Call centers and growth

THE National Economic and Development Authority reported that call centers created about 103,000 new jobs and earned $3.7 billion for the country last year. This is one area that for many years has been considered a sunshine sector and holds great promise as a growth-driver for the economy.

Call centers constitute a form of business process outsourcing, or BPO, which essentially involves the export of services. This is similar to exporting labor, although in this case the workers do not have to leave our shores. In a way, therefore, it may be a bit better than sending out OFWs since it is not subject to the familial dislocations and other social ills that the latter tends to engender. Also, call centers represent a substantial source of foreign-exchange earnings.