The Philippine government is stepping up efforts to protect jobs as the Middle East conflict continues to affect the domestic labor market, according to the Department of Economy, Planning, and Development (DEPDev).
The latest Labor Force Survey (LFS) from the Philippine Statistics Authority (PSA) released today (April 8) shows a more subdued labor market. The unemployment rate rose to 5.1 percent in February 2026 from 3.8 percent in February 2025, while the underemployment rate reached 11.8 percent from 10.1 percent in the same period last year.
Despite this, total employment during the survey period reached 49.4 million in February 2026, up by 271,000 from February 2025. Employment gains were mainly observed in services (+1.1 million), demonstrating resilience amid global uncertainties.
DEPDev Secretary Arsenio M. Balisacan said that the geopolitical conflict in the Middle East will continue to affect global and domestic economic conditions and disrupt labor markets.
“Recent developments highlight the urgency to strengthen the resilience of our labor market. We must ensure that our policies and programs respond effectively to rapidly changing global conditions, especially for affected and displaced Filipino workers here and abroad,” he said.
In response to these risks, the government is implementing strategic measures identified by the Unified Package for Livelihoods, Industry, Food, and Transport or UPLIFT Committee under Executive Order No. 110.
“The measures aim to safeguard the national interest by mitigating the impact of the conflict and ensuring the stability or continuity of essential services, sustaining economic activity, and supporting incomes amid rising fuel costs,” said Balisacan.
Affected workers will receive timely support through cash assistance, rollout of the service contracting program, and fuel subsidy to vulnerable sectors. The Department of Agriculture is mobilizing its PHP1 billion quick response fund for fuel subsidies and biofertilizer procurement.
Public transport and farm workers can avail of emergency employment assistance through the Department of Transportation’s Service Contracting Program or SCP and the Department of Labor and Employment’s TUPAD (Tulong sa Pang-hanapbuhay sa Ating Disadvantaged/Displaced Workers).
The government will also strengthen efforts to promote renewable energy and electric vehicle ecosystems to support long-term resilience and workforce readiness.
“We expect an accelerated transition towards other sources of fuel and energy. Thus, we are building the skills, investment, and innovation ecosystem to support this move. Skills training programs on the operations and maintenance of renewable energy facilities and electric vehicles, including the needed parts and components, will also be provided to displaced workers,” Balisacan said.
