A possible approach to the management of the multispecies multigear fishery in a developing country was explored. The small pelagics fishery in central Philippines was analyzed in three stages. A dynamic pool model represented the dynamics of the stocks. The optimal allocation of catch across competing fleets was modeled having regard for the pursuit of two conflicting objectives, maximizing employment and fishing profits. Alternative management schemes were then explored. On the basis of the criteria used, the optimal fleet size was a small fraction of the existing fleet size. Calculation of increased target yields through regulation of fishing mortality and selectivity showed that the increase in optimal fleet size would be moderate because the current level of exploitation is close to that producing the maximum yield-per-recruit. An agenda for exploration of further management alternative appropriate to the social and economic policy objectives of a developing country is discussed.