By Francis Allan L. Angelo
The Philippines is losing between PHP 65.6 billion and PHP 147.6 billion annually due to workplace discrimination, wage gaps, and healthcare costs linked to LGBTQ+ exclusion, according to a new report by Open for Business, a coalition of global companies.
These losses account for 0.30% to 0.67% of the country’s GDP, which underscores the economic impact of discrimination.
The report found that wage disparities and workplace discrimination are responsible for a significant portion of the loss, estimated at PHP 32.9 billion to PHP 49.3 billion annually.
Health care costs, particularly those related to depression and HIV, disproportionately affect the LGBTQ+ community, adding another PHP 32.8 billion to PHP 98.3 billion in economic strain.
“This report demonstrates the potential economic impact improved LGBTQ+ laws and support can have on economies, business, and individuals’ performance,” said Stephanie Galera, head of Southeast Asia for Open for Business.
Galera emphasized that while the country has made progress in LGBTQ+ inclusion, more work remains to be done.
Beyond economic losses, the report highlighted how LGBTQ+ exclusion contributes to “brain drain,” as talented professionals seek work in more inclusive countries like Australia and the United States. This migration weakens local economies and limits innovation and competitiveness.
“LGBTQ+ discrimination leads to direct losses in human capital,” said Aris Ambal, Vice President and PRIDE APAC Regional Lead at JPMorgan Chase. “In Southeast Asia, embracing inclusion could unlock significant growth potential for businesses and the economy.”
In addition to labor-related costs, LGBTQ+ exclusion negatively impacts tourism and foreign investment.
The report notes that countries with more inclusive policies tend to attract a diverse range of tourists and benefit from improved international reputations, which can drive economic growth. This is particularly relevant as the Philippines positions itself as a destination for LGBTQ+ travelers.
The stalled Sexual Orientation and Gender Identity Expression (SOGIE) bill, which seeks to provide legal protection against LGBTQ+ discrimination, remains a key issue.
Advocacy groups, including APCOM, have urged lawmakers to pass the bill, citing the clear economic and social benefits of broader protections.
Countries with stronger LGBTQ+ rights tend to show higher levels of economic growth, lower corruption, and improved business environments, according to the report.
Despite this, the Philippines ranks poorly in corruption compared to its Southeast Asian peers. Efforts to address these issues through initiatives like the Indo-Pacific Economic Framework for Prosperity (IPEF) could provide a pathway for both economic reform and LGBTQ+ inclusion.
As the Philippines seeks to enhance its global competitiveness and foster sustainable economic growth, addressing LGBTQ+ discrimination is emerging as a crucial factor.
Galera expressed hope that the report would encourage further action.
“The Philippines continues to make strides for LGBTQ+ citizens and visitors alike, and we hope this report helps strengthen the brilliant work being done by civil society and business leaders,” she said.
Despite the progress seen in cities like Quezon City, which has implemented ordinances to support LGBTQ+ communities, national legislation remains essential to securing broader protections.
Without these legal frameworks, the country risks continuing to lose valuable talent and economic opportunities, experts warn.
The report concludes that the economic case for LGBTQ+ inclusion is clear: it is not just a matter of fairness, but a crucial step toward unlocking the full potential of the Philippine economy.
