Safety protocol for BPO workers questioned after disaster complaints surface

The labor department has since ordered an investigation on 98 BPO companies nationwide.

The business process outsourcing (BPO) industry, one of the bedrocks of the Philippine service sector, is reeling from a massive blow to its reputation after workers complain of the weak enforcement of corporate safety protocols during natural disasters.

Workers first voiced their complaints following last week’s 6.9-magnitude earthquake in Bogo, Cebu, claiming they faced pressure to continue working or faced penalties for staying at home. Similar reports emerged again after Super Typhoon Uwan tore through multiple regions.

This backlash prompted the Department of Labor and Employment (DOLE) to launch an inspection of 98 BPO companies nationwide, which are now under fire for allegedly endangering the lives of their employees and violating workplace safety protocols.

Labor investigation

DOLE secretary Bienvenido Laguesma, with the BPO Industry Employees Network (BIEN), has ordered an investigation into 98 BPO companies after complaints detailed workers facing Workers are receiving “Notice to Explain” memos or being compelled to use sick or vacation leave credits when they prioritize safety.

The current disaster preparedness system is also questioned, as its fundamentals on paper do not extend to practical procedures when it comes to prioritizing human life over business profit.

“We will not stand idly by while workers risk their lives just to keep the profits flowing. Our safety is not negotiable. Our lives matter more than their margins,” BIEN said in a statement.

The failure of the continuity plan

The BPO industry remains a crucial sector for the nation, with the IT and Business Process Association of the Philippines targeting 2.5 million employees and $59 billion in revenue by 2028. Yet, this growth is increasingly vulnerable to the Philippines’ exposure to natural calamities, including typhoons that average 20 formations annually.

The recent disaster complaints highlight a critical failure point in business continuity plans (BCPs) in the implementation of safety protocols.

While BCPs typically include provisions for employee safety, the Cebu incidents suggest that company protocols prioritize service delivery at the expense of employee safety.

This directly violates Republic Act No. 11058, or the Philippine Occupational Safety and Health Law (OSH Law), which explicitly grants workers the right to refuse work if they believe it poses an “imminent danger.”

The law also stipulates that an employer who willfully fails or refuses to comply with OSH standards, especially when it exposes a worker to a risk of death, may be liable for a fine of up to ₱100,000 per day until the violation is corrected.

Possible erosion of client confidence

Industry analysts say that inconsistent safety enforcement could threaten client confidence, especially in highly regulated sectors such as healthcare, fintech, and global customer support. These clients rely on uninterrupted operations and strict compliance with global labor and safety standards. Any perception of systemic risk—such as inadequate disaster protocols—could push foreign clients to diversify operations out of the Philippines, affecting revenue forecasts.

BPO firms also face higher operating expenses if they fail inspections: aside from fines, they may need to overhaul disaster protocols, upgrade infrastructure, or redesign shift policies. In an industry characterized by thin margins and 24/7 service commitments, operational disruptions can lead to contract renegotiations and client penalties.

Political reaction

The industry inaction has also generated swift political response. Senate Bill No. 1493, also known as the “BPO Workers’ Welfare and Protection Act,” has been introduced to automatically stop BPO operations during typhoons, earthquakes, and other emergencies to keep workers safe and avoid penalties.

The bill proposes that work during heavy rain and other instances of inclement weather be voluntary, with hazard pay provided for those who choose to report.

“It reiterates the labor standards defined in the Labor Code and introduces additional benefits intended to tackle specific challenges and issues linked to the nature of BPO work,” said Senator Raffy Rulfo, the bill’s primary author.

A safe path forward

The future growth of the BPO sector is now dependent on hitting its revenue targets and its commitment to upholding and enforcing worker safety protocols.

BIEN welcomes work-from-home arrangements for BPO workers but cautions against longer working hours and unjust sanctions for employees due to technical issues.

Economists caution that failing to fix workplace safety gaps could weaken the Philippines’ pitch as the world’s “most resilient outsourcing hub.” With global clients becoming more climate-conscious and risk-averse, disaster readiness is no longer just a compliance issue—it is now tied to investment confidence, contract stability, and long-term sector growth.

 

 

The future growth of the BPO sector is now dependent on hitting its revenue targets and its commitment to upholding and enforcing worker safety protocols.

 

 

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