Unemployment
The official unemployment figures for the Philippines in 2011 are among
the worst in Asia, higher than its South-East Asian neighbors and
according to the International Labor Organization the country is
among the worst one-fourth in the world in terms of unemployment rates.
Without a strong manufacturing industry or real Filipino industry, the
economy will be unable to create enough decent paying jobs. Till then
manufacturing or services will remain substandard, or of low
value-addition. According to employment figures, jobs in the Philippines
manufacturing sector increased by just 8% of the total employment.
Nearly three out of every ten people in the labor force are looking for
work or are jobless. The mining sub-sector said to be one of the
fastest growing industry in 2011 failed to generate new jobs (just 0.6 %
of total employment).
Steadily rising inflation has contributed to the erosion of the value of
the minimum wage. Though the Aquino administration increased the
minimum wage and announced cash dole-outs but lack of quality decent
paying jobs and higher real wages continue to be a problem. The
government's policy to encourage foreign capital, even if in just low
value-added assembly operations will continue to hinder real growth and
development of the manufacturing sector. The Aquino administration needs
to plan over the long-term, and prepare an industrialization program
that encourages value-addition manufacturing or services and builds
Filipino-owned industries.
-http://www.buzzle.com/articles/economic-problems-of-the-philippines.html
Negative Effect:
Many people especially the unemployed ones are having a hard time to make their living appropriate, instead they are obliged to live in their scarce resources and limited financial resources.
Positive Effect:
Due to their needs of money, they are desperate enough to work for less rates of salaries and wages. Thus, making for them possible to earn money and have a chance that the rate of their salaries will be increase if they are able to satisfy their managers.
Recommendation:
Therefore, I recommend that all people must be satisfied on their wages because even though it is low,our government is finding a way to solve this economic issue.
Bal Eazar M. Tinapay Econ 211B 9:15am - 10:45am....
