BANGKOK—The Philippines’ “heavy reliance” on remittances of migrant workers—reaching $19 billion last year—has been crippling its domestic productivity for many years, said a regional official of the International Labor Organization (ILO).
Gyorgy Sziraczki, senior economist of the Regional Economic and Social Analysis Unit of the ILO office here, said the increasing remittances “reduces pressure on the government to come up with reforms on the [labor] market structures.”
“Sending Filipinos overseas has resulted in a brain drain and a loss of some educated and trained people from the Philippines,” he said. “This has resulted in major social and economic cost to the Philippines, including a weakening of the country’s competitiveness, although the extent of this has not yet really been qualified.”
Sziraczki was speaking at an ILO media course on International Labor Standards at the UN regional office here for journalists in Asia and the Pacific.
The Philippines has the most number of ILO Conventions ratified, which should have made it attain International Labor Standards. However, ILO officials believe these ratifications “remain on paper” lacking legislative interpretation and implementation.
“When dollars come in through remittances sent by overseas workers, the question is to what extent they contribute to higher living standards and stronger economic development,” he said.
He said the remittances uplift the lives of Filipinos in terms of sending children to school, as well as health care. “[But] what is less clear is to what extent they contribute toward economic progress, for example, in investments to start new businesses.”
The Philippines “scores well” in terms of labor force, educated labor, as well as labor-market efficiency and innovation, but the economic and social performance of the Philippines is one of the lowest in Southeast Asia. “In terms of productivity growth, it is at the bottom compared with many other countries [in Southeast Asia],” he said. –Estrella Torres / Reporter, Businessmirror
June 2025
Philippine Environment Month!
“Action for Nature, for the Future!”
Invoke Article 33 of the ILO Constitution
against the military junta in Myanmar
to carry out the 2021 ILO Commission of Inquiry recommendations
against serious violations of
Forced Labour and Freedom of Association protocols.
Accept National Unity Government (NUG)
of Myanmar. Reject Military!
#WearMask #WashHands #Distancing #TakePicturesVideosturesVideos
Monthly Observances:
1 Jun – World Day of Parents
5 Jun – World Environment Day
7 Jun – World Food Safety Day
8 Jun – World Oceans Day
12 Jun – World Day Against Child Labour
15 Jun – World Elder Abuse Awareness Day
16 Jun – International Day of Family Remittances
17 Jun – World Day to Combat Desertification and Drought
20 Jun – World Refugee Day
25 Jun – Day of the Seafarer
27 Jun – Micro-, Small and Medium-sized Enterprises Day
Daily Observances:
June 6: Migrant Workers Day
June 19: Filipino Youth Day
June 25: Day of the Filipino Seafarer
