UNEMPLOYMEN

UNEMPLOYMENT
means being out of job or a
situation where the individual is
willing to work but has none.
people who were temporarily laid
off and are waiting to be called
back to that job
people who do not have a job,
have actively looked for work in
the past few weeks/months

WHY UNEMPLOYMENT IS A PROBLEM?

When large numbers of people are
unemployed, it has widespread economic
and social effects. Hunger and homelessness
are considered social problem of
Unemployment .
Because our government keeps extending
benefits for the unemployed and many
continue to take them without really looking
for a job.

CAUSES OF UNEMPLOYMENT

Inflation
Disability
Attitude towards employers
Employee values
Over population

EFFECTS OF UNEMPLOYMENT (NEGATIVE )

Mental Health
Health disease
Tension at home
Political Issues
Tension over taxes rise
Insecurities among employees
Crime and violence
Suicide cases
Social outing
Stigma
Standard of leaving
Employment gap
Lose of skills usage

SOLUTION TO SOLVE THE UNEMPLOYMENT PROBLEM

Reducing Occupational Immobility
unemployed cannot find work immediately or easily since they
cannot be employed in the industry that requires their skills
and also cannot work in other industries since they may not
have sufficient skills.
Employment Subsidies
Employment subsidies can be provided by the government for
firms who hire workers that are unemployed
Sustained Economic Growth
When there is economic growth, employers will be more
willing and able to employ more workers. This helps to
address the issue of unemployment.

EFFECTS OF UNEMPLOYMENT (POSITIVE )

4ps
aims to eradicate extreme poverty in the
Philippines by investing in health and education
livelihood programs
programs that sustain the needs of once
community .
Pension
A type of retirement plan, usually tax exempt,
wherein an employer makes contributions toward a
pool of funds set aside for an employee's future benefit

WHAT ARE ITS EFFECTS?

On the government

Fewer tax revenues

Lower economic growth (GDP)

Higher welfare costs.

Higher supply-side
On firms:

Lower wage costs

Larger pool of labor

Less demand for goods and services.

Increase in demand for inferior goods Higher

training costs
On people:

Lower standard of living

Loss of skills

Loss of confidence/depression

Philippines

Population 15 years and over

(in 000)

Labor Force Participation

Rate (%)

Employment Rate (%)

Unemployment Rate (%)

Underemployment Rate (%)

July 2015a/

July 2015b/

July 2014c/

(Except Leyte)

(Except Leyte)

66,614

65,116

64,070

62.9

63.0

64.4

93.5

93.5

93.3

6.5

6.5

6.7

21.0

20.8

18.3