Construction sector boosts job market
MANILA, Philippines–Job growth at large enterprises in Metro Manila accelerated in the third quarter of 2014, riding a strong performance of the construction industry, according to the Philippine Statistics Authority (PSA).
The PSA said in its latest report on employment statistics that sustained growth in businesses related to administrative and support service activities; real estate activities; as well as professional scientific and technical activities, also helped buoy the job market.
PSA data show that for the September quarter, the labor turnover rate—the difference between jobs gained and jobs lost—revved up to 2.35 percent.
“This figure represents a turnaround from the near-zero growth in the first quarter (0.59 percent) and second quarter (0.88 percent)” of last year, the agency said.
Also, the latest figure “is about at par with the same quarter last year (2.38 percent),” it added.
In the third quarter of 2014, growth in the construction industry was pegged at 11.9 percent year-on-year, the strongest in the industrial sector during that period.
For every 1,000 enterprise workers in the National Capital Region (NCR), a net of 23 people were added during the three months to September last year.
For every thousand, 131 new hires joined but 108 quit or were fired.
The hiring rate was recorded at 13.11 percent while the separation rate was 10.76 percent.
Employment in the industry sector improved by 2.45 percent and services sector by 2.34 percent. On the other hand, jobs in the agriculture sector shrank by 0.19 percent.
Among 18 industries covered, the labor turnover rate in the second quarter was best in construction (7.99 percent); professional (4.38); and real estate (4.19).
On the other hand, employment was worst in water supply and sewerage related activities (-3.93 percent); arts, entertainment and recreation (-1.2); and agriculture, forestry and fishing (-0.19).
The net turnover rate was also negative for electricity, gas, steam and air conditioning supply (-0.24 percent), accommodation and food service activities (-0.13), and financial and insurance activities (-0.08).
Other industries that showed gains were information and communication (3.49 percent); administrative and support service activities (3.44); transportation and storage (2.91); mining and quarrying (2.87); wholesale and retail trade (2.72); and education (2.32).
Manufacturing as well as human health and social work activities showed nearly nil growth at 0.29 and 0.18. However, other service activities collectively surged at 8.91 percent.
The PSA observed that large enterprises in 10 out of 18 industry groups took in new employees more because of business expansion than the need to replace those who were let go.
Moreover, based on the survey, more people went out of work because they were laid off than because they quit.
Layoffs instead of quitting were most pronounced in the sub-sectors of construction; wholesale and retail; and water supply .
Quitting rather than firing was most prevalent in finance and insurance; accommodation and food; and professional services.
The data is part of the PSA’s survey of 921 large corporations in NCR, which were drawn from the agency’s 2013 NCR List of Enterprises.
