ARMM Employment Rate in January 2017 is estimated at 95.7 percent (Based on the results of January 2017 Labor Force Survey)

April 18, 2018Special Release Ref No.: 2018-008

The Labor Force Survey (LFS) is a nationwide quarterly survey of households conducted by the Philippine Statistics Authority (PSA) during the months of January, April, July and October. Specifically, it aims to provide statistics on levels and trends of employment, unemployment and underemployment in the country, as a whole, and for each of the administrative regions.

The results of the January 2017 LFS in ARMM is shown in Figure 1 below. The population 15 years old and over in January 2017 was estimated at 2.30 million where 1.09 million persons were reported to be in the labor force. Labor Force refers to the population 15 years old and over who contribute to the production of goods and services, that is, either employed or unemployed. These figures placed the ARMM’s labor force participation rate (LFPR) at 44.3 percent in January 2017, lower by 7.6 percentage point than the figure a year ago of 51.9 percent. LFPR refers to the proportion of total labor force to the total household population 15 years old and over. Among the 17 regions in the country, ARMM recorded the lowest LFPR, with 44.3 percent in January 2017, followed by Region VIII (Eastern Visayas) and Region IX (Zamboanga Peninsula) with 56.2 percent and 56.3 percent, respectively (See Table 1).

Figure 1. Results from the January 2017 LFS in ARMM: January 2016 and January 2017 
Source: Philippine Statistics Authority

ARMM’s employment rate was estimated at 95.7 percent in January 2017, placing the number of employed persons at 0.97 million. The employment rate in ARMM was estimated at 96.3 percent in January 2016, slightly higher compared to the employment rate in January 2017. Employment rate refers to the proportion of employed persons to the total labor force. Among regions in the country, ARMM and Region XII (SOCCSKSARGEN) registered the highest employment rate in January 2017.

Table 1. Labor Participation Rates, Employment, Unemployment and Underemployment, by Region: January 2017 
Region

Labor Force

Participation Rate

Employment Rate Unemployment Rate Underemployment rate
NCR 61.3 91.5 8.5 11.9
CAR 60.1 93.9 6.1 17.9
Region I 60.7 91.9 8.1 20.4
Region II 63.7 95.0 5.0 16.0
Region III 57.9 93.3 6.7 15.8
Region IVA 63.2 91.8 8.2 14.8
Region IVB 61.0 93.1 6.9 20.8
Region V 59.0 94.8 5.2 20.8
Region VI 61.4 94.0 6.0 18.1
Region VII 64.9 95.4 4.6 16.1
NIR 66.1 94.7 5.3 11.4
Region VIII 56.2 93.6 6.4 23.2
Region IX 56.3 95.4 4.6 15.4
Region X 63.0 94.5 5.5 18.9
Region XI 61.7 94.1 5.9 14.6
Region XII 62.8 95.7 4.3 21.3
CARAGA 59.2 91.5 8.5 18.9
ARMM 44.3 95.7 4.3 7.3
Source: Philippine Statistics Authority

The unemployment rate in ARMM was estimated at 4.3 percent in January 2017 which is relatively higher by 0.7 percentage point than in January 2016 at 3.7 percent. Unemployment rate refers to the proportion of unemployed persons to the total labor force. Among regions, ARMM and Region XII (SOCCSKSARGEN) recorded the lowest unemployment rate followed by Region VII (Central Visayas) and Region IX (Zamboanga Peninsula), both at 4.6 percent.

ARMM’s underemployment rate was estimated at 7.1 percent in January 2017, which is almost three times lower than the January 2016 at 19.7 percent. Underemployment rate refers to the proportion of underemployed persons to total employed persons. Among regions, ARMM registered the lowest underemployment rate at 7.3 percent followed by NCR at 11.9 percent, next by Region XI (Davao Region) at 14.6 percent and then by Region IVA (CALABARZON) at 14.8 percent in January 2017.

LFPR among men were higher than women. Likewise, employment rate was higher among men than women. The LFPR among men was recorded at 69.7 percent in January 2017, higher by 50.5 percentage points from the 19.2 percent figure for women in 2017. Also, employment rate among men was estimated at 96.5 percent in January 2017, higher by 3.7 percentage point from the rate of 92.8 percent among women.

Figure 2. LFPR and Employment by Sex, ARMM: January 2016 and January 2017 
Source: Philippine Statistics Authority

Workers in ARMM in the agriculture sector comprised the largest proportion of the population who are employed.  These workers made up 51.0 percent of the total employed in January 2017, but lower by 9 percentage point compared to the previous year of 60.0 percent (Refer to Figure 3).  Workers in the services sector comprised the second largest group, making up 44.8 percent of the total employed in January 2017. This is higher by 5.8 percentage point against the result a year ago at 39.0 percent, while workers in the industry sector made up the smallest group, registering 4.2 percent of the total employed in January 2017.

Figure 3. Percent Distribution by Major Industry, ARMM: January 2016 and January 2017 
Source: Philippine Statistics Authority

Among the occupation groups, workers in the skilled agricultural, forestry and fishing are the largest group, representing 35.9 percent of the total employed in January 2017 (Figure 4).  Managers comprised the second largest occupation group (22.6%), followed by elementary occupations (13.4%).

Figure 4. Percent Distribution of Employed by Occupation, ARMM: January 2017 
Source: Philippine Statistics Authority

Employed persons fall into any of the four categories: (1) wage and salary workers, (2) self-employed workers without any paid employee, (3) employers in own family-operated farm or business, and (4) unpaid family workers. In January 2017, the largest class of workers in ARMM were the self-employed making up 57.2 percent of the total employed.

Figure 5. Percent Distribution of Employed by Class of Workers, ARMM: January 2017 
Source: Philippine Statistics Authority

The wage and salary workers made up the second largest class of workers at 26.4 percent of the total employed, with those working in private establishments continuing to account for the largest share at 13.1 percent. Those who work for the government and government-controlled corporation was at 11.4 percent. Persons who worked without pay in own family-operated farm or business accounted for 14.4 percent. Only 2.2 percent employed in own family-operated farm or business was accounted.

 

Technical notes:

  • 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 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 2016 round, the Labor Force Survey (LFS) adopted the 2013 Master Sample Design, with a sample size of approximately 44,000 households.
  • The 2012 Philippine Standard Occupational Classification (PSOC) was adopted starting April 2016.  The 1992 PSOC had been used prior to April 2016.
  • Starting with the April 2016 LFS round, the population projections based on the 2010 Census of Population and Housing (2010 CPH) was adopted to generate the labor force statistics.
  • Starting January 2017 round, Computer Aided Personal Interviewing (CAPI) using Tablet was utilized in the LFS enumeration.
  • 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.

 

(Sgd) HJI. RAZULDEN A. MANGELEN, MPA, MDM
OIC-Regional Director, PSA-ARMM