The Department of Labor and Employment-Davao Region (Dole-Davao) reported that around 200 job seekers were hired on the spot during the 123rd Labor Day Job Fair held on May 1, 2025, at SM City Davao.
Unemployment Rate Declines
Davao Region's unemployment rate fell to 2.9 percent in 2025 while employment rose to 97.1 percent, signaling a stronger labor market that put more people to work across the region, according to the latest Labor Force Survey released by the Philippine Statistics Authority (PSA).
The number of unemployed persons declined to about 73,000 in 2025 from 79,000 a year earlier, while the number of employed individuals increased to 2.48 million from 2.39 million in 2024. The employment rate also improved from 96.8 percent in 2024 to 97.1 percent.
Labor Force Participation Increases
More Dabawenyos also joined the workforce. The labor force participation rate rose to 65.4 percent in 2025 from 64.5 percent a year earlier, translating to about 2.55 million Filipinos aged 15 years and older who were either employed or actively looking for work. The figure surpassed the 2.47 million recorded in 2024.
The region likewise recorded gains in job quality as underemployment dropped to 3.9 percent from 4.4 percent in 2024. The rate measures employed workers who want additional work, longer hours, or another job. In terms of magnitude, around 96,000 employed individuals expressed a desire for more work in 2025.
Provincial Labor Market Highlights
Among provinces and highly urbanized cities, Davao del Sur posted the strongest labor market indicators. The province registered the highest labor force participation rate at 69.9 percent, the highest employment rate at 98.5 percent, and the lowest unemployment rate at 1.5 percent.
Davao Occidental followed with a labor force participation rate of 68.7 percent, while Davao del Norte recorded 66.4 percent. Davao Oriental posted the lowest participation rate at 62.8 percent.
Davao City, meanwhile, recorded the region's highest unemployment rate at 3.8 percent, although it remained below the national average. Other areas with unemployment rates lower than the regional average were Davao de Oro at 1.9 percent, Davao del Norte at 2.6 percent, and Davao Occidental at 2.8 percent.
Sectoral Employment Breakdown
The services sector continued to employ the largest share of workers in the region, accounting for 56.4 percent of total employment. Agriculture followed with 28 percent, while industry contributed 15.5 percent.
By subsector, agriculture and forestry remained the biggest source of jobs, employing 26.1 percent of workers. Wholesale and retail trade, including the repair of motor vehicles and motorcycles, accounted for 19.8 percent, while construction contributed 8.7 percent.
Employment by Status and Hours Worked
Most workers in Davao Region continued to rely on wages and salaries for their livelihood. Wage and salary workers comprised 61.3 percent of the workforce, followed by self-employed workers without paid employees at 29 percent. Unpaid family workers accounted for 7.4 percent, while employers in their own family-operated farms or businesses made up 2.3 percent.
Workers also logged slightly longer hours on the job. Average weekly hours worked increased to 38.2 hours in 2025 from 37.7 hours in the previous year.
Youth Labor Market Trends
The survey showed mixed results for young workers aged 15 to 24. Labor force participation among the youth declined to 33.3 percent from 34.3 percent in 2024. However, employment among young workers improved, with the employment rate rising to 91.1 percent from 90.4 percent.
The proportion of youth not in education, employment, or training (Neet) also improved, dropping to 12 percent in 2025 from 13.9 percent a year earlier, indicating that more young people were either studying, working, or undergoing training.
The latest PSA data point to a steadily improving labor market in Davao Region, with more residents entering the workforce, more people finding jobs, and fewer workers seeking additional employment opportunities. MLSA WITH PR
