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The Philippines as an Outsourcing Destination




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Investment Incentives

4 to 8 years Income Tax Holiday (ITH)

Special 5% tax rate on gross income after the lapse of ITH (for IT Park / Ecozone locators)

Tax and duty exemption on imported capital equipment (for IT Park / Ecozone locators)

Unrestricted use of consigned equipment

Additional deduction for labor expense up to a maximum of 150%

Additional deduction for training expense up to a maximum of 150%

Exemption from wharfage dues

Employment of foreign nationals

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Why BPO locators, employees choose McKinley Hill Cyberpark
Friday, 16 July 2010 09:22    Bookmark and Share PDF Print E-mail

Around 200 British companies are active in RP.In a basket of apples, there lies that one proverbial golden apple. Using that same reasoning, with so many options as to where to locate their facilities in the country, why did topnotch business process outsourcing (BPO) firms like Accenture, Hewlett-Packard and Thomson Reuters choose McKinley Hill Cyberpark in Fort Bonifacio? And how come thousands of employees followed, and more importantly, many of them intend to stay?

When pressed for answers, Megaworld FVP for Business Development Jericho Go gave four reasons each as to why companies and employees were attracted to McKinley Hill Cyberpark. At more than 14 hectares, McKinley Hill is the largest BPO project to date of Megaworld Corporation, the country’s #1 BPO office landlord.

According to Go, leading BPO facilities decided to locate at McKinley Hill Cyberpark primarily due to the following considerations.

1 Buildings are tailor-fit for BPO specifications. “As the #1 BPO office lessor, Megaworld continuously innovates for the benefit of our clients. Our third-generation BPO buildings, including the World Finance Plaza, which will be finished this August, have high floor efficiency ratios. There’s absolutely no idle space. This gives locators the chance to maximize their unit layout and hence, employee and company productivity. Wide staircases and a good number of elevators help promote quick movement of people, especially during critical hours,” Go divulged.

2 Locators get electricity and other cost savings. With variable refrigerant flow (VRF) air-conditioning system technology in use in all buildings, locators can turn on and off air-conditioning as needed and pay only for their actual usage. Cooling can also be assigned to specific areas only. Male urinals are waterless, thus further lowering property management fees. Over time, locators will generate substantial cost savings that will accrue and make their bottom lines glimmer like gold.

3 BPOs get income tax incentives and other perks. “Since McKinley Hill Cyberpark is accredited by the Philippine Economic Zone Authority or Peza, our locators get tax incentives and duty-free importation of office equipment. They can also exercise their option to hire executive expatriates and repatriate earnings, among other perks,” Go said. Read more...

(www.philstar.com)

 

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