The Philippines climbed 10 notches in the latest World Talent Ranking (WTR) report, marking its strongest performance in half a decade.
This was according to the 2017 edition of the IMD World Talent Report, which was prepared by the International Institute of Management Development. The Philippines ranked 45th in the WTR report, jumping 10 places from its 55th ranking in 2016.
The WTR uses international statistical data, supplemented by an Executive Opinion Survey, to assess the talent competitiveness of 63 economies based on their ability to develop, attract and retain talent for enterprises. The rankings were based on three factors—investments and development, appeal, and readiness.
This year, the Philippines landed at the bottom of the rankings, 63rd out of 63 [economies], for Investment and Development. Under this factor, the country performed poorly in total public expenditure on education as percentage of gross domestic product (60th), pupil-teacher ratio in primary education (62nd), pupil-teacher ratio in secondary education (59th), and female labor force as a percentage of total labor force (51st).
The country’s strongest performance under this factor were in the sufficiency apprenticeships (30th) and the importance given to employee training in companies (29th).
Under the readiness factor, the Philippines climbed 11th in 2017 from 23rd in 2016. This followed the country’s high ranking in labor force growth (4th); availability of skilled labor (6th); competent senior managers (17th), and the adequacy of language skills for needs of enterprises (13th).
However, there were still “areas for improvement” under this factor such as the ability of the educational system to meet the needs of a competitive economy (31st) and the emphasis on science in schools (37th).
The Philippines also improved its rankings under the appeal factor to 34th from 38th in 2016. The country remained the 13th most appealing in terms of the effective personal income tax rate as a percentage of an income equal to GDP per capita; worker motivation in companies (23rd), and the prioritization of attracting and retaining talents in companies (24th).
This factor, however, was still weighed down by remuneration in service professions (56th); protection of personal security and private property rights (49th); quality of life (47th); and the effect of brain drain on the competitiveness of the economy (40th).
This year’s WTR rankings were led by Switzerland, Denmark, Belgium, Austria and Finland.