Jobless rate eases to 3.9% in August

THE PHILIPPINES’ unemployment rate dropped to 3.9% in August, driven by renewed hiring in the agriculture and construction sectors, the Philippine Statistics Authority (PSA) reported on Wednesday.

- Chloe Mari A. Hufana Reporter

The August jobless rate is an improvement from the three-year high of 5.3% in July, and 4% in August 2024, preliminary Labor Force Survey data showed.

The number of jobless Filipinos slid to 2.03 million in August from 2.59 million in July and 2.07 million a year earlier.

PSA Undersecretary and National Statistician Claire Dennis S. Mapa attributed improvement in the labor market in August to the recovery in some industries that were affected by typhoons in July.

"What we observed was that the biggest decline in July was in agriculture, retail trade, and construction — but they’ve now bounced back," he told a news briefing in Filipino.

"So, in a way, the job losses in July turned out to be temporary, and those who were displaced have returned. Basically, these are the industries that recovered," he added.

For the first eight months, the jobless rate stood at 4.1%, a tad higher than the 4% rate a year ago.

In August, the agriculture and forestry sector gained 1.35 million jobs from July, a month that was battered by bad weather. This brought the total number of workers in the sector to 8.73 million, up from 7.38 million a month prior. Year on year, the sector gained 300,000 workers in August.

The Philippines is struck by more tropical cyclones annually than any other region, with an average of 20 storms each year. According to the national weather bureau, typhoon activity peaks between July and October, accounting for nearly 70% of all cyclone formations during this period.

Labor Secretary Bienvenido E. Laguesma welcomed the improved jobs data, saying the government is committed to "future-proofing" and "weatherproofing" jobs.