House Ways and Means Chair Joey Sarte Salceda pushes for a fiscal expansion in spite of the reported decrease in the unemployment rate.
According to the quarterly Labor Force Survey (LFS) of the Philippine Statistics Authority (PSA), there has been a drastic reduction in the unemployment rate in the country. From the previous quarter’s 17.3%, it has dropped to 8.7%.
The government is gradually reopening the economy by implementing more relaxed restrictions one at a time. Despite this sign of economic recovery, Salceda pointed out that there is still a need to address the underemployment rate which currently stands at 14.4%.
“I take it as a signal that as soon as we get the vaccine and return to the previous normal, we will recover to around 5-6% unemployment. I am still alarmed at underemployment, which stands at 14.4%. Much of that is just Filipino inventiveness―online selling, and other new cottage industries. They will not be enough to pay the rent and the bills,” he said.
He added, “For many families, underemployment at this level just means their noses are above water, but they’re not yet in a safe, dry place economically. And, of course, underemployment has little to do with actual income. You know, in the informal economy, you don’t always earn enough or at all.”
To cope with these issues, Salceda recommends the one final round of stimulus measures.
“As a representative of a typhoon-ravaged province, I will tell you, we need urgent help. Our LGUs fiscal reserves are exhausted. We can no longer wait for 2021,” Salceda appealed. “The House will move quickly with the stimulus measures. There is consensus in both the majority and the minority that our people should get the help they need.”
The core stimulus proposals include the vaccine rollout, rental assistance, typhoon relief, local government support, and unemployment assistance.
Salceda stressed that while these can be compromised with their counterparts in the Senate, he refuses to miss anything in the core measures.
Salceda’s House Bill No. 8059, or the Bayanihan to Rebuild as One Act, was among the pending proposals that was reviewed at the House of Representatives this week.
Photo Credit: Joey Salceda
