PSA: Jobless rate down to 3.1 percent in June
The country’s jobless rate dropped to 3.1 percent in June, or about 1.62 million unemployed, as more Filipinos were hired in the construction sector, the Philippine Statistics Authority (PSA) reported on Wednesday.
National Statistician Claire Dennis Mapa said this meant the country’s employment rate was at 96.9 percent in June, translating into 50.28 million gainfully employed Filipinos. It was the second best employment figure under the new administration.
In December last year, the jobless rate also reached 3.1 percent, the lowest unemployment in 19 years or since 2005.
Thus far, the average jobless rate this year is 3.9 percent from an average of 4.3 percent in 2023 and 5.4 percent in 2022.
But underemployment remained at an average of 12.3 percent so far, or more than 6 million people seeking better quality work.
The construction sector saw the biggest annual increase of workers at 938,000 people; followed by 527,000 in wholesale and retail trade, and repair of motor vehicles; and 396,000 in the accommodation and food service industry.
“The construction sector’s robust growth, fueled by government infrastructure projects and private sector investment, was a primary driver of increased employment despite the overall unemployment rate decline,” said economist Robert Dan Roces of Security Bank Corp.
“This labor-intensive industry’s rapid recovery from the pandemic likely contributed significantly to its employment surge,” he added.
Seasonal factors
Roces attributed the improved unemployment data to seasonal factors, government initiatives, and improving business confidence.
“While these trends are positive, the sustainability of unemployment decline and the concerning rise in underemployment warrant close monitoring,” he added.
Underemployment in June was the highest since April’s 14.6 percent but still better than the underemployment rates from 2019 to 2022. INQ
