Staff Leasing from the Philippines: Why is it your best option?

Staff Leasing Blog About Why It's The Best Option

On our blog published in December 2021, we tackled Employee Leasing and the reasons why small-to-mid-sized companies should consider it: (1) Having less HR work, (2) Cost-Saving, and (3) Having a part of the team.

This time, let’s drill down a little deeper into this subject. Most importantly, to shed some light on the reasons why Staff Leasing, Contract Staffing or Employee Leasing from the Philippines serves as the best option for companies in hiring manpower from a third party contractor.

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Staff leasing, also known as staff augmentation or outsourcing, involves hiring external professionals or teams to handle specific tasks, projects, or roles for a predetermined period. Staff leasing in the Philippines has gained prominence over the years due to various factors, including cost-effectiveness, a skilled workforce, and the globalization of business processes. Here’s an overview of the history and benefits of staff leasing in the Philippines.

History of Staff Leasing in the Philippines

The concept of staff leasing in the Philippines can be traced back to the late 20th century when outsourcing started gaining traction globally. As businesses sought ways to streamline operations, reduce costs, and focus on core competencies, they began exploring the option of outsourcing non-core functions.

The Philippines emerged as a significant player in the outsourcing industry due to its English-speaking workforce, relatively lower labor costs compared to Western countries, and the availability of skilled professionals in various fields. The outsourcing industry initially focused on call centers and customer support, but it quickly expanded to encompass a wide range of services, including information technology, finance and accounting, human resources, and more.

In this blog post, we would like to shed some light on the reasons why Staff Leasing, Contract Staffing or Employee Leasing from the Philippines serves as the best option for companies in hiring manpower from a third party contractor.

Staff Leasing in the Philippines has steadfastly increased at a rapid rate. More and more foreign and local companies are now availing of staff leasing services in the country.

High English Literacy Rate

The Philippines has more than 95% of its population who are English-literate.

According to the Philippine Daily Inquirer, based on the EF English Proficiency Index, the country received a “high proficiency” level in the English language and ranks 2nd highest among countries in Asia and 14th globally. The Filipinos’ ability to speak in English also caused the country to be one of the most popular countries for BPO.

Multi-Cultural Influences

Filipinos are known for being hospitable and culture-rich.

Having been colonized by Spaniards, Americans and Japanese in the early part of its history, the Filipinos were innately exposed to different influences from Southeast Asian and Western countries. Adapting to cultural differences is embedded among them.

GOVERNMENT SUPPORT

The Philippine government has been supportive of the outsourcing industry, providing incentives and creating special economic zones to attract foreign companies. These measures contribute to a favorable business environment.

TIME ZONE ADVANTAGE

The Philippines is in a time zone that allows for overlapping working hours with many Western countries. This real-time collaboration is crucial for customer support and other time-sensitive functions.

INFRASTRUCTURE AND TECHNOLOGY

The outsourcing industry in the Philippines has driven significant investments in technology and infrastructure. Outsourcing providers often offer state-of-the-art facilities, communication tools, and security measures.

SCALABILITY

The Philippines offers a flexible labor market, making it easy for businesses to scale their operations up or down according to project requirements or business demands.

QUALITY OF SERVICE

The emphasis on English education and training in the Philippines contributes to a high level of proficiency in the language. This is particularly important for client-facing roles where clear communication is essential.

GLOBAL REPUTATION

The Philippines has established a strong reputation in the outsourcing industry over the years. Many global companies have successfully outsourced various functions to the country, reinforcing its credibility as a reliable outsourcing destination.

WIDE RANGE OF SERVICES

The outsourcing industry in the Philippines has evolved to cover a diverse array of services, from call centers and customer support to high-level knowledge-based tasks like software development, digital marketing, and medical transcription.

Cost-Effective Labor

Relative to its neighboring countries, the Philippines having low labor cost tops it all among others why foreign investors are interested in operating or expanding in the Philippines.

This remains as the biggest reason why companies outsource to the Philippines. Besides saving on labor costs, companies can also save on other operating or overhead expenses when they lease offshore such as office space, HR and legal costs.

Furthermore, under the offshoring model, businesses can get the best of both worlds – (1) the ability to remain in complete control of their business process, and (2) partnering with an experienced specialist in a low-cost, yet highly skilled labor market.

These factors collectively make the Philippines an attractive destination for staff leasing and outsourcing. However, it’s important to conduct thorough research, choose a reliable outsourcing partner, and consider specific industry and business needs before making a decision.

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At The Studio Bridge, Employee Leasing has been one of the proven expertise for clients who are benefiting from dedicated headcounts and adaptable professionals – composed of Designers, Illustrators, Animators, Prepress Specialists and Project Managers and more.

If you have any questions on this service, please send us a message on our Contact Us.

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About The Author

Picture of Freddie Lacorte

Freddie Lacorte

He's the Brand Architect "slash" Digital Trailblazer of the Team. Freddie brings forth his expertise in Marketing, getting the word out there about us. Whether it's establishing one's identity in branding, or tapping onto the latest digital trends, he got those covered. On the side, he's a frustrated singer who plays acoustic guitar.

View Freddie’s LinkedIn Profile here.