​Digital skills as national advantage

Unlocking the Next National Advantage The Role of Digital Skills in Phil
Philippines' Economic Transformation

The Philippines has long been known for its labor export model, with millio
millions of Filipinos working abroad to support their families. While this 
has contributed significantly to the country's economy, it is essential to 
recognize that the next stage of economic transformation requires a differe
different approach.

From Labor Export to Digital Skills

Rather than simply exporting labor as raw material, the Philippines should 
focus on developing skilled Filipino talent that is relevant in a digital e
economy. This is where Republic Act 12063, or the Enterprise-Based Educatio
Education and Training (EBET) Framework Act, comes into play.

Passed in November 2024 and implemented on February 28, 2025, the EBET law 
aims to close the gap between what workers know, what companies need, and w
what the global market is willing to pay for. The timing of this legislatio
legislation is crucial, as it coincides with a growing demand for digital s
skills in various industries.

The Philippines' Unemployment Challenge

According to the Philippine Statistics Authority, the country recorded an u
unemployment rate of 5% (2.58 million) and underemployment rate of 12.3% (6
(6.03 million) in March 2025. These statistics underscore the need for a mo
more comprehensive approach to addressing labor market issues.

The Imperative of Digital Skills

In today's digital landscape, companies are looking for employees who can u
use digital tools, follow systems, understand data, serve customers across 
channels, communicate clearly, solve problems, and adjust to changing workf
workflows. While some of these skills may be developed inside classrooms, o
others require on-the-job training and real-world experience.

Enterprise-Based Training A National Advantage

The EBET framework recognizes the importance of enterprise-based training i
in developing the workforce. By bringing education and training closer to t
the enterprise, this approach helps companies identify promising talent ear
early, reduce hiring risk, and shorten onboarding time. This is particularl
particularly crucial in industries such as information technology-business 
process management, logistics, tourism, manufacturing, retail, health care,
care, construction, agriculture technology, and professional services.

Evidence of Success

The evidence already points to the promise of enterprise-based training. Ac
According to the Second Congressional Commission on Education, employment r
rates among EBET graduates are significantly higher than those among tradit
traditional Technical and Vocational Education (TVET) enrollees.

A Cultural Shift

For the Philippines to truly unlock its next national advantage, there need
needs to be a cultural shift in how we view technical and vocational traini
training. It is no longer a second option but an essential foundation for a
a competitive economy. We need technicians, coders, machine operators, care
caregivers, digital marketers, bookkeepers, electricians, logistics workers
workers, food technologists, service professionals, and skilled tradespeopl
tradespeople – the building blocks of a working economy.

Conclusion

In conclusion, the Philippines' next national advantage lies in developing 
skilled Filipino talent that is ready for the digital world. By embracing e
enterprise-based training, we can create a workforce that is equipped to co
compete in the global market. This requires a change in management mindset,
mindset, from seeing workforce development as an interruption to recognizin
recognizing it as an investment in their business.

Note The original blog post has been edited to improve tone, grammar, and 
readability. The content is now easy to read, with clear subheadings and va
varied sentence structure. Keywords relevant to the field have been integra
integrated throughout the text.

Edward Lance Arellano Lorilla

CEO / Co-Founder

Enjoy the little things in life. For one day, you may look back and realize they were the big things. Many of life's failures are people who did not realize how close they were to success when they gave up.