According to the latest survey conducted by the Social Weather Stations (SWS), the unemployment rate in the Philippines has hit a shocking 27 percent in the last quarter of 2014. This percentage is equivalent to 12.4 million Filipinos who are jobless. The number was 5 percent higher than that reported in 2014’s third quarter.
Unemployment among women rose sharply from 33 percent to 41 percent. For men on the other hand, the unemployment rate did not move significantly. Joblessness in the Philippines rose on most age segments except for the young people ageing 18 to 24 years old.
Even though joblessness among Filipinos worsened in the last quarter, the survey reported that there is an increased number of Filipinos who are optimistic that they can work within twelve months. The optimism of Filipinos rose by 4 points in the last quarter of 2014 from 16 points in the third quarter.
Economic status of the Philippines
Though the emerging market in Southeast Asia is underperforming in terms of unemployment rate, its economy has been perceived by economists and analysts to be one of the biggest solid gainers in Asia. The recent year has proved the Philippine’s strong economy in that it ranked third next to China and Japan in terms of economic growth last year. The consumer industry in the country has been aggressively high. The Philippines is among the many nations that have benefited greatly from the downward spiral in oil prices. It is not exporting oil since it does not have oil reserves. So businesses have greater savings with the lowered prices of oil. This in turn decreases prices of common commodities making consumers buy more.
The banking sector is also promising in the Philippines. Increase in interest rates is not threatening the financial industry and bankers are positive that the Central Bank will not increase interest rates. The industrial sector which includes packaging materials such as baskets and bubble wraps also continue to thrive in Philippine’s emerging market.
Philippines’ credit standing has also improved several notches higher in Moody’s ratings and S&P’s.
With the Philippines attracting investors because of its attractive market growth and competitive employees, there is no doubt that the unemployment rate will lower this year.