The year is 2020, and the international business community faces a pandemic that has severely disrupted operations and employment across all industries. As companies cope with this global crisis, the adoption of remote staffing quickly becomes an integral asset for businesses to survive and thrive in the ‘new normal’ of work. Satista reports that the number of remote workers spiked from 20% in 2020 to 28% by 2023.

Now, more companies are exploring offshore staffing services as the business landscape faces another crisis: talent shortage. Remote staffing continues to redefine employment as it provides a broader platform for recruiting highly qualified professionals beyond borders. 

Recent advancements in technology have also made remote staffing a thriving outsourcing practice, enhancing work management and collaboration whilst offering work-life balance benefits. Upwork even made a fearless forecast that 1.1 billion employees will work remotely by 2025.

With industries struggling to bridge the skills and talent gap, Philippine outsourcing has become a key player in providing sustainable employment solutions to meet the high demand for qualified professionals. The Philippines is consistently ranked among the top 10 countries for business process outsourcing (BPO) and is even regarded as the “top choice for outsourcing services.”

According to Outsource Accelerator, the Philippines’ remote staffing roots began in the 1990s with the establishment of call centres to provide customer service support for overseas companies. By 2005, the country accounted for approximately 3% of the Global BPO market. In just five years, it was dubbed “the world’s BPO capital,” generating US$8.9 billion in revenue and employing 525,000 call centre agents in 2010. Since then, the Philippines remains a powerhouse of exceptional offshore talent and is now the second largest outsourcing destination, following India.

The Philippines’ remarkable growth in the BPO sector can be attributed to the government’s proactive measures in attracting foreign investors and promoting skills development.

The Philippines’ K12 educational system provides a solid background for students to develop the necessary skills for future employment, even if they are unable to pursue higher education in colleges and universities.

The three-year senior high school curriculum offers a balanced blend of academic courses with programs for technical-vocational-livelihood training as well as sports and arts to help students determine their career path. The K12 program also focuses on training for soft skills such as communication, critical thinking, and problem-solving skills which will help them become more adaptable for employment. Most Filipino professionals are graduates from Higher Educational Institutions (HEIs), holding degrees from reputable universities and colleges.

With AI’s impact on the job market, the Commission on Higher Education has noted a 50% increase in AI education. This has prompted the IT-BPM Association of the Philippines (IBPAP) to collaborate with Google and various educational institutions in offering AI training.

Filipino employees have continuously adapted their skill sets in order to future-proof their careers. LinkedIn’s Future of Skills reported how their professional skills have evolved from 2015 to 2022 at an average rate of 35.7%. This is a strong indication of their versatility and resourcefulness to stay relevant amidst the changing landscape of work.

Source: LinkedIn Future of Skills

According to IBPAP’s “The Philippine IT-BPM Industry Roadmap 2028 Executive Summary”, the country is the top outsourcing destination for customer service and healthcare support. It is also the world’s second-leading hub for IT and digital service delivery.

IBPAP’s report identified the following industries where remote staff in the Philippines can utilise their strengths in these areas of expertise:

Aside from having a diverse skill set, Filipino professionals stand out in the remote staffing sphere because of these distinct attributes:

One reason why Philippine outsourcing is a top choice for international organisations is due to the workforce’s high English proficiency skills, not only in oral and written communication but also in terms of comprehension. The country’s EF English Proficiency Index 2023 currently stands at #20 globally and #2 in Asia.

Filipino workers are hardworking, committed, and can go the extra mile to ensure that they meet, or even exceed, your expectations. They respect authority and can be counted upon to accomplish their tasks with minimal supervision.

The communal spirit of “bayanihan”, a Filipino cultural trait that reflects their willingness to help others, inspires Philippine professionals to collaborate better as a team. They understand the value of working together cohesively and will give their full support to achieve a common goal.

Filipinos are well-known for their natural ability to adapt to any situation, especially during a crisis. This quality serves them in good stead as remote staff. They are resourceful when it comes to solving problems and can thrive under challenging circumstances.

Having remote staff in the Philippines provides significant benefits to the international business community. This cost-efficient and sustainable talent solution has helped many SMEs scale successfully, triggering a domino effect from increasing profits to creating high-level employment opportunities for the local job market.

Clearhead, a workplace wellness provider, faced a scaling problem as they expanded their New Zealand and Australia operations to Canada. With the increasing administrative workload across three countries, this caused a strain on their internal resources.

It was a challenge that Dr Angela Lim, Clearhead CEO and co-founder, had to address quickly. “We needed a way to scale up our support team without having to significantly scale up our cost on the business.”

Through offshore staffing services, Clearhead was able to assemble a remote team of three Therapy Support Officers from the Philippines who had the required mental health care experience. As they handled the administrative side of the business, Clearhead’s core team was able to focus on the timely delivery of their mental health services.

Result: Operational expenses were reduced by 65% and the company experienced 100% revenue growth in the past year.

Phyto-Therapy, a leading Australian wholesaler of Certified Organic and Carbon Neutral Ingredients, needed additional specialised talent to maintain their high quality standards and keep their growth momentum on track.

Nathan Harrington, Phyto-Therapy’s General Manager, encountered the talent shortage struggle first-hand. “We looked (locally) to fill some of those gaps and we just weren’t seeing the talent that was required.”

They turned to Philippine outsourcing and recruited a Quality Assurance Specialist, a Demand Planner, and a Business Support Executive. The combined efforts of their remote team remain a contributing factor to their ongoing success.

Result: Significant gains in efficiency and productivity drove a 100% increase in their financial performance.

A major component to offshoring success is ensuring that your remote staff in the Philippines has the technological capabilities to perform their tasks efficiently. Expert offshore services should be able to provide the necessary IT software and hardware to the remote team, compatible to your tech standards.

Remote staffing may seem daunting initially as it may take some time to adjust to the new work dynamics. Here are some issues that may arise and recommended strategies to resolve them.

Working with a remote team in the Philippines may cause workflow disruptions due to different time zones. Consider holding meetings during shared hours and use project collaboration tools with time-tracking features to monitor the team’s progress. Leverage communication applications to instantly message them with any concerns.

Whilst they have strong English communication skills, the Filipino remote team may not be completely familiar with the local parlance of the country they’re working with. To avoid misunderstandings, give clear instructions using simple language. Conduct a brief online meeting to make sure both parties are on the same page when working on projects. Encourage the team to ask questions if there’s anything unclear.

Being more reserved, it may take a while for Filipino workers to feel comfortable working with a foreign employer. Team-building sessions between the onshore and offshore teams are a great way to break the ice which can lead to better collaboration. When sending out company-wide communications, include the remote team as they are part of your company culture and structure. This helps them feel less like an outsider, fostering trust and leading to higher engagement.

The future of Philippine outsourcing will continue to thrive, despite shifting trends in the working environment along with rapid technological developments. The Filipino workforce is remarkably resilient to weather these changes, offering a diverse range of skills that can seamlessly integrate into global operations. This adaptability positions remote staffing in the Philippines as a key driver for business growth across industries worldwide.

Explore remote staffing solutions withTwoconnect, an Australian-based offshore services provider with extensive expertise in offering end-to-end managed services. This includes HR consulting, onboarding, talent sourcing/recruitment, and performance management/payroll processing. Our customised and comprehensive offshoring strategies have helped over 150 companies worldwide to scale their business successfully.