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News » Philippines moves to protect IT-BPM jobs from U.S. reshoring

Philippines moves to protect IT-BPM jobs from U.S. reshoring

Philippines moves to protect IT-BPM jobs from U.S. reshoring

MANILA, PHILIPPINES — The Philippine Senate is intensifying its efforts to safeguard the country’s thriving information technology and business process management (IT-BPM) industry, which generates an estimated $38 billion in annual revenue and employs approximately 1.82 million people as of 2024. 

U.S. protectionist push sparks concern

With U.S. lawmakers considering tough new restrictions on offshore call centers, the proposed Senate Resolution No. 95, introduced by Senator Risa Hontiveros, urges the executive branch to “immediately develop and implement a comprehensive national strategy to address the threats posed by services protectionism.”

The resolution cites the “Keep Call Centers in America Act of 2025,” highlighting that the U.S. accounts for 70% of the Philippines’ IT-BPM clientele. 

Hontiveros warns in the resolution that these proposed measures, such as mandatory disclosure of agents’ physical location, consumer rights to U.S.-based agents, and penalties for non-compliant businesses, could “negatively impact the Philippine IT-BPM sector” by threatening jobs and access to U.S. clients. 

The resolution also states that “while similar anti-offshoring bills have failed in the past due to the opposition from the U.S. business community, the current political and legislative environment in the U.S. is more favorable to the passage of reshoring bills, driven by a renewed focus on data security, job protection, and AI governance.”

Senator pushes data privacy, incentives, and digital upskilling

Hontiveros’ resolution is focused on countering risks and asserts a forward-thinking agenda to promote growth and resilience. 

“A proactive, multi-faceted national strategy is necessary to mitigate these threats, diversify the industry’s offerings, and maintain the Philippines’ global competitiveness,” the resolution declares.

Among its proposed measures, the resolution calls for the “Establishment of a Dedicated Office of the Trade Representative for Services (OTR-S),” said to be vital for representing Philippine interests in global trade forums and for negotiating with international partners. 

The resolution further instructs the government to “launch a comprehensive program for global data privacy compliance,” aligning local practices with standards like General Data Protection Regulation (GDPR) and Asia-Pacific Economic Cooperation (APEC) Cross-Border Privacy Rules (CBPR), stating that such steps “will build client trust… and provide a competitive advantage over the fragmented U.S. data privacy landscape.”

Other mandates include the establishment of a “Digital Public Works Program” to retrain and employ IT-BPM workers in digital transformation projects, diversifying the country’s expertise, and the enhancement of incentives for foreign investment in captive operations to attract more US multinationals by leveraging Philippine talent and cost advantages.

The Senate “hereby urges” these steps be adopted to “secure 2.5 million Filipino IT-BPM jobs” by 2028 and sustain the industry’s essential role in the Philippine economy

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