MANILA, Philippines – The Philippines remains among the preferred sites for business process outsourcing (BPO), according to a leading US-based BPO and information technology (IT) company.
Shore Solutions Inc., one of the bigger players in the BPO business, said revenues from the BPO industry in the Philippines is expected to hit $16 billion this year, or almost 20 percent higher than the $13.4 billion last year.
It noted that with increasing demand from prospective investors and subscribers, the industry would need at least 1.3 million direct hires by 2016 from 720,000 last year.
“That should require 516,000 additional seats, and some 2.5 million square meters of additional office space,” Darcey Lalonde, Asia chief executive officer of Shore Solutions said in a forum yesterday.
The industry employed over 720,000 in 2012, with another 1.6 million indirectly.
Expansion has already been noted in the key urban centers outside Metro Manila such as Cebu and Davao. In Metro Manila, the major BPO centers are in Makati, Quezon City, Manila, Taguig and Mandaluyong.
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Lalonde said that the next or third wave of BPOs is targeting key cities in Laguna, Batangas and Bacolod.
However, he said government should consider anew opening up to a limited extent or to select sectors, ownership of land to foreign entities.