The country's underemployment rate improved in February to 10.1 percent as more Filipinos found higher-skilled jobs and regularly salaried jobs.

The Philippine Statistics Authority on Tuesday reported this was better than 13.3 percent in January and 12.4 percent in February last year.

National statistics showed 1.7 million more Filipinos engaged in full-time employment, 1.1 million more in middle to high-skilled jobs, and 151,000 more in salaried work.

Employment rate also improved in February as 668,000 more Filipinos found work ahead of the summer season and midterm elections.

This brought the total employed Filipinos to 49.15 million in February from 48.49 million in January. Accordingly, the employment rate rose to 96.2 percent from 95.7 percent.

"Workers in wholesale and retail trade, accommodation and food services increased as the start of the summer season comes. More Filipinos were also employed in other service activities which could be linked to political activities," National Statistician and Civil Registrar General Dennis Mapa said.

Most Filipinos were employed in the wholesale and retail trade and repair of motor vehicles and motorcycles, with 620,000 more workers. This sector was followed by construction which posted 434,000 additional workers and manufacturing with 225,000. Other services workers rose by 232,000.

The unemployment rate also improved, with 228,000 fewer unemployed Filipinos month-on-month. However, the jobless individuals in February increased from 141,000 when compared to the same month a year ago.

Thus, the unemployment rate hit 3.8 percent, better than the 4.3 percent in January but slightly higher than the 3.5 percent in February last year.

Mapa attributed the lower level year-on-year to higher labor participation rate at 64.5 percent from 63.9 percent in January.

"The reason was there was a bigger pool of jobseekers and some failed to secure work. However, the good thing was more women sought jobs and some were successfully employed," he said.

The largest declines in workers were seen in agriculture and forestry, administrative and support service activities and transportation and storage.

Mapa said the government is waiting for the economic growth figure for the first quarter to determine whether the latest underemployment and employment rates signal substantial economic progress in the country.

"The midterm elections in May might be a seasonal factor and its effect is not too big. There are also other factors such as the types of jobs and amount of salaries," he said.

National Economic and Development Authority Secretary Arsenio Balisacan is optimistic more Filipinos will be employed as the government accelerates various programs and projects.

"The continued rollout and implementation of high-impact infrastructure flagship projects, particularly in energy, transport, and digital connectivity, will boost domestic employment and business activity," he said.