Unemployment likely to drop in Q4 as holidays approach, economist says

MORE employment and livelihood opportunities are likely to open leading to the holidays that would help contribute to the decrease of the country’s unemployment rate, an economist said on Saturday.

Rizal Commercial Banking Corporation (RCBC) Chief Economist Michael Ricafort said that there is an expected surge of spending in preparation leading to the holidays, together with high demands for supplies and services that would open up more job opportunities locally.

“Iyong unemployment rate, puwede pa pong bumaba iyan kasi October, November, December … dadami po iyong hiring ‘no, iyong mga employment opportunity, job opportunities, livelihood opportunities towards the holiday season,” he said in a news forum in Quezon City.

In recent report by the Philippine Statistics Authority (PSA), the country’s unemployment rate increased to 4.5 percent in September from 4.4 percent in August this year.

Ricafort added that accommodation and food industries would be one of those that will feel the holiday demands in the coming days.

“Iyong 4.5 na iyan, puwede iyan bumaba pa papalapit doon sa 4%. Kasi iyong pinakamababa sa unemployment rate, 4.2% in November of last year kasi iyon na po ‘yung pinakamababa noong nagsimula iyong pandemya,” he said.

‘Kahit may pick-up iyan sa 4.5%, that is still among the lowest unemployment rate since the pandemic started,” he added.