THE PHILIPPINES faces the highest level of jobs at risk due to Generative Artificial Intelligence (GenAI) in the Association of Southeast Asian Nations (ASEAN), according to a research brief issued by the International Labour Organization (ILO).
The report, Generative AI and Jobs in the Philippines: Labour Market Exposure and Policy Implications, found that 27.2% of the Philippine workforce — equivalent to approximately 12.7 million workers — is potentially vulnerable to disruption by GenAI technology.
Corresponding rates for Indonesia, Thailand, and Vietnam were between 21% and 22%.
While the headline numbers suggest a massive shift in the labor landscape, the ILO said that exposure does not necessarily equate to a looming unemployment crisis. The authors of the brief clarified that “exposure does not equate necessarily to full job replacement but rather the automation of tasks within occupations.”
The study found that only 3.6% of jobs fell into the highest GenAI exposure category with an elevated risk of job displacement. Instead of outright job replacement, the brief argued that the most significant impact on the Philippine labor market is likely to be the “transformation of jobs, potential gains in productivity and enhanced employment quality.”
The study underscores how AI affects different demographics, noting that “GenAI vulnerability is not gender neutral.”
Women face double the rate of GenAI exposure compared to men, reaching 40.3%, which reflects their greater concentration in high-exposure occupations such as clerical support and services and sales.
The ILO said women with advanced educations face a “particularly high potential of GenAI disruption.”
While the exposure rate for those aged 15-24 is slightly lower than that of adults, the report warned that young people are more likely to fill occupations at greater risk of displacement, with the potential impact being “greater for young women than for young men.”
Geographically, the impact is concentrated in urban centers where the Information Technology–Business Process Management (IT-BPM) industry is concentrated. In the National Capital Region, around two in five jobs are exposed to GenAI, a trend mirrored in Central Luzon and Calabarzon, where exposure exceeds 30%.
To navigate the looming transformations, the ILO recommended that “tripartite efforts prioritize measures that ensure the benefits of GenAI are inclusive” and prepare the workforce for evolving occupational profiles. This includes supporting enterprises — especially MSMEs — in adopting AI, strengthening digital infrastructure, and fostering collaboration with industry.
The ILO also noted in its brief the need for education and training programs to include AI and digital skills, with complementary labor market measures and income support for those affected by workforce changes.
“Moreover, given the uneven distribution of GenAl risks across the economy, differentiated regional and sectoral strategies are needed to avoid deepening prevailing inequalities,” the ILO added. — Erika Mae P. Sinaking
