Philippine Call Center Stable

The Call centers industry in the Philippines is stableMany factors should be prioritized if the government is
according to the State of the Nation Address (Sona)serious in keeping this industry. First, is to focus on
of President Gloria Macapagal-Arroyo last July 2007.education. Knowledge is the greatest creator of
Mrs. Arroyo, clad in a red terno expressed thewealth. Without knowledge we cannot move on and
significant on how call center industry is helping thedo the things we want. With this development, the
country in terms of providing jobs to the Filipino peoplePresident said that the nation is investing more for
especially to the fresh graduates.education: PhP150 billion, PhP29 billion more than last
This industry is distinct from information technology (IT)year. In 2006, the government and private sector built
outsourcing, which focuses on hiring a third-party15,000 classrooms instead of the usual 6,000. Since call
company or service provider to do IT-related activities,center industry wants their employees to be computer
such as application management and applicationliterate. The government reported that one third of the
development, data center operations, or testing andpublic high schools now have Internet access, with
quality assurance.private sector support.
Mrs. Arroyo is taking cognizance of the importance ofThe President quoted in her speech: "We have a
call center industry because of the ability of the Filipinosscarcity of public high schools but a surplus of private
to speak fluently in English. She even said in herhigh schools. So instead of building more high schools,
speech: "The Philippines ranks among top off-shoringwe give more high school scholarships - 600,000
hubs in the world because of cost competitivenessscholars this year."
and more importantly our highly trainable, EnglishAside from education, terrorism should be the top
proficient, IT-enabled management and manpower"priority because it will scare the investors on putting
It only shows that call center industry in the Philippinestheir businesses in the country. The President herself is
has been called the "New India" as the country offersaware of the presence of the terrorists, which
an abundance of inexpensive, English speaking labor.threatens the sovereign, democratic, compassionate
This was according to the 2003 Philippines Call Centreand decent way of life. "Therefore, in the fight against
Industry Benchmark Study conducted by call centreslawless violence, we must uphold these values. It is
net. Our country is very viable alternative to othernever right and always wrong to fight terror with
locations in the Asia Pacific and hence many local andterro."
multinational organizations have set up contact centers.I welcome the development that Human Security Act,
This trend is set to continue as numerous companiesa new anti-terror law that took effect last July 15,
progressively seek an Asian presence to serviceunderscored the resolve to deal with terrorism and
customers both regionally and globally.contribute to regional security. Due to the continuous
"Information technology will help the Bureau of Internalconflict between the Armed Forces of the Philippines
Revenue (BIR) bring in more taxes in the comingand the More Islamic Liberation Front (MILF) in
months," she stressed.Mindanao, it is a good thing that she asked the
It means to say that more investments are likely toCongress to enact laws to transform state response
happen in the following years because of theto political violence: First, laws to protect witnesses
presence of this industry. The country hasfrom lawbreakers and law enforcers. Second, laws to
approximately 200 call centers and 20,000 seats. It isguarantee swift justice from more empowered special
estimated that 80% of these seats are operated bycourts. Third, laws to impose harsher penalties for
call center outsourcing bureaus.political killings. Fourth, laws reserving the harshest
She further said: "While our strength in contact centerspenalties for the rogue elements in the uniformed
is well-established, we are now focused on growingservices who betray public trust and bring shame to
the higher value-added services, including accounting,the greater number of their colleagues who are
legal, human resources and administrative services."patriotic.
She stressed: "The business services sector has"It is my ardent wish that most of the vision I have
become the fastest growing in the economy providingoutlined will be fully achieved when I step down. It is my
400,000 jobs compared to 8,000 in 2000. By 2010 theunshakeable resolve that the fundamentals of this
forecast is one million jobs earning $12 billion, the samevision will by then be permanently rooted, its progress
amount remitted by our overseas Filipinos today."well advanced and its direction firmly fixed with our
If the government will unite and continue to promotereforms already bearing fruit. All that will remain for my
the country as an investor-friendly in Asia manysuccessor is to gather the harvest. He or she will have
foreign multinational firms will choose Philippines to putan easier time of it than I did."
up their contact centers here. The political bickering willNo matter what happen, the Philippine call centers will
not help the country in stabilizing the economy. Ifcontinue to be part of Mrs. Arroyo's strong republic
political noise continue to exist especially most of thecampaign. The Sona lasted 56 minutes to deliver and
newly elect senators and solons are from thewas interrupted by 102 rounds of applause, including
opposition parties. Let's hope and pray that the lastthe standing ovation at the end.
election should serve as lesson to the entire nation.