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Sunday, October 5, 2025 Vol. 20 No. 357
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GENERATIONAL DUMBING DOWN PHL’s weak basic education is diluting its workforce and dragging down its global competitiveness, say experts
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By Justine Xyrah Garcia
HE Philippines’ failure to strengthen basic education is weakening its workforce and dragging down its global competitiveness, according to industry experts who warned that poor literacy and numeracy at the earliest levels are feeding into the country’s widening talent gap. In the 2025 IMD World Talent Report, the Philippines placed 64th out of 69 economies, lagging behind its Asean peers which improved their rankings by investing heavily in education and training (Related: https://businessmirror. com.ph/2025/09/11/imd-reportexposes-phls-talent-crisis-a-call-toaction-for-educational-reforms/). The report tracks how countries develop, attract and retain talent, and experts said the Philippines’ low standing is rooted in weak literacy and numeracy at the primary level. Philippine Business for Education (PBEd) Executive Director Hanibal Camua said the poor performance was no surprise. “Related assessments will tell us that there’s really a problem.... We’re always at the bottom. That’s just on the education sector. When you’re looking at this World Talent Rankings and particularly talking about talent, what prepares our workforce is really our education and our training ecosystem,” Camua said at a recent panel discussion. In the 2022 Programme for International Student Assessment
(PISA), which tested 15-year-olds in 81 countries, the Philippines ranked near the bottom in all subjects—third lowest in science with an average score of 356, sixth lowest in mathematics with 355, and also sixth lowest in reading with 347. These results showed little improvement from 2018, when the country scored 357 in science, 350 in mathematics, and 340 in reading. A World Bank study also earlier found that as of 2021, nine out of 10 children were unable to read and understand a simple text by age 10. Camua warned that this collapse in early learning is carried forward through the education system. “If we are not doing very well in basic education, then basically those that will proceed to senior high school and eventually to college will have low competencies. And it shows,” he said. The Philippine Statistics Authority’s (PSA) Functional Literacy, Education and Mass Media Survey (FLEMMS) reported that while basic literacy among Filipinos aged 10 to 64 reached 90 percent last year, functional lit-
MAILING IT IN? PHL EDUCATION GETS LEFT BEHIND A 1951 stamp commemorating the 50th anniversary of the Philippine educational system. Once hailed as a model in Southeast Asia, the Philippines has now fallen behind its ASEAN neighbors—ranked 64th in global competitiveness, well below Malaysia (25th), Thailand (43rd), and Indonesia (53rd). Experts warn years of underinvestment in literacy and numeracy continue to widen the gap. FMUA | DREAMSTIME.COM eracy—defined as the ability to comprehend and apply information—was only at 70.8 percent. According to the PSA, this means that for every nine individuals in this age group who can read, write and compute, two still struggle with comprehension. The gap between basic and functional literacy was also widest
among those aged 60 to 64, where one in every three who could read and write had difficulty understanding what they read.
Skills gap felt in training and jobs
THE Technical Education and Skills Development Authority (Tesda) has also seen the impact in its own programs, with many students entering
training without the minimum skills needed to keep up. “Some of those graduating from basic education, even higher education, still do not know how to read and write. They cannot really comprehend well, and the numeracy facility is very low,” said Tesda Executive Director El Cid Castillo, noting that this lack of foundational skills makes it difficult for many to qualify for or finish technical courses. The lack of preparation has also spilled into the job market. According to JobStreet by SEEK Managing Director Dannah Majarocon, some employers are struggling to match workers with vacancies. “This continued growth in job openings is not just an indicator of business growth but it’s also an indicator that there are jobs that are harder to fill because of the missing talent that we have,” she said. Majarocon added that the timing is critical, with younger cohorts now entering the workforce. “In the next two years or so, those who are currently 25 and under will be dominating the workspace. These are the very people we are saying we have an educational crisis,” she said. This generational shift, experts noted, highlights how deeply rooted the problem has become. Camua stressed that the crisis cannot be pinned on a single administration, as decades of underinvestment have eroded the system. “It’s been a systemic negligence, I would say. It’s not attributable to this administration or the previous administration,” he said. He warned that unless reforms are carried out soon, the country’s so-called demographic dividend could turn into a liability.
“Do not delay in solving the education crisis because the longer that we delay this, the more it becomes a liability,” he added.
Falling behind ASEAN peers
THE Philippines, once regarded as a model for education in Southeast Asia, has been overtaken by its neighbors. “Malaysians and Indonesians would come here to study our education system. But the irony now is we are already left behind,” Camua said. Both Indonesia and Thailand have shown improvements in recent years, but the 2025 IMD results placed them ahead of the Philippines despite mixed movements. Malaysia ranked 25th, climbing eight spots, while Indonesia slipped to 53rd but still remained well above the Philippines at 64th. Thailand also kept its position in the middle of the pack (43rd), improving gradually in talent development indicators where the Philippines has consistently lagged. Panelists said this widening gap reflects years of underinvestment in literacy, numeracy and functional reading, areas that must now be prioritized alongside higher per-student spending and stronger accountability mechanisms. They added that government cannot rely solely on companies to close the gap. “It’s a very, very practical viewpoint around it, but I feel like the cycle around relying on the private sector or businesses to actually upscale and reskill employees just because that need is so very urgent is absolutely unsustainable,” Majarocon said.
PESO EXCHANGE RATES n US 58.1490 n JAPAN 0.3951 n UK 78.1813 n HK 7.4719 n CHINA 8.1649 n SINGAPORE 45.1222 n AUSTRALIA 38.3493 n EU 68.1448 n KOREA 0.0413 n SAUDI ARABIA 15.5055 Source: BSP (October 3, 2025)
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