Unemployment fell to its lowest in 19 years in 2024 and job quality also improved to its best showing over the same period, the Philippine Statistics Authority (PSA) reported.
The country's jobless rate edged down to 3.1 percent — equivalent to 1.63 million Filipinos — in December, from 3.2 percent a month earlier, while underemployment, which counts those looking for more work or an extra job (5.48 million for the month), picked up to 10.9 percent from 10.8 percent.
This led to full-year unemployment and underemployment hitting 3.8 percent and 11.9 percent, which National Statistician Claire Dennis Mapa said were the lowest since 2005.
He attributed the yearend gains to a seasonal demand for labor during the holidays that saw a total of 50.19 million Filipinos with jobs in December, or an employment rate of 96.9 percent.
The services sector continued to account for the bulk of jobs with a 60.5-percent share of the employed, followed by agriculture (21.3 percent) and industry (18.3 percent).
The transportation and storage and construction sectors added the most jobs during the month at 555,000 and 263,000, respectively.
Agriculture and forestry, on the other hand, shed 1.56 million in a reflection of the continued impact of a series of severe storms that battered the country in the fourth quarter.
Wage and salary workers comprised the majority of those with jobs at 63.1 percent in December, followed by the self-employed without any paid employees (28.5 percent), unpaid family workers (6.8 percent) and employers in own-family operated farms or businesses (1.6 percent).
The private sector provided most of the wage and salary jobs with a 78.9-percent share and the government and state-owned firms accounted for 14.4 percent.
Youth employment, however, fell to 90.9 percent in December from 90.6 percent a month earlier.
The overall labor force participation rate (LFPR) — a measure of the working age population who are actively looking for jobs or are employed — slipped to 65.1 percent from 66.6 percent in December 2023.
The youth LFPR fell to 31.9 percent from 35.5 percent while that for women dropped to 54.7 percent from 56.3 percent, which the National Economic and Development Authority (NEDA) respectively attributed to schooling and household responsibilities.
Socioeconomic Planning Secretary Arsenio Balisacan said that it was "crucial" to sustain economic growth and provide higher-earning opportunities for Filipinos.
"The government remains committed to advancing both supply- and demand-side measures that will foster a more dynamic labor environment...," he added.
"To align with workforce trends and industry demands, the government is promoting more inclusive work arrangements that meet the needs of individuals from diverse backgrounds, reducing barriers to labor force participation," the NEDA chief also said.
The Department of Finance, meanwhile, said the annual unemployment and underemployment rates were the lowest since the PSA began compiling comparable data in 2005.
It noted that the annual jobless rate of 3.8 percent was below the 4.4- to 4.7-percent set in the 2023-2023 Philippine Development Plan and the 2028 target of 4.0-5.0 percent.
Finance Secretary Ralph Reco said the government was "focusing heavily" on education, infrastructure and human development improvements to make the Filipino workforce globally competitive.
Source: Manila Times
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