Philippines' rate of unemployment estimated at 4.3% in Jan 2025

This percentage has risen in comparison to the 3.1% recorded in the preceding month of Dec 2024 but has decreased from 4.5% in January 2024.

The Philippines Statistics Authority shared its Labour Force Survey for January 2025 on 6 March 2025, announcing that the unemployment rate in January 2025 was estimated at 4.3%, indicating a decrease compared to 4.5% in the preceding year.

In terms of magnitude, the number of unemployed individuals in January 2025 was posted at 2.16mn, the same estimate recorded in January 2024. The number of unemployed individuals in October 2024 was posted at 1.97mn.

Highlights of the labour force survey is as follows:

Employment rate

In January 2025, the employment rate was recorded at 95.7%. This was higher than the employment rate in January 2024 at 95.5%. In October 2024, the employment rate was estimated at 96.1%.

In terms of levels, the number of employed persons in January 2025 was recorded at 48.49mn. This was higher than the number of employed persons of 45.90mn in January 2024 and in October 2024 at 48.16mn.

Labour force participation rate (LFPR)

The labour force participation rate (LFPR) in January 2025 was estimated at 63.9%, higher than the estimated LFPR in January 2024 at 61.1% and in October 2024 at 63.3%.

The reported LFPR in January 2025 translates to a total of 50.65mn Filipinos aged 15 years old and over who were in the labour force, or those who were either employed or unemployed.

The number of individuals aged 15 years old and over who were in the labour force was 48.06mn in January 2024 and 50.12mn in October 2024.

Youth LFPR increased to 31.8% in January 2025 from 29.7% in January 2024 and 31.3% in October 2024. Youth employment rate was recorded at 88.0% in January 2025, higher than the estimated rate of 86.6% in January 2024.

The proportion of youth not in education, employment, or training (NEET) in January 2025 decreased to 11.7%, from 13.7% in January 2024.

Underemployment rate

The underemployment rate in January 2025 decreased to 13.3%, from 13.7% in January 2024. In October 2024, the underemployment rate was estimated at 12.6%.

In terms of magnitude, 6.47mn of the 48.49mn employed individuals expressed the desire to have additional hours of work in their present job or to have additional job, or to have a new job with longer hours of work in January 2025.

Mean hours worked in a week
On average, employed persons worked 40.4 hours per week. This was lower than the average hours worked in a week in January 2024 at 42.2 hours and in October 2024 at 41.0 hours.

About 59,000 employed persons worked for exactly one hour in January 2025 or 0.12% of the total number of employed persons. This is higher than the recorded number in January 2024 at 34,000 employed persons (0.07%), and that of October 2024 at 45,000 employed persons (0.09%).

Sector
By broad industry group, the services industry continued to be the top sector in terms of the number of employed persons with a share of 61.6% of the total employed persons in January 2025.

The agriculture and industry sectors accounted for 21.1% and 17.2% of the total number of employed persons, respectively.

The top five sub-sectors in terms of annual increase in the number of employed persons in January 2025 were the following:

1. Agriculture and forestry (883,000)
2. Wholesale and retail trade; repair of motor vehicles and motorcycles (850,000)
3. Accommodation and food service activities (533,000)
4. Transportation and storage (141,000)
5. Administrative and support service activities (136,000)

In contrast, the following five sub-sectors posted the highest annual decreases in the number of employed persons:

1. Manufacturing (-209,000)
2. Professional, scientific and technical activities (-58,000)
3. Arts, entertainment and recreation (-29,000)
4. Construction (-11,000)
5. Information and communication (-9,000)

As to quarter-on-quarter changes in the number of employed persons in January 2025, the top five sub-sectors with the largest increase were the following:

1. Other service activities (203,000)
2. Accommodation and food service activities (191,000)
3. Fishing and aquaculture (171,000)
4. Wholesale and retail trade; repair of motor vehicles and motorcycles (166,000), and
5. Transportation and storage (122,000).

On the other hand, the top five sub-sectors with the largest drop in the number of employed persons from October 2024 to January 2025 were the following:

1. Manufacturing (-119,000)
2. Agriculture and forestry (-113,000)
3. Administrative and support service activities (-104,000)
4. Construction (-92,000)
5. Public administration and defence; compulsory social security (-58,000)

Infographics / Philippines Statistics Authority 
Lead image / Labour Force Survey