Recent survey solidifies Cape Town’s focus to market itself as a top Business Process Outsourcing destination
8 June 2020
MEDIA STATEMENT BY THE CITY’S MAYORAL COMMITTEE MEMBER FOR ECONOMIC OPPORTUNITIES AND ASSET MANAGEMENT, ALDERMAN JAMES VOS
South Africa is one of the top three most preferred Business Process Outsourcing (BPO) destinations according to the annual 2020 Front Office BPO Omnibus Survey conducted by Ryan Strategic Advisory. Over 50% of the companies in the BPO sector is situated in Cape Town.
The sample group of the study consisted of 540 senior managers responding on behalf of 240 businesses representing 42 countries spread across multiple sectors.
The City of Cape Town identified BPO as a priority sector due to the number of job opportunities and investment potential it creates. This sector employs over 60 000 people in the Western Cape. As a City, we realised the importance of this sector and for this reason invested in our strategic business partner BPESA Western Cape. BPESA WC is the City’s strategic business partner responsible for the growth and development of the Call Centre and BPO industry.
Since the start of this financial year (July 2019) to date, the City has seen investments in this sector of approximately R954 million, which has resulted in 2 727 job opportunities.
In the past few weeks, I conducted numerous site visits to key role players in the BPO sector. These companies included global BPO giants Teleperformance and Webhelp.
This week I visited the RCS group. I am amazed at the commitment of these organisations to keep their employees safe, and RCS is no different. The company employs nearly 2 000 people across South Africa of which 1 500 reside in Cape Town. A prime example of how this organisation embraced the new normal is by the reskilling of staff. They retained the sales team to now function as a payment advisory team. The organisation took swift action to assist staff with pre-existing conditions, including offering pregnant women the opportunity to work from home first. Over and above adhering to strict social distancing practices on-site, they fog the entire building every Saturday to ensure a safe and clean environment. This coming week, I will check in virtually with the team at WNS.
The BPO sector forms a key component in this City’s economic recovery plan. We are committed to growing this sector by providing a steady skills pipeline. To this end, the City of Cape Town is the first municipality that will receive funding from the National Skills Fund, which sits under the Department of Higher Education and Training.
The funding from the National Skills Fund together with City as well as industry funding, will be contributed towards training and stipends to ensure that learners receive the industry minimum. I believe that for our City to compete globally and experience inclusive socio-economic growth, we must continue investing in skills and training for the sectors that are poised for substantial increases from employment and trade perspectives, instead of training for the sake of training. All administrative processes are now in place, and BPESA WC was appointed as the official service provider. A total of 1100 unemployed youth in Cape Town will be trained during the year.
James Vos, Mayoral Committee Member for Economic Opportunities & Asset Management, and Gareth Pritchard, CEO of BPeSA Western Cape, visit the RCS Group.