Wednesday, January 20, 2010

Call Center Bill: Understanding Its Salient Provisions


Kabataan Party-list Rep. Raymond “Mong” Palatino delivered a speech titled “The Call of Call Center Agents” on August 17, 2009. His speech was met with various reactions. It was a mix of accolades and criticisms for the young legislator’s exposé on abuses committed by Business Process Outsourcing (BPO) owners. His speech also presented measures on how to protect and safeguard the rights of call center workers.

Many were exuberant about a young legislator speaking about the plight of employees in BPO companies.

And yes, there were some who criticized. But violent reactions came mostly from BPO owners. And contrary to criticisms posed by some on the purpose of the speech, Rep. Palatino didn’t intend to present call center job as gruesome. In fact, Rep. Palatino just validated the myriad challenges call center agents deal with in their workplaces. These range from health hazards brought about by working on night shift to underemployment.

Rep. Palatino’s speech intended to raise the consciousness of agents on their labor rights. It was a strong statement, a call to action to the Arroyo government that the “sunshine industry” it so promotes and markets in western countries is not a very “friendly” job to the workers.

If you read through the speech, one would seriously ponder: “What can be done to protect their rights? What did the National Labor Relations Commission (NLRC) and the Department of Labor and Employment (DOLE) do to ensure that their rights are protected?”

Highly notable is the fact that just barely five months into office, someone in the House of Representatives stood up to speak for the voiceless call center workers. True to his objective, a bill has already been passed by Rep. Palatino, House Bill 6921 - An Act Ensuring the Welfare and Protection of Business Process Outsourcing (BPO) Workers and the Recognition of their Rights as Provided for in the Labor Code of the Philippines. Read full text of the bill here.

Below are some of the points the bill wishes to address. Let me elaborate a few of these:

1) Are workers ensured medical insurance from day 1?
In two call centers alone, ICT and Sitel, trainees do not enjoy medical coverage as they have to complete their six-month training or probation period first before they are given medical insurance. Why is it that in other companies, as in the case of APAC Customer Services, HTMT etc., coverage starts from day 1.

2) Right to self-organization, to engage in collective bargaining, and to participate in democratic exercises.
What rights can the workers invoke once management and agent dispute arise? Is there a union in every call center to ensure that employees' grievances are addressed?

BPO owners have the leeway to exploit workers in the first place. There are laws which prohibit the formation of unions, disallowing workers from forming one. President GMA made sure that BPO owners will be delighted by the package the government and DOLE have crafted for them.

3) Forced Overtime.
In some centers, agents are forced to render 30-minute overtime work, which will be taken off their lunch break. This usually happens during queuing or peak hours.

4) Reasonable compensation
Some call centers give a measly P12,000 as starting salary, as in the case of Sykes; Sitel (P14,000), APAC (P13,000), Accenture P11,000. Measly as compared to what the company earns. Given the number of calls an agent gets, it is not reasonable for the company to give a measly share of what the workers worked hard for in the first place. The Philippines is among the top choice of American companies because the government 'boasts' of cheap labor.

5) Night Differential.
What is the standard percentage? Some centers give as high as 30%, others a paltry 15%. What does the law require?

The point now is, HB 6921 has been passed and will anytime be ready for deliberation. I challenge groups and individuals who are for the protection of the rights of BPO workers to actively participate once the bill is up for deliberation.

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