Faced with high unemployment and underemployment rates of educated workers, there is an ongoing debate on whether better matching can be achieved by education planning.

Dr. Aniceto Orbeta, senior research fellow at the Philippine Institute for Development Studies (PIDS), said education planning is commonly justified by the high unemployment rates of educated workers. The unemployment rates, he pointed out, are taken as an indication of the mismatch between what is produced by the education sector and what is needed by the labor market.


Dr. Orbeta`s study on Education, Labor Market and Development noted a drastic decline in the proportion of college graduates in the professional and technical category and a rise in the proportion in sales, service, agriculture and production occupations.

"Thus, overall quality of jobs held by college graduates has deteriorated. There is not much shift in the proportion of college graduates in employment across industries. Among the discernable movements are increases in proportion in manufacturing, finance, insurance and real estate, and wholesale and retail trade sectors.Community and personal services, however, are the heavy losers of college graduates. Likewise, there is a decline in proportion of college graduates among the wage and salary workers, particularly government agencies and corporations, and a rise among self-employed workers, Orbeta explained.


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