The government will step up efforts to support the country’s workforce amid rising global uncertainties, the Department of Economy, Planning, and Development (DEPDev) has said.
The DEPDev made the statement following the release of the latest Labor Force Survey (LFS) results on Friday, which showed that the unemployment rate rose to 5.8 percent in January this year from 4.3 percent in January 2025.
The number of unemployed individuals in January 2026 was estimated at 2.96 million, higher than the 2.17 million unemployed individuals in January last year.
In a separate briefing, Philippine Statistics Authority (PSA) Assistant Secretary Divina Gracia del Prado said survey results showed that 306,000 were still looking for jobs, while other survey participants said they’re still waiting for the results of previous job applications.
The country’s labor force participation rate (LFPR) also eased to 62.3 percent in January 2026, compared to 63.9 percent in the same month last year.
Employment, meanwhile, was recorded at 94.2 percent, lower than the January 2025 employment rate of 95.7 percent.
“Usually in our time series, after the Christmas season, employment rate really declines,” said del Prado.
DEPDev Secretary Arsenio Balisacan, for his part, assured that the government is ready to support affected workers amid global uncertainties.
“Given elevated geopolitical tensions and global uncertainties, strategic policies are needed to bolster labor market resilience. The government continues to pursue a comprehensive response to support affected workers in the short term while fostering a dynamic and robust labor market in the medium and long term,” Balisacan said.
The government will also provide immediate relief to affected workers amid the ongoing conflict in the Middle East.
This includes targeted fuel subsidies for transport operators, farmers, and fisherfolk, as well as measures to ease commuting costs and maximize existing emergency employment assistance programs, such as the Tulong Panghanapbuhay sa Ating Disadvantaged or Displaced Workers and other livelihood programs.
Balisacan said the government will also use digital technologies to enhance labor market programs, as seen in the Technical Education and Skills Development Authority’s (TESDA) recently launched Skills Passport, which facilitates job-skills matching.
He said this initiative can inform the design of skill training programs to equip job seekers, including repatriated Overseas Filipino Workers (OFWs), with capabilities for higher-value jobs.
The government is likewise strengthening reintegration programs for OFWs to help affected workers find gainful employment or entrepreneurial opportunities.
Strategies to promote labor market resilience include diversifying the economy’s growth drivers, attracting investment in high-productivity sectors, addressing constraints such as high energy costs and low technology adoption, and facilitating the transition to renewable energy to reduce dependence on imported fuels.
“Our priority is clear: create more and better jobs at home, strengthen industries, equip our workers with the skills needed for higher-value employment, and ensure that those affected by global disruptions, including OFWs, can transition smoothly into productive opportunities here in the Philippines,” Balisacan said.
The government is also seeking to expand high-quality job opportunities for women, whose participation in the labor market remains low due to barriers such as domestic responsibilities and limited access to flexible work arrangements.
Based on the January 2026 LFS, decreased participation was observed across all age groups, with the youth citing schooling (+886,000) as the primary reason for not entering the labor force.
Women of prime working age cited family responsibilities (+599,000), while older respondents mentioned age- or mobility-related limitations (+279,000) as reasons for not participating.
In partnership with the Australian government through Investing in Women, DEPDev recently launched the Juana Trabaho initiative, a strategic framework and action plan aligned with the Philippine Development Plan 2023-2028 to increase women’s participation in the workforce.
