As long as the government speeds up implementation of recovery program for the economy, unemployment in the country is unlikely to see further “spike,” Acting Socioeconomic Planning Secretary Karl Chua said.
Unemployment could go back to 4 to 5 percent by 2022 in anticipation of a COVID-19 vaccine next year, more jobs generated as the economy further reopens and with the implementation of government’s recovery program, Chua said during a briefing with the country’s economic managers reacting to the July unemployment data.
Some 2.4 to 2.8 million jobs are expected to be generated by 2021 if the economy continues to improve. Anticipated jobs next year could bring the jobless rate to 6 percent to 8 percent, he added.
Unemployment in July 2020 is at 10 percent, or 4.6 million jobless Filipinos, higher compared to 5.4 percent in July 2019 but an improvement from the 17.7 percent in April this year, government data showed.
“We are unlikely to see any spikes so long as we all cooperate and so long as government implements in an accelerated manner the recovery program,” Chua said.
“If we are able to see a significant return of jobs..if we continue the level of the quarantine or improve upon it in the coming months, then we can see the improvements as we go through the remaining months of the year,” he added.
Congress has recently passed the Bayanihan to Recover as One Act or Bayanihan 2, which focuses on the stimulus package to prop up the country’s economy.