MANILA, Philippines – The Philippines’ unemployment rate jumped to its highest since June 2022 at 5.8% as the agriculture sector shed around 1.4 million jobs, the Philippine Statistics Authority (PSA) reported on Friday, March 13.

The latest jobless figure translates to 2.96 million unemployed Filipinos in January, higher than the 4.3% or 2.17 million jobless Filipinos recorded in the same month last year.

Meanwhile, underemployment increased to 13.2% or 6.35 million underemployed Filipinos from 12% or 5.81 million Filipinos in October 2025.

While administration and support services (403,000), public administration (342,000), and manufacturing (326,000) sectors saw the highest increases in employment, the agriculture industry lost 1.42 million jobs in January.

Deputy National Statistician Divina Grace del Prado attributed the sharp drop to seasonality of hiring, which usually leads to an uptick in employment during the “ber” months. But Del Prado also noted that weather disturbances may have led to job losses in the agriculture sector.

Del Prado added that the ongoing conflict in the Middle East may affect employment data in March as companies tend to go on hiring freezes or layoffs when inflation and oil prices rise.

“Pag ganitong tumataas ang presyo ng langis, lalo na affected ‘yung ating mga OFWs (overseas Filipino workers) na may mga na-repatriate na rin, it might affect our labor market,” she said.

(If oil prices rise, our overseas Filipino workers especially will be affected and repatriated, it might affect our labor market.)

The Department of Economy, Planning, and Development (DEPDev) said the government is ramping up support for the country’s workforce amid rising global uncertainties.

DEPDev Secretary Arsenio Balisacan said the government aims to support the labor market through strategic policies such as diversifying the economy’s growth drivers, attracting investment in high-productivity sectors, and addressing high power rates and low technology adoption.

The government also plans to equip job seekers such as repatriated OFWs with the skills they need to pursue higher-value jobs or pursue entrepreneurship.

“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,” the country’s chief economist said. – Rappler.com