Home / News / Jobless rate slides to 5.3% in August – PSA

Jobless rate slides to 5.3% in August – PSA

(File photo) Jobseekers line up at a job fair organized by the Department of Labor and Employment and the Provincial Government of Bulacan.

Metro Manila, Philippines – Fewer people were jobless in August as a result of fewer people entering the work force, according to official data. 

Figures from the Philippine Statistics Authority’s labor force survey showed the unemployment rate was at 5.3 percent from 6 percent the month prior, and 3.9 percent in the same period last year.

In a press briefing, National Statistician Claire Dennis Mapa said the lower number of work force even with the entry of fresh graduates in July contributed to the downward unemployment figure.

“‘Yung new entrants total no’ng July, umabot ng 1.5 million. Ngayon ‘yung new entrants bumaba ng kaunti, 897,000 no’ng August,” Mapa said. Of the August 2026 figure, the labor market absorbed about 470,000 individuals. 

Meanwhile, the employment rate in August 2026 stood at 94.7 percent or 49.79 million people, an increase from the 94 percent or 49.21 million the month prior. 

Data showed agriculture and forestry posted the largest year-on-year increase in employment, adding around 532,000 workers at the onset of planting season. 

Services comprised the biggest portion of the workforce at 61.7 percent, followed by agriculture at 20.9 percent, while the industry sector accounted for 17.3 percent. 

Employees in the manufacturing industry, on the other hand, suffered a steep decline of 350,000 due to challenges in the global market, marking a three-month consistent decrease since June, said Mapa. 

The underemployment rate, which measures workers looking for more jobs or work hours, rose to 11.9 percent or 5.90 million people from 12.9 percent, and higher than 10.7 percent in the same period last year. 

Mapa said the average decline in weekly hours per person in August was 1.4 hours from the 40.6 hours logged in July 2026.  

“Ang malaki talaga na rason ay ‘yung bad weather [The main reason is bad weather],” Mapa said, adding that around 3.7 million workers attributed the shorter work hours to weather-related disturbances.

NewsWatch Plus intern Alliah Lyn Reyes contributed to this report.

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