AI won’t take over BPO jobs, execs assure

CEBU CITY—Annual revenues of the Business Process Outsourcing (BPO) sector in the Philippines are expected to rise to as much as $59 billion by 2028, industry officials predicted.

According to the Contact Center Association of the Philippines (CCAP), this growth would also translate to the employment of 2.5 million workers on the same year even with the emergence of generative Artificial Intelligence (AI).

Rosario Cajucom-Bradbury, managing director of CCAP, said 2.3 million of these workers belong to the 150 members of their organization, the biggest association of BPO and IT companies across the Philippines.

The group is currently holding a three-day conference with at least 500 delegates from business process management and information technology companies in Lapu-Lapu City, Cebu, for the annual “Contact Islands Philippines.”

“We are confident that the target employment figure will be achieved even with the emergence of generative AI. Contrary to common assumptions, our group believes that the new technology will bolster the sector’s productivity instead of threatening jobs,” Cajucom-Bradbury said in a press briefing.

“Generative AI can enhance the strengths of our Filipino agents who can then focus on active listening and become more empathetic and engaging when rendering service to our customers.”

Upskilling workers

Agents were also being “upskilled” to further equip them with the right knowledge and skills amid the evolving nature of jobs across the BPO sector.

David Hardoon, CEO of Aboitiz Data Innovation, assured that AI doesn’t threaten job security.

Hardoon was speaker during the talk “Who’s Afraid of AI: Making AI Work for Enterprise and Economies” on Friday, the first day of the three-day 3rd Asia-Pacific Economic Cooperation Business Advisory Council Meeting at the NUSTAR Convention Center in Cebu City.

He said AI was not going to eradicate jobs but “people with the knowledge of AI will take the jobs.”

Hardoon described AI as a “phenomenal capability,” a “tool that is able to distill information to knowledge,” which can be used day-to-day to make a decision, execution or engagement.

He pointed out that AI can transform productivity and gross domestic product (GDP) potential of the global economy.

“Labor productivity improvements will drive initial GDP gains as firms seek to augment the productivity of their labor force with AI technologies and to automate some tasks and roles,” he added.

Hardoon cited a research that showed a 45-percent total economic gains by 2030 will come from product enhancements, stimulating consumer demand.

“This is because AI will drive greater product variety, with increased personalization, attractiveness and affordability over time,” he said.

The greatest economic gains from AI would be felt in China and North America. INQ