PHL skills gap most apparent in foreign languages

Filipino workers of either gender assessed themselves most deficient in language skills and operating machinery, according to a study by the Asian Development Bank (ADB).

In its “Harnessing Survey Data to Shape the Future of Work” report, the ADB said according to their self-assessments, Filipino workers considered reading, writing and basic numeracy to be closely aligned with job requirements, though computer or software skills and communication skills were aligned to a lesser extent.

According to the skills self-assessment against job requirements, the ADB found that 39% of surveyed men and 27.3% of women considered themselves underskilled in foreign languages, rating their proficiency as below standard or needing improvement.

For men, the other major skills gaps were in operating machinery and equipment (26.5%), project management or organizational skills (23.6%), computer or software skills (20.2%), and teamwork or leadership skills (19.3%).

For women, operating machinery and equipment (25.4%), project management or organizational skills (23.7%), computer or software skills (17.6%), and teamwork or leadership (16.8%) were the other leading self-reported skills gaps.

The ADB noted that while some skill areas showed gender differences, overall trends in alignment and perceived gaps were broadly similar for men and women.

“In the Philippines, men were more engaged than women in physically demanding manual tasks such as lifting, driving, and using heavy machinery, while gender differences were narrower in precision work and prolonged physical activity,” the bank said.

Overall, the Philippines showed the lowest overall skills match at 71.8% for both sexes, next to Bhutan (92.6%) and Georgia (78.8%).

Source: Business World

Philippines’ August jobless rate declines

The Philippines’ unemployment rate fell to 3.9% in August, reflecting stronger hiring momentum as the labor market recovered from midyear slack.

The number of jobless Filipinos fell to 2.03 million from 2.59 million in July and 2.07 million a year earlier, the Philippine Statistics Authority said on Wednesday.

The employment rate improved to 96.1% from 94.7% in July, with total employed persons rising to 50.1 million. The jobless rate was 4% a year earlier and 5.3% in July.

The labor force participation rate climbed to 65.1% from 60.7% in July, equivalent to 52.13 million Filipinos aged 15 and older either working or seeking work.

On average, employees worked 41 hours a week, up from 40.7 hours in August last year.

The service sector remained the country’s biggest employer, accounting for 61.5% of total jobs, followed by agriculture at 20.4% and industry at 18.1%. Wholesale and retail trade, agriculture and forestry, and construction were the top employing subsectors.

Underemployment eased to 10.7% from 14.8% in July, with 5.38 million workers saying they wanted more hours or an additional job. Of the underemployed workers in August, 62.4% worked less than 40 hours a week, while 37.6% worked 40 hours or more a week.

Youth employment also improved, with the employment rate among those aged 15 to 24 rising to 88.3% from 81.9% in July, the local statistics agency said.

Source: Business World

Fair incomes, safety nets, career progression urged for PHL workers

The Government needs to ensure that gig workers receive fair and transparent earnings to unlock the full potential of the gig economy, market research company Ipsos said.

Despite sharp swings in monthly pay, most Filipino gig workers remain upbeat about their prospects.

The findings come from Gig Life PH: Understanding the Realities and Preferences of Filipino Gig Workers, a new Ipsos Strategy3 study, which showed that many earn more without giving up full-time jobs, though monthly earnings fluctuate by 10 percent to more than 30 percent.

Alongside flexibility, workers said they want a safety net, with 64 percent prioritizing retirement planning and 58 percent seeking access to healthcare.

“The Philippine gig economy provides workers with a flexible and empowering source of income, presenting a dynamic avenue for economic growth,” Ipsos Strategy3 Principal Christine P. Dugay said at a briefing.

She said the government and gig platforms need to support such workers by ensuring fair and transparent earnings, investing in data systems, protecting workers, and offering skills development and career progression.

“(Workers) have to be provided breakdowns of earnings, bonuses, and deductions,” she added.

“There is really a need to standardize what we would call gig work principles,” she said, including defining base pay for gig workers.

“The government has to actually work with the gig platforms because they should see the pay structure … The government has to understand how they are defining base rates and what would be considered base pay,” she added.

She said that gig platforms can help by providing a detailed breakdown of earnings, bonuses, and deductions and adopting standardized definitions for base pay, search rates, and incentive schemes.

The Ipsos Gig Life PH study found that 64% of gig workers are actively planning for retirement, while 58% value access to healthcare.

“Given their preferences, we recommend there should actually be an improvement of social protection and retirement security for gig workers,” she said.

“We also are recommending that the government create benefits schemes. Gig workers want to be in control of their social protection; this is why you should allow them flexible app-based enrollments and contributions to enhance their social security,” she added.

Source: Business World