Education crisis seen as main hurdle to PHL ambitions in global remote work

By Beatriz Marie D. Cruz, Senior Reporter

THE Philippines is poised to benefit from the global shift toward remote and borderless work, as its young workforce and in-demand service industries attract companies that hire talent regardless of location, according to Educational Testing Service (ETS), a global talent solutions and education firm.

However, the Philippines must address the education crisis — especially literacy issues — or lose out on global jobs that demand artificial intelligence (AI) and digital skills, it said.

Ratnesh Jha, Global General Manager of Institutional Products at ETS, said that more global firms are providing job opportunities remotely, without the need for migrants.

“Southeast Asia, particularly the Philippines, is well positioned in this transformation because of its young workforce, strong service economy, and long-standing role in global business operations,” he said in an e-mail in response to questions from BusinessWorld.

Mr. Jha cited the country’s global reputation in customer service, healthcare support, technology services, and business process outsourcing.

“This is especially important because the country has historically benefited from strong global demand for Filipino talent. Sustaining that competitiveness will require continued investment in literacy, communication skills, and workforce readiness,” he said.

As global employers continue to outsource talent, Mr. Jha noted that talents with strong communication skills and digital adaptability will have an advantage.

Workers should be able to process information, practice critical thinking, and master interpersonal communication as the global economy is shaped by AI and technological change, he said.

“If foundational literacy challenges are not addressed early, it becomes more difficult for students to build the higher-order communication and analytical skills employers now expect,” Mr. Jha said.

However, up to 91% of Filipino children cannot read and understand a simple text by the age of 10, according to reports by the World Bank and the Second Congressional Commission on Education.

With English as the primary language of instruction in many Philippine schools, poor reading comprehension may translate to difficulty in using the language in professional settings, ETS said.

About 81% of employers globally said that AI increases the need for English proficiency, according to the ETS’ 2026 Test of English for International Communication Global English Skills Report.

“A lack of strong English comprehension can create long-term economic consequences, particularly in sectors where international collaboration and client interaction are central,” Mr. Jha said.

He added that strengthening reading comprehension can also improve proficiency in science, mathematics, digital learning, and problem-solving.

Mr. Jha cited the need to invest in teacher development, reading intervention programs, digital access, while aligning students’ curriculum with industry expectations.

“As AI transforms industries, the most valuable skills will increasingly be the human skills that enable individuals to interpret information, solve problems, and work effectively with others across cultures and borders,” he said.