BPO industry apprehensive over CICT transfer

Players in the business process outsourcing and information technology-enabled services sectors are apprehensive that the recent transformation of the Commission on Information and Communications Technology into an office under the Department of Science and Technology (DoST)will undermine the potential growth of the industry.

In a joint statement issued over the weekend, various industry groups expressed “disappointment” over the sudden transfer of the CICT to the DoST without proper consultation with industry stakeholders.

“We were disappointed that (Executive Order) 47 was issued without the benefit of extensive stakeholder consultation, as we believe this would have been highly beneficial to the development and execution of public policy on the key ICT sector,” the joint statement read.

“We call upon our government to engage in deeper collaborative dialogue with all stakeholders before undertaking further major reforms that critically affect our sector. Unless we strengthen our public-private partnership with the government, we will have great difficulty achieving our goal of generating hundreds of thousands of new jobs in the next few years.”

Signatories to the joint statement included the Animation Council of the Philippines Inc., Business Processing Association of the Philippines, Contact Center Association of the Philippines, Gaming Development Association of the Philippines, Health Information Management Outsourcing Association of the Philippines, and Philippine Software Industry Association.

The recently issued EO 47 dismantled the CICT, which was under the Office of the President, and transformed it into the Information and Communications Technology Office (ICTO) under the supervision of the DoST.

Under the EO, the ICTO will be headed by an executive director who has yet to be appointed. That official will hold the rank of undersecretary. This will effectively displace CICT chairman Ivan John Uy, who held a Cabinet-level rank.

But in an interview with the Inquirer, Science and Technology Secretary Mario Montejo assured industry players that the IT-BPO sector would continue to enjoy the support it has been getting from the government over the past years.

“We’ll continue to push and support the IT-BPO industry. They can expect even more support from the government now. We’re asking for additional budget from the government to provide support for training and promotions in the IT-BPO space,” Montejo said.

The DoST would likewise exert a bigger push for e-governance initiatives, Montejo said, citing the integral role that the DoST played in the country’s overall ICT agenda.

“The National Computer Center is under the DoST. I believe the transfer of the CICT to us will result in much better synergies that will [benefit] the industry,” he said.

Without mentioning who would possibly head the newly established ICTO, Montejo said some of the CICT commissioners would be retained under the new office.

Also, the National Telecommunications Commission will not be included in the transfer. The NTC will continue to be under the supervision of the Department of Transportation and Communications, Montejo said.