Workers’ Earnings in the Philippines: Comparing Self-Employment with Wage Employment

Analysis of labor force survey (LFS) data since the early 1990s reveals several important changes in the structure of the Philippine labor force. One is the movement from self-employment to wage employment across a wide range of production sectors. To evaluate this change in terms of workers’ earnin...

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Main Authors: Rana Hasan, Karl Robert L. Jandoc
Format: Article
Language:English
Published: World Scientific Publishing 2010-06-01
Series:Asian Development Review
Online Access:https://www.worldscientific.com/doi/10.1142/S0116110510000023
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author Rana Hasan
Karl Robert L. Jandoc
author_facet Rana Hasan
Karl Robert L. Jandoc
author_sort Rana Hasan
collection DOAJ
description Analysis of labor force survey (LFS) data since the early 1990s reveals several important changes in the structure of the Philippine labor force. One is the movement from self-employment to wage employment across a wide range of production sectors. To evaluate this change in terms of workers’ earnings, we combine information on household incomes from the Family Income and Expenditure Survey with information on household members’ employment-related activities from the LFS. We also examine broad structural trends for employment, wages, and earnings. The findings indicate high variance in the earnings of the self-employed and their earnings and educational profiles resemble those of casual wage employees. Both are surpassed by those of permanent wage employees even when observable worker characteristics are controlled for. As self-employment gives way to wage employment, especially casual wage employment in the services sector, the key policy challenge is tackling the slow growth of wages and earnings.
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spelling doaj.art-bf287196edc5443faec3359ace1173842023-06-28T10:21:07ZengWorld Scientific PublishingAsian Development Review0116-11051996-72412010-06-012701437910.1142/S0116110510000023Workers’ Earnings in the Philippines: Comparing Self-Employment with Wage EmploymentRana HasanKarl Robert L. JandocAnalysis of labor force survey (LFS) data since the early 1990s reveals several important changes in the structure of the Philippine labor force. One is the movement from self-employment to wage employment across a wide range of production sectors. To evaluate this change in terms of workers’ earnings, we combine information on household incomes from the Family Income and Expenditure Survey with information on household members’ employment-related activities from the LFS. We also examine broad structural trends for employment, wages, and earnings. The findings indicate high variance in the earnings of the self-employed and their earnings and educational profiles resemble those of casual wage employees. Both are surpassed by those of permanent wage employees even when observable worker characteristics are controlled for. As self-employment gives way to wage employment, especially casual wage employment in the services sector, the key policy challenge is tackling the slow growth of wages and earnings.https://www.worldscientific.com/doi/10.1142/S0116110510000023
spellingShingle Rana Hasan
Karl Robert L. Jandoc
Workers’ Earnings in the Philippines: Comparing Self-Employment with Wage Employment
Asian Development Review
title Workers’ Earnings in the Philippines: Comparing Self-Employment with Wage Employment
title_full Workers’ Earnings in the Philippines: Comparing Self-Employment with Wage Employment
title_fullStr Workers’ Earnings in the Philippines: Comparing Self-Employment with Wage Employment
title_full_unstemmed Workers’ Earnings in the Philippines: Comparing Self-Employment with Wage Employment
title_short Workers’ Earnings in the Philippines: Comparing Self-Employment with Wage Employment
title_sort workers earnings in the philippines comparing self employment with wage employment
url https://www.worldscientific.com/doi/10.1142/S0116110510000023
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AT karlrobertljandoc workersearningsinthephilippinescomparingselfemploymentwithwageemployment