Depatment of Labor and Employment

BUREAU OF LOCAL EMPLOYMENT

LABOR MARKET

TRENDS SEPTEMBER 2023

Fostering Demand
for Freelancers
in the Philippines

Labor Market Trends is an annual special release of the Bureau of Local Employment containing various
information on relevant topics in the current labor market.
 LABOR MARKET TRENDS SEPTEMBER 2023

Overview
With the COVID-19 pandemic and the Fourth Industrial has an estimated 1.5 million international digital platform
Revolution, we witnessed the acceleration of digital workers or known as online freelancers that are engaged
transformation in societies, radically changing the way we in different project-based services, ranging from software
live and work. Digitalization has increased labor productivity development, administrative support, virtual assistance, digital
and efficiency, and has also created a demand for new jobs marketing, content moderation, data entry, and language
in the gig and platform economy. The International Labour instruction for different clients around the world⁴.
Organization noted that the gig economy, which covers
The pandemic marked a boom in the gig economy due to the
technology-driven innovation providing new opportunities
world of work’s shift to digital platforms and increased reliance on
for workers (i.e. digital marketing jobs, Search Engine
gig workers to home-deliver necessities to consumers. Furthermore,
Optimization (SEO) specialists, data scientists, among
the crisis has upended the traditional 9-5 working world and
others), has revolutionized the global labor market,
caused many blue- and white-collar employees to pursue digital
alongside the rise of the digital, care, and solidarity
and gig work for additional, or even primary income during such
economies¹ .
unprecedented times. Ultimately, the gig economy offers job
The ASEAN region, including the Philippines, has been flexibility that is more appealing and becoming more and more
considered at the forefront of this transformative shift necessary to workers.
in the gig economy, propelled by the emergence of digital
This edition of the Bureau’s Labor Market Trends explores the rise
innovations and the increasing reliance on digital platform
of the gig economy workers in the Philippines, with a key focus
work² . According to Payoneer, the Philippines had a 35%
on the growing demand for freelancers, their nature (including
growth in freelancing revenue from 2018 to 2019³. And in the
income and benefits), and the upskilling agenda for freelancers.
recent data released by GCash and Payoneer, the Philippines

Gig Economy Workers Defined

A gig economy worker is defined as a person who works 10.321 million, since the specific survey question was
temporary jobs, typically in the service sector, as an piloted.
independent contractor or freelancer. According to
Meanwhile, a notable increase in the number of workers
Yamano (2023), workers under the gig economy are
that did not engage in platform or mobile work was
paid per task or project, rather than on a time basis (i.e.,
observed at 13.3% or 4.569 million, from 25.337 million
hourly wages or monthly salaries), and are typically
in May 2021 to 28.015 million in December 2021.
matched to jobs using a digital platform⁵.
In terms of nature of employment, most of the gig economy
The latest data of the Philippine Statistics Authority
workers have permanent jobs (5.841 million), followed
(PSA) revealed that around 7.310 million workers were
by short term or seasonal employment (1.383 million),
classified as gig economy workers or those engaged in
and worked for different employers on a day-to-day or
online platforms or mobile applications in his/her work.
week-to-week basis (87,000).
This is lower by 29.2% or 3.011 from May 2021 with

1Dumora, Francois. (2023). How to support a jobseeker? Handbook for employment and career development 3Sarefica, R. B., & Oren, Q. A. (2022). Exploring Policies and Initiatives for Online Workers in the Philippines.
counsellors. International Labour Organization: Geneva. Philippine Institute for Development Studies.
2ASEAN and E-READI. (2023). ASEAN Employment Outlook: The Quest for Decent Work in Platform ⁴Tan, April (2023, May 15). The growing number of Filipino freelancers.
Economy: Issues, Opportunities, and Ways Forward. Jakarta, Indonesia. ⁵Yamano, Takashi. (2023). Gig Economy Employment during the Pandemic: An Analysis of GrabFood Driver

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 LABOR MARKET TRENDS SEPTEMBER 2023

Table 1. No. of Employed by Nature of Employment either engaged or not in online

platform or mobile application, Philippines: May 2021 and December 2021 (in ‘000)
May 2021 December 2021
Engaged in online platform Engaged in online platform
Indicator or mobile application in or mobile application in
his/her work Total his/her work Total
Yes No Yes No
No. of Employed 10,321 34,395 44,717 7,310 38,964 46,274

Nature of Employment
Permanent Job 8,019 25,337 33,355 5,841 28,015 33,855

Short Term 2,213 7,704 9,918 1,383 9,340 10,723

Different Employer 89 1,354 1,444 87 1,609 1,696

Source: Labor Force Survey Public Use Files (PUF), Philippine Statistics Authority
Note: Latest available PUF is for 2021

Table 2. No. of Employed by Class of Worker by Nature of Employment and by

Engagement in Online Platform or Mobile Application,
Philippines: December 2021 (in ‘000)
Engaged in Online
% Share from all
Class of Worker Platform or Mobile
employed
Application
Wage Employed 5,669 12.3%

Private Household 87 0.2%

Private Establishment 4,201 9.1%

Gov’t/Gov’t Corporation 1,351 2.9%

With Pay (Family Owned Business) 30 0.1%

Self Employed 1,278 2.8%

Employer 163 0.4%

Unpaid Family Worker 201 0.4%

Total 7,310 15.8%

Source: Labor Force Survey Public Use Files (PUF), Philippine Statistics Authority
Note: Latest available PUF is for 2021

In terms of class of worker, around 5.669 million of applications such as retail trade (except motor vehicles and
gig economy workers were wage employed or at 12.3% motocycles), crop and animal production, hunting and
employment share. This is followed by self-employed with related service activities, construction of building, office
1.278 million workers at 2.8% employment share, followed administrative, office support, and other business support
by without pay (201,000), and employers (163,000) both at activities, other personal service activities, education, food
0.4% share. and beverage service activities, and land transport among
others .
Embile (2022) mentioned key industries that generated gig
workers who were engaged in online platforms or mobile
⁶Embile, Rassel Jhun S. (2022). Initiatives to Measure the Size of Gig Workers and Online-Related Occupations in the Philippines Using LFS. Paper Presentation during the 15th National Convention on Statistics. 04

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 LABOR MARKET TRENDS SEPTEMBER 2023

Demand for Freelancer

Freelancing, unlike traditional jobs, does not require a face-
to-face work setup, making flexibility, control over one’s
time, and work-from-anywhere its most distinct features.
It also allows building a career in a non-traditional manner,
where freelancers can take on multiple simultaneous
projects that offer more opportunities to build one’s skills,
profile and credibility. Unlike traditional jobs that
normally have strict qualifications criteria, freelancing is
open to everyone with the right skill, and is willing and
able to take on projects, even without a college degree.
Filipinos are regarded as the top six, out of ten, fastest-
growing markets in the freelance economy since 2016.
In 2018, according to Paypal’s Global Freelancer Insight
Report, there are nearly 1.5 to 2 million freelancers in
the country, accounting for about 2% of the population.
According to a CNBC article, the country experienced
35% growth in the field the following year. Currently,
Filipino freelancers cater to “gigs” or projects in nations
such as the United States, the United Kingdom, Hong
Kong, South Korea, Taiwan, and the United Arab Emirates.
According to VirtualStaff.ph, the following are the freelance
work-from-home jobs that are popular in the Philippines today:

1. Copywriter
A freelance copywriter is responsible for writing the text for advertising and other promotional materials
requested by a company or employer. This may include writing content for a website, writing product
descriptions for an online retailer, or making captions for their social media posts.

2. Social Media Specialist/ Manager

A social media marketing specialist is responsible for planning, implementing, and monitoring the company’s
social media strategy to increase brand awareness.
A social media manager, on the other hand, is responsible for managing a business’ social media platforms,
attracting followers, communicating the brand message and voice, and engaging with social media users in
a customer service manner.
3. Graphic Designer
In a nutshell, graphic designers create graphics like logos, illustrations, and design layouts, among others.

4. Website Developer
The role of a web developer considers user experience and function. Therefore, a certain level of both graphic
design and computer programming is necessary to grab local and international projects.

5. App Developer
A skilled app developer designs applications for mobile phones and tablets. Battery, network, and
memory management are critical in mobile development contexts.

6. Marketing Specialist
A marketing specialist has the skills to design, implement, manage, and analyze marketing campaigns
through various platforms. It covers market analysis, market dynamics assessment, and recommending ideas
about how to approach the target market.

7. Custom Service Agent

A customer service agent assists clients on their inquiries and complaints about products or services.
This is one of the most sought careers by freelancers in the Philippines.

7Soronio, A. (2021, August 23). Why Freelancing Is The Future For Filipinos.

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 LABOR MARKET TRENDS
Other emerging in-demand freelancing jobs include:
1. Content Moderator
The job of a content moderator is to ensure that all
user-generated content (UGC) on a platform is free of
frauds and unlawful content, and is not damaging to
the user base. UGC is reviewed in real time by content
moderators to ensure it fits the company standards and
community guidelines⁸.
Freelancers Income and Benefits
The significant number of Filipinos engaged in freelancing
activities across various platforms indicates the robust
growth and vitality of the freelancing sector in the Philippines.
Based on empirical findings, it was determined that Filipino
freelancers, on the average, earn a monthly income of Php
39,000 ($780), a figure considered significant for most
individuals. According to an article published by Golden
Haven (2022)¹⁰, 66% of freelancers earn a monthly income
below Php30,000 ($600). On the other hand, 24% report
earning between Php50,000 ($1000) and Php100,000 ($2000+)
per month. The average working hours per week for Filipino
freelancers is 32, resulting in an hourly wage of $6.10 multiplied
by the average monthly income.
Most freelancers are involved in virtual assistance,
administrative tasks, data entry, and customer service
positions, collectively accounting for 64% of the freelancing
workforce. However, it is worth noting that virtual assistants-
related jobs such as administrative and data entry tasks
also exhibit the lowest hourly rates, at $5.30 and $5.35,
respectively. Conversely, self-employed individuals involved
in web design and graphic design achieved the highest
earnings, constituting a relatively minor proportion of the
freelance workforce (collectively accounting for a mere 5%).
Most high-earning freelancers possess at least five years of
professional experience, whereas most individuals earning
less than P30,000 have less than one year of experience.
Nevertheless, it is worth noting that many individuals
within the income bracket of P50,000 to P100,000 possess a
mere 1-2 years of professional experience. This observation
suggests that factors other than experience alone determine
income levels.
In 2020, freelancers globally were found to charge an average
hourly rate of $21. The mean of $19 was recorded in 2018
by a small margin. In the context of the Philippines, the
observed growth from $9 to $10 was modest. Nevertheless,
8L, F. (2023). Content Moderators: What they do & why they are needed. getstream.io.
9Volpe, S. (2023). What Does A Prompt Engineer Do? Freelancer Blog.
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SEPTEMBER 2023
2. Prompt Engineers
They are IT professionals who work on the development
and optimization of AI-generated text prompts to ensure
their accuracy and relevance for diverse applications.
This is a relatively new career category that is spreading
across numerous sectors with the rise of generative AI
and machine learning⁹.
similar to prevailing trends in numerous nations, the mean
remuneration for freelancers in the Philippines surpasses the
average hourly wage earned by local employees.
The rates charged by freelancers can exhibit substantial
variation, contingent upon several factors, including their
proficiency, level of expertise, market demand within their
respective industry, and the intricacy of their projects.
Furthermore, it should be noted that freelancer rates can also
be influenced by market conditions and economic factors
prevailing at a given time.
According to the National Wages and Productivity
Commission (2020)¹¹ the average hourly rate of freelancers
in specific industries are the following:
▶ Own Business - $45.00
▶ Web Design - $15.75
▶ Graphic Design/Animation - $15.00
▶ Programming - $14.50
▶ ESL/Language Related - 1$2.50
▶ Blogging/Writing- $11.72
▶ Online Marketing/SEO/Social Ads - $7.00
▶ Customer Service/Tech Support - $5.35
▶ Admin/Virtual Assistant/Data Entry
(non-voice admin) - $5.30
In the Philippines, where the vast majority of workers are
engaged in informal work, such platform jobs are regarded
as a promising source of work opportunities. However, these
opportunities are accompanied by some challenges. For
workers, these relate in particular to regularity of work
and income, working conditions, social protection, skills
utilization, freedom of association, and the right to collective
bargaining.
10Golden Haven (2022). Is Freelancing Sustainable In The Philippines?
11National Wages and Productivity Commission. (2020). Pay Standards and Practices: Gig Economy.
 LABOR MARKET TRENDS SEPTEMBER 2023
Further, in contrast to regular employees, freelancers must
manage medical appointments, emergencies, tests, and
government-mandated benefits. One option to finance
medical expenses is using self-employed health insurance,
which can be an alternative to costly out-of-pocket payments.
In addition, freelancers have the option to make voluntary
contributions towards their Social Security System (SSS),
Philippine Health Insurance Corporation (PhilHealth),
Home Development Mutual Fund (Pag-IBIG), and life
insurance coverage, benefits that are typically extended to
permanent employees.

Upskilling of Freelancers
Automation in freelancing refers to the use of technology and opportunities for the country, it is important to underscore
software to streamline and automate certain tasks or aspects that adoption of technology alone cannot fully harness the
of freelance work. Automation tools can help freelancers benefits of digital transformation, as one of its most important
work more efficiently, save time, reduce costs and improve the aspects is the human element.
quality of their work. As elucidated in the Microsoft report, it
The Department of Labor and Employment recognizes the
is evident that AI has a transformative impact on the nature
workforce as its most valuable asset and ensures that all
of tasks undertaken and the requisite skill sets within the
Filipino individuals achieve decent and productive employment.
workforce. Furthermore, AI applications are particularly
This objective is pursued through the advancement of gainful
promising in sectors that typically manage extensive data
employment prospects and the enhancement of human
sets or engage in intricate tasks, such as financial services,
resources.
professional services, scientific research, and information and
communications technology (ICT). In order to adequately prepare for the demands of the dynamic
labor market, the workforce must possess the requisite
However, this may also reduce the demand for certain types
skill set and competencies. It is imperative to maintain
of freelancing work, such as data entry and transcription,
competitiveness, thus necessitating the adoption of lifelong
which can lead to a decrease in demand for certain types of
learning strategies that prioritize the reskilling and upskilling
freelancers. While the digital economy presents immense
of workers anchored on the following:

Philippine Development Plan 2023-2028 (PDP)

The country’s overall development roadmap for the next six years. It reflects the government’s policies, initiatives, and
legislative priorities in support of President Ferdinand R. Marcos, Jr.’s 8-Point Socio-Economic Agenda. It is aimed at achieving
the country’s long-term vision, AmBisyon Natin 2040, in which all Filipinos are envisioned to enjoy deeply rooted, comfortable,
and prosperous lives. The PDP was developed in collaboration with national government agencies, local government units, the
commercial sector, stakeholder organizations, civil society, and development partners using a whole-of-government and whole-of-society
approach. Under the current PDP, key strategies which intend to improve education and lifelong learning, increase employability,
expand access to employment opportunities, and achieve a shared labor market governance are included.

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 LABOR MARKET TRENDS
The Philippine Labor and Employment Plan 2023-2028 (LEP)
Serves as the Decent Work Country Program and sectoral
plan in support to the socio-economic agenda and the PDP
to spur economic growth, reduce poverty, and inequality. It
focuses on priority areas such as: 1) maximizing productive,
remunerative, freely chosen, and sustainable work and
employment opportunities; 2) ensuring labor governance
that respects all fundamental principles and rights at work,
international labor standards and human rights; and
3) building an equitable and inclusive social protection
for all. The LEP provides a five-year roadmap for structural
reforms that will foster broad-based, inclusive growth through
employment generation, labor rights protection, and social
welfare programs. It exemplifies DOLE’s commitment
to consensus-building with stakeholders to develop
a future-ready workforce and enable sustainable enterprise
development.
The Philippine Digital Workforce Competitiveness Act
(RA 11927)
Aims to establish an inter-agency council that will promote
the growth and competitiveness of the digital workforce in the
country. This encompasses the digital skills mapping initiative,
provision of digital skills training, availability of scholarships
and incentives, and establishment of a web portal to facilitate
convenient access to these programs.
Philippine Skills Framework (PSF)
Aims to promote skills mastery and lifelong learning and is
considered a guide to a sector’s occupations and skills. The
PSF provides useful information on sector and employment
opportunities, defines the existing and emerging skills, as well
as the competencies required for occupations and job roles
in an industry. This becomes a solid foundation in designing
courses and training for skills and career development.
7
SEPTEMBER 2023
Trabaho Para sa Bayan (TBP) Act
It was passed into law in September 2023 to prioritize
enhancing Filipino employees’ employability and
competitiveness through upskilling and reskilling
programs, as well as supporting micro, small, and medium-
sized enterprises (MSMEs) and industry stakeholders. The
law mandates the establishment of the TPB Plan to address
unemployment, underemployment, informal working
arrangements, the reintegration of Overseas Filipino
Workers, and other labor-market difficulties. The TPB
Inter-Agency Council, led by the National Economic and
Development Authority (NEDA) Secretary, would create a
master plan for job creation and recovery in the Philippines,
with the Secretaries of Trade and Industry (DTI) and Labor
and Employment (DOLE) as co-chairs, and members from
other agencies and sectors. It will also perform a complete
review of the country’s employment state and labor market,
ensuring the effective use of resources while harmonizing
and complementing all government activities.
The Philippine Qualifications Framework (PQF)
Describes the degrees of educational credentials, which serve as
official recognition of a person’s learning accomplishments. It
establishes qualification outcomes, which are the skills
acquired by students/learners after completing a specific
learning or educational program. It is a quality-assured
national system for the development, recognition, and award
of qualifications based on standards of knowledge, skills,
and values acquired in different ways and methods by
learners and workers of the country. The PQF aligns Philippine
qualifications and standards with international norms to allow
for greater global mobility and competitiveness of graduates
in whatever industry they are involved in.
 LABOR MARKET TRENDS
Further, the government is consistently undertaking initiatives
to enhance connectivity and promote online employment
opportunities in the country.
• Through the Department of Information and
Communications Technology (DICT), the government
is implementing a free Wi-Fi initiative to offer wireless
internet connectivity in various public locations, focusing
on rural areas. The government is also establishing
Tech4Ed Centers, which serve as multifunctional facilities
providing computer access, and other information and
ICT resources. Other government initiatives such as
DICT’s DigitalJobsPH aim to mitigate the disparity
in digital literacy, expertise, and proficiency in the field
of information and communication technology (ICT).
The DICT, in partnership with prominent private entities
including Microsoft, LinkedIn Learning, and GitHub,
has recently introduced an educational platform that
offers complimentary ICT modules explicitly designed
to cater to the needs of the Filipino workforce and civil
servants. Additionally, the establishment of a career
center will be implemented to provide guidance and
support for individuals who are in the process of seeking
employment, transitioning between careers, or striving
for career advancement.
• Through the Department of Labor and Employment’s
Bureau of Local Employment (BLE), the following
government programs and ser vices are being
implemented, which aims to increase employability and
improve access to employment opportunities of workers:
› Part of DOLE’s role in workforce development is
on labor market signaling. Labor market information
(LMI) publications are regularly published in various
platforms including the BLE website and social
media pages to update the public with reliable and
relevant information on the realities of the labor market
situation. These resources can help make informed
plans and choices related to career planning and
preparation, education and training, job search, and
policy direction-setting among others.
› These labor market signals also help in our Career
Development Support Program, a rebranded intervention
which provides career development support services
to individuals in addressing gaps in employability
Other LMI Publications by the
DOLE BLE available at
ble.dole.gov.ph
8
SEPTEMBER 2023
dimensions (i.e., personal and environmental factors,
job objectives, skills and requirements to perform the
job, job search skills, and ability to maintain job). It
aims to assist individuals to find the right job, identify
appropriate upskilling or reskilling interventions, and
progress in their chosen career path.
› To expand the reach of the LMI reports developed by DOLE,
the Career Development Support Program, formerly
the Career Guidance Advocacy Program or CGAP,
was developed to immerse parents and students in
the realities of the labor market, and convince career
advocates to use career guidance and counseling as
an effective tool in addressing job-skill mismatch.
The program is a collaboration among DOLE, CHED,
TESDA, DepEd, PRC, and DOST, along with the
Federation of Career Guidance Advocates Network of
the Philippines.
› DOLE implements several employment facilitation
services which can be availed through the Public
Employment Ser vice Office (PESO) of local
government units. Services that can be availed include
job search assistance, career coaching, training and
referral, among others. They can also avail DOLE’s
employability programs (i.e., SPES, GIP and JobStart
Philippines) which provides beneficiaries with work
experience that is necessary for full time work. Clients
may also visit philjobnet.gov.ph, the government’s
official web-based labor market information, job
search, matching and referral portal, for available
employment opportunities.
› Furthermore, based on the study of PIDS, there
are other existing private initiatives developed for
platform workers, such as the Digital Careers Advocate
of the Philippines (DCAP) and the Filipino Online
Professionals Service Cooperative (FOPSCo). There are
also entities and initiatives developed specifically for
women, which provide employment opportunities and
career development in platform work and community
for freelancers, to build their digital skills, such
as the Connected Women, ILO Women in STEM
Workforce Readiness and Development Programme in
the Philippines, Womenwhocode, and IREX Tech Age
Girls.
Jobs and
Labor Market Labor
Forecast Market
Profile July
2022-2025
Preliminary 2023
Report
 LABOR MARKET TRENDS SEPTEMBER 2023

Closing/Summary
D O L E - B U R E A U O F L O C A L E M P L OY M E N T
In conclusion, freelancers in the Philippines play an important LABOR MARKET

TRENDS
role in today’s global economy. They are a diversified and
skilled workforce that provide a wide range of services to
clients all around the world. As the gig economy expands,
Filipino freelancers are well-positioned to capitalize on the SEPTEMBER 2023 ISSUE
opportunities it provides.
The Fostering Demand for
Despite challenges such as competition and changing revenue, Freelancers in the Philippines
Filipino freelancers display tenacity and adaptability. They
develop successful freelancing careers by leveraging their
Editorial Board
abilities, creativity, and dedication.
Director Patrick P. Patriwirawan, Jr.
The growing digital landscape and remote work capabilities Grace Baldoza
have expanded the horizons of Filipino freelancers, allowing
them to connect with clients from all over the world. This Text & Layout
trend is projected to continue, giving more Filipinos the Myka Rose Trono
opportunity to pursue rewarding freelancing professions. Lyra Cosette Dayego
As the freelance sector in the Philippines evolves, it is critical Nelly Projo
for freelancers to stay current on industry trends, improve Anna Klariza Langitan
their skills, establish strong networks, and participate Jarius Oloquina
in policy-making and social dialogues. These would allow
them to further maximize their earning potential while also Department of Labor and Employment
contributing to the country’s economic prosperity. Bureau of Local Employment

Recognizing the challenges and demands of the digital 6F First Intramuros,BF Condominium,
transformation era, we emphasize the importance of lifelong Solana St. cor. A. Soriano Ave.,
Intramuros, Manila
learning or one’s continuous learning regardless of age. This
enables Filipino workers to thrive in the ever-changing work (02) 8528-0087
environment by acquiring new skills and knowledge, adapting
to emerging digital and green careers, and contributing to the ble.dole.gov.ph
country’s economic growth. facebook.com/BLEinfo

9
 LABOR MARKET TRENDS
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