Philippines (the) flag Philippines (the): Operating a Business in the Philippines

Work conditions in the Philippines

The Active Population in Figures

201820192020
Labour Force 43,868,08745,122,82743,719,193

Source: International Labour Organization, ILOSTAT database

 
201720182019
Total activity rate 61.87%61.77%62.30%
Men activity rate 76.12%75.38%75.24%
Women activity rate 47.39%47.94%49.13%

Source: International Labour Organization, ILOSTAT database

 
Employed Persons, by Occupation (% of Total Labour Force) 2015
Agriculture, forestry and fishing 29.2%
Wholesale and retail trade; repair of motor vehicles and motorcycles 18.9%
Manufacturing 8.3%
Transportation and storage 7.2%
Construction 7.0%
Public administration and defence; compulsory social security 5.4%
Accommodation and food service activities 4.4%
Education 3.3%
Administrative and support service activities 2.9%
Financial and insurance activities 1.3%
Human health and social work activities 1.3%
Information and communication 1.0%
Arts, entertainment and recreation 0.9%
Mining and quarrying 0.6%
Professional, scientific and technical activities 0.5%
Real estate activities 0.5%
Electricity, gas, steam and air conditioning supply 0.2%
Water supply; sewerage, waste management and remediation activities 0.1%
 
For Further Statistics
Philippine Labor Market Information.
For Further Information About the Labour Market
Department of Labor and Employment

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Working Conditions

Legal Weekly Duration
8 hours/day, 40 or 48 hours/week.
Retirement Age
60
Working Contracts
Employment contracts are regulated by legal clauses and to a lesser degree by collective agreements and individual negotiations.
The terms of employment contracts are extremely rigid.
Labour Laws
Consult Doing Business Website, to obtain a summary of the labor regulations that apply to local entreprises.

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Cost of Labour

Minimum Wage
The minimum wage varies according to the type of activity. The full list from the National Wages and Productivity Commission can be consulted here.
Average Wage
Gross average monthly wage: PHP 8,990 (source: ILO, 2016, lastest available data).
Social Contributions
Social Security Contributions Paid By Employers: Employers’ maximum contribution for each employee is PHP 1,600 per month for Social Security System (SSS), varying according to the income class of the employee.
For Home Development Mutual Fund (HDMF) and Philippine Health Corporation (PHIC), the maximum monthly deductions are PHP 100 and PHP 550, respectively.
Social Security Contributions Paid By Employees: 4.13% for old age-invalidity insurance and 1.25% for health-maternity insurance.

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Social Partners

Social Dialogue and Involvement of Social Partners
The two main groups of trade unions are TUCP and FFW. They are affiliated to the international Confederation of Free Trade Unions (ICFTU) and to the Worldwide Confederation of Labor ( WCL).
In 2012, there were 135 registered labor federations and 16,647 private sector unions. The 1.38 million union members represented approximately 3.4 percent of the total workforce of 40.4 million. Mainstream union federations typically enjoy good working relationships with employers.
Unions
Federation of Free Workers
Kilusang Mayo Uno
Unionisation Rate
3,4 % of workers are unionized.
Labour Regulation Bodies
Bureau of Labor and Employment Statistics (BLES)
Department of Labor and Employment

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Latest Update: June 2022

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