Unemployment up 5.8% in January

More Filipinos of working age were jobless last January, authorities have confirmed.

In a press conference Friday, Deputy National Statistician Divina Gracia del Prado said the unemployment rate stood at 5.8 percent in January, up from 4.4 percent in December 2025 and 4.3 percent in January last year.

In numerical terms, this means  the number of jobless Filipinos increased to 2.96 million in January from 2.26 million in December 2025 and 2.17 million in January last year.

She also said the January unemployment rate is the highest since June 2022, when it reached six percent.

While the authorities cannot put the blame on the US-Israel war against Iran because it is just entering the third week of hostilities, Del Prado said the negative impact on the labor market is expected to be felt in March, and will be reported in May, 2026.

Already, the economy is feeling the pinch in the form of high prices of petroleum products which are commonly used by the people, such as gasoline, diesel, kerosene and liquified petroleum gas.

“We might see the effect in the March LFS results. That will be presented or reported in May,” she said, referring to the labor force survey.

She said the war in the Middle East could also affect hiring or lead to layoffs in the local market as rising oil prices push up costs.

“Given elevated geopolitical tensions and global uncertainties, strategic policies are needed to bolster labor market resilience. The government continues to pursue a comprehensive response to support affected workers in the short term while fostering a dynamic and robust labor market in the medium and long term,” Department of Economy, Planning and Development Secretary Arsenio Balisacan said.

The DEPDev launched this week the Juana Trabaho initiative together with the Australian government, aimed at increasing women’s participation in the workforce.

“Our priority is clear: create more and better jobs at home, strengthen industries, equip our workers with the skills needed for higher-value employment and ensure that those affected by global disruptions, including OFWs, can transition smoothly into productive opportunities here in the Philippines,” Balisacan said.