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Government urged to protect workers under threat from US tariffs

REUTERS

THE Makati Business Club (MBC) said on Thursday that the government should move to ensure the protection of jobs that could be vulnerable in the face of disruptions from US tariffs and other policies.

The MBC said the 17% tariff charged on Philippine goods will likely affect skilled workers in export industries, particularly in electronics.

“Other recent policies of the US government may also impact the jobs of overseas Filipino workers (OFWs); hence, the government must also look into ensuring that skills training and jobs may be provided for them during these uncertain times,” it added.

Early last month, the US imposed tariffs on most of its trading partners, with Philippine goods being charged 17%, the second lowest in Southeast Asia after Singapore’s 10%.

Prior to this, US President Donald J. Trump also signed immigration-related executive orders to strengthen US border policy, tighten visa screening, and deter illegal immigration, possibly posing a threat to the jobs of US-based Filipinos.

The MBC said workers also face challenges concerning the increasing growth of artificial intelligence (AI) adaptation.

Citing a report by the International Monetary Fund, the MBC said around 14% of jobs in the Philippines are at risk of being replaced by AI, while 50% are jobs that AI can assist but not entirely replace. 

Meanwhile, a 2024 study by the Philippine Institute of Development Studies noted that around 29% of Filipino workers lack the necessary skills for in-demand jobs.

The MBC called on the government to ensure that Filipino workers are not left behind.

The MBC noted that action on reskilling and upskilling received a boost from the Enterprise-Based Education and Training Framework Act.

“However, the government needs to continue its efforts in ensuring that no Filipino worker gets left behind in the increasing growth of AI adaptation,” it added.

The MBC also called for the passage of the Lifelong Learning Development Framework Act.

“We believe this reform will contribute to creating a more skilled and competitive Filipino workforce,” it added. — Justine Irish D. Tabile

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