The Philippines’ outsourcing industry, expected to reach $38 billion in revenue this year, is rapidly adopting AI ‘copilots’ to assist human operators in tasks like summarizing customer interactions and providing contextual responses in real time.
Despite the industry’s growth, concerns arise over potential job losses as AI technology advances, with estimates suggesting up to 300,000 BPO jobs in the Philippines could be replaced by AI within five years.
Companies like [24]7.ai and Concentrix Corp are already implementing AI assistants in their operations, with AI tools being used for training new hires and enhancing customer interactions.
Industry leaders acknowledge the impact of AI on job roles, emphasizing the need for workforce adaptation and the creation of new roles like data annotation and correction. The good news is that the government and industry are focusing on upskilling the workforce to adapt to the AI revolution, with initiatives aimed at training employees for new roles in AI-related fields.
Despite concerns, forecasts indicate continued growth in both headcount and revenue in the BPO sector, with companies showing interest in expanding operations in the Philippines due to rising costs elsewhere.
Moving forward, the industry faces a critical juncture as it navigates the integration of AI technologies, balancing the need for workforce reskilling with the evolving demands of the global market.
