In Philippines, now working in a call center is something more than just building a career. Philippine’s economy has never looked so upbeat until outsourcing industry came in.
Pre outsourcing era, Philippines economy was struggling with increasing unemployment and underemployment rates. The pathetic situation only deepened further as time moved on. But everything seems to have changed as soon as outsourcing industry started making its presence felt in the country.
Today, the economic condition of Philippines is entirely different from what it was some four years back. International BPO companies started offering Filipinos good wages and the young graduates now need not migrate overseas in search of better paying jobs.
Better and high pay to deserving ones at starting level, overtime pay and other fringe benefits raised the level of Filipinos disposable income. In short, it can be said that success of outsourcing industry changed the face of Philippines economy and its people.
New development is that Philippines’ Business Process Outsourcing Industry expects to spend P247 billion ($5.85 billion) as salary and the forecasted revenue is $13 billion by the end of this year. According to reports, the salaries of the outsourcing sector are equal to 14% of national government’s spending program which is projected to be P1.86 trillion.
Also, the government sources reported that the declared budget by the BPO salary is greater than the budget of the nation’s top five departments, namely- Department of Education, Public Works and Highways, National Defense, Interior and Local Government and Agriculture.
The salaries for the BPO workers are also 53% larger than the combined pay for the members of the Social Security System, Government Service Insurance System and Philippine Health Insurance Corp.
According to a previous survey, the average salary paid to a BPO worker in Philippines is higher when compared to that of salary paid to a BPO executive in India. A Filipino BPO worker receives an average salary of $9182.25, whereas for Indian BPO worker, the salary is $6042.65.
The outsourcing companies in Philippines spend about 40-45% of their revenues to pay salary for their employees, and Indian BPO expects to hike salary by 8-10% for their employees.
Philippines outsourcing industry is well known for their voice based processes. Philippines BPO overtook Indian BPO in the area of voice process. The success of the industry in the nation can be attributed to its high skilled workforce and the government support extended to those who are willing to invest in their country.
Filipinos English Speaking ability, clear accent, innate hospitality and high educational qualification attracted big players in the global outsourcing market to invest in their country. In addition, the government also takes necessary initiatives from time to time to boost up their economy by way of foreign investments.
The Business Processing Association of the Philippines (BPAP) expects that BPO industry in Philippines will employ around 1.3 million Filipinos in BPO industry and have their revenue scaled up to $27 billion by 2016.