The unemployment rate in the Philippines rose to 6% in July 2026 from 4.9% in June, reaching its highest level since June 2022. The number of unemployed individuals increased to 3.14 million, up from 2.59 million in the previous month.
Underemployment—a key measure of job quality—also worsened, climbing to a three-month high of 12.9% from 12.1%. This translates to 6.33 million workers who are employed but seeking additional hours or another job.
The employment rate declined to 94% from 95.1%, as the number of employed persons fell to 49.21 million from 50.66 million. The services sector remained the country’s largest source of jobs, accounting for 62.8% of total employment, followed by agriculture at 19.7% and industry at 17.5%.
Wage and salary workers made up 66.1% of total employment, with the majority (78.3%) working in private establishments. Average weekly working hours were unchanged at 40.6 hours.
