BPO workers to earn P247-B this year-A A +A
Thursday, July 5, 2012
MANILA -- The business process outsourcing (BPO) sector is expected to pay out its workers a total of P247 billion or $5.85 billion from projected industry revenues of up to $13 billion this year, House Deputy Majority Leader Roman Romulo said.
Romulo, vice chairperson of the House committee on information and communications technology, said the amount helps drive consumer spending, thus perking up domestic industries.
"No matter how we look at it, P247 billion represents a huge amount of money being coursed through the economy every year, and helping to drive consumption spending," he said.
The Pasig representative further said that the amount is equal to 14 percent of the National Government's P1.816-trillion budget for 2012, and larger than the budgets of the top five departments.
The Department of Education is spending P238.8 billion this year; Department of Public Works and Highways, P125.5 billion; Department of National Defense, P107.9 billion; Department of the Interior and Local Government, P101.4 billion; and the Department of Agriculture, P54.1 billion.
Citing a survey by the Bangko Sentral ng Pilipinas (BSP), Romulo said that BPO employees on average receive P383,863 in annual compensation.
"BPO firms on average spend around 40 to 45 percent of their revenues to compensate their staff. This is understandable since the industry is basically adding high-value labor services," he said.
The BPO industry is projected to rake in up to $27 billion in annual revenues and directly engage some 1.3 million Filipino workers by 2016. It posted $11 billion in revenues on a labor force of 638,000 in 2011.
This year, the sector hopes to create 126,000 new jobs and generate $2 billion in extra earnings, according to the Business Processing Association of the Philippines.
The industry encompasses contact center services; back offices; medical, legal and other data transcription; animation; software development; engineering design; and digital content. (Kathrina Alvarez/Sunnex)