Philippine BPOs lead in early AI adoption: IBPAP
MANILA, PHILIPPINES — The Philippine business process outsourcing (BPO) industry, a global leader in information technology and business process management (IT-BPM), is leveraging artificial intelligence (AI) to enhance productivity and competitiveness.
According to the IT & Business Process Association of the Philippines (IBPAP), 67% of its member companies have already integrated AI into their operations, contributing to the sector’s projected $38 billion revenue and 1.82 million workforce by the end of 2024.
“AI is not a distant challenge; it is a present reality reshaping industries and economies globally,” said IBPAP President Jack Madrid. He emphasized that early adoption has positioned the industry as a model for navigating AI disruption but stressed the need for broader workforce upskilling to sustain this momentum.
Upskilling workforce key to mitigating AI disruption
Despite AI’s potential to elevate the industry, concerns about job displacement persist. Labor groups, such as the Alliance of Call Center Workers (ACW), have raised alarms over insufficient training for employees to adapt to AI integration.
ACW co-convener Emmanuel David noted that while tools like call summarizers are being introduced, they remain under-optimized, leaving workers to perform redundant tasks. Many employees are now funding their own AI training programs due to limited organizational support, reflecting a growing “bring your own AI” trend.
In an interview with BusinessWorld, David explained that “management doesn’t often pull workers out for training because they want us on the phone taking calls.”
Labor groups push for AI job security laws
Labor leaders are urging Congress to pass legislation ensuring job security amid AI’s rapid rise. Ronald dela Cruz, president of the Congress of Independent Organizations, stressed the need for a legal framework to guide a just transition.
“If it is not written by law, management would still do what is convenient for them economically,” he warned.
Meanwhile, IBPAP has proposed increased funding for AI-focused training programs and integrating digital skills into educational curricula through partnerships with agencies like the Department of Education and Technical Education and Skills Development Authority. These initiatives aim to upskill one million workers by 2028.
Education reform vital for future-proofing workforce
Experts emphasize that equipping students with AI knowledge before entering the workforce is critical. Adjusting educational curricula to include digital and AI-related skills can prepare future workers for an evolving job market.
Labor Secretary Bienvenido Laguesma also highlighted that while AI may displace some jobs, it creates new opportunities in fields like data curation.
The rise of AI in the Philippine BPO industry presents both challenges and opportunities. With strategic policies, robust training programs, and education reform, the country can transform potential disruptions into avenues for growth. As stakeholders collaborate, they can ensure a future where humans and AI thrive together in harmony.
