PSA: Number of jobless Filipinos down to 3.73M in May as restrictions eased

The number of unemployed Filipinos declined in May as quarantine restrictions eased during the period, which allowed more individuals to rejoin the workforce, results of the latest Philippine Statistics Authority (PSA) Labor Force Survey (LFS) showed Thursday.

At a virtual press conference, National Statistician and PSA chief Claire Dennis Mapa reported that the unemployment rate stood at 7.7% in May, lower than the 8.7% recorded in April.

The 7.7% unemployment rate is equivalent to 3.73 million adult Filipinos — 15 years old and above — without jobs, a slight improvement from the 4.14 million jobless individuals in April. 

May 2021’s unemployment rate is the second lowest reported since the start of the year, following the 7.1% posted in March.

Employment rate, likewise, improved to 92.3% or 44.72 million in May, a 1.45 million increase from 43.27 million in April.

Mapa attributed the improvement in the labor force statistics to the easing of quarantine restrictions, particularly in NCR Plus bubble — Metro Manila, Cavite, Laguna, Rizal, and Bulacan - during the month.

NCR Plus was placed under the strictest enhanced community quarantine (ECQ) from March 29 to April 11 and under modified ECQ from April 12 to April 30 due to a surge in new COVID-19 cases.

The MECQ in NCR Plus was extended until May 14. The quarantine classification in the area was eased to general community quarantine (GCQ) with heightened restrictions beginning May 15. 

Underemployment rate

Underemployment rate —the proportion of employed persons wanting additional work — also improved to 12.3% or 5.49 million adults from 17.2% or 7.45 million in April.

Meanwhile, the labor force participation rate - the number of adults who are actively looking for work - rose to 64.6% or 48.45 million individuals in May from 63.2% in April or 47.41 million.

In a joint statement, the Duterte administration’s economic managers said “the lowering of the quarantine level in the National Capital Region (NCR) Plus to general community quarantine (GCQ) on May 15, along with the faster roll-out of the vaccination program, led to gains in labor and employment figures in May 2021.”

The economic managers are the secretaries of Finance, Budget and Management, and Socioeconomic Planning.

“These significant improvements point to an economy on the mend. As the economy was further reopened in the second half of May, more Filipinos were able to re-join the labor force and earn sufficient income, as indicated by the lower underemployment rate,” the economic managers said.

By broad industry group, PSA data showed that the services sector continued to account for the largest share with 57.8% of the total employed persons in May.

The agriculture and the industry sectors, on the other hand, accounted for 23.8% and 18.4% of the total employed persons, respectively.

The following, meanwhile,  are the top five sub-sectors with the highest number of employed persons:

• Wholesale and retail trade; repair of motor and motorcycles (10.24 million)
• Agriculture and forestry (9.49 million)
• Construction (4.40 million)
• Manufacturing (3.55 million)
• Transportation and Storage (2.91 million)

Mapa clarified that the May 2021 LFS can only give reliable estimates on the national level only.

Vaccination efforts

“To sustain our gains and achieve a 6 to 7 percent economic growth in 2021, we need to implement our recovery package, which includes the National Employment Recovery Strategy (NERS) adopted through Executive Order No. 140, and accelerate the roll-out of our vaccination program. Both will facilitate the continued safe reopening of the economy to modified GCQ or better at the appropriate time,” the economic managers said.

“With strong collaboration among the government, the private sector, and international development partners, we have sped up the inoculation drive,” they said.

As of June 27, 2021, vaccine deployment reached 10 million doses.

This consists of 7.5 million and 2.5 million for the first and second doses, respectively.

“Of this, 829,662 workers have received their first dose from only 11,430 on May 26, following the expansion of the A4 priority group on May 27 to cover all who work outside their homes. We encourage local government units and establishments to coordinate on setting up vaccination facilities in workplaces,” the economic managers said.

The economic managers noted that setting up vaccination facilities in workplaces will accelerate vaccine deployment and “give our workers the confidence to go out and earn a living while keeping their families safe.”

“The vaccination of the A5 sector or the indigent population has also started. With an additional 27 million doses scheduled to arrive from now until August 2021, we expect our vaccination program to proceed at a faster pace as we target to inoculate 70 million Filipinos or the entire adult population by the end of the year,” they said.

“Thus far, vaccine deployment has reached as high as 355,000 per day. We encourage everyone to get vaccinated and to continue adhering to the minimum health standards. By getting vaccinated, each one can help restore the opportunities taken away by the pandemic,” they added.

For his part, Labor Secretary Silvestre Bello III said the Labor Department is “one with the economic managers in safely reopening the economy, backing much needed support for businesses through available incentives, providing platform for jobseekers to facilitate their access to employment, and supporting our workers through upskilling and retooling initiatives that will help them thrive in the New Normal.”

Bello said the government reiterates its call to all workers and businesses to continue the strict implementation of the minimum public health standards (MPHS) and occupational safety and health policies.

“Let us continue to be vigilant and avoid complacency by adhering to basic MPHS – proper wearing of face mask and face shield, washing of hands, and social distancing,” the Labor chief said.

“Rest assured that the Department of Labor and Employment will continue to be active in working with various government agencies and support initiatives such as the Task Group on Economic Recovery (TGER) towards a safe re-opening of the economy and sustained improvement in our labor market,” he added. — KBK/RSJ, GMA News