GMA Digital Specials: Sino ang Middle Class? (with English subtitles) - YouTube

Channel: GMA Public Affairs

[1]
President Duterte recently approved
[3]
the Php 51 billion wage subsidy program
[7]
for middle class workers
[9]
of small businesses
[10]
affected by the COVID-19 pandemic.
[13]
Eligible workers will receive cash aids
[17]
from Php 5,000 to Php 8,000,
[21]
depending on the range of daily wage
[23]
in their respective regions.
[25]
Relief will be divided into two distributions by May.
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The data from BIR (Bureau of Internal Revenue) and SSS (Social Security System)
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will be the basis of the list of beneficiaries
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who will be given cash aid.
[37]
Among the 1.6 million small businesses in the formal sector,
[42]
more than 400,000 have ceased operations due to the COVID-19 crisis.
[46]
Meanwhile, over 100,000 businesses are still operating.
[50]
Before the reports of financial aids for the middle class,
[54]
netizens have been debating
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on what should be the qualifiers of the middle-class bracket.
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How will you know if you are part of the middle class?
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In the Philippines,
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40% of the country's population belong to the middle class.
[75]
Meanwhile, about 58% of these consist of
[77]
the people in the lower income class.
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These were based on the 2018 study of the Philippine Institute for Development Studies (PIDS)
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–the government's main socioeconomic policy think tank.
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Here are some indications
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if your family is part of the middle class.
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First, how much does a middle-class family earn?
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You are part of the middle class if your family's annual per capita income
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is two to twelve times in the official poverty lines.
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This means that if the monthly household income of the low-income class
[116]
is less than Php 9,520 to Php 19,040
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while the poor’s income is less than Php 9,520,
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then the middle-class family’s income
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ranges from Php 19,040 to Php 114,240 per month.
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The middle class is also divided into three categories.
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There’s the lower middle income,
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where people earn from Php 19,040 to Php 38,080 per month
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or between two and four times the poverty line.
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The middle income, which earn Php 38,080 to Php 66,640 per month
[166]
or between four and seven times the poverty line.
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And then there’s the upper middle income
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that earn Php 66,640 to Php 114,240 per month,
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between seven and twelve times the poverty line.
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But what about those who are well off?
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We also have the upper income and the rich.
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The upper income class earns from twelve to 20 times the poverty line.
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This means their monthly income ranges from Php 114,240 to Php 190,400.
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Meanwhile, the rich’s monthly income is estimated at above Php 190,400.
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This means their per capita income is 20 times higher than the poverty line.
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Second, where does the middle class live?
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According to PIDS,
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most middle class live in urban areas
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and in the Greater Metro Manila household.
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There is easy access to different services
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and private establishments in these areas.
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Third, what’s the status of education and occupation of the middle class?
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Based on the education attainment of individuals who are 24 years old above,
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most middle class are able to attain
[261]
“high level of education,”
[263]
like a college degree.
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This is because middle class families
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prioritize human capital development like education.
[273]
In fact,
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compared to the low-income class,
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middle class families invest more on education.
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One of the reasons for this is the line of work they usually go into.
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Most middle-class citizens have “non-vulnerable” jobs,
[287]
like those in private establishments.
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Their jobs are also often permanent,
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compared to the low-income class
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who work mostly in the agriculture sector
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and have short term occupations.
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Does your family meet the criteria?
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In addition, PIDS said that even if the middle class are better off,
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most of them are still at risk.
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First, most of our Overseas Filipino Workers (OFW) belong to the middle class,
[319]
particularly the lower middle-income cluster.
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Their income depends on foreign remittances.
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This means that the family of an OFW can suffer
[330]
when the contract of their breadwinner expires.
[333]
The situation can worsen,
[336]
especially proper social protection will not be provided.
[338]
Second, even though most of the middle class has access to water,
[343]
those living in disadvantaged areas
[346]
still rely on ground and surface water
[350]
that could be contaminated.
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Third, a large proportion of informal settlers
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are part of the middle class
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who may have difficulty in finding affordable housing.
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In fact, in Metro Manila,
[366]
69 percent of the informal settlers
[369]
belong to the middle class.