The business-process outsourcing (BPO) sector sees more employment in the countryside with the continued implementation of remote working moving forward.
Jack Madrid, president of the IT and Business Process Association of the Philippines (Ibpap), said during the Arangkada forum on Tuesday that the work-from-home (WFH) arrangement has allowed the industry to expand its talent pool across the country.
“Work-from-home, work-from-anywhere, is here to stay. This is not just a one-time thing. This will be part of our business models moving forward. So the next six to 12 months is critical on how we manage this next stage of growth for the industry,” he said.
In particular, he is seeing a hike in employment in Bacolod, Davao, Iloilo, Dumaguete and Baguio, among others, for the sector.
“We are in a unique position in the country to be able to leverage our multiple cities, our Tier 2 and Tier 3 cities, and spread the economic growth,” Madrid added.
The Ibpap official explained that remote working may also boost employee satisfaction given its flexibility, which may also lead to reduced attrition and unscheduled absences. This, in addition to decongesting Metro Manila, he said.
In terms of employment, a recent Ibpap survey revealed that 56 percent expect to have double-digit growth in their work force this year.
Some 6 percent projects flat growth in headcount, while the remainder sees single-digit improvement, Madrid explained, adding that no one expects a decline in the number of employees.
“Clearly, despite the challenges of the past two years of Covid-19 with global industry, the Philippines continues to be bullish with massive opportunities to drive further growth in the years ahead,” he added.
He said the outlook is supported by the following BPO segments: health management, animation, game development, software and financial services.
Earlier, Ibpap Trustee Celeste Ilagan suggested making some amendments on existing laws to allow the IT-business process management (IT-BPM) sector to implement WFH scheme in the long term and even after the pandemic.
She said that the “work-from-home business model was sort of forced upon us by the pandemic and our partners in government responded quickly to our needs by allowing us to be able to take out our equipment from office and putting a policy that allows us to work 90 percent from home and 10 percent in the centers.”
Ilagan pointed out that “this may not be the right ratio,” however, adding the need to have “a continuation of this type of policy.”
“There should be an agreement between the industry and government as to what the best balance is,” she said. “But certainly, legislation that will sort of institutionalize the Philippines’ response to this global working trend is necessary.”
The Fiscal Incentives Review Board approved the extension until March 31, 2022 of WFH arrangements for up to 90 percent of the employees in the IT-BPM sector amid the pandemic.