unemployment issues in the philippines


Why is unemployment still high in the Philippines?

Unemployment has remained high in the Philippines, at almost twice the level of neighboring countries, despite relatively fast employment growth in the past decade. Employment growth was not sufficient to reduce unemployment because of rapid population growth and increased labor force participation.

Why is contractualization causing mass unemployment in the Philippines?

Contractualization has been blamed for causing mass unemployment in the Philippines because it creates an environment where businesses have no incentive to invest in long-term employment. This is especially true in industries where labor costs are a large percentage of total costs.

What factors affect unemployment rate?

According to the results of the regression analysis, Labor Force Rate and Population are the significant factors of unemployment rate. Among the independent variables, Population, GDP, and GNI showed to have a granger-causal relationship with unemployment.

Are employment growth and unemployment declines correlated with real GDP growth?

This paper shows that Philippine employment growth and unemployment declines were positively correlated with real GDP growth and, to a lesser extent, negatively with the real minimum wage. The key policy implications are that higher economic growth and moderation of increases in the real minimum wage are required to reduce unemployment.

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