

THE Philippine labor market showed signs of strain as the ongoing conflict in the Middle East continues to affect Filipino workers, according to government data.
The latest survey by the Philippine Statistics Authority revealed that the unemployment rate rose to 5.1 percent in February 2026, up from 3.8 percent a year earlier.
Underemployment also climbed to 11.8 percent, signaling that more Filipinos are working fewer hours than they would like.
Despite these challenges, total employment reached 49.4 million, boosted largely by gains in the services sector. Analysts say the growth reflects the resilience of certain industries even as global uncertainties weigh on the economy.
In response, the government has rolled out targeted support for affected workers. Programs include cash assistance, fuel subsidies, and emergency employment through the Department of Labor and Employment’s Tupad scheme and the Department of Transportation’s Service Contracting Program.
The Department of Agriculture is also providing aid to farmers through a P1 billion quick-response fund.
DEPDev Secretary Arsenio Balisacan said the measures aim to cushion Filipinos from the ripple effects of the conflict while preparing them for a shift toward renewable energy and electric vehicle industries. Skills training programs will help displaced workers adapt to these emerging sectors.
“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,” Balisacan said.
Economists caution, however, that while government programs provide temporary relief, broader economic pressures such as rising fuel costs and inflation could continue to affect job stability. (JGS/SunStar Philippines)