Unlocking Opportunities: How BPO Benefits the Philippines
Business Process Outsourcing (BPO) has emerged as a transformative industry in the Philippines, revolutionizing the lives of countless Filipinos and contributing significantly to the nation’s economic growth. In this article, we will delve into the fascinating history of BPO in the Philippines and explore the multifaceted benefits it brings to the country and the Filipino people.
The BPO industry took root in the Philippines during the early 1990s, primarily driven by the country’s proficient English-speaking population, highly skilled workforce, and competitive labor costs. The industry initially focused on voice-based services, such as customer support and telemarketing, but quickly expanded to include a wide array of non-voice services like IT outsourcing, finance and accounting, and healthcare administration.
The impact of BPO on the Philippine economy has been profound. The industry has become a major contributor to the country’s Gross Domestic Product (GDP), adding about $30 billion to the economy annually. In 2019, around 1.3 million Filipinos were working for the BPO industry. This additional income brought by the Filipino BPO workforce has allowed the government to invest in essential infrastructure projects, social welfare programs, and public services, ultimately enhancing the overall quality of life for Filipinos.
That’s the big picture. Now let’s get into the specifics. How exactly does BPO manage to contribute to the Philippine economy on such a large scale?
Job Creation and Better Compensation
One of the most significant benefits of BPO for the Philippines is the surge in employment opportunities it has created. The industry has provided millions of stable, well-paying jobs to Filipinos. Not only that but, BPOs also provide better compensation compared to other local companies. A comparison of the average annual salary of a non-BPO Filipino employee vs the average annual salary of a Filipino BPO employee in 2018 revealed that a BPO employee’s salary is more than double the salary of a non-BPO employee.
Career Advancement and Global Exposure
Working in the BPO industry offers Filipinos the opportunity to gain valuable experience with prominent multinational companies. This exposure provides a springboard for professional growth, as individuals are exposed to global best practices, advanced technologies, and international business cultures. Moreover, the training opportunities offered by BPO companies allow employees to acquire sought-after skills, further enhancing their marketability.
Reduced Dependence on Overseas Employment
The Philippines has long been known for its overseas Filipino workers (OFWs) who seek employment abroad to support their families. However, with the rise of the BPO industry, many Filipinos have found viable career options within the country. This has led to a reduction in the need to work overseas, allowing individuals to spend more time with their families and contribute to the local economy.
Flexible Work Shifts
Many BPO companies operate during night shifts or offer alternative working hours, making them ideal for students who wish to pursue their education while earning a living. This flexibility allows working students to balance their academic responsibilities with their professional commitments, providing them with financial independence and the opportunity to acquire real-world experience.
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Overall, the BPO industry has greatly impacted the lives of the Filipino people, and in a good way. From bolstering the economy to providing employment opportunities, BPO has become a catalyst for growth and development. The industry has not only increased the standard of living for Filipinos but also provided them with valuable skills, global exposure, and the chance to spend more time with their loved ones.
And if you want to be part of this transformative and community-building industry, why not try offshoring some of your business processes. As proven by the longevity and success of the outsourcing industry in the Philippines, Filipinos will not disappoint in providing you quality service. Not only that but with Tahche’s strict vetting practices and dedication to give you skilled employees that best address your business needs, you will be off to a great start to an amazing and profitable journey.
Contact us today.
