Dire financial conditions have inspired many Filipino citizens to leave their home country for opportunities abroad. It has become a way of life for millions of Filipinos who have migrated to countries that enjoy more robust economies. In fact, every June 16, the global community observes the International Day of Family Remittances, adopted by the United Nations General Assembly, to raise awareness of the hard work of millions of migrants who support their families through the money they earn abroad and send home.

One billion people worldwide depend on remittances. Each year, 200 million migrant workers send money home and approximately 800 million people benefit from the remittances. According to World Bank data, remittances reached US $656 billion in 2023. More than fifty percent of remittances are sent to rural areas where the majority of the world’s poor and food-insecure live.

Filipinos and other migrants typically send a percentage of their income to the family they left home. Overseas Filipino workers are vital to the economy of this Southeast Asian country. The same is true of other developing nations who lack sufficient job opportunities within their countries.

In 2023, $33.5 billion in cash, called remittances, were sent to the Philippines by overseas workers. The majority of those remittances came from those working in the U.S. High levels of remittances from Filipinos in Singapore followed, amounting to 928 million U.S. dollars. The amount of remittances from those in Saudi Arabia and the United Arab Emirates are not far behind.

Filipinos have worked across international borders for decades. The Philippines ranks ninth in the world for the largest diaspora population. Personal remittances remain a major source of the country's foreign exchange inflows. In 2022, remittances from overseas Filipino workers accounted for 8.9 percent of the country's gross domestic product. More than 80 countries rely on remittances for at least three percent of their gross domestic product.

The practice is common in other developing nations, like El Salvador, Gambia, Haiti, Guatemala, Lebanon and Kosovo.

Because English is widely spoken in the Philippines, and required in most of the Philippines’ schools, the country is one of the leading providers of skilled talent abroad. The demand for competent Filipino employees particularly in the health and hospitality industries remains strong.

Remittance growth continues, encouraged by better digital financial transactions for sending money across borders. Bilateral arrangements that the Filipino government forged with destination governments, including Saudi Arabia, to improve the treatment of Filipino workers, also helped. In 2021, the Philippines government had banned the deployment of Filipino workers to Saudi Arabia for a time, due to alleged mistreatment of Filipino workers by Saudi employers. As conditions improved, more Filipino workers moved to Saudi Arabia.

But what does this global supply of manpower abroad do to family members left behind in the Philippines? I have met countless Filipina nannies who did not enjoy the privilege of raising their own children because they worked abroad caring for other people’s children during their own children’s youth. They are grateful for the financial opportunities, but the emotional costs are immeasurable.

Being separated from one’s family understandably can affect one’s mental health. The effect on children’s mental health and that of elderly family members, as well as the quality of marriages, should not be minimized. Because migration for financial gain is so common in countries like the Philippines, the out-migration of family members may be less traumatic than it otherwise could be. Coping mechanisms may be in place, or at least those left behind do not likely feel so unusual in their plights. In addition, the pain of separation and family life disruption resulting from migration may be compensated for in part by the economic opportunities earned.

Increasing family reunification possibilities may help, as could providing better employment and financial security opportunities within the developing nations. Providing better professional healthcare, including mental healthcare, to those living abroad and those remaining at home also would help. Mental health needs should not be ignored because, undeniably, familial ties are important to one’s mental health. Remittances are necessary for many families’ survival. However, this type of work arrangement should complement rather than substitute for economic development in less advantaged nations.

Remittances may buy a modicum of happiness, but do not lessen the attendant emotional pain. It is heartbreaking for me to learn the stories of those who live far from their families and cannot afford to go home to see them. Employers should not take for granted the negative impact of those forced to participate in the remittance economy in order for their families to survive, while recognizing migrants’ contributions to the global economy, reducing food-insecurity and positively affecting climate change.