Human Resources and Training Initiatives
Based on a presentation by Carol Dominguez
By Paul Catiang

On September 6, 2006, Carol Dominguez, President and CEO of John Clements, spoke at the BPA/P-NASSCOM conference held at the Makati Shangri-La Hotel on human resources and training initiatives for the BPO industry. The presentation centered on the English language skills needed by the industry—call centers in particular—and how crucial training has become over the past few years. Ms. Dominguez also said that, based on the latest BPA/P projections, call centers in the Philippines will require up to 90,000 new employees each year until 2010. This amounts to a compounded annual growth rate (CAGR) of 71 percent until 2009.

Given that the number of fresh graduates has a CAGR of 6 percent, and if these positions were to be filled by fresh college graduates alone, the labor demand will outstrip the number of fresh graduates by 2009. Ms. Dominguez drove the urgency of the matter home by stating a well-known fact: only 10 percent of new graduates are accepted by call centers.

With the above factors stated, Ms. Dominguez went on to discuss the various training and educational initiatives currently in place as a response to the overwhelming demand for competent talent. These initiatives, naturally, were centered on English proficiency and the training programs that are ongoing.

First among these initiatives is President Gloria Macapagal-Arroyo's Training for Work certificates, amounting to PhP 500 million, which is intended to train people assessed as having near-hire English skills and give them a chance to polish their English to a level competent enough for them to be accepted in call centers. So far, Training for Work has posted a 60-percent conversion rate and is poised to continue training more near-hires. The Philippine government also acknowledges the need for better-trained teachers, and has allocated PhP 180 million for its Training the Trainers & Teachers program. In addition, bills have been passed that will increase the time spent teaching students English.

The private sector is also involved in advocacy programs designed to inform and educate the public about working in call centers and, more importantly, the undeniable usefulness of English in one's profession. Two such initiatives have been launched: English Is Cool by the European Chamber of Commerce of the Philippines , and Promoting English Proficiency by the American Chamber of Commerce of the Philippines . Both programs aim to remove the elitist stigma attached to the English language and make it more accessible and useable in everyday communication.

Other private sector initiatives include the Workforce Development Program of John Clements, a joint program with one of the country's top firms, and several industry tie-ups with the academe.

Ms. Dominguez concluded that the best way to address the demand for more talent is to train near-hires and to train more trainers. Training of near-hires has, thus far, proved successful and should be continued. The public should also be made more aware of the opportunities available in the BPO industry. Lastly, the use of the English language should be advocated.