The Philippine Statistics Authority (PSA) reports that the national unemployment rate fell to 5.3% in August 2026, or an equivalent of 2.77 million Filipinos. This is lower than the 6% recorded in July.

However, on a year-on-year basis, the 5.3% rate in August 2026 remains higher than the 3.9% recorded in the same period last year.

Meanwhile, the employment rate slightly rose from 94% in July to 94.7% in August.

The 94.7% employment rate recorded by the agency translates to 49.79 million employed individuals. However, the 94.7% figure in August 2026 is lower compared to the 96.1% recorded in August 2025.

The 96.1% rate recorded last year was equivalent to 50.10 million individuals.

Meanwhile, the underemployment rate or those working in jobs that do not match their skills, education, or training- rose by 11.9%, equivalent to over 5 million people.

In August 2025, the PSA recorded a 10.7% underemployment rate, equivalent to 5.38 million individuals.

Meanwhile, the Labor Force Participation slightly declined compared to last year. In August 2026, the PSA recorded 64%, down from the 65.1% recorded in the same period last year.