The Philippines' Economy
How the Philippines Manages Overseas Workers
How the Philippines built a state system to deploy and protect overseas Filipino workers, from licensing recruiters to a dedicated ministry, and the social costs of family separation.
The Philippines deliberately organised labour migration.
Origins
In the 1970s, Marcos promoted overseas work as a temporary answer to unemployment and a source of dollars.
Institutions
- The Philippine Overseas Employment Administration (POEA) licensed recruiters and contracts.
- In 2022, a new Department of Migrant Workers was created.
- OWWA provides welfare services.
Scale
Around 2 million or more Overseas Filipino Workers (OFWs) are deployed abroad at any time, in the Gulf, Hong Kong, Singapore and on ships, where Filipinos are among the largest groups of seafarers.
Protection
- Standard contracts and minimum wages for some jobs.
- Deployment bans to countries where workers were abused, like Kuwait at times.
Social costs
- Children growing up with parents abroad.
- Brain drain of nurses.
Lessons for India
India’s eMigrate system has similarities, and the Philippines is often seen as a model for migrant protection.
A Filipino seafarer signs a POEA-approved contract for nine months on a cargo ship, sending most of his wages home to pay for his children's schooling.
The Philippines built dedicated institutions to manage it.
- The Philippines organised labour migration from the 1970s.
- POEA licensed recruiters; a migrant ministry was created in 2022.
- About 2 million OFWs work abroad at any time.
- Family separation is a social cost.
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