HUMAN RESOURCES DEVELOPMENT IN THE PHILIPPINES Prof. Jorge V. Sibal UP Diliman, Quezon City [email protected] April 2004

HUMAN RESOURCES DEVELOPMENT IN THE PHILIPPINES

Prof. Jorge V. SibalUP Diliman, Quezon City< [email protected] >

April 2004

The National HRD Program of the Philippines

• The Philippines enjoys a comparative advantage in HRD.

• It has always given top priority to education.


Compared with other countries in Asia and the Pacific, the Philippines fares well in providing budgets for education as well as in enrolment in tertiary education.


• 2001 APEC survey of 81 MNCs cited in a Philippine country paper (Tesda, 2003) concluded that the • “large pool of educated, English-

speaking and highly trainable manpower continued to be the driving force in attracting foreign capital to the country.”

The National HRD Program of the The National HRD Program of the PhilippinesPhilippines

Despite the favorable HRD efforts of the government the country still suffers skills shortages especially in the managerial, professional and technical knowledge workers.

The National HRD Program of The National HRD Program of the Philippinesthe Philippines

According to TESDA, this is caused by the faulty educational system, the policy of encouraging labor export and the continuing technical changes happening in the country.

S&T and R&DS&T and R&D

The Philippines needs a lot of improvement in science and technology (S&T) and in research and development (R&D).


Dr. Roger Posadas (2000) assessed that the overall condition of S&T as well as R&D in the country has remained “weak and substandard”.


Posadas cited the ff. indicators:

1.number of R&D scientists and engineers in the Philippines only 155 per million which is less than half of the 1980 UN target of 380 for less developed nations.


Among the lowest in the ASEAN, the figures in NICs like South Korea and Taiwan range from 1,000 to 2,000, and in highly developed countries, 2,000 to 4,000.

S&T and R&DS&T and R&D2. The budget allocated for R&D

a. one of the lowest in the Asia Pacific region at a per capita of 68 cents in 1984.

b. As a percentage of GDP, the country’s R&D expenditure is only 0.22% in 1992 which is below the 1980 UN target of 1% for less developed countries.


a. NICs usually spend 1-1.8% of GDP, and developed countries, 2-3%. R&D done by private sector is likewise low at 23.6% contribution to R&D expenses compared 50-80% in developed countries and NICs.


3. In terms of inventions, the country fared better.

a. The total number of patents in the Philippines awarded from 1983-1984 in either the USA or the European market is 52.


This is more than that of Indonesia (37) and Thailand (33), but less than that of Malaysia (66), Singapore (213), New Zealand (566), South Korea (3,036), Australia (4,701) and Japan (204,597).

ICT InfrastructureICT Infrastructure

The Philippines still needs to The Philippines still needs to improve its infrastructure for improve its infrastructure for

information and information and communication technology communication technology

(ICT).(ICT).


The Philippines still needs to The Philippines still needs to improve its infrastructure for improve its infrastructure for information and information and communication technology communication technology (ICT).(ICT).


With perhaps the exception of With perhaps the exception of cellular phone subscribers at cellular phone subscribers at more than 6.3 million for a more than 6.3 million for a penetration rate of almost 15% penetration rate of almost 15% and a very high per capita text and a very high per capita text messages, almost all other messages, almost all other indicators pale in comparison indicators pale in comparison with other countrieswith other countries..


The number of personal The number of personal computers (PCs) installed in the computers (PCs) installed in the Philippines as of 2002 reached Philippines as of 2002 reached 1.37 million or barely 2%1.37 million or barely 2% of of the total population. the total population. (International Data Corporation (International Data Corporation as cited by TESDA, 2003).as cited by TESDA, 2003).


Internet penetration is also low at Internet penetration is also low at 2.0%2.0% of population which is of population which is surpassed by neighboring countries surpassed by neighboring countries like Singapore at like Singapore at 24.9%,24.9%, Malaysia at Malaysia at 15.815.8%, Thailand at %, Thailand at 3.8%,3.8%, Taiwan, Taiwan, and Hong Kong.and Hong Kong.

The country however fared better The country however fared better than Indonesia at 0.9%, Vietnam at than Indonesia at 0.9%, Vietnam at 0.3% and Laos and Cambodia at 0.1% 0.3% and Laos and Cambodia at 0.1% penetration rates. penetration rates.


Internet access are mostly in the Internet access are mostly in the urban areasurban areas

Records of the National Records of the National Telecommunications Commission Telecommunications Commission (NTC) showed that only around (NTC) showed that only around 50% of all municipalities in the 50% of all municipalities in the country have internet access.country have internet access.


The reasons cited for low internet The reasons cited for low internet access are-access are- high cost of PCshigh cost of PCs high internet access rateshigh internet access rates lack of telephone lines (9 lines lack of telephone lines (9 lines

per 100 persons)per 100 persons) and unstable or lack of and unstable or lack of

electricity.electricity.


Despite the lack of ICT facilities and Despite the lack of ICT facilities and infrastructure, Filipino ICT workers infrastructure, Filipino ICT workers are among the best in the world. are among the best in the world.

According to the Far Eastern According to the Far Eastern Economic Review in 1999, the Economic Review in 1999, the Philippines ranked second to India in Philippines ranked second to India in terms of quality, cost and availability terms of quality, cost and availability of skilled IT workers in Asia. of skilled IT workers in Asia.


The country is reputed to have The country is reputed to have the “largest pool of English-the “largest pool of English-speaking IT professionals in the speaking IT professionals in the world” (Cabacungan, 2001). world” (Cabacungan, 2001).

Unofficially also, the Philippines Unofficially also, the Philippines has the best and the most has the best and the most number of skilled text senders in number of skilled text senders in the world.the world.

Institutions Spearheading the transition Institutions Spearheading the transition to Knowledge-based Economyto Knowledge-based Economy

GovernmentGovernmenta.a.Department of Education (DepEd)Department of Education (DepEd)b.b.Commission on Higher Education Commission on Higher Education

(CHED)(CHED)c.c.State Universities and Colleges State Universities and Colleges

(SUCs)(SUCs)d.d.Technical Education and Skills Technical Education and Skills

Development Authority (TESDA) Development Authority (TESDA)

Government Responses to HRD Government Responses to HRD ProblemsProblems

The Philippine Constitution recognizes the The Philippine Constitution recognizes the importance of HRD. Among the recent importance of HRD. Among the recent laws passed to strengthen HRD in the laws passed to strengthen HRD in the country are: RA 7796, the TESDA Act; RA country are: RA 7796, the TESDA Act; RA 7786, the Dual Training System Act of 7786, the Dual Training System Act of 1994; RA 7722, the Law Creating the 1994; RA 7722, the Law Creating the Commission on Higher Education in 1994; Commission on Higher Education in 1994; RA 8439, the Magna Carta for Government RA 8439, the Magna Carta for Government S&T Workers; RA 8972, the Higher S&T Workers; RA 8972, the Higher Education Modernization Act of 1997; and Education Modernization Act of 1997; and RA 8792, the E-Commerce Law.RA 8792, the E-Commerce Law.

Private Sector and Civil Society’s Private Sector and Civil Society’s Reponses to HRD DevelopmentReponses to HRD Development

Private Educational Institutions under the DepEdPrivate Educational Institutions under the DepEd Private Universities and Colleges under the CHEDPrivate Universities and Colleges under the CHED Technical Educational Institutions under the Technical Educational Institutions under the

TESDATESDA Associations of Educational Institutions- Associations of Educational Institutions-

Association of Christian School and Colleges Association of Christian School and Colleges (ACSC), Catholic Educators Association of the (ACSC), Catholic Educators Association of the Philippines (CEAP), Philippine Association of Philippines (CEAP), Philippine Association of Colleges and Universities (PACU), Philippine Colleges and Universities (PACU), Philippine Association of Private Schools, Colleges and Association of Private Schools, Colleges and Universities (PAPSCU), Philippine Association of Universities (PAPSCU), Philippine Association of State Universities and Colleges (PASUC), and the State Universities and Colleges (PASUC), and the Association of Private Technical Institutions Association of Private Technical Institutions (PAPTI). (PAPTI).


Private Training Institutions of Companies Private Training Institutions of Companies like Meralco Foundation, etc.like Meralco Foundation, etc.

Training Institutes of NGOs, Cooperatives, Training Institutes of NGOs, Cooperatives, Trade Union federations, religious Trade Union federations, religious congregations, etc.congregations, etc.

Information Technology and E-commerce Information Technology and E-commerce Council (ITECC)Council (ITECC)

Philippine Internet Commerce Society Philippine Internet Commerce Society (PICS)(PICS)

Information Technology Association of the Information Technology Association of the PhilippinesPhilippines


Phil. manufacturing firms spent more Phil. manufacturing firms spent more on training compared to Malaysia but on training compared to Malaysia but lower compared to Indonesia, lower compared to Indonesia, Singapore, Taiwan and Thailand. In Singapore, Taiwan and Thailand. In the services sector, Phil. training the services sector, Phil. training expenses were lesser compared to expenses were lesser compared to Singapore, Taiwan and Thailand, but Singapore, Taiwan and Thailand, but more expensive compared to more expensive compared to Malaysia and Indonesia. -2001 study Malaysia and Indonesia. -2001 study of APEC among MNCs (TESDA, 2003)of APEC among MNCs (TESDA, 2003)


The MNCs indicated that the skills of The MNCs indicated that the skills of their workers that need to be their workers that need to be improved are in management and improved are in management and supervision, interpersonal and supervision, interpersonal and communication skills, planning and communication skills, planning and problem solving, use of technology, problem solving, use of technology, self-management, multi-skilling and self-management, multi-skilling and teamwork.teamwork.


There is now more direct link up There is now more direct link up between the industry and the between the industry and the academe. In-house training academe. In-house training programs of companies tied-up with programs of companies tied-up with TESDA are given tax exemption TESDA are given tax exemption privileges. Big business privileges. Big business conglomerates have been partnering conglomerates have been partnering or buying into private colleges and or buying into private colleges and universities.universities.


The professional practice of HRD The professional practice of HRD in private, state and even non-in private, state and even non-government enterprises, is the government enterprises, is the most effective form of capability most effective form of capability building for knowledge workers. building for knowledge workers.

It is mainly focused on It is mainly focused on managerial and technical skills managerial and technical skills requirements of the firm.requirements of the firm.


Its main tool is the Its main tool is the management development management development program (MDP)program (MDP) for the high- for the high-level knowledge workers, and level knowledge workers, and

skills and capability training skills and capability training and developmentand development for the lower for the lower end knowledge workers.end knowledge workers.


Personnel Management Association Personnel Management Association of the Philippines (PMAP) of the Philippines (PMAP)

Employers Confederation of the Employers Confederation of the Philippines (ECOP)Philippines (ECOP)

Management Association of the Management Association of the PhilippinesPhilippines

Philippine Industrial Relations Society Philippine Industrial Relations Society (P.I.R.S.)(P.I.R.S.)

Philippine Society for Quality (PSQ)Philippine Society for Quality (PSQ)


Philippine Society for Training and Philippine Society for Training and Development (PSTD)Development (PSTD)

Philippine Association of Labor-Philippine Association of Labor-Management Councils (PALMCO)Management Councils (PALMCO)

Philippine Association of Labor-Philippine Association of Labor-Management Cooperation Management Cooperation (Philamcop)(Philamcop)

National Academy for Voluntary National Academy for Voluntary Arbitrators (NAVA)Arbitrators (NAVA)

Training practices for knowledge Training practices for knowledge workersworkers

On-the-job training and dual-tech which On-the-job training and dual-tech which include learnership, apprenticeship, include learnership, apprenticeship, training on probation, etc.training on probation, etc.

Work laboratory or vestibule trainingWork laboratory or vestibule training Job RotationJob Rotation In-house training programs using local or In-house training programs using local or

outside trainers and resources personsoutside trainers and resources persons Participation in outside training programs, Participation in outside training programs,

local or abroadlocal or abroad

Training practices for knowledge Training practices for knowledge workersworkers

Use of task force organization set-upUse of task force organization set-up Understudies for key positionsUnderstudies for key positions Performance management systemPerformance management system Problem solving conferences with staff Problem solving conferences with staff

specialistsspecialists Management conferences within organizationManagement conferences within organization Management conferences involving various Management conferences involving various

organizationsorganizations University-based management development University-based management development

programs -- company-sponsored scholarship programs -- company-sponsored scholarship programsprograms

Participation in professional or trade Participation in professional or trade organizations.organizations.

Thank YouThank You

Documents

HUMAN RESOURCES DEVELOPMENT IN THE PHILIPPINES Prof. Jorge V. Sibal UP Diliman, Quezon City [email protected] April 2004