While the global information technology and business process management (IT-BPM) industry trudges along at a modest 2 percent annual growth, the Philippines is quietly pulling ahead.
As artificial intelligence (AI) and digital transformation disrupt traditional outsourcing models, industry leaders say the country is outperforming peers by moving decisively into higher-value, AI-enabled work.
In a recent yearend industry podcast, officials noted that many Asian IT-BPM markets are slowing under budget pressures and automation. The Philippines, however, continues to add tens of thousands of jobs annually—an uncommon feat in a sector facing global stagnation.
This resilience has been attributed to a deliberate pivot away from purely transactional services toward analytics, AI-driven operations, and global capability centers (GCCs).
Carole Gaffud, research director at the IT and Business Process Association of the Philippines (IBPAP), said the country’s edge lies in how quickly its workforce is adapting. “Even in a soft global environment, investors keep choosing the Philippines,” she said, citing strong English proficiency, cultural compatibility with Western clients, and rapid adoption of digital and AI tools.
AI, she added, is already embedded in daily operations through agentic tools that improve accuracy, automate routine tasks, and elevate roles across finance, healthcare, and shared services.
The job mix is also evolving.
Frankie Antolin, IBPAP executive director for talent development, said AI is accelerating demand for higher-value roles, particularly in contact centers, banking and finance, and healthcare services.
Over the past two to three years, global firms have increasingly located GCCs in the Philippines, creating positions in business intelligence, transformation, strategy, project management, and talent analytics.
“These developments signal strong confidence in Filipino talent,” Antolin said, noting that reskilling has become critical. Industry-backed programs such as Project ALUD and the Skills and Talent Innovation Program (SKIP) are helping workers transition into AI-enabled, capability-driven roles as the sector moves up the value chain.
For IBPAP president and chief executive officer Jack Madrid, technology gains mean little without workforce readiness.
Amid global uncertainty, he said the industry’s “North Star” remains urgent upskilling and reskilling—supported by lifelong learning and closer collaboration among government, academe, and the private sector.
Taken together, the message is clear: by pairing AI adoption with talent development, the Philippine IT-BPM industry is not just keeping pace with global change—it is setting it.
