The Department of Trade and Industry (DTI) and the Technical Education and Skills Development Authority (TESDA) signed on 25 June 2021 a Memorandum of Agreement (MOA) with 16 Industry Associations representing the various logistics services sector to advance a competitive and future-ready logistics workforce through training and skills development.

“This agreement with TESDA signals the government’s ongoing support for the logistics services sector and we recognize its importance to our economy as key employment generating sector. This is part of the sector’s Ten Commitments, which was agreed on in 2018,” said DTI Secretary Ramon M. Lopez.

The trade chief added that under the MOA, TESDA shall give priority to workers in the logistics services sector through the conduct of programs with training regulations or non-registered programs. TESDA will also include the logistics sector in its Tulong Trabaho Scholarship Program.

Complementing this effort is the adoption of the Philippine Skills Framework for Supply Chain and Logistics (PSF-SCL), a product of an agreement between the DTI, TESDA, and SkillsFuture Singapore. The PSF-SCL, the first among the priority industries, includes information on Sector and Employment Opportunities, Career Pathways, Occupations and Job Roles, Functional Skills and Competencies, and Enabling Skills and Competencies.

DTI noted the following reasons why a skills framework is important:

  • Employers can assess their logistics manpower requirements, adapt or modify the standard guidelines for work performance, key tasks, skills and competencies, for purposes of recruitment and selection, hiring, job rotation, and promotion. 
  • Education and training institutions can educate students and learners about the sector, as well as make curricula for the facilitation of learning of required skills and competencies that are more aligned to industry needs.
  • Individuals are equipped to make informed decisions about career choices, as well as take responsibility for skills upgrading and career planning. 

In 2018, DTI, together with the Department of Transportation (DOTr) and the private sector—composed of industry associations representing cargo handling, storage and warehousing, freight transport, and customs brokerage services—agreed on the Ten Commitments to transform the logistics services sector as an efficient enabler of the manufacturing, agriculture, and service industries.

Commitment No. 10 states that both government and private sector “shall develop a competitive and future-ready logistics workforce that will address the current and future needs of the logistics services sector.  We will invest in the development of programs and policies that will allow those working in the sector to effectively fulfill their responsibilities to customers and stakeholders alike. We shall develop our people to be an indispensable tool for businesses both here and around the world.  We shall also take the opportunity to increase awareness of the logistics service sector’s role in economic development.”

“We’ve all seen the important role of the logistics services sector in the economy during the time of the pandemic. The heightened awareness of the public has now brought increased consumer expectations,” Sec. Lopez said.

He added, “While the government continues to address the challenge of logistics cost, we cannot neglect the needs of the industry, which is the availability of a skilled workforce. Today and in the years to come, upskilling and reskilling is a must to provide more employment and better opportunities for our people.”

Date of Release: 29 June 2021