Lawmaker to DFA, DTI: Act on new US bill on call centers

A LEGISLATOR on Monday filed a resolution urging the Department of Trade and Industry (DTI) and the Department of Foreign Affairs (DFA) to take immediate diplomatic and trade action in response to the proposed ‘Keep Call Centers in America Act of 2025,’ bill in the US Congress that could endanger the country’s business process outsourcing (BPO) industry and the jobs of over 1.7 million Filipinos.

In House Resolution 386, Cebu Rep. Duke Frasco called on the DTI and DFA-working with the Philippine Economic Zone Authority (Peza), the Board of Investments (BOI), and the Information Technology and Business Process Association of the Philippines (Ibpap)-to undertake immediate diplomatic consultations with US officials to protect the continued operation of US-affiliated BPO companies in the Philippines.

The US bill, filed in Congress as Senate Bill 2495 and House Bill 4954, would require US employers to notify the US Secretary of Labor 120 days before relocating call center operations abroad. It would also publicly name companies that outsource jobs, bar them from receiving federal grants or loans for five years, and allow customers to demand that their service calls be handled only by US-based agents.

Frasco warned that such provisions could significantly disrupt the Philippine outsourcing industry, which employs around 1.7 million Filipinos and generates approximately US$35 billion annually, a large portion of which comes from US clients.

Frasco said that despite the potential economic fallout, the DTI fell short in taking proactive diplomatic or policy steps to defend the Philippines’ interests.

‘While the DTI has expressed readiness to assist the BPO sector, to date, it has not initiated formal talks with U.S. counterparts, convened a unified strategy with Ibpap, Peza, and BOI, or issued a clear and time-bound action plan to protect our BPO workers,’ Frasco added. ‘Given our dependence on the US market, a wait-and-see approach is unacceptable. The livelihoods of millions of Filipino families hang in the balance.’

The Philippine BPO industry is a vital economic driver, generating around US$35 billion annually, with roughly 70 percent of clients coming from the US Cebu, in particular, stands as one of the country’s largest outsourcing hubs outside Metro Manila, hosting major BPO operations in Cebu City, Mandaue, and nearby municipalities. The sector provides stable, high-value employment for tens of thousands of Cebuanos, supporting families and stimulating local businesses across the province.

‘Cebu has become a cornerstone of the country’s outsourcing success,’ Frasco said. ‘Our local communities benefit greatly from the jobs, skills development, and opportunities created by the BPO sector. Any disruption caused by this US legislation would have a direct and painful impact on Cebuano workers and families.’

The resolution noted that many BPO firms in the Philippines operate under the PEZA and the BOI-both of which are under the supervision of the DTI-and have been major contributors to employment, export services, and digital upskilling efforts in the country.

The resolution further emphasized that the Philippines remains an indispensable, reliable, and strategic partner of the United States in the global services sector, providing a secure and skilled workforce for American companies.

‘The urgency of the situation demands proactive diplomatic action,’ the resolution added. ‘The government must act to protect millions of Filipino jobs and preserve the longstanding economic partnership between the Philippines and the United States.’

‘The DTI must act with urgency and clarity,’ Frasco said. ‘The Philippines has long been a trusted and strategic partner of U.S. companies. It is the responsibility of our government to defend that partnership, protect our workers, and safeguard an industry that sustains the livelihood of countless Filipino families.’

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