The industry section on administrative and support service activities (Section N) includes 19 industry groups covering a variety of activities that support general business operations.

The highlights of results of the 2018 CPBI for the administrative and support service activities industry section is presented in Figure 1. This figure shows the number of establishments engaged in the industry sections, total employment created, total revenue generated, total expenses incurred, and total value added generated.

One out of four establishments in administrative and support service activities industry section was engaged in activities of employment placement agencies

In 2018, the total number of establishments that were engaged in administrative and support service activities totaled to 8,471 establishments. This represents an increase of 21.4 percent compared to 6,979 establishments in 2012. (Table A)

Among industries, activities of employment placement agencies comprised the highest number with 2,104 establishments or 24.8 percent of the total. This was followed by call centers and other related activities with 1,264 establishments or 14.9 percent and travel agency and tour operator activities with 1,139 establishments or 13.4 percent (Table 1A, and Figure 2).

Four out of 10 establishments were located in the National Capital Region (NCR)

Across regions, the highest percentage of establishments engaged in administrative and support activities are located in NCR which composed of 3,258 establishments or 38.5 percent of the total. Central Visayas ranked second which composed of 791 establishments or 9.3 percent while CALABARZON came third with 608 establishments or 7.2 percent of the total. (Table 3A)

Employment reached about 1.4 million

The total employment in 2018 was recorded at 1,430,520, which increased by 68.6 percent from 848,711 in 2012. The average number of employees per establishment was about 169. (Table A, and Figure 3)

By industry group, call centers and other related activities generated the greatest employment with 631,415 or 44.1 percent. Temporary employment agency activities and private security activities came after with 384,612 (26.9%) and 161,250 (11.3%) number of employees, respectively. (Table 1A, and Figure 3)

Six of the 19 industry groups generated higher employment per establishment ratio than the computed national average. These were other human resources provision (794); temporary employment agency activities (512); call centers and other related activities (499); cleaning activities (358); combined facilities support activities (248); and private security activities (189). (Table 2)

Among industry groups, call centers and other related activities topped the list in terms of the number of workers under sub-contract agreement with 15,785 (69.4%). Temporary employment agency activities ranked second with 1,943 (8.5%) workers while office administrative and support activities came third with 1,641 (7.2%) workers who were under the said category. (Table 1)

NCR employed majority of employees that were engaged in administrative and support service activities

Majority of employees that were engaged in administrative and support service activities are located in NCR with 901,064 or 63.0 percent. This was followed by Central Visayas which accounted for 9.3 percent or 133,262 employees. CALABARZON ranked third which generated total employee of 112,894 or 7.9 percent. (Table 3A)

Across regions, NCR led the number of workers under sub-contract agreement with 17,102 (75.2%). Central Visayas, and CALABARZON came next which contributed 1,584 (7.0%), and 1,398 (6.1%), respectively. (Table 3)

Total compensation reached PhP 388.1 billion

There was a 121.6 percent increase in the total compensation paid by establishments to its employees, from PhP 175.16 billion in 2012 to PhP 388.15 billion in 2018. Meanwhile, the average annual compensation paid to employees for 2018 was PhP 271.8 thousand. (Table A)

By industry groups, call centers and other related activities generated the highest compensation paid to employees with PhP 263.0 billion (67.8%). Compensation paid to employees under temporary employment agency activities was the second highest with PhP 55.6 billion (14.3%) while activities of employment placement agencies ranked third, which amounted to PhP 32.6 billion (8.4%). (Table 1, and Figure 4)

Across region, NCR accounted the highest compensation paid to employees valued at PhP 283.6 billion. This was followed by Central Visayas, and CALABARZON which paid compensation amounting to PhP 36.2 billion, and PhP 19.5 billion, respectively.

In addition, NCR, and Central Visayas recorded a higher average compensation than that of the national average compensation with PhP 315.1 thousand, and PhP 271.9 thousand respectively. (Table 3)

Total revenueincreased by 100.0 percent

Establishments under administrative and support service activities recorded a total revenue of PhP 772.2 billion for 2018, a 100.0 percent increase from the PhP 386.1 billion in 2012. (Table A)

Call centers and other related activities led the industry section with a revenue of PhP 477.0 billion or 61.8 percent. Activities of employment placement agencies ranked second with a revenue of PhP 99.2 billion or 12.8 percent while temporary employment agency activities followed with a PhP 87.5 billion revenue or 11.3 percent of the total. (Table 1A, and Figure 5)

Administrative and support service industry spent PhP 628.1 billion

In 2018, firms engaged in administrative and support service activities accounted a total expense of PhP 628.1 billion. This was 91.3 percent higher than the PhP 328.3 billion of expense incurred in 2012. (Table A)

Among industry groups, call centers and other related activities contributed the highest expense with PhP 400.7 billion or 63.8 percent. Temporary employment agency activities establishments came after with PhP 74.7 billion or 11.9 percent, followed by activities of employment placement agencies, which amounted to PhP 57.3 billion or 9.1 percent. (Table 1A, and Figure 5)

NCR topped both lists of gainers, and spenders among regions

In 2018, establishments from NCR topped the list of gainers with PhP 539.7 billion revenue or 69.9 percent of the total. The region was also the top spender with an expense of PhP 466.2 billion or 74.2 percent of the total. (Table 3A)

Central Luzon-based and Central Visayas-based establishments had revenues of PhP 70.3 billion (9.1%), and PhP 62.6 billion (8.1%), respectively.

On the other hand, in terms of expenses, Central Visayas came second with PhP 53.5 billion (8.5%), followed by CALABARZON with PhP 28.9 billion (4.6%). (Table 3A)

Revenue per expense ratio was recorded at 1.2

Revenue per expense ratio for administrative and support service activities in 2018 is estimated at 1.2.

In terms of industry groups, the following surpassed the national revenue per expense ratio: activities of employment placement agencies (1.7); landscape care and maintenance service activities (1.6); renting and leasing of other machinery, equipment, and tangible goods, n.e.c. (1.5); leasing of intellectual property and similar products, except copyrighted works (1.4); cleaning activities (1.3); and renting and leasing of personal and household goods (1.3). (Table 2)

Value-added was estimated at PhP 555.3 billion

In 2018, the total value added for administrative and support service activities establishments is estimated at PhP 555.3 billion. Compared to 2012, this represents an increase of 119.7 percent from PhP 252.7 billion. (Table A)

By industry groups, call centers and other related activities contributed the highest value-added estimate at PhP 355.9 billion or 64.1 percent. This was followed by activities of employment placement agencies which was valued at PhP 76.4 billion or 13.8 percent, and temporary employment agencies which incurred PhP 69.7 billion or 12.5 percent of the total (Table 1A, and Figure 6)

DENNIS S. MAPA, Ph.D.
Undersecretary
National Statistician and Civil Registrar General