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Philippines' Unemployment Rate Drops To 4.3% in May 2023
Photo credit: DOLE
The Philippines' unemployment rate in May 2023 was estimated at 4.3 percent, according to the latest Labor Force Survey released by the Philippine Statistics Authority (PSA).
According to the survey, this figure indicates a significant drop from the 6.0 percent unemployment rate recorded in May 2022 and the 4.5 percent rate in April 2023. Moreover, the May 2023 unemployment rate marks the second lowest since April 2005, following the 4.2 percent unemployment rate reported in November 2022.
Meanwhile, the employment rate in May 2023 saw a notable increase, reaching 95.7 percent.
This rate surpasses the employment rates in May 2022 at 94.0 percent and in April 2023 at 95.5 percent.
The survey revealed that the number of employed individuals aged 15 years old and over stood at 48.26 million, a rise from the 46.08 million reported during the same period last year.
The labor force participation rate (LFPR) for May 2023 was reported at 65.3 percent, reflecting an increase compared to May 2022 (64.0 percent) and April 2023 (65.1 percent).
The survey identified a total of 50.43 million individuals aged 15 years old and over who were either employed or unemployed in May 2023.
The average hours worked per week by an employed person in May 2023 was 39.3 hours, slightly lower than the estimate in May 2022 at 39.8 hours. However, this figure represents an increase from the average hours worked in April 2023, which stood at 36.9 hours per week.
Among the employed population, 5.66 million individuals expressed a desire for additional work hours or a new job with longer hours, resulting in an underemployment rate of 11.7 percent in May 2023. This rate represents the second lowest since April 2005, with the lowest recorded in March 2023 at 11.2 percent.
Breaking down the sectors, the services sector maintained its dominance with the largest share of employment, accounting for 58.8 percent of the total employed population in May 2023. The agriculture and industry sectors accounted for 24.3 percent and 16.9 percent, respectively.
In terms of year-on-year growth, the top five sub-sectors with the highest increase in employed persons in May 2023 were agriculture and forestry (1.25 million), accommodation and food service activities (398 thousand), other service activities (365 thousand), fishing and aquaculture (351 thousand), and arts, entertainment, and recreation (305 thousand).
Conversely, the top five sectors that experienced a decline in employment from May 2022 to May 2023 were wholesale and retail trade; repair of motor vehicles and motorcycles (-781 thousand), construction (-274 thousand), manufacturing (-253 thousand), water supply; sewerage, waste management and remediation activities (-78 thousand), and information and communication (-51 thousand).
Wage and salary workers constituted the largest share of employed persons at 60.5 percent, followed by self-employed individuals without any paid employees at 28.1 percent and unpaid family workers at 9.2 percent. Meanwhile, employers in their own family-operated farms or businesses had the lowest share at 2.2 percent.
Among wage and salary workers, 46.5 percent were employed in private establishments, while 8.8 percent were employed in government or government-controlled corporations.
Youth labor force participation rate (LFPR) for May 2023 was estimated at 33.8 percent, lower than the 36.2 percent reported in the same month last year and the LFPR in April 2023 at 34.7 percent. However, the youth employment rate increased to 89.4 percent in May 2023 from 87.9 percent in May 2022.
Of the employed youth, 11.0 percent were underemployed, showing a decline from the reported 11.6 percent in May 2022.
According to the survey, this figure indicates a significant drop from the 6.0 percent unemployment rate recorded in May 2022 and the 4.5 percent rate in April 2023. Moreover, the May 2023 unemployment rate marks the second lowest since April 2005, following the 4.2 percent unemployment rate reported in November 2022.
Meanwhile, the employment rate in May 2023 saw a notable increase, reaching 95.7 percent.
This rate surpasses the employment rates in May 2022 at 94.0 percent and in April 2023 at 95.5 percent.
The survey revealed that the number of employed individuals aged 15 years old and over stood at 48.26 million, a rise from the 46.08 million reported during the same period last year.
The labor force participation rate (LFPR) for May 2023 was reported at 65.3 percent, reflecting an increase compared to May 2022 (64.0 percent) and April 2023 (65.1 percent).
The survey identified a total of 50.43 million individuals aged 15 years old and over who were either employed or unemployed in May 2023.
The average hours worked per week by an employed person in May 2023 was 39.3 hours, slightly lower than the estimate in May 2022 at 39.8 hours. However, this figure represents an increase from the average hours worked in April 2023, which stood at 36.9 hours per week.
Among the employed population, 5.66 million individuals expressed a desire for additional work hours or a new job with longer hours, resulting in an underemployment rate of 11.7 percent in May 2023. This rate represents the second lowest since April 2005, with the lowest recorded in March 2023 at 11.2 percent.
Breaking down the sectors, the services sector maintained its dominance with the largest share of employment, accounting for 58.8 percent of the total employed population in May 2023. The agriculture and industry sectors accounted for 24.3 percent and 16.9 percent, respectively.
In terms of year-on-year growth, the top five sub-sectors with the highest increase in employed persons in May 2023 were agriculture and forestry (1.25 million), accommodation and food service activities (398 thousand), other service activities (365 thousand), fishing and aquaculture (351 thousand), and arts, entertainment, and recreation (305 thousand).
Conversely, the top five sectors that experienced a decline in employment from May 2022 to May 2023 were wholesale and retail trade; repair of motor vehicles and motorcycles (-781 thousand), construction (-274 thousand), manufacturing (-253 thousand), water supply; sewerage, waste management and remediation activities (-78 thousand), and information and communication (-51 thousand).
Wage and salary workers constituted the largest share of employed persons at 60.5 percent, followed by self-employed individuals without any paid employees at 28.1 percent and unpaid family workers at 9.2 percent. Meanwhile, employers in their own family-operated farms or businesses had the lowest share at 2.2 percent.
Among wage and salary workers, 46.5 percent were employed in private establishments, while 8.8 percent were employed in government or government-controlled corporations.
Youth labor force participation rate (LFPR) for May 2023 was estimated at 33.8 percent, lower than the 36.2 percent reported in the same month last year and the LFPR in April 2023 at 34.7 percent. However, the youth employment rate increased to 89.4 percent in May 2023 from 87.9 percent in May 2022.
Of the employed youth, 11.0 percent were underemployed, showing a decline from the reported 11.6 percent in May 2022.
Jul 7, 2023
