Compensation & Benefits — Generally speaking compensation considerations are far more complex than those in North America. There are varying requirements for overtime based on variables such as time of day or the day of the week worked. For BPO businesses a night differential is required beyond an offered base salary. Additionally, all Filipino employees receive a thirteenth month payment or an additional month of their base salary customarily paid in early December.

English Language — The population of the Philippines is frequently fluent in their local vernacular, Tagalog, and English. Language training requirements are reduced compared other off-shore locations due to the presence of English in college instruction as well as the prevalence of American culture as a result of the historical association between the two countries. Major newspapers, cinema, and English is the dominant language for most advertising.

Government Incentives — The Philippine Government has a range of incentives designed to attract businesses that export services also known as IT-enabled services to the Philippines. The most aggressive of these programs is call PEZA or the Philippine Economic Zone Authority, which designates certain zones or buildings as PEZA zones and provides for tax holidays, favorable importation duties, and the like.

Holiday Awareness — While work schedules are patterned on the U.S. (nine a.m. – five p.m.) and holidays are typically announced in advance, it’s important to plan around the Christmas and Holy Week holidays since most people take time off to visit the provinces. The fact is that during these times government proceedings, construction, and other projects can slow significantly.

Karaoke — The group activity of amateur singing along with recorded music on a microphone in bars and restaurants is an immensely popular form of entertainment in the Philippines as in most of Asia. In all likelihood if you conduct business in the Philippines for any length of time, you will be invited to participate at a business function.

Texting/SMS — Due to the low cost of sending text messages, the texting or sms-ing is pervasively used to communicate. It’s not uncommon for people to text during business meetings and under circumstances where a voice call would be used in North America.