

    Before the actual selection of samples, the establishments listed in the frame were classified based on economic organization EO), legal organization (LO), industrial classification, employment size, and geographic location.

    Economic organizations relates to the organizational structure or role of the establishment in the organization. The following are the types of economic organization:

    • Single establishment is an establishment which has neither branch nor main office

    • Branch only is an establishment which has a separate main office located elsewhere

    • Establishment and main office, both located in the same address and with branches elsewhere

    • Main office only is the unit which controls, supervises and directs one or more establishments of an enterprise

    • Ancillary unit other than main office is the unit that operates primarily or exclusively for a related establishment or group of related establishments or its parent establishment and provides goods or services that support but do not become part of the output of those establishments

    The legal organization provides the legal basis for ownership of the establishment. The following are the types of legal organization:

    • Single Proprietorship refers to a business establishment organized, owned, and managed by one person, who alone assumes the risk of the business enterprise. The establishment name is that of a person, or it has words such as Owner, Proprietor or Operator

    • Partnership refers to an association of two or more individuals for the conduct of a business enterprise based upon an agreement or contract between or among them to contribute money, property or industry into a common fund with the intention of dividing profits among themselves. The establishment name includes words such as Owners , Partners, Limited or LTD., Associates or ASSOCS

    • Government Corporation is a private corporation organized for private aim, benefit or purpose and owned and controlled by the government. The establishment name included words such as Corporation or CORP., INCORPORATED or INC

    • Private Corporation is a corporation organized by private persons. The establishment name includes words such Corporation or Corp, Incorporated or INC

    • Cooperative - the establishment name includes words such as Cooperative or COOP

    The industrial classification of an economic unit is determined by the activity from which it derives its major income or revenue. The amended 1994 PSIC is utilized to classify units according to their economic activities.

    The amended 1994 PSIC consists of an alpha character and 5 numeric digits. The alpha character, which represents the major division, is denoted by the characters A to Q. The first two numeric digits represent the division; the first three numeric digits, the group; the first four digits, the class; and the 5 digits, the sub-class.

    The size of the establishment is determined by its total employment (TE). The following are the employment size classification used in the 2009 ASPBI:

    TE Code Total Employment TE Code Total Employment
    0 1 - 4 5 100 - 199
    1 5 - 9 6 200 - 499
    2 10 - 19 7 500 - 999
    3 20 - 49 8 1000 - 1999
    4 50 - 99 9 2000 and Over

    The geographic or physical location of the establishments was classified in accordance with the Philippine Standard Geographic Code (PSGC) as of December 30, 2006 which contains the latest updates on the number of regions, provinces, cities, municipalities and barangays in the Philippines.

    The geographic domains of the 2009 ASPBI for establishments with TE of 20 and over are the 17 administrative regions while the whole country serves as the geographic domain for establishments with TE of less than 20.

    Hence, the samples of the 2009 ASPBI with TE of 20 and over shall provide data for 17 administrative regions. For samples with TE less than 20, the data that will be presented is limited only at the national level.

    Response Rate

    A total of 597 or 94.6 percent of sample establishments responded. These include receipts of "good" questionnaires, partially accomplished questionnaires, reports of closed, moved out or out of scope establishments.

    Concepts and Definition of Terms

    Economic activity or business is the activity of the establishment as classified under the amended 1994 Philippine Standard Industrial Classification (PSIC). Generally, the main activity of the establishment is the establishment's principal source of income. If the establishment is engaged in several activities, its main activity is that which earns the biggest income or revenue.

    Total Employment is the number of persons who worked in or for this establishment as of November 15, 2009.

    Paid employees are all persons working in the establishment and receiving pay, as well as those working away from the establishment paid by and under the control of the establishment. Included are all employees on sick leave, paid vacation or holiday. Excluded are consultants, home workers, workers receiving pure commissions only, and workers on indefinite leave.

    Salaries and wages are payments in cash or in kind to all employees, prior to deductions for employee's contributions to SSS/GSIS, withholding tax, etc. Included are total basic pay, overtime pay, and other benefits.

    Revenue is the value of goods, products/by-products sold and/or services rendered to others whether paid in cash or is considered receivable by the establishment. Valuation of products/by products sold should be in producer's price (ex-establishment), net of discounts and allowances, including duties and charges but excluding subsidies. It also include goods transferred and/or services rendered to other establishment belonging to the same enterprise as the said establishment which should be treated as sales or as if sold to a customer; and revenue from products on a contractual basis from materials supplied by the establishment.

    Cost refers to all expenses excluding compensation incurred during the year whether paid or payable. Valuation should be at purchaser's price including taxes and other charges, net of discounts, rebates, returns and allowances. Goods received from and services rendered by other establishment of the same enterprise are valued as though purchased.

    Fixed assets are physical assets expected to have productive lives of more than one year and intended for use and/or being used by the establishment. Included are land, buildings, other structures and land improvements, transport equipment, machinery and equipment, furniture, fixtures, and other fixed assets.

    Book Value of Tangible Assets is the initial value or acquisition cost of tangible fixed assets less the accumulated depreciation.

    Gross additions to fixed assets is the sum of cost of new and used fixed assets acquired during the year, cost of alteration and improvements done by others and cost of fixed assets produced by the establishment less the value of sales of fixed assets during the year.

    Value Added is gross output less intermediate input. Gross output for health and social work sector is the sum of the total revenue (less interest income, rent income from land, dividend income, royalty income and franchise income), capital expenditures of fixed assets produced on own account and change in inventories. Intermediate input is equal to the sum of the following cost items: materials and supplies purchased; fuels, lubricants, oils and greases purchased; electricity and water purchased; cost of industrial services done by others; cost of non-industrial services done by others; goods purchased for resale; research and experimental development expense; environmental protection expense; royalty fee; franchise fee and other cost.

    Inventories refer to the stocks of goods owned by and under the control of the establishment as of a fixed date, regardless of where the stocks are located. Valuation should be at current replacement cost in purchaser's price at the indicated dates. Replacement cost is the cost of an item in terms of its present price rather than its original price.

    Change in Inventories is equivalent to the total value of inventories at the end of the year less the value at the beginning of the year.

    Subsidies are special grants in the form of financial assistance or tax exemption or tax privilege given by the government to aid and develop an industry or production and to protect it against competition.

    Source:   National Statistics Office
                  Manila, Philippines

Attachment: 

Tags: