BETWEEN 35% and 37% of employment opportunities in the Philippines are at peril of being displaced by artificial intelligence (AI), according to the World Bank.
“Approximately 35% to 37% are at risk” regarding AI threats, stated World Bank Group Lead Economist and Program Leader for the Prosperity Unit for Brunei, Malaysia and the Philippines, Gonzalo Varela during a panel discussion on Monday.
He also pointed out the significant incorporation of generative AI within the operations of the Information Technology Business Process Management sector.
In December, the IT and Business Process Association of the Philippines reported that 67% of its surveyed members are already leveraging AI for customer support, data entry, and quality control, despite encountering ongoing challenges.
Nevertheless, 8% of the surveyed members have downsized their workforce due to AI implementation.
In a separate report from August, the bank revealed that the Philippines was the fourth highest in ChatGPT traffic as of March 2024.
The World Bank highlighted that five middle-income nations — Brazil, India, Indonesia, Mexico, and the Philippines — exhibited “generative AI traffic levels significantly elevated compared to the US relative to their other metrics.”
Bilal Khan Muhammad, a social sector economist at the Asian Development Bank, remarked that advancements in AI are now affecting white-collar roles, with numerous tasks being conducted by AI tools.
“However, with the recent developments in AI, we are observing that white-collar jobs have also been supplanted by these AI tools, where many tasks are now executable by AI itself.
You simply ask the AI for assistance with the representation or for formatting a document or for preparing a draft,” he expressed.
Mr. Varela commented that AI could be a “productivity shock” and present prospects for workers in the Philippines.
The government’s Trabaho Para Sa Bayan initiative must investigate how “to capitalize on the technological evolutions that will influence job creation,” he added.
At the same gathering, the departments of Economy, Planning, and Development (DEPDev), Trade and Industry, and Labor and Employment, unveiled the Trabaho Para sa Bayan Plan 2025-2034.
The decade-long strategy aims to reinforce and future-proof the workforce.
This strategy comprises a research agenda to assess the impact of AI on labor demand across diverse sectors, job responsibilities, and skill levels while identifying at-risk occupations.
Labor Secretary Bienvenido E. Laguesma mentioned that the government has not yet established a national policy concerning AI.
“We believe that AI can complement and enhance, but cannot entirely replace,” he communicated to journalists.
Mr. Laguesma pointed out that the National Innovation Council, led by President Ferdinand R. Marcos, Jr., sanctioned the formation of a think tank that will formulate a roadmap for AI implementation.
The think tank, primarily governed by the Department of Science and Technology, will oversee the drafting of AI policy.
“Protection doesn’t imply retention. It could signify upgrading, seeking alternative employment, facilitating their work transition, and providing social safety nets. That’s our current position,” Mr. Laguesma remarked.
Meanwhile, DEPDev Undersecretary Rosemarie G. Edillon observed that the minimal exposure to AI derives from the overall low degree of technology adoption in the Philippines.
“Fundamentally, especially regarding data and model creation, this is precisely where an ethical policy on AI utilization is imperative,” she emphasized. — Aubrey Rose A. Inosante
