Philippine Unemployment Rate Holds Steady at 4.4% in December 2025
The Philippine Statistics Authority (PSA) reported on Friday, February 6, 2026, that the country's unemployment rate remained unchanged at 4.4 percent in December 2025, mirroring the figure from November of the same year. However, this rate represents an increase compared to the previous year, as fewer Filipinos actively participated in the labor force during the period.
Labor Force and Employment Figures
This unemployment rate translated to approximately 2.26 million Filipinos being without work in December 2025. This number was slightly higher than the 2.25 million recorded in November and significantly up from the 1.63 million unemployed in December 2024, indicating a year-on-year rise in joblessness.
The labor force participation rate declined to 64.4 percent in December 2025, down from 65.1 percent a year earlier. Despite this drop, it showed a marginal improvement from the 64 percent noted in November. Consequently, around 51.69 million Filipinos aged 15 and older were either employed or seeking employment, a decrease from 51.81 million in the same month of the previous year.
Meanwhile, the employment rate held steady at 95.6 percent in December, unchanged from November but lower than the 96.9 percent posted in December 2024. Total employment reached 49.43 million, which was higher than the 49.26 million in November but fell short of the 50.19 million recorded a year ago.
Sectoral Breakdown and Job Trends
In terms of sectoral distribution, the services sector continued to dominate employment, accounting for 62.4 percent of total jobs. Agriculture followed with 20.7 percent, while the industry sector made up 16.9 percent.
Among sub-sectors, wholesale and retail trade had the largest share at 20.5 percent, followed by agriculture and forestry at 18.8 percent, and construction at 9.7 percent.
Compared to a year earlier, the most significant job gains were observed in:
- Administrative and support service activities
- Accommodation and food service activities
- Education
Conversely, job losses were recorded in:
- Construction
- Transportation and storage
- Manufacturing
- Agriculture and forestry
Workforce Characteristics and Youth Employment
Wage and salary workers constituted 64.2 percent of total employment, with the majority employed in private establishments. The average weekly hours worked increased to 41.2 hours, while underemployment eased to 8 percent, affecting approximately 3.93 million workers.
Focusing on the youth demographic, labor force participation among Filipinos aged 15 to 24 dropped to 31.1 percent. The youth employment rate also declined to 87.8 percent. Out of the 5.49 million employed youth, around 448,000 were underemployed, highlighting ongoing challenges in securing adequate work for this age group.
