MANILA, Philippines — The Philippine government has initiated a comprehensive ten-year program designed to enhance job creation and tackle unemployment aimed at reducing the unemployment rate and increasing the labor force participation rate (LFPR) by 2034. The Department of Economy, Planning and Development (DEPDev), alongside the Departments of Trade and Industry and Labor and Employment, unveiled the Trabaho Para Sa Bayan (TPB) Plan 2025 to 2034.

The TPB Plan aims to work in conjunction with the Philippine Development Plan 2023 to 2028 and the long-term vision, AmBisyon Natin 2040, which President Marcos endorsed through the signing of Republic Act 11962 in September 2023. This act is intended to address significant challenges in the nation’s labor market.

Key targets set out in the TPB include elevating the LFPR from 64.4 percent in 2023 to 68.2 percent by 2034. Specific goals for female workforce participation include increasing the rate from 53.8 percent in 2024 to 54 percent in 2028 and reaching 59 percent by 2034. Additionally, the government aims to lower the overall unemployment rate to three percent by 2034, down from 3.8 percent in 2023.

The TPB Plan further seeks to tackle underemployment, aiming to reduce the rate from 13.3 percent in 2023 to between 10 and 12 percent by 2028, and down to between seven and nine percent by 2034. The initiative also includes objectives to lower the proportion of employed individuals living in poverty from 16.9 percent in 2023 to between 10 and 12 percent in 2028, and to between six and eight percent by 2034.

Aiming for enhancements in productivity, the TPB sets a target for overall labor productivity growth of five percent by 2028 and 6.8 percent by 2034, an increase from 4.5 percent in the preceding year.

In a bid to strengthen domestic industries and enhance global competitiveness, the TPB also aims to elevate the country’s rank in the Global Innovation Index (GII) from 39th to 30th by 2034, while improving the production and export complexity ranking from 33rd to 25th.

DEPDev Undersecretary Rosemarie Edillon acknowledged the significant challenges ahead, particularly with a majority of the workforce projected to come from Generation Z and Generation Alpha by 2035. She emphasized the necessity for policy reforms to foster a resilient economy, stating the importance of adapting to rising trends in technology, such as artificial intelligence (AI).

Research indicates that approximately 35 to 37 percent of jobs in the Philippines may be susceptible to AI, with the World Bank estimating that half of these positions might be augmented by AI while the other half could be displaced.

The TPB Plan is considered critical in strategizing how to capitalize on technological advancements that could influence job creation.

In addition to the challenges presented by automation and AI, the government highlights various external factors that are likely to impact the labor market, including geopolitical changes, climate change, and demographic shifts.

DEPDev Secretary Arsenio Balisacan emphasized the urgency of adaptive policies to foster economic growth while providing necessary support to Filipino workers facing these evolving dynamics.

The legislative agenda integral to the TPB includes the proposed Open Access in Data Transmission Bill, amendments to the Right-of-Way Act, the Blue Economy Act, the Lifelong Learning Development Bill, and various support measures for telecommuting employees as well as protections for freelancers.

These legislative efforts are designed to respond comprehensively to the demands of a changing labor market.