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Hiring employees in the Philippines: A guide for US companies

December 9, 2024

Hiring employees in the Philippines_ A guide for US companies

The Philippines has garnered a reputation for producing highly skilled professionals in diverse areas such as information technology, entertainment, and design.

Indeed, according to our talent trends tool based on Multiplier data, 30.3% of overseas hires by US companies are in the Philippines, making it by far the most popular hiring location of all. The question is: why? 

In this article, we’ll explore the data to understand what it is that makes the country such a popular source of talent and explain how US companies can best make use of the resource.

Why you should hire in the Philippines

We’ll start with a rundown of what US businesses need to know about Filipino talent – beginning with the types of worker the country most commonly provides.

Talent niches

The following is a list of the roles US companies most frequently hire from the Philippines. We’ve ordered the list by the volume of hires on the Multiplier platform, with data based on contracts generated between 2020 and 2024.

Role

Median monthly salary

Recruiter

$1,200

Accountant

$1,400

Sales representative

$1,150

Web developer

$1,000

Administrative assistant

$1,300

Project manager

$1,500

Social media specialist

$1,150

Web developer

$1,000

QA tester

$1,850

This data is testament to the fact that the Philippines has a diverse talent pool able to service any kind of business role, from IT to marketing to sales. Little wonder that the Philippines is renowned for its outsourcing services, providing global companies with skilled professionals in various fields. Indeed, the market is growing fast, with an annual growth rate upwards of 9%.

It’s also worth noting that salaries are lowest across the board compared to the four next most popular countries for US firms to hire from: India, Canada, England, and Mexico. That makes it easier for companies in the US hiring from the Philippines to pay the kinds of wages and offer the benefits that attract top talent. 

Demonstrating that, in a recent case study, Technology Aloha outlined how hiring in the Philippines with Multiplier allowed it to provide its clients with a level of service and expertise that would not have been previously affordable. 

It’s all well and good knowing the Philippines has talent to spare, but how do companies in the US hiring from the Philippines actually find it? 

To point you in the right direction, we’ve collected data on the locations Filipino candidates were most frequently found. US companies looking for Filipino talent should start with five key job boards:

What companies in the US hiring from the Philippines need to know

If you’re still not convinced of the efficacy of hiring Filipino workers, here’s some facts to change your mind.

To start with, the Philippines’ labor force has grown significantly in recent years, possessing a median age of just 25.6 years old.

As we mentioned earlier, many of those workers are highly proficient in the English language, with the country earning a ‘high proficiency’ rating in the 2023 English Proficiency Index of the EF Education First. That places them 20th overall and second among 23 Asian nations.

A final appealing aspect of many Filipino workers is the importance placed on teamwork. Deep-seated values like ‘pakikisama’ (an appreciation of togetherness) bode well for encouraging teamwork and enhanced workplace dynamics.

How you should hire in the Philippines

So that’s a primer on finding talent in the Philippines. The next hurdle is often seen as the hardest by many businesses – actually employing the foreign talent you’ve found. 

Done the traditional way, that perception is true. Opening an entity requires significant upfront investment, and incurs ongoing running costs and shutdown fees. Worse, opening an entity in the Philippines locks you into hiring in just that one country – a pointless limitation with a whole world of talent out there.

Plus, it’s hard enough managing compliance in one country – doing it across the globe only increases the chance of misclassification penalties or other legal troubles. 

Where an EOR shines

An Employer of Record (EOR) can simplify the hiring process for US companies hiring from the Philippines. An EOR employs workers on your behalf, assuming local risks so you no longer have to deal with the compliance challenges of employment in unfamiliar markets. 

An EOR handles tasks such as payroll, benefits, and compliance, leaving US companies free enough to focus on other aspects of their business – like getting the most out of their new Filipino colleagues.

The benefits of using an EOR are many – such as reduced risk, improved compliance, and increased efficiency – and technology-led EOR firms like Multiplier have made the process even simpler with self-onboarding tools and automation that lower the cost of transaction, making global employees available to businesses of all sizes.

Making the most of Filipino talent

The Philippines offers a large, talented, and cost-effective workforce. Using an EOR can help US companies overcome the challenges of hiring in the country, giving them access to a wider pool of talent and letting them use global talent more effectively.

Whether you’re after employees or contractors, Multiplier can make international hiring possible, whatever the size of your business. Book a demo today.

Picture of Will Smith
Will Smith

Content Writer

Will is a Content Writer at Multiplier. With a background in technology journalism, he is passionate about busting jargon, getting to the heart of complex topics, and writing pieces you'll enjoy reading.

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