Manila holds calls as Telstra offshores

Telstra has revealed that it will be offshoring a substantial portion of its bill support contact centre operation to the Philippines.

The telco reassured workers that no jobs were at stake as part of the move, but that staff in Manila contact centres will provide support as Australian workers undertake training to deal with a new billing system.

"No Telstra jobs are affected by this particular decision, these are additional resources for credit management," said a Telstra spokesperson.

According to the spokesperson, Australian credit management staff will also commence additional training in managing peak call volumes, ahead of an expected increase in customer enquiries when the new billing system is introduced.

"Telstra incurs significant costs from these services," said David Cannon, senior analyst in telecommunications at research firm IDC. "The business case to offshore non-critical operations at a time like this for Telstra makes a lot of sense ... especially considering contact centre staff overseas are definitely improving."

"Certainly there's a trend for telcos this year to move offshore for support services," he said.

Cannon believes that Telstra's decision to move these operations to the Philippines are as much a reflection of the rising costs of offshoring to India as they are the quality of contact centre staff in Manila.

"Call centre costs have actually gone up in India ... it's certainly not as cheap there as it used to be," he said, adding that AAPT's partial offshore move to the Philippines is further proof of rising costs.

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Talkback 9 comments

    Telstra Puts Profits Above Australian Jobs Ian -- 04/06/08

    No jobs at risk what a load of rubbish. Telstra does not care about customers or its workers, its all about the fat cats at the top and share holders. I am sure the Telstra spin doctors will come up with some rubbish to deny this.

    Manila holds calls as Telstra offshores Anonymous -- 04/06/08

    Well, that's it then. Time for me to cancel my Telstra service. The only thing keeping me there was the australian support. Now Telstras just like all the rest. Quite sad really.....

    @Anonymous -- 04/06/08 Anonymous -- 04/06/08 (in reply to #320103243)

    >Time for me to cancel my Telstra service

    Who you going to sign up with now then? - last time I looked there weren't any serious carriers still in business who have a purely Australian Workforce!

    All the companies that really believed in superb customer service went bust or were forced to rethink because sadly at the end of the day customers want the cheapest option.

    Get used to it!

    Telstra Anonymous -- 04/06/08 (in reply to #320103252)

    But at least we can get bad service cheaply from Telstras competitors.

    More offshoreing... Anonymous -- 04/06/08

    I thought it was good business to give customers what they want. I believe that customers do not want overseas call centres.
    Therefore it must be bad business to set up a new overseas call centre.
    Peter

    no more telstra bills for me Anonymous -- 11/06/08

    i dumped my telstra account - and pay my isp for a bundled ADSL2 plus the $30 a month for the privilege of copper lines. I'm supporting local it students over internat outsourcers. one bill, and no engphlish.

    what's your problem? i hate racists -- 23/11/08

    I was one of the 1st wave ever to take calls for Telstra's credit management dept and hell we went thru extensive training. Some Aussie's would mock us just bec were Filipinos when we are just doing our job based on how Telstra would want us to be.
    Oh and 1 more thing... you know what's funny... at the onset of the call, customers understand us and the way we speak... but after rejecting their arrangements, they would suddenly not understand us... worst is, again blame our nationality... lol! what does our nationality had to with their outstanding debts???

    lol joe -- 25/11/08 (in reply to #320116898)

    while i agree some of its racism, most of it is genuine, no offense 'i hate racist" but the difference between the teletech bigpond and the old aussie bigpond is outrageous, aussie BP I'd drop in and let them know im from res faults, and they'd know why im there, hell they used to be the floor below me, now, i cant fix a custs line cause i cant even get past their "I'm sorry sir, you are not an authorised rep on the account", no shi* sherlock, I'm the consultant working on the line, I must say, never had problems with credit, but every other off-shored depart... omg, they just arent with it

    Croc Jones, Son of Indiana Dundee Anonymous -- 28/08/09

    Like the croc, reality bites and the Aussies should wake up to the fact that slowly but surely due to globalization, the world is going to be governed by TNCs or Transnational Corporations whose only loyalty lies in their bottomline and shareholders. You guys should read "The Third Wave" by Alvin Toffler who wrote about this scenario decades ago. Even companies in the Philippines are putting up branches or even buying up companies in the US, Australia and Southeast Asia and hiring local workers instead of investing these funds at home where they are desperately needed to bring down the high unemployment rate in the Philippines. If conditions are no longer favorable and profitable in Manila, as proven by their experience in India, believe me these companies wouldn't hesitate to move elsewhere at the drop of a hat coz like you guys said its all about the profit.

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