2012 Census of Philippine Business and Industry - Information and Communication Section for Establishments with Total Employment of 20 and Over: Preliminary Results

Reference Number: 


Release Date: 

Thursday, June 26, 2014


Computer programming, consultancy and related activities leads among industries

The preliminary results of the 2012 Census of Philippine Business and Industry conducted nationwide covered a total of 758 establishments with total employment (TE) of 20 and over engaged in Information and Communication activities. Computer programming, consultancy and related activities industries lead the section with 287 (37.9%) establishments. Publishing of books, periodicals and other publishing activities and satellite telecommunications activities followed with 83 (10.9%) and 67 (8.8%) establishments, respectively. Figure 1 shows the percentage distribution of establishment by industry group in 2012.


Most of the establishments are in National Capital Region (NCR)

At the regional level, NCR had the most number of establishments with 529 or 69.8 percent of the total. Central Visayas placed second with 49 establishments (6.5%) followed by CALABARZON with 36 (4.7%) establishments.


Computer programming, consultancy and related activities generates highest employment

Information and communication section provided employment to some 122,425 workers in 2012. Of the total workforce, paid workers comprised 122,167.

Among industry groups, computer programming, consultancy and related activities generated the highest number of employees with 38,528 (31.5%) workers. This was followed by data processing, hosting and related activities; web portals with 26,629 (21.8%) workers. Wired telecommunications activities ranked third among the industries that hired 16,460 (13.4%) workers.  Figure 2 shows the distribution of employment by industry group.


Among the regions, NCR was the top employer with 100,291 employees (81.9%). Workers located in Central Visayas and Central Luzon followed with 11,291 (9.2%) and 3,550 (2.9%), respectively.

The section’s average employment stood at 162 employees per establishment. Data processing, hosting and related activities; web portals registered the highest national average at 430 employees per establishment. Four other industries surpassed the section’s average which composed of wireless telecommunications activities; wired telecommunications activities; television programming and broadcasting activities; and software publishing with 428; 412; 226; and 170 employees per establishment, respectively.


Computer programming, consultancy and related activities pays the highest compensation

Total compensation paid by Information and Communication section amounted to PHP69.9 billion, an equivalent of PHP571,774 average annual compensation.

By industry group, computer programming, consultancy and related activities paid the highest compensation to its employees amounting to PHP22.0 billion or 31.5 percent of the total.  Wired telecommunications activities remunerated its employees with PHP20.2 billion or 28.9 percent while workers in data processing, hosting and related activities; web portals received payment worth PHP9.5 billion (13.7%).  Figure 3 shows the compensation by industry for the section.


Employees in wired telecommunications activities earn the highest with PhP1.2 million

Wired telecommunications activities employees were the highest earners in 2012 with an average annual compensation of PHP1.2 million.  Employees in television programming and broadcasting activities and software publishing followed next with PHP735,082 and PHP701,985, respectively.  On the other hand, radio broadcasting employees received the lowest annual pay of PHP225,825.  Figure 4 shows five leading industries with highest annual compensation in 2012.



By region, NCR-based workers received the highest average annual compensation with PHP635,243 followed by Zamboanga Peninsula-based workers with PHP506,287. Employees from Davao Region came in third with PHP342,111 average annual remuneration.


Wired telecommunications activities is highest in income and expense

Income generated for the section in 2012 was estimated at PHP443.6 billion. The top revenue generators were the following: wired telecommunications activities with PHP197.8 billion (44.6%), wireless telecommunications activities with PHP78.0 billion (17.6%), and computer programming, consultancy and related activities with PHP60.9 billion (13.7%).

Most of the revenue of the section came from NCR with PHP426.5 billion (96.2%). Central Visayas shared PHP6.9 billion (1.6%) and CALABARZON contributed PHP2.6 billion (0.6%).

Total expense including compensation reached PHP365.9 billion.  More than a third of the total was spent by wired telecommunications activities with PHP143.7 billion (39.3%).  Wireless telecommunications activities incurred the second highest cost with PHP65.4 billion (17.9%) followed by computer programming, consultancy and related activities with PHP58.2 billion (15.9%).

Regionwise, NCR incurred the highest cost amounting to PHP363.7 billion (93.8%) while Caraga recorded the least with PHP116.3 million.  Figure 5 shows the distribution of income and expense by industry group for the section in 2012.



Income-expense ratio stands at to 1.21

The section generated an income of PHP1.21 for every peso spent. Among industries, motion picture, video and television programme activities recorded the highest income-expense ratio with PHP1.40 followed by wired telecommunications activities with PHP1.38.  Radio broadcasting came in third with PHP1.26.


Value added amounts to PHP195.9 billion

Value added was estimated at PHP195.9 billion. The top three industry groups contributed more than three-fourths of the total value added for the section with their respected shares: wired telecommunications activities with PHP103.8 billion (53.0%), computer programming, consultancy and related activities with PHP27.7 billion (14.2%), and wireless telecommunications activities with PHP22.5 billion (11.5%).  Figure 6 shows the value added by industry for the section.



At regional level, NCR reported the highest value added contributing 94.6% of the total or PHP185.3 billion. Cental Visayas and CALABARZON followed next with PHP5.2 billion (2.6%) and PHP1.3 billion (0.7%), respectively.


Employees from motion picture, video and television programme activities, most productive in 2012

Value added per employee, a measure of labor productivity, was estimated at PHP1.6 million per employee.  Among industries, wired telecommunications activities establishments had the highest average of PHP6.3 million followed by wireless telecommunications activities and motion picture, video and television programme activities with PHP3.1 million and PHP1.5 million, respectively.


Change in inventories posts value of PhP1.5 million

Change in inventories, defined as the value of ending inventory less the beginning, amounted to PHP1.5 million in 2012.  Wireless telecommunications activities recorded the highest with PHP282.3 million.  On the other hand, wired telecommunications activities registered the lowest change in inventories amounting to negative PHP402.4 million.


Gross additions to fixed assets accumulates to PHP64.7 billion

Gross additions to fixed assets in 2012 totaled to PHP64.7 billion with the wired telecommunications activities recording the highest value of PHP32.1 billion (49.6%). Wireless telecommunications activities followed with PHP21.8 billion (33.7%) and television programming and broadcasting activities with PHP5.6 billion (8.7%).

Gross By region, NCR comprised the largest part of gross additions to fixed assets with PHP63.0 billion (97.4%). Central Visayas is in second place with PHP352.3 million (0.5%), followed by Davao Region with PHP344.5 million (0.5%).


Government grants PHP329 thousand subsidies

Subsidies are special grants received from the government in the form of financial assistance or tax exemption or tax privilege to aid and develop an industry. For 2012, only computer programming, consultancy and related activities was granted government subsidies amounting to PHP329 thousand.


Publishing of books, periodicals and other publishing activities earns PHP202.0 million in E-commerce

E-Commerce refers to the selling of products or services over electronic systems. In 2012, sales from E-commerce amounted to PHP286.8 million. Publishing of books, periodicals and other publishing activities has the biggest share for the industry amounting to PHP202.0 million.


Wired telecommunications activities accounts the biggest portion of total assets

The sector acquired a total assets amounting to PHP827.0 billion. Wired telecommunications activities provided the biggest portion of assets comprising more than half  of the total with PHP472.1 billion (57.1%). On the other hand, other information service activities contributed the least with PHP529.6 million (0.1%).

NCR topped other regions in terms of total assets, sharing PHP794.6 billion (96.1%) of the total. Central Visayas trailed by a wide-margin with PHP11.7 billion (1.4%), while CALABARZON was in third place contributing PHP6.0 billion (0.7%).




This Special Release presents the preliminary results of the 2012 Census of Philippine Business and Industry (CPBI) for the Information and Communication sector for establishments with total employment of 20 and over.

The 2012 CPBI is the forerunner of the 2006 CPBI and one of the designated statistical activities of the former National Statistics Office (NSO) now Philippine Statistics Authority (PSA). Data collected from the census will provide information on the levels, structure, performance and trends of economic activities of the formal sector of the economy for the reference period 2012.  It will also serve as benchmark information in the measurement and comparison of national and regional economic growth.

To provide establishment respondents ease in accomplishing the 2012 CPBI questionnaires, the income and expense account in the Financial Statement of establishment was adopted in the design of 2012 CPBI sectoralquestionnaires. Income and revenue have the same concept in recording financial transaction of establishments while expense is cost incurred on a consumed basis.

Data collection was intensified through the use of web-based or online accomplishment of questionnaire through the NSO website and downloading of e-questionnaire and submission thru e-mail.


Legal Authority

The conduct of the CPBI is governed by authority of the following legislative acts and presidential directives:

  • Commonwealth Act No. 591 An Act to Create the Bureau of the Census and Statistics to consolidate statistical activities of the government therein which was approved on August 19, 1940. This empowers the Bureau, among other things, to prepare for and undertake all censuses of population, agriculture, industry and commerce.

  • Presidential Decree No. 418 dated March 20, 1974 reconstituted the Bureau of the Census and Statistics as a new agency to be known as the National Census and Statistics Office (NCSO), under the administrative supervision of the National Economic Development Authority (NEDA).

  • Executive Order No. 121 Reorganization Act of the Philippine Statistical System, dated August 4, 1987 renamed the National Census and Statistics Office (NCSO) to National Statistics Office which shall be the major statistical agency responsible for generating general purpose statistics and undertaking such censuses and surveys.

  • Executive Order 352 Designation of Statistical Activities that will generate critical data for decision-making by the Government and the Private Sector, dated July 1, 1996.

  • Executive Order 5 Strengthening the National Statistics Office, dated July 29, 1998.


Scope and coverage

The 2012 CPBI was a nationwide undertaking confined to the formal sector of the economy and as such excluded the informal sector. The following comprise the formal sector:

1. Corporations and partnerships

2. Cooperatives and foundations

3. Single establishment with employment of 10 or more

4. Single proprietorship with branches

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

  • All establishments with total employment (TE) of 10 or more, and; 

  • All establishments with TE of less than 10, except those establishments with Legal Organization = 1 (single proprietorship) and Economic Organization = 1 (single establishment), that are engaged in economic activities classified according to the 2009 Philippine Standard Industrial Classificatin (PSIC). 

The initial count of the 2012 List of Establishments (LE), the frame used to draw the sample establishments for the 2012 CPBI, registered a total of 945,000 establishments in operation nationwide in 2012.  Out of this number, 72 percent or 680,400 establishments belong to the informal sector and only 28 percent or 262,800 establishments made up of the formal sector.

Listed below are the 18 economic sectors within the scope of the 2012 CPBI classified under the 2009 Philippine Standard Industrial Classification (PSIC).

  • Agriculture, Forestry and Fishing (A) 

  • Mining and Quarrying (B) 

  • Manufacturing (C)

  • Electricity, Gas, Steam and Air Conditioning Supply (D)

  • Water Supply; Sewerage, Waste Management and Remediation Activities (E) 

  • Construction (F)

  • Wholesale and Retail Trade; Repair of Motor Vehicles and Motorcycles (G)

  • Transport and Storage (H)

  • Accommodation and Food Service Activities (I) 

  • Information and Communication (J)

  • Financial and Insurance Activities (K)

  • Real Estate Activities (L)

  • Professional, Scientific and Technical Activities (M) 

  • Administrative and Support Service Activities (N)

  • Private Education (P)

  • Human Health and Social Work Activities (Q) 

  • Arts Entertainment, and Recreation (R)

  • Other Service Activities (S)


Unit of Enumeration

The unit of enumeration for the 2012 CPBI was the establishment. An establishment is defined as an economic unit, which engages, under a single ownership or control, in one or predominantly one kind of activity at a single fixed physical location.


Classification of Establishments

An establishment is categorized by its economic organization (EO), legal organization (LO), industrial classification, employment size, and geographic location.

Economic organization (EO).   This refers to the organizational structure or role of the establishment in the organization. The following are the types of economic organization:

  • Single establishment (EO=1) is an establishment which has neither branch nor main office.  It may have ancillary unit/s, other than main office, located elsewhere. 

  • Branch (EO=2) is an establishment which has a separate main office located elsewhere.

  • Establishment and main office (EO=3) is one where the establishments is located in the same address as the main office and with branch/es elsewhere.

  • Main Office (EO=4) is a unit which controls, supervises and directs one or more establishments of an enterprise.

  • Ancillary unit other than Main Office (EO=5) is a unit that operates primarily or exclusively for a related establishment or group of related establishments or its parent establishment and provides services that support those establishments.

Legal organization (LO) This refers to the legal form of the economic entity provides the legal basis for ownership of the establishment. The following are the types of legal organization:

  • Single Proprietorship (LO=1) refers to a business establishment organized, owned, and managed by one person, who alone assumes the risk of the business enterprise.  A sole propietorship must apply for a business name and be registered with the Department of Trade and Industry (DTI). 

  • Partnership (LO=2) 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. 

  • Government Corporation (LO=3) also called Government-Owned or Controlled Corporation (GOCC) refers to a corporation organized for private aim, benefit or purpose with the government as the major stockholder, regardless of whatever they are stock or non-stock corporations. 

  • Stock Corporation (LO=4) refers to an ordinary business corporation organized by private persons, created and operated for the purpose of making a profit which may be distributed in the form of dividends to stockholders on the basis of their invested capital.

  • Non Stock, Non-profit Corporation (LO=5) refers to a business corporation which does not issue stock to its members and are created not to profit but for the public good and welfare. Of this character are most of the religious, social, charitable, educational, literary scientific, civic and political organizations and societies.

  • Cooperative (LO=6) refers to an organization composed primarily of small producers and/or consumers who voluntarily join together to form a business enterprise which they themselves own, control and patronize.

  • Others (LO=7) refer to an organization not classified in any of the above classification. It includes private associations, foundations, Non-Governmental Organizations, or other forms of legal organizations.

Industrial Classification.  The Industrial Classification of an economic unit is determined by the activity from which it derives its major income or revenue. The 2009 PSIC which was approved for adoption by government agencies and instrumentalities through NSCB Resolution No. 2 Series 2010 was utilized to classify economic units according to their economic activities.

Size (SZ) of the Unit of Enumeration.  The size of an economic unit is determined by its total employment (TE) as of specific date. Total employment (TE) refers to the total number of persons who work in or for the establishment/enterprise. This includes paid employees, working owners, unpaid workers and all employees who work full-time or part-time including seasonal workers. Included also are persons on short term leave such as those on sick, vacation or annual leaves and on strike.

The following are the size codes and corresponding total employment used in the 2012CPBI: 

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 & Over

Geographic Classification.  Establishments are also classified by geographic area using the Philippine Standard Geographic Code (PSGC) classification. The PSGC contains the latest updates on the official number of regions, provinces, cities, municipalities, and barangays in the Philippines. The latest PSGC as of September 30, 2012 was used for the 2012 CPBI.


Sampling Design

Selection of sample establishment for the 2012 CPBI was done using stratified systematic sampling with 3-digit or 5-digit PSIC serving as industry strata and employment size as the second stratification variable.


Response Rate

Field operations of the 2012 CPBI were scheduled from April to July 2013. As of July 2013, only 61.2 percent of the total sample questionnaires were received at the Central Office. About 90.2 percent collection of questionnaires was achieved only on November 2013.

Total response rate for Information and Communication sector was 91.8 percent (2,784 out of 3,032 establishments). This included receipts of "good" questionnaires, partially accomplished questionnaires, reports of closed, moved out or out of scope establishments.

Of the total responses, 39 establishments responded online,two sample establishments accomplished e-questionnaire and seven establishments submitted in portable document format (PDF) through e-mail.

For establishments with TE 20 and over, the response rate was 92.1 percent.




Economic activity is the establishment’s source of income. If the establishment is engaged in several activities, its main economic activity is that which earns the biggest income or revenue.

Total employment is the number of persons who worked in for the establishment as of November 15, 2012.

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, receiving pure commissions only, and workers on indefinite leave.

Compensation includes salaries and wages, separation/retirement/terminal pay, gratuities, and payments made by the employer in behalf of the employees such as contribution to SSS/GSIS, ECC, PhilHealth, Pag-ibig, etc.

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.

Income or Revenue refers to cash received and receivables for goods/products and by-products sold and services rendered.

Cost refers to all expenses incurred during the year whether paid or payable. Valuation is at purchaser prices including taxes and other charges, net of rebates, returns and allowances. Goods and services received by the establishment from other establishments of the same enterprise are valued as though purchased.

Expenses refers to cost incurred by the establishment during the year whether paid or payable. This is treated on a consumed basis.

Intermediate cost refers to expenses incurred in the production of goods such as materials and supplies purchased, fuels purchased, electricity purchased, and agricultural/forestry/fishery and industrial services done by others plus beginning inventory of materials, supplies and fuels less ending inventory of materials, supplies and fuels.

Value added is gross output less intermediate input. Gross output for information and communication 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 purchased;water purchased; cost of industrial services done by others; cost of non-industrial services done by others; goods purchased for resale; research and development expense; environmental protection expense; royalty fee; franchise fee; payouts and other cost.

Value of output represents the sum of the receipts from products and by-products sold, agricultural/forestry/fishery services rendered, industrial services, and goods sold in the same condition as purchased less the cost of goods sold; and value of fixed assets produced on own account and change in inventories of finished products and work-in-progress.

Gross addition to tangible fixed assets is equal to capital expenditures less sale of fixed assets, including land.

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

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

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

Total assets are resources including land owned and/or controlled by the establishment as a result of past transactions and events from which future economic benefits are expected to flow to the establishments.

E-Commerce refers to the selling of products or services over electronic systems such as the Internet Protocol-based networks and other computer networks, Electronic Data Interchange (EDI) network, or other on-line system.

Source:   Philippine Statistics Authority - National Statistics Office
               Manila, Philippines