Employment Rate in October 2014 is Estimated at 94.0 Percent

Reference Number: 2014-083
Release Date: December 10, 2014

Results from the October 2014 Labor Force Survey (LFS)[1]

 

Philippines

October 2014a/

(Excludes Leyte)

October 2013b/

(Excludes Leyte)

October 2013

(Includes Leyte)

Population 15 years and over (in 000)

64,263

63,191

64,414

Labor Force Participation Rate (%)

64.3

63.9

63.9

Employment Rate (%)

94.0

93.6

93.6

Unemployment Rate (%)

6.0

6.4

6.4

Underemployment Rate (%)

18.7

18.0

18.1

a/ Estimates for October 2014 are preliminary and may change.

The province of Leyte was not covered in the October 2014 LFS.

b/ Estimates based on October 2013 data which excludes Leyte have been generated to make the October 2013 estimates  comparable with October 2014 estimates.

 

 

The employment rate in October 2014 is estimated at 94.0 percent.  The employment rate for October 2013 is estimated at 93.6 percent.
 
Four regions, namely, National Capital Region (NCR) (90.2%), Ilocos Region (92.5%), Central Luzon (92.6%), and CALABARZON (92.9%) had employment rates lower than the national figure (Table 4).  The labor force participation rate (LFPR) in October 2014 is estimated at 64.3 percent, up from the LFPR in October 2013 which was estimated at 63.9 percent.  The labor force population consists of the employed and the unemployed 15 years old and over.
Workers are grouped into three broad sectors, namely, agriculture, industry and services sector.  Workers in the services sector continued to comprise the largest proportion of the population who are employed.  These workers made up 53.7 percent of the total employed in October 2014 (Table 1).   Among them, those engaged in wholesale and retail trade or in the repair of motor vehicles and motorcycles accounted for the largest percentage (34.8% of workers in services sector) (Table 2).  In October 2013, workers in the services sector accounted for 53.4 percent of the total employed, with those engaged in wholesale and retail trade or in the repair of motor vehicles and motorcycles making up the largest proportion (35.3% of workers in services sector) (Table 1 and 2).
 
Workers in the agriculture sector comprised the second largest group making up 30.8 percent of the total employed in October 2014, while workers in the industry sector made up the smallest group registering 15.6 percent of the total employed.  Similar percentages were recorded for October 2013, with workers in agriculture making up at 31.4 percent of the total employed, and workers in industry sector, 15.2 percent.  In the industry sector, workers in the manufacturing subsector made up the largest group, accounting for 51.8 percent of workers in this sector, and those in construction, the second largest group, making up 42.3 percent (Table 1 and 2).
 
Among the occupation groups, the laborers and unskilled workers remained the largest group making up 31.9 percent of the total employed in October 2014 (Table 1).  In October 2013, such workers made up 32.3 percent of the total employed in that period.  Officials of the Government and special interest organizations, corporate executives, managers, and managing proprietors (15.8% of the total employed) comprised the second largest occupation group, followed by farmers, forestry workers and fishermen (13.6%), and service workers and shop/market sales workers (12.6%).
 
Employed persons fall into any of these classes of workers: wage and salary workers, self-employed workers without any paid employee, employers in own family-operated farm or business, and unpaid family workers.  Wage and salary workers are those who work for private households, private establishments, government or government-controlled corporations, and those who work with pay in own family-operated farm or business.  In October 2014, the wage and salary workers made up 58.1 percent of the total employed, with those working in private establishments continuing to account for the largest percentage (Table 1).  They made up 45.0 percent of the total employed in October 2014 and 44.6 percent in October 2013.  The second largest class of workers were the self-employed making up 28.2 percent of the total employed in October 2014 as well as in October 2013.  The third largest class of workers consisted of the unpaid family workers, accounting for 10.7 percent of the total employed in October 2014, and 10.8 percent of the total employed in October 2013.
 
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 in a week, while part-time workers work for less than 40 hours.  Of the total employed persons in October 2014, 63.7 percent were full-time workers, while 35.4 percent were part-time workers (Table 2).  By comparison, in October 2013, full-time workers comprised 62.7 percent while part-time workers, 36.3 percent.  In October 2014, workers worked 41.2 hours per week, on average, compared to 41.0 hours in October 2013.
 
Employed persons who express the desire to have additional hours of work in their present job, or to have additional job, or to have a new job with longer working hours are considered underemployed.  In October 2014, the underemployment rate, which is the percentage of the underemployed to the total employed, is estimated at 18.7 percent, while it was estimated at 18.0 percent in October 2013.  
 
Underemployed persons who work for less than 40 hours in a week are called visibly underemployed persons.  They accounted for 57.0 percent of the total underemployed in October 2014 (Table 3).  The proportion in the same month of 2013 was 62.4 percent.  By comparison, the underemployed persons who worked for 40 hours or more in a week made up 41.6 percent in October 2014.  By sector, 42.3 percent of the underemployed worked in the agriculture sector, while 41.0 percent were in the services sector.  Those in the industry sector accounted for 16.7 percent (Table 3).
 
The unemployment rate in October 2014 is estimated at 6.0 percent.  Last October 2013, the unemployment rate (excluding the province of Leyte) was 6.4 percent.  Among the regions, the NCR (9.8%), Ilocos Region (7.5%), Central Luzon (7.4%), and CALABARZON (7.1%) had unemployment rates higher than the national figure (Table 4).
 
Among the unemployed persons in October 2014, 65.2 percent were males.  Of the total unemployed, the age group 15 to 24 years comprised 49.4 percent, while the age group 25 to 34, 30.2 percent. By educational attainment, 21.6 percent of the unemployed were college graduates, 13.5 percent were college undergraduates, and 33.3 percent were high school graduates (Table 3).              
 
 
 
 
 
            LISA GRACE S. BERSALES, Ph.D.
                                                                                                National Statistician
 

[1] In this report, for purposes of comparing with the October 2014 results, the October 2013 labor and employment indicators were computed using the October 2013 LFS data that excludes those for the province of Leyte.

 

 

Technical Notes

 
Starting July 2003, the Labor Force Survey (LFS) adopted the 2003 Master Sample Design, with a sample size of approximately 50,000 households. 
 
Starting January 2012 LFS, the codes for industry adopted the 2009 Philippine Standard Industrial Classification (PSIC).  Prior to this, codes for industry used the 1994 PSIC.
 
Question on vocational course was introduced in the January 2012 LFS questionnaire.
 
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 July 2007 LFS round, the population projections based on the 2000 Census of Population and Housing (CPH) was adopted to generate the labor force statistics.  The 2000 CPH-based population projections  has been endorsed as the official figures to be utilized for planning and programming purposes per NSCB Resolution No. 7 Series of 2006, entitled “Adopting  the Methodology Used in Generating the 2000 Census of Population and Housing-Based National Regional and Provincial Population Projections”.
 
Overseas Filipino Workers are not considered part of the labor force in the Philippines.  Hence, in the LFS, data on economic characteristics of household members who are overseas workers are not collected.  For the LFS reports, they are excluded in the estimation of the size of working population, that is, population aged 15 years and older, and in the estimation of the labor force.
 
The province of Leyte was not covered in the October 2014 LFS.  A new sampling frame for the province of Leyte has to be created.  This is because of the large number of households in Leyte which were displaced by typhoon Yolanda.  The old listing of households for Leyte used as sampling frame for the 2003 Master Sample is no longer usable.
 

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Income and Employment Statistics Division 
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