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Last June 5, Viventis held its first-ever National Skills Summit 2025 at the Isla Ballroom of EDSA Shangri-La, Manila, where we convened a diverse group of leaders from government and business who are committed to shaping the future of Filipino talent. The successful event explored crucial topics such as embracing lifelong learning, rebuilding educational foundations and bridging the skills gap through stronger collaboration between government, industry and academe.
It was an eye-opening event filled with valuable insights, and I’d like to share some key takeaways from my welcoming remarks.
There is no question that the world right now is in a topsy-turvy situation – marked by ongoing geopolitical wars, trade crises and nationalism-driven politics in established nations like America, the impact of Brexit and so on. At the core of every nation’s priorities are its citizens, who form the backbone of the labor market. When we step back and start looking at the bigger picture, it all boils down to a crisis of employment, talent and skills.
A critical snapshot of the Philippine labor market
In the local context of the Philippine skills landscape, the unemployment rate has significantly declined in recent years from a high of 10 percent down to 3.9 percent. The biggest issue that should be addressed is the 13.4 percent underemployment rate. The so-called NEET, or not in education, employment, or vocational training, is a critical term unbeknownst to many. These refer to young people between 16 to 24 years old who are facing challenges in accessing education, employment, or any training opportunities.
According to the Philippine Statistics Authority’s latest Labor Force Survey, the proportion of youth in NEET in April 2025 is at 10.6 percent or approximately 2.12 million Filipino youths. This alarming number goes to show that there are still so many underskilled Filipinos in the country.
This reality is further reinforced by a study from the Asian Development Bank, which underscores that the lack of proper reskilling and upskilling efforts has left the country stuck in a “low-skills trap.” This issue has been ongoing for many years and can be traced back to longstanding systemic gaps.
These include the absence of programs to identify at-risk youth, the lack of critical job skills training, weak employment linkages, inadequate funding for sector-based skills programs and the absence of employment policies that incentivize companies to hire young workers on longer-term contracts. As a result, productivity, wage growth and economic resilience – particularly in underserved regions like Mindanao – are being held back.
The Philippines has long been known as a vanguard of global skills, especially in the maritime industry, where it still ranks among the top 10. However, it is steadily losing ground in other sectors – even in areas that once relied on low-skill labor.
Neighboring countries like Indonesia and Cambodia are already catching up, highlighting the urgent need for the Philippines to take decisive action and make progress.
The central thesis of the National Skills Summit 2025 was to examine how we can effectively address the skills gap – and more importantly, how closing this gap can empower a pipeline of real, sustainable talent. With a robust and future-ready talent pool, we can drive long-term economic growth and, ultimately, fuel meaningful nation-building.
The skills economy and NatPlan
To take a deep dive into the power of skills, we need to look into the skills economy. The term “economy” here is not defined by GDP in terms of consumption, industry, manufacturing, or service. The World Economic Forum defines the skills economy as a “transformational shift in how businesses and individuals think about professional value and success, placing individual skills at the forefront of decision-making, while challenging the significance of traditional credentials and job titles.”
How much gross product output is driven by skills – and to be successful in driving such a critical mission – requires full collaboration among the government, educational institutions, individuals, the general population and each of the key industries in the country. The rise of the skills economy is incredibly significant for the nation, and leaders must play a strategic role in championing a skills-based transformation.
To make this mission a reality, the National Education and Workforce Development Plan (NatPlan) is a strategic initiative to align the nation’s education system and workforce with the rapidly evolving demands of a global economy. Government agencies, the academe and key institutions – including the Department of Education, Commission on Higher Education, Department of Science and Technology, Technical Education and Skills Development Authority (TESDA), Department of Trade and Industry (DTI), Department of Labor and Employment (DOLE), Office of the Special Assistant to the President and Department of Economy, Planning and Development – are working together to push for a robust skills economy.
Upskill, reskill and realign
If the goal of the nation is to boost employability, productivity and sustainable growth, then it is important to go through the agenda of upskilling, reskilling and realigning. For individuals, this can help increase employability and career advancement. For businesses, these efforts can attract and retain top-caliber talent and enhance labor productivity. Constantly investing in the skills development of your talents will ensure long-term and sustainable company competitiveness.
Lastly, for the economy, it can promote a nation of innovation and competitiveness and eventually lead to economic prosperity.
Some good examples are from Singapore and Malaysia, where both countries put a premium on national skills-building and workforce development. In Singapore, the SkillsFuture program provides skills development opportunities, comprehensive career guidance, and job-matching services to its citizens to help them thrive in today’s dynamic workplace.
In Malaysia, they call it the Human Resources Development Fund (HRDF), where it operates by collecting levies from registered employers and using the funds to provide financial assistance for training programs that are certified by the Ministry of Manpower. With such national initiatives, businesses can improve their workforce’s skills and productivity while also fostering a culture of lifelong learning.
Future-proofing the workforce: Championing the skills agenda
The next steps toward building a thriving skills economy and upgrading workforce development lie in our cross-sector collaboration. In an era of rapidly evolving technology and shifting skills demands, embracing learning agility is essential. Today’s skills can quickly become obsolete – but by nurturing an education system rooted in lifelong learning and building agile organizations that respond to the needs of the future workforce, we can begin to shape a world of work that is both relevant and competitive.
Investing in early workforce development is equally critical. Our K–12 system needs systemic reform to ensure that students not only gain knowledge but also develop the competencies required to be future-ready. Unlocking this strategic potential will lead to significant growth in our human capital.
Securing leadership support for skills development is also vital. Both the government and the private sector must champion a shared vision for the Filipino workforce. This means establishing strong policy direction and demonstrating a deep commitment to our people. Only then can we build a national skills roadmap that puts our future leaders at the center of workforce transformation.
From the valuable insights and forward-looking ideas shared by our distinguished speakers at the National Skills Summit 2025, one message is clear: the future of work is Filipino-centered. By equipping Filipinos with the right skills, access to technology and resources, meaningful opportunities, and the confidence to grow, we can shape a future that is not only resilient – but also inclusive, empowered and distinctly our own.
Yu Ming Chin is the executive director of Viventis, a human capital solutions provider and consulting firm with presence in the Philippines, Malaysia, Indonesia and Singapore.