PHL ramps up job protection amid Middle East conflict

The Philippine government is moving to preserve jobs and shore up labor-market resilience as the Middle East conflict continues to weigh on domestic economic conditions, according to the Department of Economy, Planning, and Development, or DEPDev.

The latest Labor Force Survey released by the Philippine Statistics Authority on April 8 showed a softer labor market than a year earlier, with unemployment at 5.1 percent in February 2026, up from 3.8 percent in February 2025, and underemployment at 11.8 percent, up from 10.1 percent in the same period last year.

In absolute terms, the PSA said 2.66 million Filipinos were unemployed in February 2026, while 5.84 million employed workers said they wanted additional hours, another job, or a new job with longer hours.

Despite the year-on-year deterioration, total employment reached 49.43 million in February 2026, up from 49.16 million in February 2025, or roughly 271,000 more jobs.

DEPDev said the employment gains were driven mainly by services, which added 1.1 million jobs, while PSA data showed the sector accounted for 63.5 percent of total employment in February.

“Recent developments highlight the urgency to strengthen the resilience of our labor market. We must ensure that our policies and programs respond effectively to rapidly changing global conditions, especially for affected and displaced Filipino workers here and abroad,” he said.

Balisacan said the geopolitical conflict in the Middle East would continue to affect global and domestic economic conditions and disrupt labor markets.

The government’s response is being carried out through the Unified Package for Livelihoods, Industry, Food, and Transport, or UPLIFT, under Executive Order No. 110.

According to government officials, President Ferdinand R. Marcos Jr. signed EO 110 on March 24 after declaring a state of national energy emergency, adopting UPLIFT as the government’s whole-of-government framework to mitigate the impact of the Middle East conflict on energy supply, essential services, and economic activity.

“The measures aim to safeguard the national interest by mitigating the impact of the conflict and ensuring the stability or continuity of essential services, sustaining economic activity, and supporting incomes amid rising fuel costs,” said Balisacan.

Affected workers are set to receive cash assistance, fuel subsidies, and support through the rollout of service contracting measures for vulnerable sectors.

Public transport and farm workers may also tap emergency employment through the Department of Transportation’s Service Contracting Program and the Department of Labor and Employment’s TUPAD, or Tulong sa Pang-hanapbuhay sa Ating Disadvantaged/Displaced Workers.

The Department of Agriculture is mobilizing its PHP 1 billion quick response fund for fuel subsidies and biofertilizer procurement, according to government officials.

The February figures also showed some improvement from January, with unemployment easing from 5.8 percent and underemployment down from 13.2 percent, suggesting that the labor market recovered modestly month on month even as it remained weaker than a year earlier.

The PSA said the labor force participation rate stood at 63.8 percent in February 2026, equivalent to 52.09 million Filipinos age 15 and older who were either employed or looking for work.

The broader stakes are significant because a preliminary Senate committee report on the crisis said more than 2.4 million Filipinos work and live in the Middle East, exposing overseas workers and remittance-dependent households to prolonged disruption if the conflict drags on.

The government said it will also step up efforts to promote renewable energy and electric vehicle ecosystems as part of a longer-term push to make the labor market more resilient.

“We expect an accelerated transition towards other sources of fuel and energy. Thus, we are building the skills, investment, and innovation ecosystem to support this move. Skills training programs on the operations and maintenance of renewable energy facilities and electric vehicles, including the needed parts and components, will also be provided to displaced workers,” Balisacan said.

Sources: Philippine Statistics Authority Labor Force Survey, April 8, 2026; Philippine Information Agency on Executive Order No. 110 and UPLIFT; Philippine News Agency and Senate committee materials on government response to the Middle East conflict.