Research group IBON said that recent job losses show how unstable the Philippine labor market remains, reflecting the weakness of the overall economy. It added that official labor force figures are increasingly misleading and mask the widespread crisis of poor earnings, job insecurity, and unpaid work. Anticipating the government’s reporting of the economic growth rate, the group also pointed out that millions of Filipinos are at the losing end of jobless or even job-destroying growth.
IBON stressed that the labor market will remain unstable as long as the government refuses to develop agriculture and Filipino industries to create decent and stable work. The group said that substantial public funds and resources must be used to generate decent and sustainable livelihoods for ordinary Filipinos instead of enriching a wealthy few.
The most alarming indicator is how employment fell by 270,000 year-on-year to 49.6 million in September 2025 from 49.9 million in September 2024. Unemployment rose slightly by 63,000 to nearly 2 million, while underemployment fell by 421,000 to 5.5 million over the same period.
Being reported as employed has ceased to be a reliable indicator of well-being. IBON estimates around 20 million openly informal workers with low and irregular earnings, comprising 40.2% of total employed persons. This figure includes the self-employed, those working in own family operated farms or businesses, domestic workers and unpaid family workers. If informal private establishment workers are included, this number could rise to 35.5 million which means 7 out of 10 employed Filipinos actually beyond labor standards and regulation.
Even underemployment figures are likely diminished indicators of job quality. There is so much uncertainty in labor markets today that it is likely that many so-called employed who want additional work have just stopped looking and instead become discouraged by the poor prospects available.
Moreover, the economy continues to deindustrialize under the Marcos Jr administration. Employment in manufacturing dropped by 302,000 to 3.5 million from 3.8 million, with an average loss of 208,000 jobs per month since January 2025. Agricultural employment increased by 439,000 to 10.4 million, confirming that the sector remains a source of livelihoods of last resort despite low earnings there. Still, this was not enough to offset the 1.5 million job losses in the sector recorded in July 2025, with only an average of 6,000 jobs created monthly since the start of the year.
Trends in other sectors also affirm a volatile labor market, contrary to the Marcos administration’s claims. The drop in domestic services employment further underscores the insecurity and vulnerability of informal sector work. Employment in Other Services fell by 493,000 to 2.9 million from 3.4 million, which was mainly attributed to the 573,000 job losses in domestic services as households likely struggled to maintain domestic help.
The weak economy and unstable jobs situation are causing insufficient incomes and more hunger. For instance, the Php695 minimum wage in the National Capital Region (NCR) is just a little more than half (57%) of the Php1,240 living wage needed to support a family of five, as of October 2025. Thus, even the reported 366,000 increase in full-time work cannot be taken at face value and even supposedly full-time workers can still be paid poverty-level wages. As it is, involuntary hunger among Filipino families grew to 22% in September 2025, up from 16.1% in June 2025, according to the Social Weather Stations.
IBON said that a truly stable labor market requires a robust economy, with long-term strategies to strengthen domestic agriculture and Filipino industries. In the short term, urgent relief is needed through substantial wages hikes, aid, and support to small businesses and production sectors. Without measures prioritizing people’s welfare, millions of Filipinos will remain vulnerable, as the Marcos Jr administration advances policies that perpetuate low incomes, jobs insecurity, and a weak economy.
