MANILA, PHILIPPINES — The Philippines’ real estate leaders have expressed confidence in the country’s business process outsourcing (BPO) industry amid the proposed Keep Call Centers in America Act.
According to Malaya Business Insight, Megaworld’s real estate trust manager, MREIT Inc., reaffirmed that the Philippine BPO industry will remain robust, even with U.S. lawmakers’ proposed bill penalizing firms that offshore their operations.
At the Philippine Stock Exchange (PSE) forum, MREIT’s Head of Investor Relations, Andy dela Cruz, stated that BPO demand is expected to continue growing despite potential changes brought about by this legislation. While the impact of the Keep Call Centers in America Act remains uncertain, MREIT highlighted the country’s large pool, infrastructure, and investor trust as advantages for its sustainable outsourcing growth.
I think it makes more sense for them to still outsource to the Philippines, and hence we see the space to continue remaining resilient and to continue growing even with that rhetoric.
— Andy dela Cruz, MREIT Head of Investor Relations
Implications for the Industry
The Keep Call Centers in America Act has been repeatedly reintroduced in Congress, discouraging U.S. companies from offshoring their operations.
This can impose requirements from Philippine outsourcing companies, limiting the contracts they can work under. For the U.S., this legislation can also limit companies’ scalability and competitiveness, given possible restrictions and limitations on their workforce.
Why the Demand Remains Strong
The Philippines remains one of the world’s BPO leaders, offering:
- 60%–70% labor and cost savings
- 500,000+ talented graduates annually
- Fluent and digitally adept workforce
Outsourcing will continue to be a strategic business move that saves costs and contributes to operational excellence. This can make it difficult for the U.S. companies to fully restrict themselves from offshoring support and replacing it with domestic hiring.
