Finance Secretary Ralph G. Recto emphasized the continued strength and resilience of the Philippine labor market, with key indicators reflecting sustained stability.

In March 2025, the country’s employment rate held at 96.1%—the same as in March 2024, reflecting sustained job creation.

The unemployment rate also remained low at 3.9%, unchanged from the same period last year. This brings the average year-to-date (YTD) unemployment rate to 4.0%, below the government’s 2025 target of 4.8% to 5.1% under the Philippine Development Plan (PDP) 2023–2028.

Meanwhile, the underemployment rate stayed relatively low at 13.4%, suggesting a steady improvement in job quality across sectors.

“It is encouraging to see that our labor indicators remain steady, but our work does not stop there. Our goal is not just stability, but continuous job growth. That’s why the government is all hands on deck to meet the rapidly growing demand for specialized skills by expanding upskilling and reskilling opportunities for Filipino workers to align our labor market with global standards. Because a future-ready workforce is the backbone of a stronger economy,” Secretary Recto said.

By broad industry group, the services sector continued to contribute the biggest share (62.0%) of employment in March 2025, followed by agriculture (20.1%) and industry (17.9%).

By subsector, the steady employment for the month was mainly due to additional jobs in education (210,000); administrative and support service activities (145,000); fishing and aquaculture (138,000); arts, entertainment, and recreation (91,000); and human health and social work activities (51,000).

Meanwhile, wage and salary workers continued to account for the largest share of workers in the country, constituting 63.4% of the total employed.

Among wage and salary workers, those employed in private establishments remained to have the highest share at 78.1%, while those employed in government only constituted 14.7%.

To further improve the country’s labor situation, the government recently launched the Trabaho Para sa Bayan (TPB) Plan, its 10-year employment master plan to reduce the unemployment rate to only 3% and the underemployment rate to 7% to 9% by 2034.

To achieve these targets, the TPB Plan lays out a long-term strategic framework for job creation, labor market transformation, and inclusive workforce development. It likewise underscores the crucial role of the private sector in strengthening curriculum development, enhancing training delivery, and supporting job placement programs.

The government has also implemented a broad suite of sectoral interventions.

The Department of Labor and Employment (DOLE) and the Department of Social Welfare and Development (DSWD) have intensified nationwide job fairs and support services targeting vulnerable groups.

Targeted interventions, such as financial, technical, and climate-adaptive support, are also being rolled out to ensure that low-income workers are not left behind. These include the JobStart Program and emergency employment through Tulong Panghanapbuhay sa Ating Disadvantaged/Displaced Workers (TUPAD) program.

To prepare the workforce for future demands, DOLE and the Technical Education and Skills Development Authority (TESDA) are enhancing training programs in high-demand sectors through the Digital Workforce Competitiveness Act and other global engagements.

In particular, TESDA has entered into partnerships with institutions in China, Germany, and Canada to align the country’s technical vocational education and training (TVET) standards with international benchmarks and to explore workforce development in areas such as nuclear energy.

The government likewise continues to pursue investments in high-impact priority sectors, foster innovation, and accelerate technology adoption through the implementation of the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy (CREATE MORE) Act.