Jobless Filipinos decline in May

FILE: JOB HUNTERS. Job applicants queue up in the hope of landing viable employment opportunities from 34 participating companies and government agencies that collaborated with the Private Sector Advisory Council (PSAC) Jobs Sector Group to join the job fair held at a mall in Marikina on Labor Day on Wednesday (May 1, 2024). Some applicants were fortunate to get hired on the spot. (PNA photo by Ben Briones)

By Anna Leah Gonzales, Philippine News Agency

MANILA – The number of unemployed Filipinos declined in May this year while employment rate rose to more than 90 percent, the Philippine Statistics Authority (PSA) said.

In a briefing Tuesday, National Statistician Dennis Mapa said results of the latest Labor Force Survey showed that the country’s labor force participation rate (LFPR) in May 2025 was estimated at 65.8 percent, higher than the estimated LFPR in May 2024 at 64.8 percent and in April 2025 at 63.7 percent.

Persons in the labor force are those aged 15 years and over who are either employed or unemployed.

The reported LFPR in May 2025 translates to a total of 52.32 million Filipinos aged 15 years and over who were in the labor force, the highest recorded number since April 2005.

Mapa said the number of unemployed individuals fell to 2.03 million in May from 2.11 million in May last year, and 2.06 million in April this year.

The unemployment rate was recorded at 3.9 percent, down from its rate in May 2024 and in the previous month, which were both at 4.1 percent.

Compared to other Asian countries, the Philippines’ unemployment rate is lower than that of China (5 percent) and India (5.6 percent).

The employment went up to 96.1 percent from its rate in May 2024 and in April 2025, which were both at 95.9 percent.

In terms of magnitude, the number of employed persons in May 2025 rose to 50.29 million from 48.87 million in May 2024 and 48.67 million in the previous month.

Industries with the largest increase in employment were wholesale and retail trade (+489,000), agriculture and forestry (+469,000), administrative and support service activities (+371,000), accommodation and food service activities (+365,000), and other service activities (+175,000).

The underemployment rate, meanwhile, settled at 13.1 percent, translating to 6.60 million employed individuals who expressed the desire to have additional hours of work in their present job or to have additional job, or to have a new job with longer hours of work.

In a separate statement, the Department of Economy, Planning, and Development (DEPDev) said the Marcos administration remains committed to creating high-quality and high-paying jobs for Filipinos.

DEPDev said the highest recorded labor participation rate in May also means that more Filipinos joined the labor force.

“We welcome this development in labor force participation because it indicates a healthy and competitive Philippine labor market. Generally, a larger workforce can lead to increased economic output and potentially higher GDP (gross domestic product) growth, as more people contribute to the economy,” Economy, Planning, and Development Secretary Arsenio Balisacan said.

“This also reflects growing confidence in the labor market and the impact of ongoing efforts to expand access to employment opportunities across sectors.”

Balisacan said the government continues to push for critical infrastructure flagship projects that would address gaps and attract job-generating investments.

The government also aims to enhance the efficiency of public spending and allocate limited fiscal resources to high-impact areas, including quality education, healthcare, food security, and connectivity infrastructure.

Balisacan said equipping Filipinos with in-demand skills and competencies would ensure that the country’s workforce remains agile in an increasingly competitive and dynamic labor market.

“We will leverage recently enacted policy reforms to improve upskilling and reskilling initiatives,” he said.

Balisacan said this involve stronger industry partnerships under the Enterprise-Based Education and Training (EBET) Framework Act, as well as the implementation of the Expanded Tertiary Education Equivalency and Accreditation Program (ETEEAP) and the passage of the Lifelong Learning Development Framework Bill.

“These initiatives, and more, are outlined in more detail in the Trabaho para sa Bayan Plan, which was recently launched,” he said.

Balisacan said the government is working to create an enabling environment that will attract more Global Capability Centers to the Philippines, in line with the country’s shift toward high-value information technology and business process management (IT-BPM) services. To support this, efforts will focus on strengthening workforce competencies in digitalization and generative artificial intelligence (AI).

The government is also set to release timely guidelines on the Future Workforce in an AI Workplace to help government agencies, industry players, labor groups, academic institutions, and workers integrate AI into their operations while safeguarding jobs through enhanced digital literacy and AI-related skills.

Balisacan said the Philippine Development Plan 2023-2028 midterm update is scheduled for release this month.