PRESENT LABOR MARKET CONDITIONS THE NEED FOR A MORE RESPONSIVE YOUTH DEVELOPMENT AND EMPLOYMENT...

PRESENT LABOR PRESENT LABOR MARKET CONDITIONSMARKET CONDITIONS

THE NEED FOR A MORE THE NEED FOR A MORE RESPONSIVE YOUTH RESPONSIVE YOUTH DEVELOPMENT AND DEVELOPMENT AND

EMPLOYMENT FRAMEWORKEMPLOYMENT FRAMEWORK

OUTLINE OF PRESENTATIONOUTLINE OF PRESENTATION

Present labor market situationPresent labor market situation Emerging labor market Emerging labor market

challengeschallenges The youth employment and The youth employment and

development frameworkdevelopment framework

PRESENT LABOR MARKET PRESENT LABOR MARKET CONDITIONSCONDITIONS

In the July 2007 Labor Force Survey, In the July 2007 Labor Force Survey, total employment grew by 2.3 % or total employment grew by 2.3 % or 735,000 additional employed 735,000 additional employed personspersons

This growth was observed mainly in This growth was observed mainly in the services sector which grew by the services sector which grew by 5.6% (873,000)5.6% (873,000)

Industry sector remained sluggish Industry sector remained sluggish growing only by 0.2 percent growing only by 0.2 percent (+10,000) additional new jobs(+10,000) additional new jobs


Employment in the combined agri, Employment in the combined agri, fishery and forestry sector was down fishery and forestry sector was down by 1.2 % (-149,000), after posting by 1.2 % (-149,000), after posting growth in the last two yearsgrowth in the last two years

Number of persons in full time Number of persons in full time employment went up by 3.6 % employment went up by 3.6 % (719,000)(719,000)


The number of unemployed persons in The number of unemployed persons in July 2007 was reported at 2.8 million, July 2007 was reported at 2.8 million, resulting to an unemployment rate of resulting to an unemployment rate of 7.8 percent. 7.8 percent.

Two regions recorded a double-digit Two regions recorded a double-digit unemployment rate, namely, National unemployment rate, namely, National Capital Region (NCR) at 13.1 percent Capital Region (NCR) at 13.1 percent and Central Luzon at 11.5 percent. and Central Luzon at 11.5 percent.


For every ten (10) unemployed, six (6) are For every ten (10) unemployed, six (6) are males and four (4) are femalesmales and four (4) are females

The age group 15-24 years old account for The age group 15-24 years old account for 51.1 percent of the unemployed,51.1 percent of the unemployed, its its unemployment rate is 18 %, more than unemployment rate is 18 %, more than twice the national ratetwice the national rate

Unemployed persons who had attained high Unemployed persons who had attained high school level comprised 45.5 percent of the school level comprised 45.5 percent of the total unemployed; while those who had total unemployed; while those who had reached college level account for 39.4 reached college level account for 39.4 percentpercent


Unemployed are better educated than Unemployed are better educated than the employed workforcethe employed workforce

Incidence of unemployment tended to Incidence of unemployment tended to increase with the years of educationincrease with the years of education

Mean weeks looking for work has Mean weeks looking for work has been getting longer been getting longer

PRESENT LABOR MARKET PRESENT LABOR MARKET SITUATIONSITUATION

Mean monthly waiting time of Mean monthly waiting time of graduates after actively looking for a graduates after actively looking for a job varies by school: job varies by school:

UP graduate – 1.82 months UP graduate – 1.82 months

DLSU graduates – 2.42 monthsDLSU graduates – 2.42 months

Ateneo graduates –2.91 monthsAteneo graduates –2.91 months

Other Us/Cs graduates – at least Other Us/Cs graduates – at least 5.33 months5.33 months


Results of content analysis on job adds:Results of content analysis on job adds: Bulk of job orders are mostly for Bulk of job orders are mostly for

accountancy-related fields, medical-accountancy-related fields, medical-related fields (mostly care-givers, related fields (mostly care-givers, doctors and nurses), engineering and doctors and nurses), engineering and IT-related positions. IT-related positions.

Big number of vacancies for Big number of vacancies for vocational graduates like automotive vocational graduates like automotive and IT-related courses; andand IT-related courses; and


Most of jobs advertised require Most of jobs advertised require some level of skills proficiency some level of skills proficiency

Almost all jobs advertised Almost all jobs advertised require at least 6 months require at least 6 months working experienceworking experience


Globalization has collapsed several Globalization has collapsed several rigid-structures of employment; rigid-structures of employment; brought about patterns like shorter brought about patterns like shorter life cycles of jobs and faster onset of life cycles of jobs and faster onset of product and skills obsolescence while product and skills obsolescence while breeding greater premium for highly breeding greater premium for highly skilled, specialized and knowledge-skilled, specialized and knowledge-based workersbased workers


Technological changes have made it Technological changes have made it possible to reshape production possible to reshape production through new forms of industrial through new forms of industrial organization, including organization, including subcontracting and the spatial subcontracting and the spatial reorganization of production systemsreorganization of production systems


This has also led to the emergence of This has also led to the emergence of new forms of work arrangements:new forms of work arrangements:

Telework (both mobile and home-Telework (both mobile and home-based) based)

Virtual offices or telecentersVirtual offices or telecenters Out-sourcingOut-sourcing E-recruitingE-recruiting Multiple jobs/employersMultiple jobs/employers


Skill composition of the workforce is Skill composition of the workforce is changing along with large-scale entry changing along with large-scale entry of women into the labor market and of women into the labor market and the emergence of a worker-the emergence of a worker-competence dividecompetence divide

Trend towards enterprise downsizing Trend towards enterprise downsizing and a shift in industrial employment and a shift in industrial employment away from large enterprises, which is away from large enterprises, which is due in part to technological changesdue in part to technological changes


Practices such as subcontracting, Practices such as subcontracting, outsourcing and the hiring of outsourcing and the hiring of flexible (temporary, casuals, flexible (temporary, casuals, contractuals and part-time) contractuals and part-time) workers, long considered as workers, long considered as atypical employment, are becoming atypical employment, are becoming more typical, especially at the more typical, especially at the lower end of the labor marketlower end of the labor market


Other emerging forms of flexible Other emerging forms of flexible works include teleworking, virtual works include teleworking, virtual offices, call centers, which are all offices, call centers, which are all made possible thru the information made possible thru the information highwayhighway

CURRENT PROGRAMS CURRENT PROGRAMS ASSESSMENT AND ASSESSMENT AND RECOMENDATIONS RECOMENDATIONS

On the DEMAND sideOn the DEMAND side … …

• Programs on livelihood, microfinance and Programs on livelihood, microfinance and public-private partnership are being public-private partnership are being carried out, but need to be disseminated, carried out, but need to be disseminated, coordinated, and for partners to converge coordinated, and for partners to converge efforts especially at local level;efforts especially at local level;

On the SUPPLY sideOn the SUPPLY side … …

Education reforms are being initiatedEducation reforms are being initiated

There are also scholarships (like PGMA, SPES) There are also scholarships (like PGMA, SPES) and different types of trainings delivered by GOs and different types of trainings delivered by GOs (*DOLE, DSWD, TESDA), but (*DOLE, DSWD, TESDA), but implementation/availment has to be revisited to implementation/availment has to be revisited to ensure that it reaches its target youth segmentensure that it reaches its target youth segment

• Efforts at making LMI more efficient, thru PESOs, career guidance, different media like internet (PhilJobNet); programs’ reach include also the parents and other groups

On the INSTITUTIONAL sideOn the INSTITUTIONAL side ……

Other ASSESSMENT Other ASSESSMENT insights…insights… Ensure that programs reach the Ensure that programs reach the

proper targets – i.e., clearer proper targets – i.e., clearer targeting in terms of youth targeting in terms of youth segmentssegments

Establish program mechanisms Establish program mechanisms autonomous from political influencesautonomous from political influences

Conduct evidence-based and Conduct evidence-based and evidence-informed assessmentevidence-informed assessment

TOWARDS A TOWARDS A STRATEGIC YOUTH STRATEGIC YOUTH

EMPLOYMENT EMPLOYMENT PROGRAM AGENDA PROGRAM AGENDA FOR CY 2007-2010FOR CY 2007-2010

Demand for work is the area of the Demand for work is the area of the private sector; mostly the economic-private sector; mostly the economic-related agencies are really in-charge of related agencies are really in-charge of the demand-related programs but not the demand-related programs but not separate from supply; must be able to separate from supply; must be able to coordinatecoordinate Youth Entrepreneurship and business Youth Entrepreneurship and business

enhancement program – key program enhancement program – key program – DOLE, DTI and LGUs; other agencies – DOLE, DTI and LGUs; other agencies can be involved – like TESDAcan be involved – like TESDA

On the DEMAND sideOn the DEMAND side … …

Put more innovation on the WAP Put more innovation on the WAP Revitalize and strengthen WYCRevitalize and strengthen WYC Integration of education and Integration of education and

employment planning; a solution employment planning; a solution to mismatchto mismatch

Implementation of common Implementation of common competency framework and competency framework and standards across industriesstandards across industries

On the SUPPLY sideOn the SUPPLY side … …

Capability bldg for LGUs - database, Capability bldg for LGUs - database, gather statistics at all levels; actual gather statistics at all levels; actual training of LGUs on youth employment training of LGUs on youth employment planning – DILG/DOLEplanning – DILG/DOLE

Localization and broadening of access of Localization and broadening of access of youth to LMI, career and employment youth to LMI, career and employment guidance, referrals, all components guidance, referrals, all components under improving labor marketunder improving labor market

Integrated Youth Employment & Integrated Youth Employment & Development Program – under one Development Program – under one holistic program – various programs, holistic program – various programs, retooling, etc, runs the whole gamut retooling, etc, runs the whole gamut from formation of youth to employmentfrom formation of youth to employment

On the INSTITUTIONAL sideOn the INSTITUTIONAL side ……

VISION:Productive and Competitive Youth by 2010

Philippine Program for Youth Development and Employment (Priority: Disadvantaged Youth Aged 15-24 years old)Philippine Program for Youth Development and Employment (Priority: Disadvantaged Youth Aged 15-24 years old)

Increased Self-worth,Increased Self-worth,Disciplined, Disciplined, Responsible YouthResponsible Youth

Increased Employability,Increased Employability,Mobility & CompetencyMobility & Competency

Reduced Mismatch Reduced Mismatch of Youth Skills of Youth Skills Supply & DemandSupply & Demand

Increased Youth Engaged inIncreased Youth Engaged inProfitable & SustainableProfitable & SustainableEnterprisesEnterprises

ValueValueFormation,Formation,Education Education &&TrainingTraining

CareerCareerPlanningPlanning

EmploymentEmploymentFacilitationFacilitation

YouthYouthEntrepreneurshipEntrepreneurship& Employment& EmploymentCreationCreation

Policy Management &Policy Management &Institutional Capacity Institutional Capacity Building/ Development & Building/ Development & CoordinationCoordinationof the Strategies; LGU-ledof the Strategies; LGU-ledConvergenceConvergence

• Value for WorkValue for Work• Discovery of the Discovery of the World of Work World of Work (WOW)(WOW)• KasHKasH• WAPWAP• Dual TrainingDual Training Program/Tec-VocProgram/Tec-Voc• OFW Kids Value OFW Kids Value Re-Orientation/Family Re-Orientation/Family WelfareWelfare• Skills Training,Skills Training, Assessment &Assessment & AccreditationAccreditation• Adolescent Health Adolescent Health EducationEducation• Alternative LearningAlternative Learning SystemSystem• Ladderized ProgramLadderized Program• PGMA Training forPGMA Training for Work ScholarshipWork Scholarship

• Career Career Guidance BlitzGuidance Blitz• Training on Training on Guidance &Guidance & Counseling Counseling SkillsSkills• Y-4 ProfileY-4 Profile• TW School TW School ProgramProgram• NCA ExamNCA Exam• Accreditation Accreditation of Guidance of Guidance CounselorsCounselors

• Broadening Broadening Access to Access to LMILMI• SPESSPES• PEOsPEOs• PESO LMIPESO LMI• EmploymentEmployment KiosksKiosks

• Revitalized WYCRevitalized WYC ( One-stopOne-stop Centers & the Centers & the LGU, Indigenous LGU, Indigenous Youth)Youth)• SEA-KSEA-K• LGU Youth CentersLGU Youth Centers• Farm Youth Farm Youth Development Development ProgramProgram• 4 H-Club4 H-Club• WorktrepWorktrep• OSY- OWY OSY- OWY EmergencyEmergency Employment – kkkEmployment – kkk• Youth Salaam Youth Salaam CorpsCorps

• Inter-agency Review/Inter-agency Review/ Development of CurriculumDevelopment of Curriculum• IAC on Youth DevelopmentIAC on Youth Development & Employment/Youth& Employment/Youth Participation/RepresentationParticipation/Representation• Policy Review/Development Policy Review/Development on Allowable Work foron Allowable Work for 15 to < 1815 to < 18• Better Remittance Better Remittance Management Management PolicyPolicy• Investment Policy Investment Policy ManagementManagement• LYDC-LYDPLYDC-LYDP• Skills RegistrySkills Registry• Integrated Philippine Integrated Philippine Occupational Demand & Occupational Demand & Supply Information System Supply Information System (i-PODS)(i-PODS)

StrategicStrategicGoalsGoals

Programs/Programs/ProjectsProjects

StrategicStrategicActionsActions

THANK YOU!THANK YOU!

PRESENT LABOR MARKET CONDITIONS THE NEED FOR A MORE RESPONSIVE YOUTH DEVELOPMENT AND EMPLOYMENT...

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