Philippine BPO sector forecasts strong Q4 hiring growth
MANILA, PHILIPPINES — The Philippine information technology and business process management (IT-BPM) industry is set for a hiring surge in the fourth quarter of 2024. Despite facing challenges, the sector has maintained stable attrition rates, a positive sign for its growth.
Jack Madrid, president of the IT & Business Process Association of the Philippines (IBPAP), emphasized the industry’s resilience. “Attrition is a moving number, affected by seasonality and the diverse sectors within our industry. Contact centers typically have higher attrition, around 40 percent, while global in-house centers (GICs) have lower rates, around 10 to 15 percent,” he stated.
Some companies even reported single-digit attrition, indicating stability compared to last year.
Surpassing job creation goals
The IT-BPM industry has already exceeded its baseline job creation targets, aiming to reach 1.82 million jobs by the end of 2024. This achievement underscores its capacity to generate employment opportunities.
Madrid expects a hiring surge in the contact center sector as businesses gear up for the holiday season in the United States. This seasonal demand is anticipated to boost employment growth in the coming months.
Growing investor interest
Investor interest in the Philippine IT-BPM sector remains strong, with North America at the forefront. Interest is also rising from Asia Pacific, Australia, and the United Kingdom.
“Our office frequently receives expressions of interest from potential buyers,” noted Celeste Ilagan, IBPAP’s chief operating officer, highlighting continued market optimism.
To leverage this interest, IBPAP is actively promoting the Philippines as a top destination for IT-BPM investment. Initiatives include an upcoming investment mission in collaboration with the Department of Trade and Industry (DTI).
Optimistic future outlook
The Philippine BPO sector’s ability to maintain stable attrition rates while surpassing job creation targets positions it well for future growth. The anticipated Q4 hiring surge underscores its crucial role in global business operations during peak seasons.
With sustained investor interest and strategic promotional efforts, the sector is poised to continue its upward trajectory and significantly contribute to the country’s economic landscape.
