STUDY GUIDE

Definition of Terms
Unemployment

Unemployment is defined as a situation where someone of working

age is not able to get a job but would like to be in full time
employment.

Job Security

an assurance that an individual will keep his or her job without the
risk of becoming unemployed. S/he will have continuity in
employment and it may be from the terms of a contract of
employment, collective bargaining agreement, or labor legislation
that prevents arbitrary termination.

Lack of job security refers to a situation where a person with a job

would have a high chance of becoming unemployed.

Underemployed

Includes those workers that are highly skilled but working in low
paying jobs, and part-time workers that would prefer to be full-time.

Labor Flexibility

a situation where an employee can have one or more job

Job applicants browse newspapers for job vacancies as they queue up at a job fair
in Manila in this file photo. Despite the respectably high economic growth rate
that the country registered in the second quarter of 2012, the Philippines has the
worst unemployment rate in Southeast Asia.

Unemployment trends
At the beginning of 2000, above 20 million persons were unemployed in the EU-28,
corresponding to 9.2 % of the total labour force. In the second quarter of 2001 the
number of unemployment persons had dropped to 19.6 million and the unemployment
rate to 8.7 %.
A long period of increasing unemployment followed. At the end of 2004 the number of
jobseekers available for work reached 21.1 million, while the unemployment rate was
9.2 %.
Historically, women have been more affected by unemployment than men.

Claire D./Take note/

The unemployment rate in the Philippines continued to decline in

October

this year as more Filipinos found jobs amid the countrys strong economic
growth, data from the Philippine Statistics Authority (PSA) showed.

For October 2015, the number of unemployed Filipinos dropped to 5.6

percent, better than the six percent incurred last year and the 6.5 percent
registered last July, PSA data revealed.

As of October, there were around 39.8 million employed in the Philippines,

slightly higher compared with 39.2 million in July this year.

Workers in the services sector comprised the largest proportion of the

population who are employed, accounting for 54.5 percent of the total,
followed by agriculture sector at 29.6 percent. (nasa slideshow na
ito)

Meanwhile, employment in the industry sector, on the other hand, made up

the smallest group registering 15.9 percent of the total employed.

In the whole country, Ilocos region (91.5 percent), CALABARZON (92.2

percent), and Metro Manila (92.8 percent) had employment rates lower than
the national figure.
Read more at http://www.mb.com.ph/unemployment-rate-drops-anew-inoct/#W5DhkG8PPY8E3Wqz.99

Among the occupation groups, the laborers and unskilled workers

remained the largest group making up 31.5 percent of the total
employed in October 2015.
Officials of the government and special interest organizations, corporate
executives, managers, and managing proprietors, meanwhile, accounted for
15.7 percent of the total employed, which comprised the second largest
occupation group.
Employment in service workers and shop/market sales, meanwhile, stood at
12.9 percent, while farmers, forestry workers and fishermen accounted for
about 13.5 percent.
Based on global standards, a person is considered employed if he or she
worked at least an hour in the past week.
Meanwhile, the underemployment rate, the number of workers
that are highly skilled but working in low paying jobs, fell to 17.7 percent
from over 18 percent from a year earlier.
By sector, 42.3 percent of the underemployed worked in the services sector,
while 40 percent were in the agriculture sector. Those in the industry sector
accounted for 17.8 percent.
There were about 7.02 million underemployed Filipinos
in October this year(October 2015) lower compered with 8.22 million last
July. And Close to 60 percent of the underemployed worked for less than 40
hours a week.
According to PSA, 63.4 percent of unemployed persons in the Philippines
were males.

Of the total unemployed, the age group 15 to 24 years comprised 48

percent, while the age group 25 to 34, 32.1 percent.
By educational attainment, 22.6 percent of the unemployed were college
graduates, 13.3 percent were college undergraduates, and 33.3 percent were
high school graduates.
Read more at http://www.mb.com.ph/unemployment-rate-drops-anew-inoct/#W5DhkG8PPY8E3Wqz.99

JOB SECURITY (gab)

Job Security is an assurance that an individual will keep his or her job
without the risk of becoming unemployed. S/he will have continuity in
employment and it may be from the terms of a contract of
employment, collective bargaining agreement, or labor legislation that
prevents arbitrary termination. Lack of job security refers to a situation
where a person with a job would have a high chance of becoming
unemployed.

Job security may depend on economy, prevailing business conditions,

and the individual's personal capacity. Employees have more job
security in times of economic expansion and less in times of a
recession. Normally, government jobs and jobs in education, healthcare
and law enforcement are considered very secure. Private sector jobs
are generally believed to offer lower job security.

Because of capitalist system and minimal government intervention in

businesses, job security in the U.S. depends more upon the economy
and business conditions. Job security in the U.S.vary a lot since the
supply and demand for jobs depends on the economy. Job security
increases
if
the
economy
is
good.

Voluntary Unemployment.

This occurs when workers choose not

to take a job at the going wage rate.
For example, if benefits offer a similar

take home page to wage tax, the

unemployed may feel there is no
incentive to take a job.

Frictional unemployment

This occurs when workers are in

between jobs e.g. school leavers take
time to find work. There is always
likely to be some frictional
unemployment in an economy as
people take time to find a job suited to
their skills.

Seasonal Unemployment

In certain regions, unemployment

may be seasonal e.g. unemployment
rises in winter when there are no
tourists.

Disguised / Hidden unemployment

Often unemployment statistics dont

include certain types of workers. For
example, those put on incapacity
benefit may not be counted as
unemployed, but, it may really be a
type of structural unemployment.

Causes of Unemployment
Unemployment is caused when someone is laid off, fired or quits -- and continues to look for a
job. This type of natural unemployment always occurs, even in a healthy economy.
For example, some of the unemployed might have saved enough money so they can quit unfulfilling
jobs, and have the luxury to search until they find just the right opportunities. Another cause is when
workers must move for unrelated reasons before they can start searching for new jobs.
Another healthy cause of unemployment are new entrants, such as students who graduate from high
school, college or any higher degree, have higher skills than if they didn't go to school.
Reentrants are job seekers who had to stop looking for work. These include mothers who are
rejoining the workforce after their children are old enough. Other reentrants might have gotten
married and set up the household while their spouse worked. Later in life, reentrants had to care for
elderly relatives before returning to the labor force.

If someone gives up looking for work,on the other hand, they are not counted
as unemployed by the Federal government. If someone retires, goes back to
school or leaves the work force to take care of children or other family
members, that is not unemployment if they no longer look for work, even if
they would prefer a job.

Not All Causes of Joblessness Create Unemployment ( dom)

http://useconomy.about.com/od/Unemployment/fl/Causes-ofUnemployment.htm

The natural rate of unemployment is the unemployment

rate when the economy is producing at its full
potential output. This natural rate is positve, rather than
zero, due to frictional and structural unemployment.

Frictional unemployment is caused by an inability for

workers and employers to find each other immediately.
Structural unemployment is caused by mismatches
between the skills offered by potential employees and
those sought by employers.
Cyclical unemployment occurs whenever the economy
is not operating at its full, long-term potential. During low
periods in the business cycle, firms demand fewer workers
and the result is an unemployment level above the
natural rate.