MANILA, Philippines - Filipino business-process outsourcing (BPO) workers facing displacement in case the US Congress passes a bill that keeps American companies from farming out noncore operations overseas, have wider job opportunities because of their sound education and skills in spoken English.
Lawrence Jeff Johnson, International Labor Organization (ILO) director to the Philippines, noted that while there are other countries that have set up outsourcing companies in the country, there is now an increasing number of Philippine BPO players servicing other parts of Asia.
“The Philippines is in a unique position with its widely educated labor force that continues to grow. I don’t believe that US is the only BPO market,” Johnson said in an interview at the launch of ILO-Department of Labor and Employment’s (DOLE) Knowledge Center and the DOLE in Manila.
Instead, Johnson said the Philippine government should use the US legislative measure to refocus on generating jobs for highly skilled Filipino workers working in the BPO, mostly in customer service, that may be initially displaced.
Johnson said the US legislative measure to stop outsourcing is only part of addressing its own financial and economic woes but would not lead to regulating new job markets for Filipinos.
US House Bill 3596, or the “Call Centers and Consumers Protection Bill” encourages American companies to farm out their noncore business within the US, a practice known as “insourcing,” and penalizes those giving jobs overseas.
There are around 600,000 BPO employees in the Philippines. The country is considered to be the second top destination of outsourcing jobs, next to India. The Philippines is targeting 1.6 million BPO workers in 2016.
On the ILO-DOLE knowledge center, Johnson explained it was designed to fill in the knowledge gap of Filipinos on labor issues, considering that ILO has a wide range of statistics, research materials, operational and policy tools, market information and analysis.
“We are willing and eager to reach out to our constituents, the government through DOLE, employers and workers’ organizations as well as to students and faculty in the academia,” said Johnson.
Around the world are students “who do not have a clear understanding of the most basic concepts, definitions and policies to help recognize and address challenges in the world of work,” he added.
Lawrence Jeff Johnson, International Labor Organization (ILO) director to the Philippines, noted that while there are other countries that have set up outsourcing companies in the country, there is now an increasing number of Philippine BPO players servicing other parts of Asia.
“The Philippines is in a unique position with its widely educated labor force that continues to grow. I don’t believe that US is the only BPO market,” Johnson said in an interview at the launch of ILO-Department of Labor and Employment’s (DOLE) Knowledge Center and the DOLE in Manila.
Instead, Johnson said the Philippine government should use the US legislative measure to refocus on generating jobs for highly skilled Filipino workers working in the BPO, mostly in customer service, that may be initially displaced.
Johnson said the US legislative measure to stop outsourcing is only part of addressing its own financial and economic woes but would not lead to regulating new job markets for Filipinos.
US House Bill 3596, or the “Call Centers and Consumers Protection Bill” encourages American companies to farm out their noncore business within the US, a practice known as “insourcing,” and penalizes those giving jobs overseas.
There are around 600,000 BPO employees in the Philippines. The country is considered to be the second top destination of outsourcing jobs, next to India. The Philippines is targeting 1.6 million BPO workers in 2016.
On the ILO-DOLE knowledge center, Johnson explained it was designed to fill in the knowledge gap of Filipinos on labor issues, considering that ILO has a wide range of statistics, research materials, operational and policy tools, market information and analysis.
“We are willing and eager to reach out to our constituents, the government through DOLE, employers and workers’ organizations as well as to students and faculty in the academia,” said Johnson.
Around the world are students “who do not have a clear understanding of the most basic concepts, definitions and policies to help recognize and address challenges in the world of work,” he added.
MANILA, Philippines - The Philippine business process outsourcing industry is alarmed by a US bill, which is aimed at discouraging American companies from outsourcing their call center operations.
Jojo Uligan, executive director of the Contact Center Association of the Philippines, said the US bill is a cause of concern for the industry.
Even if the call centers are doing very well, there is still a lot of people unemployed. Pag nawala pa paano na... This is a concern for the industry... Kahit nga may call center industry madami pa ang walang trabaho dito what more kung naipasa pa ang batas na yan," Uligans said.
The outsourcing workforce grew about 10% in 2011 to 600,000, according to the Business Processing Association of the Philippines. More than 60% of the workforce are call center agents, who field telephone inquiries and sell products to customers around the world.
Many American companies have been outsourcing their call center services to the Philippines and India in recent years, since wages here are much lower than in the US. The monthly salary of an entry-level call center worker is about P14,000-P20,000 ($325-$465).
Some Americans blame outsourcing for the lack of job opportunities in the US, which continues to grapple with high unemployment. This has prompted lawmakers in the US Congress to draft a bill that aims to protect jobs of American call center agents.
House Bill (HB) No. 3596, the “Call Center and Consumers Protection Bill" was filed by Reps. Tim Bishop (Democrat, New York), David Mckinley (Republican, West Virginia) and Mike Michaud (Democrat, Texas) last December 7.
Under the bill, companies that have call centers overseas would be ineligible for grants and guaranteed loans from the federal government. It also proposes a $10,000 a day penalty on US call centers that fail to report its relocation to an offshore location within 60 days to the Labor department.
Also under the bill, call center operators will be required to identify their location. Callers will also be allowed to choose an operator who is based in the US.
The US bill is also causing worry among call center agents.
"Medyo unfair yun dahil iyon ang number one na pinagkukunan ng trabaho ngayon dito sa Pilipinas," a male call center agent said.
A female call center agent said the US bill would adversely affect the employment of many young Filipinos. "Kawawa ang mga call center agents lalo na marami ang mga call center agents na nagtratrabaho tulad namin," she said.
The BPO industry members are set to meet with government agencies soon to come up with a contingency plan in case the call center bill is passed.
Labor Secretary earlier said the passage of the US bill may "adversely affect" operations of local BPOs and employment in the country
"Definitely it would impact on local BPO industry dahil maraming outsourcing companies ang US dito sa Pilipinas," Baldoz said. - Report from Bandila, ANC
SOURCE: http://www.abs-cbnnews.comJojo Uligan, executive director of the Contact Center Association of the Philippines, said the US bill is a cause of concern for the industry.
Even if the call centers are doing very well, there is still a lot of people unemployed. Pag nawala pa paano na... This is a concern for the industry... Kahit nga may call center industry madami pa ang walang trabaho dito what more kung naipasa pa ang batas na yan," Uligans said.
The outsourcing workforce grew about 10% in 2011 to 600,000, according to the Business Processing Association of the Philippines. More than 60% of the workforce are call center agents, who field telephone inquiries and sell products to customers around the world.
Many American companies have been outsourcing their call center services to the Philippines and India in recent years, since wages here are much lower than in the US. The monthly salary of an entry-level call center worker is about P14,000-P20,000 ($325-$465).
Some Americans blame outsourcing for the lack of job opportunities in the US, which continues to grapple with high unemployment. This has prompted lawmakers in the US Congress to draft a bill that aims to protect jobs of American call center agents.
House Bill (HB) No. 3596, the “Call Center and Consumers Protection Bill" was filed by Reps. Tim Bishop (Democrat, New York), David Mckinley (Republican, West Virginia) and Mike Michaud (Democrat, Texas) last December 7.
Under the bill, companies that have call centers overseas would be ineligible for grants and guaranteed loans from the federal government. It also proposes a $10,000 a day penalty on US call centers that fail to report its relocation to an offshore location within 60 days to the Labor department.
Also under the bill, call center operators will be required to identify their location. Callers will also be allowed to choose an operator who is based in the US.
The US bill is also causing worry among call center agents.
"Medyo unfair yun dahil iyon ang number one na pinagkukunan ng trabaho ngayon dito sa Pilipinas," a male call center agent said.
A female call center agent said the US bill would adversely affect the employment of many young Filipinos. "Kawawa ang mga call center agents lalo na marami ang mga call center agents na nagtratrabaho tulad namin," she said.
The BPO industry members are set to meet with government agencies soon to come up with a contingency plan in case the call center bill is passed.
Labor Secretary earlier said the passage of the US bill may "adversely affect" operations of local BPOs and employment in the country
"Definitely it would impact on local BPO industry dahil maraming outsourcing companies ang US dito sa Pilipinas," Baldoz said. - Report from Bandila, ANC
MANILA, Philippines - The Department of Labor and Employment (DOLE) is closely watching over the possible slowdown in the operations of American-owned business process outsourcing (BPO) firms in the country.
Labor Secretary Rosalinda Baldoz said she would ask the Philippine Overseas Labor Office (POLO) in Washington to monitor developments and impact of the proposed bill before US Congress that seeks to discourage US BPOs from outsourcing their operations.
“At this time we still cannot tell the effect since it still a bill, but I will ask our labor attaché in Washington to give me a briefing on this bill and possible impact assessment to our companies,” Baldoz said.
A House Bill (HB) 3596 titled “Call Center and Consumers Protection Bill” which aims to discourage US companies from outsourcing their operations has been filed before the US Congress.
Under the proposed measure, US call center firms would be required to answer calls and identify their location in order to give American callers the option of choosing a local operator.
The measure also proposed to penalize US companies $10,000 a day if they fail to report their relocation to the US Department of Labor within 60 days.
Philippine legislators have already called on the Aquino administration to take measures to protect and promote the local BPO industry, which is now the largest in the whole world after overtaking India in voice Information Technology-BPO.
Baldoz said the passage of the US bill could adversely affect the operations of local BPOs as well as the employment Filipino workers.
“Definitely it would impact on local BPO industry dahil maraming outsourcing companies ang US dito sa Pilipinas,” Baldoz explained.
Baldoz estimated that BPO industry employs half a million workers.
As this developed, Baldoz ordered all DOLE offices and attached agencies to implement reforms in order to provide faster services to the public.
“This means reduce process cycle, eliminate all forms of red tape that would make it easier and faster for our clients to transact official business with the department,” Baldoz said.
Labor Secretary Rosalinda Baldoz said she would ask the Philippine Overseas Labor Office (POLO) in Washington to monitor developments and impact of the proposed bill before US Congress that seeks to discourage US BPOs from outsourcing their operations.
“At this time we still cannot tell the effect since it still a bill, but I will ask our labor attaché in Washington to give me a briefing on this bill and possible impact assessment to our companies,” Baldoz said.
A House Bill (HB) 3596 titled “Call Center and Consumers Protection Bill” which aims to discourage US companies from outsourcing their operations has been filed before the US Congress.
Under the proposed measure, US call center firms would be required to answer calls and identify their location in order to give American callers the option of choosing a local operator.
The measure also proposed to penalize US companies $10,000 a day if they fail to report their relocation to the US Department of Labor within 60 days.
Philippine legislators have already called on the Aquino administration to take measures to protect and promote the local BPO industry, which is now the largest in the whole world after overtaking India in voice Information Technology-BPO.
Baldoz said the passage of the US bill could adversely affect the operations of local BPOs as well as the employment Filipino workers.
“Definitely it would impact on local BPO industry dahil maraming outsourcing companies ang US dito sa Pilipinas,” Baldoz explained.
Baldoz estimated that BPO industry employs half a million workers.
As this developed, Baldoz ordered all DOLE offices and attached agencies to implement reforms in order to provide faster services to the public.
“This means reduce process cycle, eliminate all forms of red tape that would make it easier and faster for our clients to transact official business with the department,” Baldoz said.
