The employment rate, or proportion of employed persons to total labor force, was 92.6 percent in April 2007 which is higher than last year's rate of 91.8 percent. Across regions, Cagayan Valley recorded the highest employment rate with 97.0 percent, followed by Zamboanga Peninsula (96.9%), Autonomous Region in Muslim Mindanao (ARMM) (96.2%), and Cordillera Administrative Region (CAR) (96.2%). The National Capital Region (NCR) had the lowest at 87.5 percent.

Out of the estimated 56.4 million population 15 years and over in April 2007, approximately 36.4 million were in the labor force. These figures placed the labor force participation rate at 64.5 percent.

The April 2007 employment rate of 92.6 percent implies that the total employed population was 33.7 million in April 2007. Almost half or 49.3 percent of the total employed in this period were in the services sector; about the same percentage was recorded in April 2006 (49.5%). The percentage of employed workers in the agriculture sector in April 2007 was 35.2 percent, while that for the industry sector was 15.6 percent.

Of the various occupations groups, the laborers and unskilled workers comprised the largest group, making up one-third (32.3%) of the total employed population in April 2007. Farmers, forestry workers and fishermen comprised the next largest group of workers with 17.9 percent.

Employed persons fall into any of these three categories: wage and salary workers, own account workers and unpaid family workers. Wage and salary workers are those who work for private establishments, government or government corporations and those who work with pay in own-family operated farms or businesses. Of the total employed population in April 2007, 51.1 percent were wage and salary workers, most of them (38.2% of the total employed) working for private establishments. Those working for the government or government corporations accounted for only 7.6 percent of the total employed population. Own-account workers, such as proprietors and self-employed workers, constituted 35.8 percent of the total employed in April 2007, with the self-employed workers having the larger share (31.9%). The unpaid family workers comprised only 13.1 percent.

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. More than half (55.5%) of the total employed persons in April 2007 were full-time workers, most of them working for 40 to 48 hours (34.6% of total employed). Part-time workers comprised 41.8 percent of the total employed.

Employed persons who want or desire additional hours of work are considered underemployed. The proportion of underemployed persons to total employed was estimated at 18.9 percent in April 2007. Dominating the underemployed population were those working in the agriculture sector, comprising 48.3 percent of the total underemployed in April 2007. Underemployed persons in the services sector accounted for 35.2 percent while those in the industry sector, 16.5 percent. About 65.3 percent of the underemployed were reported as visibly underemployed, or had been working for less than 40 hours a week.

The unemployment rate in April 2007 was estimated at 7.4 percent. This was lower than last year's estimate of 8.2 percent. Among the regions, the NCR registered the highest unemployment rate of 12.5 percent, followed by Central Luzon (10.2%). Males had higher unemployment rate (7.7%) than females (6.9%). One-half (50.6%) of the total unemployed belonged to age group 15-24 years. Four out of 10 (39.1%) unemployed persons had attained college level; one in three (33.2%) was a high school graduate.

(Sgd.) CARMELITA N. ERICTA

Administrator

Technical Notes

• Starting with the July 2003 round of the Labor Force Survey, the generation of the labor force and employment statistics adopted the 2003 Master Sample Design
• Using this new master sample design, the number of samples increased from 41,000 to around 51,000 sample households.
• The province of Basilan is now under Autonomous Region in Muslim Mindanao while Isabela City (Basilan) is under Region IX, in accordance with Executive Order No.36.
• The 1992 four-digit code for Philippine Standard Occupational Classification (PSOC) and 1994 Philippine Standard Industry Classification (PSIC) were used in classifying the occupation and industry.
• 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 January 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". Recalculation of estimates of employment indicators using data from previous LFS rounds, and the 2000 Census-based Population Projections, are presented below for comparison. 

Source:       Income and Employment Statistics Division

Household Statistics Department

National Statistics Office

Manila, Philippines

Page last revised: June 15, 2007