Beyond Remittances: Assessing the Socio-Economic Impact on Overseas Filipino Workers

Abstract

This study delves into the ever-evolving realm of labor migration motivations, socioeconomic well-being, social well being, and emotional well-being of Overseas Filipino Workers. A survey was conducted among 352 respondents from the SOCCSKSARGEN Region of Southern Philippines. Results reveals that financial stability is the main reason Overseas Filipino Workers (OFWs) seek jobs abroad, with 43.47% earning PHP 26,000-30,000 monthly, which is often insufficient due to rising costs and family obligations. Only few invest in financial assets, highlighting a lack of financial literacy, and many struggle with debts from migration and economic uncertainties. The findings also show a strong link between remittances from migrant workers and their families’ well-being. Higher remittances are associated with increased property and personal ownership. They also support investments and savings, improving financial stability. However, there is no significant connection between remittances and emotional well-being, indicating that financial support alone does not address emotional issues. While labor migration provides economic opportunities for millions of Filipinos, it also presents significant challenges that must be addressed through comprehensive policy interventions. Strengthening financial literacy, ensuring fair labor practices, and providing social support systems are crucial in enhancing the overall well-being of OFWs and their families. By addressing these concerns, the government and relevant stakeholders can ensure that the sacrifices made by OFWs contribute to sustainable economic growth and improved quality of life for their families and communities.