Table of Contents
Page
Executive Summary
xiv
Introduction
A. Background of the Study
B. Methodology and Limitations
C. Objectives and Outline of the Study
D. Decent Work Framework of the ILO
E. Decent Work Concept: Work is More than Labor
F. Problem of Measurement
G. Soft Critique of Decent Work
H. Limitations of Existing Measures of Decent Work in Philippine Agriculture
1
1
2
3
4
4
4
6
7
Chapter 1: General Agricultural Situation in the Philippines
A. Background on the Philippine Agricultural Sector and Rural Areas
1. Geography and Climate
2. Land Resources
B. Agriculture in Philippine Society and Development
1. In General
2. Growth in Philippine Agriculture
3. Food Security and Employment
4. Agricultural Productivity
5. Trade in Agriculture and Competitiveness
6. Conclusions
C. General Farm Level Situation
1. Agricultural Land Utilization and Employment
2. Patterns of Farm Systems Development
D. Patterns of Family Income and Expenditures in the Rural Areas
1. Overall Situation
2. Situation in the Rural Areas
E. The Rural Workers: Bulk of the Rural Poor
1. General Definition of Rural Workers
2. Types of Rural Workers
3. How Many are They?
4. Rural Workers as a Poverty Group
F. Issues in Rural Poverty and Globalization
1. Poverty: Rural in Locus and Agriculture-Driven
2. Globalization
8
8
8
8
10
10
10
13
16
16
21
21
21
24
32
32
34
35
35
36
38
39
40
40
41
Chapter 2: Decent Work Deficit in Philippine Agriculture: How Decent is
Work in the Agricultural Sector?
A. Opportunities for Work: Access to Land, Employment and Income
1. Summary
2. Access to Land: Landless Rural Workers are Losers in Land Reform
3. Employment in Agriculture and Rural Areas
4. Income and Earnings in Agriculture: Not Enough to Rise Out of
Poverty
43
43
43
43
45
51
i
Page
B. Work in Conditions of Freedom: Working Conditions of Rural Workers and
Children
1. Labor Arrangements and Working Conditions of Rural Workers in
Selected Crops and Agricultural Industries
2. Unacceptable Work: Child Labor
C. Equity in Work: Unequal Treatment and Quite Balanced Work-Life
1. Summary
2. Overall Status of Women
3. Balancing Work and Family Responsibility
D. Productive Work: Access to Support Services for Better Yield and Prices
1. Summary
2. Access to Credit
3. Access to Infrastructure Support
4. Extension Services
E. Security and Stability at Work: Social Protection, Occupational Health and
Safety and Security of Tenure for Better Quality of Work and Life
1. Summary
2. Security of Tenure
3. Social Protection in the Philippines
4. Occupational Health and Safety
F. Dignity at Work: Promoting Social Dialogue for a Better Workplace
Relations
1. Summary
2. Industrial Relations in the Philippines
60
60
68
71
71
71
76
78
78
79
80
83
84
84
85
90
101
104
104
105
Chapter 3: Government Initiative and the Decent Work Agenda in
Philippine Agriculture
A. Summary
B. Government Initiatives Require Legal Foundation
C. Constitutional Provisions
1. On Labor
2. On Agrarian Reform and Rural Development
D. Laws and Policies
1. Pertaining to Labor
2. Pertaining to Agrarian Reform and Rural Development
E. Plans and Programs
1. Overall: The July 2001 SONA and the MTPDP 2001-2004
2. Assessment of Specific Plans Under the MTPDP as it Relates to
Decent Work
F. Other Key Issues Affecting the Government’s Ability to Deliver Services
1. Poor Implementation of Official Development Assistance (ODA)
2. Corruption and Waste
3. Shifting Paradigm in Political Economy: Enhancing Competitiveness
128
Chapter 4: The People’s Movements, NGOs and Decent Work in
Agriculture
A. Description of the Status of Trade Unions and Rural Workers
Organizations in the Agricultural Sector
1. The Legal Basis
165
128
128
129
129
133
133
133
136
141
141
146
158
158
161
163
148
150
ii
Page
2.
3.
4.
5.
6.
The Socio-Economic Framework
Organizational Framework and Structures
Recognition and Acquisition of Legitimate Personality
Popular Perceptions of Trade Unions
The Role of Trade Unions and Rural Workers’ Organizations in
Improving the Quality of Life of Rural Workers
B. The Contribution of the Cooperative Sector in the Promotion of Decent
Work
1. Nature and Role of Cooperatives
2. Status of the Philippine Cooperative Movement
3. Cooperatives and Decent Work
C. The Contribution of NGOs in the Promotion of Decent Work
1. Rationale for NGOs
2. A Profile of the Philippine NGO Sector
D. Trends in Promoting Decent Work: the Experiences of Peoples’
Movements, Cooperatives and NGOs
150
151
152
154
156
Chapter 5: ILO, Decent Work and the Philippines
A. “Deficits”
1. Non-Ratification
2. Inconsistencies
3. Weak Application
4. Action Programme for Decent Work: Philippines
B. Decent Work in the Context of Philippine Agriculture
1. ILO and Decent Work in Agriculture
C. Accomplishments
1. On Responses to Promote and Realize Standards and Fundamental
Principles and Rights at Work
2. On Responses to Create Greater Opportunities for Women and Men to
Secure Decent Employment
3. On Responses to Enhance the Coverage and Effectiveness of Social
Protection for All
4. On Responses to Strengthen Tripartism and Social Dialogue
5. The Integrated Responses
D. The Road Beyond
189
189
189
189
190
190
191
191
191
191
Chapter 6: Conclusions and Recommendations
196
References
203
Annexes
219
Tables
252
158
158
159
160
162
162
162
166
192
192
192
193
193
iii
List of Tables
Table
Table 1.1
Table 1.2
Table 1.3
Table 1.4
Table 1.5
Table 1.6
Table 1.7
Table 1.8
Table 1.9
Table 1.10
Table 1.11
Table 1.12
Table 1.13
Table 1.14
Table 1.15
Table 1.16
Table 1.17
Table 1.18
Table 1.19
Table 1.20
Table 1.21
Table 2.1
Table 2.2
A
Table 2.2
B
Table 2.3
Table 2.4
Table 2.5
Title
Page
Selected Statistics on Philippine Farms, 1960-1991
Urban and Rural Incidence of Poverty, 1991-2000 (In Percent)
Annual Growth Rates of Agricultural Production 1996-2001
Agricultural Growth in Selected Asian Countries
GVA in Agriculture at Current Prices
GVA in Agriculture at Constant Prices
Palay Yield, Philippines and Selected Asian Countries
Average 1989 - 91 & 1998-2000 (In MT/Hectare)
Yield losses (kg/ha) reported by farmers from household
survey, 1992-1994
Labor Productivity Indicators, 1993-1999 (In percent)
Share of selected Philippine agricultural export commodities
to world export trade, 1997- 2001(In Percent)
Coconut Yield, Philippines & Selected Asian countries
Average 1989-91 & 1998-2000 (In MT/Hectare)
Agricultural Crop Area
Labor Force and Employment Status in Agriculture, 19982001
Land Acquisition & Distribution by Land Type, by Region, by
Year (Hectares; 1986 - December 2002)
Employment in Crop Farms, 1969- 1973 (May series in
percent)
Sources and Average Levels of Annual Income (1975) per
H.A.Z. per Rural Household in Pesos (WesternVisayas)
Land Acquisition and Distribution, by Land Type, By Region,
By Year, (Hectares; 1972 - December 2002)
Average Farm Size and Landholding Distribution
Landless Rural Workers, 1990, 1995, 2000 (In ‘000)
Percent of Families by Income Class in Rural Area,
Agriculture and by Source of Income
Evolution of Poverty by Sector and Employment
Commercial Farm Deferment (CFD) As of July 1999
Employment of Specific Group of Workers, (in establishments
employing 10 or over), All Industries, 1992 to 1997
Table 2.2-B: Employment of Specific Group of Workers, (in
establishments employing 10 or over), Agriculture, Fishery
and Forestry, 1992 to 1997
Table 2.3: Average Weekly Hours Worked of Total Employed
at Work in Agriculture By Major Industry Group, By Major
Occupation Group, By Sex. 1998 - 2001 (Househld Data)
PALAY: Average mandays per hectare by source of labor, by
farm activity, by sex, Philippines, 2001
Number of Establishments Classified by the Size and by
Region: 2000
[Annex]
[Annex]
11
12
[Annex]
[Annex]
15
15
16
18
19
[Annex]
23
[Annex]
24
25
[Annex]
29
[Annex]
39
40
[Annex]
[Annex]
[Annex]
[Annex]
50
[Annex]
iv
Table
Table 2.6
Table 2.7
Table 2.8
Table 2.9
Table 2.10
Table 2.11
Table 2.12
Table 2.13
Table 2.14
Table 2.15
Table 2.16
Table 2.17
Table 2.18
Table 2.19
Table 2.21
Table 3.1
Table 3.2
Table 5.1
Table 5.2
Title
Page
Distribution of Employment by Size & by Industry: 2000
Average Cost and Returns of Palay Production by Farm Type,
Philippines (pesos per hectare) 2001p
Average Cost and Returns of Corn Production, by Variety,
Philippines, 2001 P (pesos per hectare)
How Much Does An Ordinary Farmer in Quezon Earn?
Nominal Minimum Wage Rates for Agriculture in Selected
Regions, 2001
Trends in Agricultural Wages, Philippines, by Crop, 1999-2000
(In Pesos)
Average Wage Rate of Farm Workers by Bases of Payment
and by Crop, by Man Labor Only, 1999-2001, Philippines
Average Wage Rate of Farm Workers by Bases of Payment
and by Farm Activity, Philippines, 2001
Summary Statistics on Child Labor
Statistics on Women in Rural Areas and Agricultural Sector,
Philippines, 1998-2001
National Roads by Surface Type, 1990-2000 (In percent
share)
Telephone Lines & Population Distribution by Region As of
December 1999 (In thousands)
Three-Tiered Structure of Formal Social Protection in the
Philippines
Structure of Institutional Social Insurance in the Philippines
Social Security Coverage, 1999-2000
Commodity Targets (Selected Commodities/Low Scenario
only)
ADB Projects in the Philippines
List of Ratifications of the International Conventions,
Philippines
Ratification of the ILO Fundamental Conventions, Asia
[Annex]
52
53
54
56
58
59
59-60
69
[Annex]
82
83
90-91
95
[Annex]
155
160
[Annex]
[Annex]
v
List of Figures
Figure
Title
Figure 1.1
Average Percentage Share of Subsectors to Agricultural Gross
Value Added, 1997-2001
Agricultural Growth Rate Vs. Population Growth Rate, 19972001
Total Agricultural Exports by Quantity and Value, Philippines
Agricultural Export Volume
Growth Rates of Selected Agricultural Imports, 1997-2000
Balance of Trade in Agriculture
Accomplishment of Land Distribution by Region, 1986-2002
Usage Rate of Selected Farm Tools, 1960-1991
Percent of Household Income, 1991-2000
Female Participation in Farming Activities
Case Flow: Notice of Strike and Lockouts
Case Flow: Preventive Mediation
How a Bill Becomes a Law
Figure 1.2
Figure 1.3
Figure 1.4
Figure 1.5
Figure 1.6
Figure 1.7
Figure 1.8
Figure 1.9
Figure 2.1
Figure 2.2
Figure 2.3
Figure 3.1
Page
13
14
17
17
19
20
28
30
33
74
115
116
130
vi
List of Boxes
Box
Title
Page
Box 2.1
Box 2.2
Box 2.3
Box 2.4
Landless Farmworkers are Losers in Land Reform
9 Out of 10 Enterprises in the Philippines are Microenterprises
Other Labor Arrangement Practiced in Rice Farming
Coconut Farmworkers Have Specialized Skills that are
Important to the Production of Coconuts and Copra
Impact of Pesticide Abuse
Labor Management Councils
Changing Landscape of Industrial Relation
Specific Labor Laws Relevant to Rural Workers
A Modern Agriculture Sector
Agrarian Reform Communities
Strategic Agriculture and Fisheries Development Zones
(SAFDZs)
Effect of Corruption on the Rural Poor
Major Groupings in the Trade Union, Cooperative and
Peasant Movements
44
51
61
Box 2.5
Box 2.6
Box 2.7
Box 3.1
Box 3.2
Box 3.3
Box 3.4
Box 3.5
Box 4.1
62
103
109
124
134
140
152
153
162
169
vii
List of Annexes
Annex
Title
Annex 2.1
Kapit-Bisig Laban Sa Kahirapan – Comprehensive and Integrated Delivery of Social
Services: Kapangyarihan at Kaunlaran sa Barangay (KALAHI-CIDSS: KKB)
The Poverty-Free Zone
Philippine Crop Insurance Corporation
Profile of the PAKISAMA Mutual Benefit Association Inc. (As of November 30, 2002)
Summary of Social Welfare, Assistance and Insurance Benefits in a Sample
Collective Bargaining Agreement
DOLE Functions and Responsibilities
DOLE Organizational Chart
Ginintuang Masaganang Ani (GMA)
Highlights of the Status of Activities Under the IRR of the AFMA (As of December
31, 2002)
Non-Traditional Trade Union Services: The KMPI Case
Case Study: The Story of the Diffun Credit and Development Cooperative
FAO: Building Partnership for Food Security in the Philippines
Annex 2.2
Annex 2.3
Annex 2.4
Annex 2.5
Annex 2.6
Annex 2.7
Annex 3.1
Annex 3.2
Annex 4.1
Annex 4.2
Annex 5.1
viii
Guide to Acronyms
AARRD
ACEF
ADB
AFMA
AFMP
AFTA
AIDS
ALI
ALRP
AMA
APEC
APIS
APL
ARB
ARC
AR-NOW
ARMM
ASEAN
AsiaDHRRA
ATI
BAEcon
BAR
BARC
BAS
BLES
BLR
BOT
BMBE
BRW
BSWM
BWC
BWYW
CA
CAC
CALF
CAR
CARL
CARP
CARRD
CBA
CBU
CDA
CIS
CLO
CLOA
CODE-NGO
Agriculture, Agrarian Reform, and Rural Development
Agricultural Competitiveness Enhancement Fund
Asian Development Bank
Agriculture and Fisheries Modernization Act
Agriculture and Fisheries Modernization Plans
ASEAN Free Trade Agreement
Acquired Immune Deficiency Syndrome
Agrarian Law Implementation
Accelerated Land Reform Program
Aniban ng mga Manggagawang sa Agrikultura (Alliance of
Workers in Agriculture)
Asia Pacific Economic Cooperation
Annual Poverty Indicator Survey
Alliance of Progressive Labor
Agrarian Reform Beneficiary
Agrarian Reform Communities
People’s Campaign for Agrarian Reform Network
Autonomous Region of Muslim Mindanao
Association of Southeast Asian Nations
Asian Secretariat for the Development of Human Resources in
Rural Areas
Agricultural Training Institute
Bureau of Agriculture Economics
Bureau of Agricultural Research
Barangay Agrarian Reform Committees
Bureau of Agricultural Statistics
Bureau of Labor and Employment Statistics
Bureau of Labor Relations
Build Operate Transfer
Barangay Micro Business Enterprises
Bureau of Rural Workers
Bureau of Soils and Water Management
Bureau of Working Conditions
Bureau of Women and Young Workers
Census of Agriculture
Cabinet Action Committee
Comprehensive Agricultural Loan Fund
Cordillera Autonomous Region
Comprehensive Agrarian Reform Law or Republic Act 6657
Comprehensive Agrarian Reform Program
Center for Agrarian Reform and Rural Development
Collective Bargaining Agreement
Capital Build Up
Cooperative Development Authority
Communal Irrigation System
Congress of Labor Organizations
Certificate of Landownership Award
Caucus of Development NGO Networks
ix
COLA
CPAR
CPI
CPP
CSS
CUP
DA
DAR
DARAB
DBP
DCF
DENR
DepEd
DILG
DKMP
DOH
DOLE
DOST
DSWD
DTI
DTS
ECC
EP
EPA
FAO
FFF
FFW
FNRI
FPA
FIDA
FIES
FLR
FMR
FPRDI
FSP
FWRC
GDP
GFI
GMA
GMO
GNP
GSIS
GVA
HAZ
HDI
HDMF
HIV
HVCC
ICBP
ICT
Cost of Living Allowance
Congress for a People’s Agrarian Reform
Consumer Price Index
Communist Party of the Philippines
Center for Strategic Studies
Cooperative Union of the Philippines
Department of Agriculture
Department of Agrarian Reform
Department of Agrarian Reform Adjudication Board
Development Bank of the Philippines
Deferred Commercial Farms
Department of Environment and Natural Resources
Department of Education
Department of Interior and Local Government
Demokratikong Kilusang Magbubukid ng Pilipinas (Democratic
Movement of Farmers of the Philippines)
Department of Health
Department of Labor and Employment
Department of Science and Technology
Department of Social Work and Development
Department of Trade and Industry
Dual Training System
Employee Compensation Commission
Emancipation Patents
Environmental Protection Agency
Food and Agriculture Organization
Federation of Free Farmers
Federation of Free Workers
Food and Nutritional Research Institute
Fertilizer and Pesticide Authority
Fiber Industry Development Authority
Family Income and Expenditure Survey
Functional Literacy Rate
Farm-to-Market Road
Forest Production Research and Development Institute
Fisheries Sector Program
Filipino Workers Resource Center
Gross Domestic Product
Government Financing Institution
Ginintuang Masaganang Ani (Golden Bountiful Harvest)
Genetically-Modified Organism
Gross National Product
Government Service Insurance System
Gross Value Added
Homogeneous Agricultural Zone
Human Development Index
Housing Development Membership Fund
Human Immuno-deficiency Virus
High Value Commercial Crops
Industry Capability Build-up Program
Information and Communication Technology
x
IFI
ILO
IPC
ISTIV
KMMMP
KMMP
KMP
KMPI
KOMPIL
KPMM
KASAMA-FPO
LACC
LAD
LADECO
LBP
LCP
LGU
LMCC
LMLC
LLP
LMC
LMIS
LRA
LSM
MASIPAG
MPC
MTC
MTPDP
NAFC
NAMVESCO
NATCCO
NCL
NEA
NFA
NGO
NIA
NIS
NLRC
NMP
NMU
NPAAAD
NSCB
International Financial Institutions
International Labour Organization
Institute of Philippine Culture
Industrious, Systematic, Time-Conscious, Innovative, and has
strong Value for Work
Kapatiran ng mga Malayang Maliliit na Mangingisda sa Pilipinas
(Federation of Independent Small Fisher folk of the Philippines)
Kalipunan ng mga Maliliit na Magniniyog sa Pilipinas
(Confederation of Small Coconut Farmers of the Philippines)
Kilusang Magbubukid ng Pilipinas (Peasant Movement of the
Philippines)
Kaunlaran ng mga Manggagawang Pilipino, Inc. or Workers Fund
Konggreso ng Mamayang Pilipino (Congress of the Filipino
People)
Koalisyon ng Progresibo at Makabayang Manggawa (Coalition of
Progressive and Nationalist Workers)
Kalipunan ng mga Samahang Mamamayan (Federation of
People’s Organizations)
Labor Advisory and Consultative Council
Land Acquisition and Distribution
Lapanday Development Corporation
Land Bank of the Philippines
Labor Code of the Philippines
Local Government Unit
Labor Management Cooperation Council
Lakas Manggagawa Labor Center
Low Lift Pumps
Labor Management Corporation
Labor Market Information System
Land Registration Authority
Labor Solidarity Movement
Magsasaka at Syentipiko para sa Ikauunlad ng Agham at
Agrikultura (Farmer-Scientist Partnership for Development, Inc.)
Multi-Purpose Cooperative
Maritime Training Council
Medium Term Philippine Development Plan
National Agricultural and Fisheries Council
Market Vendors Cooperative Services Federation
National Confederation of Cooperatives
National Confederation of Labor
National Electrification Administration
National Food Authority
Non Government Organization
National Irrigation Administration
National Irrigation System
National Labor Relations Commission
National Maritime Polytechnic
National Marketing Umbrella
Network of Protected Areas for Agriculture and Agro-Industrial
Development
National Statistical Coordination Board
xi
NSO
NTC
NWPC
OCCP
ODA
OFW
OSHC
OWWA
PAKISAMA
PAMALAKAYA
PMBA
PAN-AP
PARC
PARCODE
PCAMRD
PCARRD
PCDP
PCGG
PCIC
PCIJ
PDMP
PGMA
PDI
PFCCI
PFPA
PHIC
PhilDHRRA
PO
POEA
POLO
PNOC
PPE
PRESEED
PRRI
PSIC
PSY
PVO
RP
RTWPB
SAFDZ
SAP
SARS
SEC
SOC
National Statistics Office
National Telecommunications Communication
National Wages and Productivity Commission
Organic Certification Center of the Philippines
Official Development Assistance
Overseas Filipino Worker
Occupational Safety and Health Center
Overseas Workers’ Welfare Administration
Pambansang Kilusan ng mga Samahang Magsasaka (National
Federation of Peasant Organizations)
Pambansang Kilusan ng mga Namamalakaya ng Pilipinas
(National Movement of Small Fisher folk of the Philippines)
PAKISAMA Mutual Benefit Association
Pesticide Action Network for Asia and the Pacific
Presidential Agrarian Reform Council
People’s Agrarian Reform Code
Philippine Council for Agriculture and Marine Research and
Development
Philippine Council for Agriculture Resources Research and
Development
Philippine Council for Disabled Persons
Presidential Commission on Good Governance
Philippine Crop Insurance Corporation
Philippine Center for Investigative Journalism
Pinag-isang Diwa ng Manggagawang Pilipino (United Thought of
Filipino Workers)
President Gloria Macapagal-Arroyo
Philippine Daily Inquirer
Philippine Federation of Credit Cooperatives
Philippine Fisheries and Development Authority
Philippine Health Insurance Corporation
Philippine Partnership for the Development of Human Resources
in Rural Areas
People’s Organization
Philippine Overseas Employment Administration
Philippine Overseas Labor Officers
Philippine National Oil Company
Personal Protective Equipment
Promotion of Rural Employment Through Self-Employment and
Entrepreneurship Development
Philippine Rice Research Institute
Philippine Standard Industrial Classification
Philippine Statistical Yearbook
Private Voluntary Organization
Republic of the Philippines
Regional Tripartite Wage and Productivity Board
Strategic Agricultural and Fisheries Development Zones
Social Amelioration Program
Severe Acute Respiratory Syndrome
Securities and Exchange Commission
Small Owner-Cultivator
xii
SONA
SSS
STCW
SUCs
SWS
TESDA
TI
TIPC
TRIPARRD
TUCP
TVET
UN
WB
WEED
WODP
WTO
WYC
State of the Nation Address
Social Security System
Standards for Training, Certification and Watchkeeping
State Universities and Colleges
Social Weather Stations, Inc.
Technical Education and Skills Development Authority
Transparency International
Tripartite Industrial Peace Council
Tripartite Partnership for Agrarian Reform and Rural Development
Implementation
Trade Union Congress of the Philippines
Technical Vocational Education and Training
United Nations
World Bank
Women Workers Employment and Entrepreneurship
Development
Workers’ Development Program
World Trade Organization
Working Youth Center
xiii