A CEBU legislator filed a resolution on Monday urging the government to initiate talks with the US over plans to bring the call-center industry back from overseas.
The Trade and Foreign Affairs departments should “immediately initiate dialogue” with their US counterparts to seek exemptions for US business process outsourcing (BPO) firms operating in the Philippines, according to Cebu Rep. Vincent Franco D. Frasco, who filed House Resolution No. 386.
“The urgency of the situation demands proactive and high-level diplomatic action and trade engagement to ensure that the interests of Filipino workers and US-affiliated firms operating in the Philippines are protected from the US bill’s unintended economic consequences,” he said, referring to US legislation known as the proposed Keep Call Centers in America Act
The US bill could penalize US companies for outsourcing call center operations by ruling them out for federal grants and loan guarantees.
The Philippines call center industry employs about 1.7 million, according to the House resolution.
Mr. Frasco described the US measure as posing a “direct threat” to the stability of the BPO industry and may discourage American firms from setting up shop in the country, leading to job losses and loss of investor confidence.
Trade Secretary Ma. Cristina A. Roque last week said her department will meet with industry representatives to map out responses to the US legislation.
The Information Technology and Business Process Association of the Philippines has said that 70% of its members are US-based. — Kenneth Christiane L. Basilio
