PEZA extends WFH deal with BPOs, IT-BPM until March 2023
Amid the long-running quandary over permitting business process outsourcing (BPO) firms listed under the Philippine Economic Zone Authority (PEZA) to implement remote work arrangements, members of the IT and Business Process Association of the Philippines (IBPAP) were allowed to continue work from home setup until March 2023.
“Our partners in PEZA have recently advised [IT & Business Process Association of the Philippines] IBPAP members that the 30 percent work-from-home arrangement can be extended through the end of March 2023 and that is well within the PEZA law,” said IBPAP President and CEO Jack Madrid at a virtual event on Tuesday.
As mandated by PEZA, information technology business process management (IT-BPM) and business process outsourcing (BPO) firms listed under PEZA must fully implement onsite work arrangements. Non-compliance will result in the forfeiture of tax breaks and incentives.
However, after the IT-BPM and BPO industries’ and associations like IBAPAP’s persistent plea, PEZA allowed the 30 per cent work from home, 70 per cent onsite scheme. This agreement is set to expire on September 12.
Meanwhile, Madrid said that ongoing talks with different government sectors and key leaders are beginning to point towards the direction of hybrid work arrangements.
“We’ve had a number of very productive meetings with different government partners who have all expressed support for the need for a more predictable and longer term work from home policy,” said Madrid.
The IT-BPM industry is among the most resilient during the height of the pandemic, recording 10.6-percent growth from 2020 levels to $29.49 billion in 2021. Meanwhile, its employment figures recorded a 9.1-percent growth compared to 2020, or an increase by 120,000 full-time employees, bringing the sector’s total headcount to 1.44 million in 2021.
