As globalization promises to enhance trade and employment, it has also brought about significant changes in trade patterns, the structure of production activities, levels of output, and employment.  When the financial crisis struck in 1998, things got even more complicated.  Short-term investors panicked, pulling out their investments to close shop, leaving behind thousands of unemployed.

This paper presents the different strategies and coping mechanisms adopted by government, private sector, and trade unions to survive the onslaught. These strategies and mechanisms are carried out through employment promotion, enhancement of social protection services, tripartism, and social dialogue, among others.  It,  likewise, cites the future thrusts of government to address the impact of globalization and liberalization. It also forecasts the significant roles to be played by ASEAN and ILO in the next five years.