The number of unemployed Filipinos rose sharply in July, reaching 2.59 million compared to just 1.95 million the previous month. This pushed the unemployment rate to 5.3 percent, up from 3.7 percent in June, according to the Philippine Statistics Authority (PSA). The figure marks the highest unemployment rate since June 2022, when the country was still grappling with the lingering effects of the pandemic.
Underemployment on the Rise
The data also point to worsening job quality. About 6.8 million employed Filipinos said they were seeking longer working hours or additional jobs to boost their income, a steep rise from 5.76 million in June. This drove the underemployment rate to 14.8 percent, compared with 11.4 percent the month before. The increase highlights the growing struggle of many workers to make ends meet despite being employed.
Economic Implications
The spike in both unemployment and underemployment underscores the challenges facing the Philippine labor market. Analysts attribute the trend to a combination of global economic headwinds, persistent inflation, and slower business activity at home. The latest figures are expected to intensify calls for stronger government action—through job creation programs, support for key industries, and measures to ensure more secure and better-paying work for Filipinos.
