The country’s unemployment rate climbed to 5.3 percent in July 2025, up from 3.7 percent in June and higher than the 4.7 percent recorded in July 2024, according to the Philippine Statistics Authority (PSA).

The latest Labor Force Survey showed that about 2.59 million Filipinos were unemployed in July, compared to 2.38 million in the same period last year and 2.06 million in April 2025.

Employment also fell, with 46.05 million Filipinos reported as employed in July, down from 47.68 million in July 2024 and 48.67 million in April 2025. The employment rate slipped to 94.7 percent, compared to 95.9 percent in April.

The labor force participation rate dropped to 60.7 percent, translating to 48.64 million individuals aged 15 and above who were either employed or looking for work. This was lower than the 63.5 percent recorded in July 2024.

By sector, services accounted for 62.8 percent of total employment, followed by industry (18.7%) and agriculture (18.5%). The largest annual job losses were seen in agriculture and forestry (-1.38 million), wholesale and retail trade (-897,000), and construction (-147,000).

The underemployment rate also increased to 14.8 percent in July, up from 12.1 percent a year ago. This means 6.8 million employed Filipinos wanted more working hours or additional jobs.

Regionally, the Bicol Region posted the highest unemployment rate at 7.7 percent, while the Cordillera Administrative Region registered the highest employment rate at 96.6 percent.