The Philippine business process outsourcing (BPO) industry posted a 20% staff turnover rate in 2014, the lowest level measured since 2007, as operations expanded to other major cities, according to a survey conducted by global professional services firm Tower Watson.
This is an improvement from the 33%, 24% and 26% attrition rates in 2011, 2012 and 2013 respectively.
“The sector, though fast-growing, has adopted various strategies in talent acquisition, including expanding operations outside the National Capital Region (NCR) to tap talent in Cebu, Davao and Southern Luzon,” said Vangie Daquilanea, Global Data Services Practice Head of Towers Watson Philippines.
“This has, in turn, minimized talent movements within the NCR, registering the lowest attrition rate in the last seven years,” she said.
IT-BPAP last month said that in the coming five years, “the industry will continue to expand at an average rate of 15% per annum, with the sector expected to earn some $20 billion and generate roughly 1.5 million new positions by 2016.”
“The continuing growth of the Philippine economy has largely benefited the BPO industry, since it gives foreign investors a positive impression of the country’s business environment. Scalability, experienced talent availability, foreign language skills, and a share of the graduate pool, all point to a very bright future for this sector,” Ms. Daquilanea said in the statement.
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