Govt launches 10-year job plan

THE government on Monday unveiled a long-term labor market development roadmap that will reshape the country's market for workers and drive the creation of high-quality jobs.

The Department of Economy, Planning, and Development (DEPDev) launched the 10-year Trabaho Para sa Bayan (TPB) Plan 2025–2034, designed to dovetail with the Philippine Development Plan 2023-2028 and the AmBisyon Natin 2040 vision.

Socioeconomic Planning Secretary Arsenio Balisacan said shifts in the Philippine labor market — spurred by automation, digitalization, and emerging technologies — are introducing new challenges to the country's employment landscape.

This, in return, adds long-term pressures, including climate change and demographic changes, that are also expected to further influence the dynamics of the labor market.

"These evolving trends underscore the urgent need for adaptive policies that foster economic growth and offer essential support to Filipino workers as they navigate these evolving challenges," Balisacan said.

It was also emphasized that the Philippines continues to trail other member-countries of the Association of Southeast Asian Nations (Asean).

Vietnam, for instance, recorded a labor force participation rate (LFPR) of 77 percent from 2012 to 2020. Post-pandemic, other Asean-5 countries have seen 68- to 70-percent LFPR, suggesting that the Philippines remains an outlier in workforce engagement.

A significant gender gap also persists. Between 2012 and 2019, male LFPR in the Philippines averaged around 76-78 percent, while female LFPR was just 48.8 percent — one of the lowest in the region.

The TPB Plan underscores the need for a structural transformation that expands the industrial and manufacturing base while improving access to quality jobs across all sectors.

It was stressed that policies must address barriers to labor force participation, especially for women, and focus on equipping the workforce with skills that match evolving economic demands.

Balisacan then stressed that the TPB Plan sets out a comprehensive strategy for stimulating sustainable economic growth, generating quality employment, and building an agile workforce over the next decade.

Under the plan, DEPDev will coordinate a suite of policy initiatives spanning skills development, active labor market programs, industry partnerships, and regional diversification.

"We assure our stakeholders that the DEPDev will play a proactive and enabling role in developing policies and programs to ensure sustainable and inclusive economic growth, foster quality job creation, and produce a competitive workforce," Balisacan said.

The government targets to raise the overall labor force participation rate to 68.2 percent by 2034 from the 2024 baseline of 64.4 percent. Female participation, which stood at 53.8 percent this year, is seen rising to 59 percent over the same period.

The TPB Plan also seeks to reduce the unemployment rate to 3 percent by 2034 from the current 3.8 percent. Underemployment, a persistent issue among Filipino workers, is targeted to fall from 13.3 percent to between 7 and 9 percent by the end of the planning period.

The proportion of employed poor is also expected to improve significantly — from 16.9 percent in 2023 to between 6 and 8 percent by 2034.

On productivity, the plan aims to raise overall labor productivity from 4.5 (baseline 2024) to 6.8 by 2034. Gains are also projected across sectors.

Labor productivity in services, currently at 2.2, is targeted to more than triple to 8.5 by 2028. Industry productivity is expected to improve from 0.2 to up to 0.83 within the next four years.

The department also committed to regularly monitoring outcomes and adjusting strategies in response to evolving economic conditions.

Republic Act 12145, which took effect on April 27, institutionalizes DEPDev as the country's primary socioeconomic planning and development body. The reform is expected to strengthen strategic foresight, policy coherence, and program coordination as the Philippines aims to become an upper-middle-income economy in the near term.