The Center for Trade Union and Human Rights (CTUHR) is dismayed by the admission of a Labor Department official that the country’s definition of an employed person is someone who worked for one hour in a week. We in the labor NGO believe that this definition is harmful to the labor and human rights of Filipinos.

We are alarmed by Department of Labor and Employment Undersecretary Carmela Torres’ statement before the September 5 Senate hearing on the agency’s proposed 2025 budget about the country’s standard for considering a person employed. The fact that the definition comes from the International Labour Organization or ILO itself does not make it compatible with workers’ rights.

The reality in the Philippines is that one hour of employment does not amount to decent work. The DOLE’s definition means that the country’s 95.3% employment rate in July, which already represents a decrease from 96.9% in June, still hides a higher percentage of real unemployment and underemployment.

The unemployment rate of 4.7% and the underemployment rate of 12.1%, both in July, already exclude Filipinos who are not looking for jobs as they have been demoralized by the job market. The DOLE’s definition of employed persons means that these figures should even be higher.

Working for one hour will get a worker nowhere. It means that a worker who receives the PhP 645 minimum wage in Metro Manila, the highest in the country, will only receive around PhP 80. This amount will not meet a worker’s daily needs or his or her family’s daily needs.
 
The very low standard for considering a person employed creates the false impression that the employment situation in the country is rosy. Ultimately, it does not help, and even distracts, the government from upholding Filipinos’ right to just and favorable conditions of work, which is stated in the Universal Declaration of Human Rights.

Because the standard for considering a person as employed is very low, many Filipinos become considered as employed. Because many Filipinos are already considered employed, the government can continue refusing to take decisive action to create decent jobs in the country by improving manufacturing and agriculture.

Latest data from the Philippine Statistics Authority (PSA) shows that manufacturing continues to employ a small section of the population compared to other sectors of the economy. This is bad for the country’s growth, as all countries that have developed invested heavily in their manufacturing sectors.

According to the PSA, the following is the breakdown of workers per sector of the economy:

— Wholesale and retail trade, repair of motor vehicles and motorcycles – 1.7 million
— Agriculture and forestry – 936,000
— Accommodation and food service activities – 512,000
— Public administration and defense, compulsory social security – 385,000
— Construction – 171,000
— Manufacturing – 154,000
— Professional, scientific, and technical activities – 100,000

We are calling on the DOLE and the government to immediately review the definition and come up with a new one that is more realistic for Filipinos, and more compatible with Filipinos’ labor and human rights. The government should not delude itself and try to delude the public about the real employment situation in the country.