BPO is Davao's Economic Driver

WITH the country's largest businesses pouring down their investments in Davao City- the Business Process Outsourcing (BPO) is now eyed as one of the land's major economic mover.

Apart from contributing revenues by the millions, the BPO sector here has also generated some 34,000 jobs in 2015.

Ivan Cortez, officer-in-charge of the Davao City Investment Promotions Center (DCIPC) have already said that the industry has thrived in 2015 and will continue to boom for the years to come.

“With multimillion investments being poured by the BPO industry to the city through the construction and expansion of more BPO spaces open the creation of more jobs in the service sector,” Cortez said.

With 20,000 jobs which kicked-off at early 2015, DCIPS recorded an increase of 14,000 jobs generated.

The job generation by the sector noted a growth of 70 percent from 20,000 of January 2015 to 36,000 by the end of last year.

A huge part of the generated job is contributed by the voice call centers.

As more creation of jobs across all industries with some 4,880 issued permits to new business establishments in the city, the market for the housing and condominium projects expanded.

He added that the real estate sector of the city will continue to thrive in the next three years and will not reach its saturation point, this not just for subdivisions but also for the high-rise condominium projects as well.

“With more migrants from nearby provinces and regions, market will continue to grow for the real estate sector,” Cortez said.

To maintain the upbeat and robust business climate especially in the BPO industry, stability in supply of workforce is needed “Labor workforce production has to be constant because without the labor market, BPO industry might leave the city, it could be a major setback,” David Leechiu, a property consultant and former country chief of Jones Lang La Salle (JLL) earlier said.

The city was recognized recently as one of the few cities in the country to be awarded with Center of Excellence Award during the 2015-2016 Awarding Ceremonies on Center of Excellence, Top Next Wave Cities, and Top 10 Emerging Next Wave Cities for IT-BPM Operations, industry players are in works of improving the skills and abilities of the pool of talents in the city beyond English speaking and expanding facilities to cater the incoming potential BPO locators.

Davao City was awarded along with Iloilo City. Other areas that were previously recognized were Cebu, Clark and Bacolod.

Giving emphasis on addressing the present challenges pressed by lack of qualified talent pool as the locators are now looking for talents that are qualified for Knowledge Process Outsourcing (KPO) and language specialization and lack of BPM-designed facilities, Matunog said that they are in talks of some educational institutions and investors to answer the problem. (CCC)