Impact of BPO industry on PH economy
According to property consultancy firm JLL’s latest reports, growth in the outsourcing and offshoring sector raised office rents in Manila by 0.9%. Even though the rent increased, Manila still offers competitive prices for rent compared to other cities in Asia Pacific. Office rentals declined in the majority of the Southeast Asian cities due to the slowdown of the economy throughout the ASEAN region in 2015. Manila is one of the few cities that posted an increase in office rentals during the last quarter of the year.
Turnover rates in Philippine companies rose continuously as employees went after better pay and flexible working conditions. BPO service sector and IT industry dominated employee pay in the Philippines.
BPO service industry accounts for 17% of the Philippines GDP this year. In the coming year, the Philippines can grow by 6.5% – 7%. Teleperformance a global outsourcing giant, announced that its net profit went up by 200 million from 150 million net profit in 2015. The company has managed to further strengthen its role in global market leadership. It is expected to add 12,000 workstations to expand its footprint on the world. The company also opened 8 centers in the United Kingdom, Canada, United States, China, Indonesia, and the Philippines and Guyana.
