Employment rises, unemployment falls in June

In June, the number of unemployed Filipinos decreased to 1.62 million, down from 2.33 million in the same month last year, according to the Philippine Statistics Authority (PSA). This figure also represents a drop from 2.11 million in May.

National Statistician Dennis Mapa highlighted that the unemployment rate fell to 3.1% in June, a notable decrease from 4.5% in June 2023 and 4.1% in May. This marks one of the lowest unemployment rates since April 2005.

The Labor Force Participation Rate (LFPR) stood at 66%, with approximately 51.90 million Filipinos aged 15 and older engaged in the labor market. The employment rate improved to 96.9%, up from 95.5% in June 2023 and 95.9% in May, with the number of employed individuals reaching 50.28 million—an increase from 48.84 million a year ago and 48.87 million last month.

Significant job gains were recorded in various sectors, including construction, which saw an increase of 938,000 jobs; wholesale and retail trade, up by 527,000; accommodation and food services, rising by 396,000; manufacturing, adding 353,000 jobs; and transportation and storage, up by 323,000. However, employment declined in agriculture and forestry by 916,000 jobs, and in fishing and aquaculture by 81,000, partly due to the impacts of El Niño.

The underemployment rate slightly increased to 12.1% from 12.0% in June 2023, indicating that 208,000 workers were seeking additional hours or more jobs.

The National Economic and Development Authority (NEDA) responded positively to the data, attributing the employment boost to ongoing infrastructure projects and improvements in manufacturing conditions. NEDA Secretary Arsenio Balisacan emphasized the government's commitment to enhancing the business climate to attract investments and create quality jobs. Upcoming initiatives include the establishment of Industry 4.0 facilities and the implementation of the National Artificial Intelligence Strategy Roadmap 2.0 to support digital transformation and innovation.

The Department of Trade and Industry and the Department of Science and Technology are leading efforts to foster collaborative learning environments to advance industry management and production technologies. The government also supports the Apprenticeship Bill to better prepare the youth with practical skills through a combination of on-the-job training and classroom instruction.

Meanwhile, the National Anti-Poverty Commission (NAPC) has called for enhanced occupational safety and health (OSH) measures to ensure job security as employment opportunities increase. The NAPC highlighted that major infrastructure projects like the South Commuter Railway and initiatives in the automotive sector have contributed to job growth.

Finance Secretary Ralph Recto expressed confidence that the Philippines is on track to achieve a single-digit poverty rate by 2028, driven by the latest employment figures and a proposed PHP6.35 trillion national budget for 2025. This budget aims to bolster social and economic services, including infrastructure, health, education, and employment programs, ensuring sustainable development and improved quality of life for Filipinos.