Slowdown to benefit BPO industry in India

NEW DELHI: Indian industry will feel the real impact of the current meltdown in the US and other developed economies in the first quarter of 2009, with the business process industry likely to see job losses of up to a quarter of a million, said Samir Chopra, President, Business Process
Industry Association of India (BPIAI).

Addressing delegates at a session on 'Surviving US Recession- Developing & Transforming Policies', Chopra, however, saw a silver lining in the ongoing recession for the BPO sector, saying that it would compel more companies in the US and Europe to look at outsourcing as a way cut their costs and improve efficiencies.

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India is the most favored destination for BPO / outsourcing. Future of Indian BPO

India is the most favored destination for outsourcing. In 2003-2004, ITES-BPO companies were the largest recruiters in the IT/ITES sector, adding around 70,000 jobs. According to a research conducted by NASSCOM, Indian IT/BPO sector will employ more than 1.1 million Indians by 2008.

The future of BPOs in India depends upon the quality of education imparted to our young generation. In the recent past, there has been a decline in the quality of education in India, though the number of institutes has gone up. Education is not growing at the same pace as Indian economy.

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Are BPO jobs no longer attractive? Working for a BPO today is a fast way to rake in the moolah!

But what’s it like to be a BPO employee? The popular perception now is that ‘BPO’ is no more the acronym for Brighter Prospects & Opportunities. But is this true?

Well, the truth is that the BPO industry has done a whole lot of good for the country in terms of providing mass employment opportunities. In the early 1990s, it was unheard of for a graduate to get a job without having any additional qualifications. Today, an English-speaking graduate from any town or city in the country can easily find employment.

So, while the West continues to depend on us because of the relatively cheaper costs and intellectual capital here, why are people still hesitant to take up a BPO job? A former BPO employee, Arvind quit his job and opted for higher education. “It’s difficult to climb the corporate ladder beyond a certain point without a master’s degree.

A stint with a BPO became absolutely necessary to kill spare time while preparing for the numerous entrance exams to various colleges. I don’t want to be a BPO employee all my life,” he says.

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