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Philippines faces job displacement due to AI, but opportunities arise: DOLE

MANILA, Philippines — Department of Labor and Employment Secretary Bienvenido Laguesma said that Filipinos are losing jobs to artificial intelligence (AI) but emphasized that the government is preparing workers to adapt to digital workplaces. 

Speaking at the National Employment Summit in Manila, Laguesma confirmed that AI is replacing workers, particularly in manual operations.

According to Laguesma, the impact of AI on jobs is not a new phenomenon, with manual operations being the first to be affected. He assured that the government is taking steps to help workers transition to digital roles.

“We continue to coordinate with industry associations, especially those involved in BPO (business process outsourcing) and IT (information technology), so that we can work together to outline what training we will do for the workers. That way, we can prepare them for what we also call emerging jobs,” Laguesma stated in Filipino.

Preparing for the future

Laguesma highlighted that while AI poses a threat to certain jobs, it also creates opportunities for new roles. “It is important that our relationships with investors and industry associations continue to be maintained so that their manpower requirements can be met,” he added.

The BPO sector in the Philippines, which has been significantly impacted by AI, is a case in point. 

According to the Chartered Institute of Personnel and Development (CIPD), low-skilled workers in this sector are most at risk. Many transactional administrative tasks that do not require human intervention are being automated.

AI’s Role in the Philippines BPO Sector

Despite the challenges, AI offers benefits to the BPO industry. The Contact Center Association of the Philippines (CCAP) has noted that AI technologies, such as chatbots and virtual assistants, have improved customer service operations. These technologies handle routine queries, allowing human agents to focus on more complex and high-value tasks.

 

Concerns regarding potential job displacement due to the integration of AI within the BPO industry have been raised by some members of the Philippine Senate. Senators Imee Marcos and Risa Hontiveros have called for government intervention, urging the creation of regulations that address the potential impact of AI on employment within this sector.

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