The number of unemployed Filipinos increased to 2.86 million in September 2026, raising the country’s unemployment rate to 5.4% from 5.3% in August, according to data released by the Philippine Statistics Authority (PSA) on Friday. The latest figure marked a significant increase from the 1.96 million unemployed individuals recorded in September 2025, when the unemployment rate stood at 3.8% The construction sector recorded the largest year-on-year employment decline, shedding 271,000 workers and bringing its total workforce to 4.70 million. National Statistician Claire Dennis Mapa attributed the decline to higher material costs and slower public construction activities.
Other industries that recorded employment losses included arts, entertainment and recreation, information and communication, and wholesale and retail trade. The business process outsourcing (BPO) sector also saw 289,000 contact center information clerk jobs lost year-on-year. Meanwhile, the number of employed Filipinos reached 50.32 million, higher than the 49.6 million recorded a year earlier. However, the employment rate declined to 94.6% from 96.2% in September 2025.
The PSA also reported that 5.56 million employed Filipinos were underemployed, representing an underemployment rate of 11.0% in September. The labor force expanded to 53.19 million from 51.56 million a year earlier, with more unemployed individuals entering the labor market than employed workers, Mapa said. The PSA conducted its Labor Force Survey from September 8 to 28, 2026.
