Philippine Jobless rate rises to 4.9% in June

Philippine joblessness worsened in June, signaling weaker labor-market conditions that could weigh on household spending and complicate the government’s efforts to sustain economic growth.

The unemployment rate rose to 4.9% from 3.7% a year earlier, with 2.59 million Filipinos out of work, the Philippine Statistics Authority reported on Thursday.

The jobless rate was also up slightly from 4.8% in May. The employment rate fell to 95.1% from 96.3% a year earlier, even as the number of employed Filipinos increased to 50.66 million from 50.47 million.

The labor force participation rate declined to 65.1% in June from 65.7% a year earlier, although it improved from 63.8% in May.

Underemployment, a measure of workers seeking additional hours or another job, also climbed to 12.1% from 11.4% a year earlier. About 6.11 million employed Filipinos were underemployed in June.

Services remained the biggest source of jobs, accounting for 62.7% of total employment, followed by agriculture at 20% and industry at 17.3%.

Accommodation and food services posted the largest annual employment gain at 481,000, followed by administrative and support services at 456,000 and public administration and defense at 440,000.

Wholesale and retail trade recorded the biggest employment decline, shedding 903,000 jobs year on year, while fishing and aquaculture lost 467,000. The data point to a labor market losing momentum even as the economy seeks to maintain growth. — Norman P. Aquino