Western economies are hearing a lot about The Great Resignation.
The term was coined by Dr. Anthony C. Klotz, Professor of Business Administration at Mays Business School in Texas. According to Dr Klotz, events like the pandemic are making people step back and rethink their lives and careers.
How is this being played out? In October, the Washington Post reported that 20 million Americans resigned their jobs between April 2021 and August 2021. According to the US Bureau of Labor Statistics (BLS) a record 4.3 million people resigned in August alone.
This astonishing trend is affecting the Philippines BPO sector in a different way, where employment is very different from that in the wealthy Western economies. For a start, the absence of social security and unemployment benefits means the luxury of walking out of jobs is not available to most people in the Philippines.
Australia is experiencing its own significant labour shortages, and this is most evident in the professional accounting services sector. In October, the Australian Financial Review (AFR) reported that three-quarters of Australia’s largest accounting firms say they are having trouble recruiting and retaining staff.
The AFR’s view is “the shortage is compounded by the country’s closed borders, hindering the ability of firms to import staff, even as client demand remains strong.” However, it is far too easy to say the shortage is because Australian firms have soaked up the entire market of accountants and bookkeepers. It is not just border closures, the problem is exacerbated by increasing staffing costs creating staff churn where people change firms for improved salary and career development opportunities. Other issues are in also in play, such as staff leaving the profession because employers are unable to commit to full time work from home arrangements.
This has created an enormous opportunity for Australian businesses to engage with professional BPO providers such as Profitmaster. The Philippines is a developed Asian jurisdiction where access to a huge pool of young graduates and experienced professionals, competitively priced and unaffected by closed borders, is available to work seamlessly across the world.
Liza Arcila, Human Resources Manager