Employment in the Philippines PDF
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This document discusses employment in the Philippines, covering various aspects such as worker qualities, employment terminologies, contractualization, subcontracting, unemployment, and solutions. It is suitable for educational purposes, examining the different facets of employment in the Philippines.
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Employment in the Philippines THE QUALITIES OF A FILIPINO WORKER CONTENT STANDARD The students understand the cause and implications of local and international economic issues in the pursuit of the country’s development. PERFORMANCE STAN...
Employment in the Philippines THE QUALITIES OF A FILIPINO WORKER CONTENT STANDARD The students understand the cause and implications of local and international economic issues in the pursuit of the country’s development. PERFORMANCE STANDARD The students should be able to formulate a livelihood program that will address the needs of the people through the use of available natural resources that are found in the community The Qualities of a Filipino Worker The competency of a Filipino worker is attributed to the training that they get from their education and their willingness to work extra hours to acquire the skills needed to be competent and Competent credible. Filipinos are great team players which may be rooted on their sense of family, where they help one another overcome trials and adversities. Filipino workers are always ready to give a helping hand to fellow worker in need. This is seen in the midst of several disasters met by the country. Team Player One of the most notable qualities of Filipino workers is their adaptability. This skill manifests in their knowledge of the English language which gives them the special edge. It is not difficult for Filipinos to learn the culture of the country where they are in. Adaptable According to the report of the National Statistics Office in 2013, the literacy rate of the country is 97.5. Those were surveyed from the age of 15 and above. A person’s literacy has a big influence on his or her capacity to learn and acquire new skills in his or her workplace. Fast Learners Working for more than the required number of hours, either with extra compensation or not, is something that most Filipinos are accustomed to. The sense of fulfillment that they get is what drives most Filipinos to stay beyond normal working hours. Industrious Filipinos are known for having their families as their main priority. The family is their major motivation for working hard. They do their best to provide for their families, sometimes extending even to their extended family. Family Oriented Filipinos warmth and friendliness are said to be one of a kind. Filipinos are very welcoming and easy to talk to. This can be traced to the hospitable character of Filipinos. They are willing to offer everything they have just so their guest will feel comfortable. Warm and Friendly DOLE is the national government agency that is in-charge to formulate and implement policies and programs in the service of the Filipino workers. It envisions the Filipino worker to attain full, decent, and productive employment. Labor Code of the Philippines (PD No. 442) - a set of government policies that regulate employment process up to the time of post employment. - under its general provisions, the state shall afford protection to labor, promote full employment, ensure equal opportunities regardless of sex, race, rights of workers to self organization, collective bargaining, security of tenure, and just and humane condition of work. PHILIPPINE EMPLOYMENT To fully understand the situation of Filipino workers, we must know some of the terminologies relating to employment which will help us grasp the situation of employment in the country. The following are based on the definition made by the International Labor Organizations (ILO) and the National Statistics Coordination Board (NSCB). PHILIPPINE EMPLOYMENT 1. Employed – persons in the labor force who were reported either at work or with a job or business although not at work. 2. Unemployed – includes all persons who are 15 years old and over as of their last birthday and are reported as: a. without work b. currently available for work c. seeking work PHILIPPINE EMPLOYMENT 3. Labor Force – the population of 15 years old and over who contribute to the production of goods and services in the country. Those who are neither employed or unemployed are considered not in the labor force, e.g., persons who are not working, not available for work during the reference week, and not looking for work. Examples are housewives, students, disabled or retired persons, and seasonal workers. PHILIPPINE EMPLOYMENT 4. Underemployed – employed persons who expressed the desire to have additional hours of work in their present job or in an additional job, or have a new job with longer working hours. Underemployed, Invisibly – persons employed at full-time jobs who still want additional work. Underemployed, Visibly - employed persons who work less than 40 hours and wanted additional hours of work. End of Contract (ENDO) Why are labor groups against contractualization? End of Contract (ENDO) - refers to the system of terminating the employment of workers - Under the Philippine law, an employment is given probationary period of 6 months after which they become regular employees. - However, some employers end the contract of employees before the six- month period which prevents employees from receiving benefits. End of Contract (ENDO) Under the Labor Code, an employer may only terminate the employment of worker under the following circumstances as provided in Article 282: 1. Serious misconduct or willful disobedience by the employee of the lawful orders of his employer; 2. Gross habitual neglect of employee of his duties 3. Fraud or willful breach by the employee of the trust reposed in him by his employer; 4. Commission of a crime or offense by the employee against the person of his employer or any immediate member of his family; and 5. Other causes analogous to the foregoing. End of Contract (ENDO) - In the recent DO No. 174 series of 2017 of the DOLE, contractualization still exists as provided under the Section 4. - Fixed-term employment is also allowed as long as agreed by both the employer and employees. - Fixed-term employment enjoys security of tenure under the duration of the contract and cannot be terminated unless there is a violation. Advantages of Contractualization 1. allows quick response to market fluctuations such as the increase or decrease in the supply of goods and services. 2. provides flexibility in hiring workers based on the situation of the company which not only benefits the company but also the workers looking for temporary work. 3. It is cost efficient for companies for it does not require providing benefits. It also allows the evaluation of the temporary worker. Advantages of Contractualization 4. Hiring workers through agency exempts the company in using its resources of finding qualified workers and providing benefits, therefore, it is cost efficient. 5. The stricter policy in hiring regular workers and the lenient process in hiring a temporary worker or contractual worker, provide greater participation of the labor force. Disadvantages of Contractualization 1. It enables companies and the capitalists to provide low wages to workers. 2. It prevents workers from fighting for their rights as they can be easily threatened with termination. 3. Low wages due to contractualization prevents the improvement of the quality of life of the workers. 4. Workers who fear contractualization will less likely to engage in democratic discussion. Disadvantages of Contractualization 5. Rigid supervision and training are needed for temporary workers in order to have an assurance of quality work suited to the needs of the company; and 6. Comparison in the wages and benefits received by the temporary and regular workers may lead to non-conducive working conditions. SUBCONTRACTING - Subcontracting is the practice of assigning, or outsourcing, part of the obligations and tasks under a contract to another party known as subcontractor. - Subcontracting refers to the practice of bringing in an outside company or individual to perform specific parts of a contract or a project. - Subcontracting is prevalent in areas such as construction and IT. WHO ARE THE SUBCONTRACTORS? - a subcontractor is a business or a person that undertakes work for a company as a part of a larger project. - In undertaking a contract from a contactor, subcontractors carry out work that the contractor can’t perform, but remains responsible for. - a subcontractor may be engaged for fixed- term contracts, task-based contracts with no specified end date or long-term assignments. EXAMPLES OF SUBCONTRACTORS 1. A contractor in the construction industry may hire an electrician to perform electrical wiring services as part of building job 2. A designer may subcontract a logo design task to another graphic designer 3. A digital marketing agency may engage a copywriter to perform the content and copywriting tasks as a part of a larger project. ADVANTAGES OF SUBCONTRACTING - No need to withhold or pay taxes and benefits - Fewer legal obligations - Can bring specialized expertise to the company that you don’t have among staff - Less pressure on staff with extra help and increased productivity DISADVANTAGES OF SUBCONTRACTING - Less commitment to your business which may negatively affect the quality of their work - Does not have the same training as your staff, so their style and methods may not blend with yours - Your employees may resent being paid less per hour for similar work Unemployment -The Philippine labor force is expected to increase by 14.9 million between 2015- 2030. - According to PSA, the country’s unemployment rate dropped to 4.2 percent in November, the lowest in nearly 18 years (The Manila Times, 2023). - The 4.2 percent rate was lower than the 4.5 percent in October and 6.5 percent in the same month in 2021 -In terms of actual figures, there was 983,000 fewer jobless individuals during that period according to the PSA. -From 2.18 million, the number of unemployed improved from 2.24 million in October and 3.16 million a year earlier. - The figure was the lowest rate since April 2005. - Underemployment worsened slightly to 14.4 percent from October's 14.2 percent. -This means the number of employed persons looking for more work went up to 7.16 million from 6.67 million a month earlier. - The employment rate of 95.8 percent was also the highest since April 2005. -49.71 million persons more than 15 years old had jobs as of November, up from 47.11 million in October and 45.47 million a year ago. -The Labor Force Participation Rate (LFPR) was higher at 67.5 percent than 62.4 percent in the same month in 2021 and October. - An additional 3.2 million Filipinos, of whom 2.5 million are women, joined the labor force in November 2021, increasing women's labor force participation to 57.8 percent from 52.2 percent. Causes of Unemployment Education Mismatch - It can be equated to the relevance of degree programs offered in the country to the needs of the labor market. - Degrees that meet the demand of the labor market are referred to as the labor market- appropriate degrees. -The preparation of future jobs seekers must able to answer the demand of the labor market. Frictional Unemployment - It refers to the period when a job seeker is in search of a stable job or is in between jobs. - This can be attributed to unsatisfactory salary, benefits, or work environment and also to the person’s lack of relevant skills needed in the job which leads him/her to transfer to another job that is more aligned with his/her skills. Number of Graduates - With people knowing the value of education, the number of graduates increases each year, however, so do the number of unemployed graduates. - The oversupply of graduates results to their unemployment. - The common outcome is that, these professionals will land in jobs not suited to what they are trained for. Inadequate Skills and Talents - this pertains to the lack of training and preparation of Filipinos who are looking for jobs. - the misalignment of the education and training of students to the needs of the labor market is a hindrance to anyone looking for a stable job. - this situation is not only true to the Philippines but also to other countries. Solutions to Unemployment 1. Equal opportunities in rural and urban areas 2. Link between education and employment 3. Government support for business 4. Education as a socially relevant institution 5. Labor market information system