BPO Attrition in the Philippines: determining factors and trends

Demetrio P. Salipsip, Jr.PhDa
Lydia King, PhDb
Suzanne Llanera, MBAc
Jacqueline Lucero, RL, MaEdd
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aResearch Director and Professor in the College of Business, Technology, Entrepreneurship, and Economics, Enderun Colleges; bFaculty and Department Head of IT, College of Business, Technology, Entrepreneurship, and Economics, Enderun Colleges; cFaculty, Enderun Colleges, dAcademic Librarian and Associate Editor of Enderun Colleges

KEYWORDS

BPO attrition, Philippines, attrition rate, BPO employees, retention program.

ABSTRACT

The Philippine BPO sector remains to be the global leader for voice business process management services and the second-preferred location for non-voice services exhibiting rapid growth and expansion not only in Metro Manila but also in the different metropolitan areas in the country. It has attracted clients in healthcare, information technology, finance and accounting, human resources and creative processes.

Human resources are critical to this industry because they are the ones who create the value for BPO clients. The relatively high attrition rate in the industry is, therefore, a big concern for many companies because when employees leave, they carry with them valuable skills and experience that can be the source of the company’s competitive edge.

The objective of this study is to identify the present concerns of BPO employees affecting attrition rate in terms of determining the primary reason why they decide to resign and transfer to another BPO company as well as what makes them stay. The survey questionnaire was developed by the researcher for this study to gather information. The population for this study is composed of employees working in BPO companies. The respondents of the study were recruited using two non-probability sampling approaches to ensure that all participants had work experience in BPO companies in the Philippines.

The result of the study showed that the primary reasons why the BPO employees decided to join the industry are as follows: attractive benefits, pleasant work environment, flexibility with time, relaxed educational requirements and age-agnostic hiring practices. On the other hand, employees leave the industry due to night shift work, physical and psychological strain, strict company policies and procedures, lack of training, and job mismatch.

Enderun Colleges Scholarly Review, Volume 2, Issue 1.

Category: Business , Entrepreneurship , Information Technology