Constructing prosperity: The blueprint for upskilling the informal sector

We see in many Filipino families an emphasis on college education as a path to social mobility, financial stability and the fulfillment of familial expectations. This is supported by the AmBisyon 2040 report, which shows that 73 percent of families want their children to be college graduates by 2040. As a result, technical-vocational education is viewed as a less desirable path. I am not in a position to generalize, but based on my observations, we have placed college graduates on a much higher pedestal than their tech-voc graduate peers. Many people see manual or trade-oriented skill set training as an alternative to attending college. It’s not always the first choice and it shouldn’t be the case.

Now, consider a country to be a construction site. A promising but unfinished infrastructure, a skeleton of bricks and beams that represents its economic potential. Each brick represents a hardworking individual, and the mortar that holds them together represents their collective skill. The more robust and magnificent the building, the stronger the mortar or skill set. The informal sector in the Philippines, like an important but often overlooked component of the structure, possesses an enormous potential that can shape our country into a tower of prosperity. This transformation is possible by emphasizing vocational training, which serves as the blueprint for our nation-building journey.

It’s important to remember that every great structure had humble beginnings. The skyscrapers we see today were once a patch of land riddled with obstacles that needed to be removed. We, like many other developing countries, are on the verge of such a transformational journey. The Technical Education and Skills Development Authority (TESDA) in the Philippines holds the compass and blueprints to lead this transformation. TESDA is laying the groundwork for long-term and inclusive economic growth by catering to the vast informal sector through its diverse vocational programs.

It is truly unfortunate that we fail to recognize the enormous potential of institutions that provide technical-vocational education. We have the ability to produce highly skilled graduates of world-class caliber if given the proper priority and tools. I am a firm believer in the importance of tech-voc graduates in a variety of industries. Integrating job-ready and globally competitive tech-voc graduates into the workforce can significantly increase national income and contribute to economic growth.

I witnessed this firsthand when Angkas, a pioneer motorcycle ride-hailing service, partnered with TESDA to launch a motorcycle driving vocational course. This initiative is more than just driver training. It is about laying the foundation for a new economic structure that has the potential to create millions of jobs and fortify the foundation of our nation with strong financial beams.

The success of this blueprint has seen global appeal and success. Germany’s dual vocational training system demonstrates the effectiveness of this approach. This strong framework has been critical in sustaining low youth unemployment rates and ensuring a steady supply of skilled labor in a variety of industries. South Korea, with its “Meister” schools, took a page from Germany’s book, emphasizing the concept’s universality. What’s more, our government is working on solutions to make this a reality. A bill (House Bill 652) was introduced in Congress to create a network of Meister Schools in the country, with the goal “to help bridge the country’s skill gap and reduce youth unemployment, this bill will create specialized senior high schools that will teach highly-technical skills compatible with the manufacturing and other high-value industries.” It was also mentioned in the explanatory note of said bill that the effect of establishing these institutions in South Korea, in which it was modeled, was substantial. It noted that “85 percent placement of first batch/generation or those who signed employment contracts. In the first two years of implementation, the employment rate of vocational high school graduates increased from 19 percent in 2010 to 42 percent in 2012.”

Strengthening our tech-voc industry is a public policy effort that must be supported by educational institutions, companies willing to hire highly skilled individuals and a government willing to assist in any way possible. This is how we future-proof our economy, ensuring that our nation’s structures can withstand any storm. While we meticulously plan, keep in mind that this is not a short-term project. Building a nation takes time and effort, one brick at a time, one skill at a time.

We must also break the long-standing tradition of dismissing tech-voc professionals and instead ensure that they have the same opportunities and status in society as college graduates. And I hope that parents share the same enthusiasm and encouragement with their children who want to work in industries that rely heavily on manual labor or skills.

This blueprint for upskilling the informal sector is more than just a plan on paper; it is a vision for our country’s future. A future in which every Filipino can contribute to the growth of the country, where every worker’s talent is recognized and rewarded, and where prosperity is not a distant dream but a lived reality.

We are more than just a construction site; we are a nation with a vision. With each brick laid and each beam erected, we are constructing more than just a structure; we are constructing a prosperous, equitable and thriving future. So, let us gather our resources, roll up our sleeves and begin the monumental task of nation-building. For we are the Philippines, we have a plan and we can do it!