Where are the jobs?

WONDER no more why we have a high unemployment rate: The government does not have a comprehensive industry plan that will cover all sectors and address the lack of jobs. Both the government think tank Philippine Institute for Development Studies (PIDS) and the World Bank (WB) pointed this out last week, saying that a comprehensive road map would complement sound government policies, such as competitive exchange rates. The PIDS cited the need for structural transformation that would include a shift to high value-added activities and enhanced participation in regional production networks. The WB, on the other hand, asserted that transforming the Philippine economy and creating more and better jobs would require policy reforms supported by the government, business and labor. These reforms should include secure property ownership; fair competition; more investments in health, education and infrastructure; and clear regulations to reduce the cost of doing business in the country. The WB also wants businesses to recognize freedom of association, while the labor sector should recognize valid flexible contracts and temper calls for minimum-wage hikes to facilitate job creation. These are sound suggestions, from where we sit, considering that we have a high unemployment rate and poverty levels remain beyond tolerable levels. Data from the National Statistics Office show that 3 million Fiipinos are unemployed as of July, while 7.34 million are underemployed. Poverty incidence in the Philippines, as reported by the National Statistical Coordination Board, was estimated at 27.9 percent in the first semester of 2012.