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While more Filipinos were employed in April 2026 compared to a year prior, the latest labour force data also showed higher unemployment, underemployment, and youth NEET rates, pointing to ongoing workforce challenges across the country.
The Philippines recorded 48.89mn employed persons in April 2026, according to the latest labour force survey released by the Philippine Statistics Authority (PSA).
This was higher than the 48.67mn employed persons recorded in April 2025 and the 47.94mn posted in January 2026.
At the same time, the country’s employment rate stood at 95.3% in April 2026. While this was slightly lower than the 95.9% recorded a year earlier, it improved from 94.2% in January 2026.
Labour force participation reaches 51.30mn
The labour force participation rate (LFPR) in April 2026 was estimated at 62.7%, equivalent to 51.30mn Filipinos aged 15 years and over who were either employed or unemployed.
Although lower than the 63.7% posted in April 2025, the latest figure was higher than January 2026’s 62.3%.
In terms of magnitude, the labour force increased from 50.74mn in April 2025 and 50.89mn in January 2026.
Unemployment rate rises to 4.7%
Despite the increase in employment levels, unemployment in the Philippines rose year-on-year.
The unemployment rate climbed to 4.7% in April 2026 from 4.1% in April 2025, although it improved from the 5.8% recorded in January 2026.
In actual numbers, 2.41mn Filipinos were unemployed in April 2026, higher than the 2.06mn recorded a year earlier, but lower than the 2.96mn posted in January 2026.
Services sector remains the country’s largest employer
By sector, services continued to account for the largest share of employed persons in April 2026 at 62.3%.
Agriculture followed at 19.4%, while industry made up 18.3% of total employment.
Among subsectors, wholesale and retail trade, including repair of motor vehicles and motorcycles, remained the top employer at 19.8%. Agriculture and forestry followed at 16.8%, while construction accounted for 9.8%.
The PSA also identified the sub-sectors that recorded the biggest changes in employment levels in April 2026, both year-on-year and quarter-on-quarter.
The top five sub-sectors with the largest annual increase in the number of employed persons were:
- Accommodation and food service activities (+510,000)
- Manufacturing (+259,000)
- Transportation and storage (+189,000)
- Mining and quarrying (+158,000)
- Education (+107,000)
Meanwhile, the sub-sectors that posted the biggest annual declines in employment were:
- Wholesale and retail trade; repair of motor vehicles and motorcycles (-450,000)
- Agriculture and forestry (-392,000)
- Fishing and aquaculture (-155,000)
- Administrative and support service activities (-50,000)
- Public administration and defence; compulsory social security (-50,000)
In terms of quarter-on-quarter changes from January 2026 to April 2026, the following sub-sectors recorded the largest increases in employment:
- Agriculture and forestry (+703,000)
- Wholesale and retail trade; repair of motor vehicles and motorcycles (+416,000)
- Accommodation and food service activities (+305,000)
- Construction (+211,000)
- Mining and quarrying (+89,000)
On the other hand, the top five sub-sectors with the largest quarter-on-quarter declines in employment were:
- Other service activities (-263,000)
- Public administration and defence; compulsory social security (-145,000)
- Administrative and support service activities (-136,000)
- Professional, scientific and technical activities (-108,000)
- Manufacturing (-107,000)
Majority of employed Filipinos are wage and salary workers
By class of worker, wage and salary workers continued to make up the majority of employed persons (64.4%).
This was followed by self-employed workers without paid employees (27.8%), unpaid family workers (5.8%), and employers in own family-operated farms or businesses (2%).
Among wage and salary workers, those employed in private establishments accounted for the biggest share at 78.7% of total wage and salary workers, equivalent to 50.7% of all employed persons in the country.
Meanwhile, workers employed in government or government-controlled corporations made up 14.6%.
Average weekly working hours increase slightly
The average weekly hours worked per employed person rose slightly to 40.2 hours in April 2026, from 39.9 hours in the same period last year.
The PSA also reported that around 68,000 employed persons, or 0.14% of the employed population, worked for exactly one hour during the reference period. This was slightly higher than the figures recorded in April 2025 and January 2026.
Davao Region posts highest employment rate
Across regions, Region XI or the Davao Region recorded the highest employment rate at 97.5% in April 2026.
Meanwhile, Region V or the Bicol Region posted the lowest employment rate at 93.2%.
Six regions recorded unemployment rates above the national average of 4.7%: Bicol Region (6.8%), Western Visayas (6.3%), Eastern Visayas (5.5%), CALABARZON (5.3%), the National Capital Region (5.2%), and Northern Mindanao (5.2%).
Underemployment rises to 15.2%
The underemployment rate in April 2026 increased to 15.2%, higher than the 14.6% recorded in April 2025 and the 13.2% in January 2026.
In terms of magnitude, around 7.41mn employed Filipinos expressed the desire for additional working hours, another job, or a new job with longer hours.
Of the total underemployed population, 56.8% worked less than 40 hours a week, while 43.2% worked 40 hours or more.
Youth employment and NEET rates remain a concern
For Filipinos aged 15 to 24 years old, the LFPR remained unchanged at 31.8% in April 2026.
However, the employment rate for youth declined to 87.4% from 88.5% in April 2025.
The proportion of youth not in education, employment, or training (NEET) also increased to 12.2%, up from 10.6% a year earlier.
DOLE strengthens push for future-ready Filipino workforce
In other news, the Department of Labor and Employment (DOLE) said last week that it is strengthening youth employability programmes aimed at preparing young Filipinos for future industries and emerging occupations.
Francis N. Tolentino, Secretary, DOLE said the department is prioritising initiatives that equip youth with skills relevant to future jobs.
"We expect to do something for the youth. I have been saying this: the training that should be provided to the youth should not be for the jobs of yesterday, but for the jobs of the future," he said during his assumption of leadership of DOLE leadership.
One of the department’s key initiatives is the Special Programme for Employment of Students (SPES), which provides short-term employment opportunities during school breaks for students from lower-income backgrounds, out-of-school youth, and dependents of displaced workers.
For 2026, DOLE reported that 31,646 SPES beneficiaries have received short-term employment opportunities under the programme, supported by a budget allocation of P848.223mn.
Most beneficiaries were employed in the education, accommodation and food service, manufacturing, wholesale and retail trade, and agriculture sectors.
Apart from helping students support their educational expenses, the programme also aims to provide practical work experience and workplace exposure to improve long-term employability.
One of the beneficiaries of SPES, Mary Joy P. Salve, Student Training Assistant, University of Mindanao, commented: "The allowance I receive from SPES helps me pay for my miscellaneous school fees. It greatly eases the financial burden on my family and myself, and I no longer worry too much about where to get money for my school needs."
As the Philippines continues to record employment growth, the latest labour force data also highlights the need to address unemployment, underemployment, and skills gaps, particularly among young Filipinos entering the workforce.
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Infographics / Philippine Statistics Authority
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