Skills gap solutions and upskilling initiatives: strengthening Philippines' workforce

'Our goal is to ensure the workforce has access to the skills that are in demand today and essential for sustaining competitiveness in the years to come,' says DOLE division chief

Skills gap solutions and upskilling initiatives: strengthening Philippines' workforce

As technological advancements continue to reshape the world of work, the Philippines faces significant skills gaps across various sectors. Addressing these gaps has become crucial to maintaining resilience and economic growth.

From digital skills to healthcare, green jobs, and STEM competencies, the need for targeted upskilling programs has never been more pressing.

The Department of Labor and Employment (DOLE) has responded to these demands through comprehensive skills-mapping programs aimed at pinpointing gaps and guiding training efforts.

These programs support the country’s broader goals under the “Trabaho Para sa Bayan” (TPB) master plan, which strives to increase employment opportunities by focusing on tech-driven and emerging sectors.

One of the department’s representatives at the forefront of these efforts is Grace Baldoza, Division Chief of the Labor Market Information Division at DOLE’s Bureau of Local Employment (BLE).

Her team analyzes labor market data to provide insights that inform government policies and private sector initiatives alike.

“Our goal is to ensure the workforce has access to the skills that are not only in demand today but also essential for sustaining competitiveness in the years to come,” she tells HRD Asia.

Identifying critical skills gaps in the workforce

Baldoza highlights several core areas where the Philippine workforce is lacking, starting with digital skills. DOLE’s digital skills mapping initiative, undertaken with the Department of Information and Communications Technology (DICT) and other government agencies under Republic Act 11927, aims to assess the current state of digital competencies across the country, identify gaps, and outline future needs.

This initiative will contribute to the development of a National Digital Roadmap, guiding workforce planning and training.

In addition to digital skills, core competencies—what Baldoza calls “skills that enable someone to thrive in the workplace”—such as adaptability, problem-solving, and critical thinking are in high demand.

STEM skills are also essential for growth in sectors like manufacturing and innovation, while the healthcare sector faces critical shortages, further highlighted by the pandemic. Green skills have also become a priority in alignment with the government’s focus on sustainable development.

“There’s an overlap between STEM and green skills,” Baldoza notes, emphasizing the importance of competencies that support environmental and economic goals.

Emerging needs in the gig economy are also significant, with demand for platform-specific skills like content moderation and prompt engineering. “There is a greater need for prompt engineers, AI prompters, and content moderators for digital platforms,” she explains.

Upskilling and the market’s demand

With the skills landscape evolving rapidly, adaptability and continuous learning have become essential. Baldoza stresses the importance of cultivating a workforce that is multi-skilled and adaptable to ongoing shifts in technology.

“The main thing for us now is really to be more adaptable and flexible and open to continuous learning,” she says. “We call it lifelong learning. Whatever age you are, you should not stop improving your competencies and your skills.”

Using the example of older generations adapting to smartphones, Baldoza emphasizes that lifelong learning is a necessity for today’s workforce. “Even our parents and grandparents are now learning how to use mobile phones and smartphones,” she observes.

As new technologies emerge, she encourages workers to “learn the basics of different tools and technology being introduced to us” to remain competitive.

Key DOLE initiatives in workforce development

Baldoza outlines four primary upskilling initiatives under the DOLE Labor and Employment Plan for 2023-2028:

1. Youth Employability Programs: Targeting the youth, especially those not engaged in education, employment, or training (NEET), these programs aim to build competencies and improve employment prospects for vulnerable groups.

2. Public Employment Services: Provided through Public Employment Service Offices (PESOs), these services offer job matching, career development, and profiling support for job seekers, employers, and stakeholders. “This enables us to guide job seekers in selecting appropriate career paths,” Baldoza explains.

3. Labor Market Information Services: Through publications and platforms like PhilJobNet, BLE monitors labor market trends, including shifts in demand for certain skills and hard-to-fill roles. PhilJobNet, a government job portal, offers verified listings across industries, helping to prevent illegal recruitment.

4. Job Fairs and Employment Regulation: Accredited by DOLE, job fairs provide a safe space for job seekers and employers to connect. “We’ve introduced one-stop shops at these events so applicants can gather necessary documents easily and without cost, especially the first-time jobseekers,” says Baldoza.

Building industry support for workforce development

While the government offers limited direct incentives for companies to invest in upskilling, DOLE fosters public-private partnerships to support workforce development.

Programs like the Adjustment Measures Program help small and medium enterprises (SMEs) adapt to labor market disruptions, including workforce training.

“Our goal is to foster industry support through shared resources and interagency efforts that complement each other,” Baldoza explains.

DOLE’s Labor Market Information (LMI) system is also an essential resource, offering granular data that guides educational and policy adjustments.

Partnerships with organizations like the International Labour Organization (ILO) further enhance labor market forecasting, ensuring the workforce keeps pace with evolving industry demands.

Online learning and educational institutions

The increasing importance of online learning platforms has made massive open online courses (MOOCs) valuable tools for upskilling.

“The more MOOCs platforms available, the wider access there is for our workers,” Baldoza notes. These platforms offer certifications that improve employability, providing pathways for continuous skills development.

Reflecting on the pandemic, she adds, “Online learning platforms are necessary” to avoid disruptions in education.

DOLE collaborates closely with educational institutions to align curricula with the needs of industries, particularly in STEM and digital fields.

Meanwhile, regional labor market information allows institutions to tailor programs to specific demands, creating region-specific workforce solutions.

“Regional labor market information allows institutions to tailor programs to the specific demands of different [areas],” she explains.

Effective upskilling programs for HR professionals

For HR leaders focused on upskilling, Baldoza recommends beginning with a comprehensive needs assessment. “Set goals for different career levels and create pathways for employees to move into higher-value roles,” she advises.

A culture of continuous learning and tailored training can strengthen an organization’s talent pipeline. Companies should leverage partnerships with external organizations to expand resources and enhance corporate social responsibility.

Baldoza acknowledges that retention remains a challenge as workers increasingly seek flexible arrangements. “Workplace flexibility, mental health support, and strong communication all contribute to an effective retention strategy,” she says.

Additionally, she encourages HR professionals to support employees who wish to explore new skills, which can boost engagement and loyalty.

Supporting the Philippines’ future workforce

Looking ahead, Baldoza identifies digital and green skills as essential for the Philippine workforce. With the increasing urgency of sustainability, green skills will be key in supporting global commitments like the Just Transition Work Program.

“Climate change and disaster preparedness require a skilled workforce ready to address environmental issues,” she says, emphasizing that these skills often overlap with STEM roles.

Baldoza also notes the growth of freelancing and entrepreneurial work, which has driven demand for business and entrepreneurial skills. “There’s a rising trend of people building their own ventures alongside traditional jobs,” she observes, adding that this trend strengthens the country’s micro, small and medium enterprises (MSME) sector.

As digital transformation and flexible work models expand, balancing technical and entrepreneurial skills will be crucial. Through these programs and initiatives, DOLE aims to create a workforce prepared for future demands, equipped with both foundational and emerging skills.