Philippines on the Rise: A Two-Decade Record Smashed as Unemployment Plummets
MANILA, Philippines — In an impressive display of economic strength, the Philippines has reported a significant downturn in unemployment, reaching a two-decade low of 3.1% in December 2023. This figure marks an unprecedented milestone since the Philippine Statistics Authority (PSA) redefined its unemployment criteria in 2005.
The record-low jobless rate surpasses the previous low of 3.6% recorded in November 2023, with the number of unemployed individuals falling from 1.83 million to 1.6 million.
The decline in unemployment coincides with an increase in labor force participation, which rose to 52.13 million, or 66.6%, up from 51.47 million, or 65.9%, in November. This surge in workforce engagement is attributed to the festive season’s job creation, particularly in the services sector, which often sees employment carry over into the first quarter of the following year.
Despite the positive trend in unemployment, the underemployment rate slightly increased to 11.9%, suggesting a lingering need for better quality jobs. This rate is, however, an improvement from the 12.6% recorded in the prior year, indicating gradual progress in the job market.
National Statistician Claire Dennis Mapa has observed an uplift in the labor force’s confidence, further bolstered by the seasonal employment increase. The PSA’s report also notes a rise in individuals awaiting job application results, which may lead to future employment growth.
Secretary Arsenio Balisacan of the National Economic and Development Authority welcomed this development as a sign of the economy’s sustained momentum and the labor market’s resiliency. He highlighted the government’s ongoing efforts to foster job creation, aiming to not only add jobs but also enhance the quality of employment opportunities available.
The GBSE Newsroom continues to monitor these developments, recognizing the implications for both domestic economic policy and international business interests. As the Philippines positions itself as a burgeoning economic force in Southeast Asia, its labor market dynamics are of significant interest to global investors and businesses looking to engage with the region.
Stay with GBSE Newsroom for further updates and in-depth analysis of how these trends may influence broader economic patterns and investment strategies.