Let Tesda lead Philippines in AI adoption — Salceda
MANILA, Philippines — It’s the Technical Education and Skills Development Authority (Tesda) that, more than any other government agency, should take the lead in preparing the Philippines for the impact of artificial intelligence (AI) on jobs, according to a new policy paper.
In a paper published by his research center, Joey Salceda argues that Tesda is best positioned to manage AI-driven disruption in the workforce, citing its mandate to train working Filipinos and nationwide reach.
Salceda is a former lawmaker and Albay governor who also served as chief of staff when Gloria Macapagal-Arroyo was president.
Because AI poses a more immediate risk to the workforce, Salceda says, Tesda has a more direct role than the Department of Information and Communications Technology, the Department of Science and Technology and the Department of Education.
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Future of work
“At the heart of AI is the future of work. And at the heart of Tesda’s mandate is precisely that: preparing Filipinos for the work that exists, the work that is emerging and the work that will exist tomorrow,” he says. “No other government institution sits so squarely at this intersection.”
Salceda cites research showing that between 36 percent and 40 percent of Philippine jobs are at risk due to AI, with up to 14 percent facing direct displacement. These include business process outsourcing, clerical work, retail and basic manufacturing.
However, he stresses that workers are unlikely to be replaced by AI outright. Instead, they will need to evolve and use AI tools to enhance productivity.
“The question is not whether AI will affect these jobs,” he says, adding, “it is whether the workers in these jobs will know how to work with AI.”
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AI in everyday tasks
Salceda says AI should not be treated as a highly technical tool reserved for complex problems. He points out its potential use in everyday tasks for ordinary Filipinos, including even sari-sari store owners.
To achieve this, he says the Philippines must learn to embrace “vibecoding” or the use of AI assistants to translate natural language prompts into code without requiring traditional programming skills.
For example, Salceda says, farmers can use AI to create a planting calendar based on local weather patterns, soil conditions and market prices, while barangays could deploy AI-powered permit tracking systems.
READ: Demand for AI courses rising in the Philippines
Bottlenecks
Meanwhile, Tesda is attached to the Department of Labor and Employment, which creates “administrative bottlenecks” and slows down the decision-making and program rollout, he says.
Another challenge he sees is the 22-member governing board of Tesda, which includes six Cabinet secretaries. Salceda argues that the differing departmental priorities complicate approvals and delay major initiatives.
To fix these issues, he proposes that Tesda be reconstituted as an independent agency reporting directly to the President.
Without such reforms, Salceda warns, the Philippines risks falling behind regional peers as AI adoption accelerates.
“Either we reform proactively, on our own terms, or we will be forced to reform reactively, on terms dictated by displacement, unemployment and social unrest,” Salceda says. “The choice is not between change and stability. The choice is between managed change and chaotic change.”
In 2024, Tesda reported 1.38 million students across all training modalities. Of these, 1.26 million graduated and 1.08 million earned certifications as skilled workers.
He also calls for the creation of universal skills transition accounts, which workers could tap to finance training without relying on new budget. INQ
