The Philippine government's private-sector advisers are calling for accelerated workforce upskilling to ensure no Filipino is left behind as the country transitions toward a digital-first economy powered by artificial intelligence (AI).

Palace Press Officer Clarissa A. Castro said the upskilling agenda was a central topic during the fifth meeting of the Private Sector Advisory Council (PSAC) on the education and jobs sector, convened by President Ferdinand R. Marcos, Jr. at Malacañang earlier this week. The session was held jointly with the PSAC Digital Infrastructure Sector Group and emphasized expanding AI adoption and digital upskilling across the country.

"The implementation of the semiconductor and electronics industry roadmap was also discussed, along with programs to expand job, business, and skills development opportunities for the people," Ms. Castro said at a press briefing. Electronics and semiconductors account for the bulk of Philippine merchandise exports, and the country is a significant base for semiconductor assembly, testing, and packaging operations serving global supply chains.

She added that discussions focused on deepening coordination among government, the private sector, and academia to address the jobs-skills mismatch and to develop policies aligned with the needs of industries and the modern economy. The President's objective, she said, remains centered on preparing Filipinos for the jobs of the future.

The PSAC recommended establishing a National AI Implementation Task Force to help the Philippines accelerate preparations across the workforce, business community, and government for the risks and opportunities AI presents.

"Artificial intelligence is no longer a technology of the future — it is already changing the way people work, learn, and do business today," PSAC Strategic Convenor and Aboitiz Group President and CEO Sabin M. Aboitiz said in a statement. "Our priority is to make sure every Filipino has the opportunity to benefit from AI by creating better jobs, developing new skills, and strengthening industries that will drive long-term economic growth."

The council pushed for the release of P650 million from the Higher Education Development Fund to the Commission on Higher Education (CHED) to support priority AI upskilling programs in colleges and universities in 2026, helping students acquire skills needed for emerging industries.

The call comes as the Philippine Statistics Authority reported on Thursday that the number of unemployed Filipinos rose to an estimated 2.59 million in June, up from 1.95 million in the same month a year earlier. The unemployment rate climbed to 4.9% in June from 3.7% in June 2025. The push for AI readiness takes on added urgency given the outsized role of the country's business process outsourcing (BPO) sector — a cornerstone of Philippine services exports employing well over a million workers — where generative AI tools are reshaping the nature of customer-facing and back-office work.

In the 2025 Government AI Readiness Index compiled by Oxford Insights, the Philippines ranked 49th out of 195 countries. While its score of 57.76 out of 100 exceeded the global average of 41.40 and the regional average of 49.11, the country received low marks in AI infrastructure, development, and diffusion. The ranking places the Philippines behind several regional peers, including Singapore and Malaysia, that have moved more aggressively on national AI strategies and digital infrastructure buildouts.

The Department of Science and Technology announced in the second quarter of 2025 that it plans to invest more than P2.6 billion in AI projects through 2028. In June, the Asian Development Bank proposed a $1.3-million technical assistance fund to support developing Southeast Asian economies, targeting scalable digital infrastructure, cloud readiness, digital public systems, and data governance.

According to the PSAC, the next challenge lies in ensuring the national AI strategy is implemented effectively through a well-coordinated, whole-of-nation approach. The council welcomed the strengthened partnership between the Education and Workforce Development Group — the cabinet cluster for education — and the Industry, Academe and Civil Society Council for Education to carry out the 10-year National Education and Workforce Development Plan, with a focus on curriculum development for semiconductors and AI.

— Erika Mae P. Sinaking