EXPLAINER: Which jobs are most vulnerable to AI replacement?

The forecast from ADBI points to a significant shift in the Philippine labor market due to AI, with BPO and IT industries facing substantial changes. While the Information Technology and Business Process Association of the Philippines (IBPAP) initially targeted $59 billion in revenues and 2.5 million workers by 2028, these projections were lowered as of July 2026 to $43-$50 billion and 1.85-2.14 million workers, respectively. This adjustment suggests a tangible impact on growth expectations within these sectors.

Despite these revised projections, IBPAP president Jack Madrid indicates that affected entry-level employees have been redeployed rather than displaced. This suggests that while AI may alter job functions, it does not necessarily lead to immediate job losses across the board. The International Labour Organization (ILO) notes that 12.7 million Philippine workers have been exposed to generative AI, though only 3.6% of jobs with the highest generative AI use face a higher chance of displacement.

The impact extends to creative industries, with the International Confederation of Societies of Authors and Composers predicting revenue reductions of 24% for music and 21% for audiovisual creators. AI ethicist Carl Joe Javier warns that this could further undervalue art and cultural preservation in the Philippines, driven by companies using AI to cut costs. The challenge lies in integrating AI to enhance human output without sacrificing quality or human connection, which Harvard Business School research suggests AI lacks.