When you want to establish a successful business, hiring the right people is key. The best companies are usually those that have the best teams in the industry. However, you want people who fit in well and possess the right talents.

Regardless if you’re looking for a part-time or full-time employee, finding someone who will help grow and expand your operation is a challenge. This usually means hiring in-house workers but there’s always the option to outsource, like when you hire a Philippines VA.

Why outsourcing is a good idea

You may be wondering whether this is the right choice for your business or not. In some industries, it is a necessity but what about for other niches? Let’s look at some reasons why your company should outsource certain business functions.

It adds you time and effort

Routine tasks such as bookkeeping, email inbox management, and data encoding can easily take up an eight-hour shift. By outsourcing, you enable your workers to focus on more important tasks such as product development or digital marketing. This allows you to maximise their creativity, effort, and energy.

It reduces the risks when expanding

This was made obvious during the onset of the pandemic as organisations scrambled to shift to remote work. Those who had a VA in the Philippines were able to quickly adjust their operations since their employees were already based online and had a functional work arrangement.

It gives you access to global talents

When you have geographical restrictions, it becomes harder to find a candidate who meets your exact requirements and needs. Choose to hire Filipino remote specialists who are often equipped with specific knowledge, skills, and experience.

It provides you with greater flexibility

Let’s say you have a special project that only lasts for a few months. It would be a waste to hire a full-time employee when you aren’t sure if there will be a vacancy for you to transfer them to after the project. Better to hire Filipino virtual assistants on a short-term basis for less obligations.

It saves you on certain expenses

With in-house employees, you’re expected to provide physical work spaces, medical benefits, and salaries. Outsourcing has someone else handling the space and equipment. Also, hiring Filipino workers means you have highly-educated staff at a fraction of the cost of their counterparts in the West.

Why hire Filipino remote workers

On the topic of why it’s a good idea to outsource, you may be wondering why the Philippines is a popular outsourcing destination among businesses worldwide. According to our previous post, there are at least 5 reasons behind that. One of which is that it helps to lower your costs.

How much a Philippines virtual assistant cost

Every Philippines recruitment agency has their own pricing structure so the costs are going to vary. However, every company in the country is expected to follow laws and regulations related to running a business and charging clients. You may expect the standard pricing model to follow certain computations too.

Workforce costs

As these are according to the rates on the market for the roles you’re hiring for, these are always going to be charged to the company hiring. These differ based on the skill level, be it you’re looking for fresh graduates or highly-experienced professionals. The exchange rates between your currency and the Philippine peso are going to matter as well.

Service fees

The Filipino hiring agency you use will charge you their own service fees. Generally speaking, these include all of their operating costs along with a fixed rate for every worker per month. These are going to cover the expenses for taxes, utility bills, and tools too.

Government benefits

According to the Labour Code of the Philippines, workers are entitled to receive benefits such as:

Night differential

Most Filipino employees who have been outsourced have to work the night shift to match the time of their global clients. For this reason, they get a night differential of 10% on top of their hourly rate when they work between 10 PM to 6 AM.

13-month pay

The Department of Labour and Employment defines this as one-twelfth or 1/12 of the basic pay of a worker within a calendar year. Normally, this is pro-rated based on when the worker started at the company and is given around December.

Social welfare

Pag-IBIG Fund or Home Development Mutual Fund

This is how the Philippine government makes sure that citizens have savings as they work. A monthly donation of 200 pesos is made for when the worker has to borrow money or when they want to buy a house. The contribution fee of the company is 2% of the worker’s basic salary.

PhilHealth or Philippine Health Insurance Corporation

The contribution fee is 3% of the basic pay of the worker. The company is responsible for half of the amount while the rest is taken from the employee’s monthly wages. This is used for health insurance although your company is free to provide additional medical insurance too.

SSS or Social Security System

Every working citizen is entitled to a social security account so the government may provide them with social welfare services. The premium is computed to be 11% of their monthly wages but the company is expected to pay for 7.37% of that.

How to hire staff in the Philippines

Now that you’re aware of how much a virtual assistant in the Philippines cost, you know that outsourcing is a financially-sound decision for any company. You may be wondering what is the best way to hire virtual workers Philippines—you’re in the right place!

We at Remote Workmate are ready to help you to hire remote in the Philippines. While we have an existing talent pool, we’re available to screen more candidates so you’ll have more people to choose from. When it comes to hiring Filipino workers, turn to us for offshore staffing services.