Startups take advantage of PH labor cost competitiveness


A Filipino-owned people solutions provider is targetting global startups and scaleups, which are expected to accelerate operations after the pandemic and are likely to choose the Philippines where salary rate is just half of the US and UK pay scales.


nXscale Leadership Team
from L-R: Pat Erick Buna, COO Kei San Pablo, CEOLaw Llamelo, Chief People Officer Frank David, Chief Experience Office

Kei San Pablo, CEO of nXscale, said at the company’s recent launch that the pandemic is a good time to create and prepare for the reopening of businesses. 

“The pandemic has forced a lot of companies to rethink the way they do business and that includes how they hire, who they hire and where they hire from,” said San Pablo. 

“More and more startups are looking at the Philippines to expand their operations while taking advantage of the cost savings,” said San Pablo. “We bridge the gap between global companies and the Philippine talent market.”

The average salary for a Customer Service Representative in the UK is $39,667 per year and $39,378 per year in the US. But talent sourcing in the Philippines is just half the price at an average cost of only $18,718 per year.

Essentially, nXscale connects global companies with the local talent market. They can provide customized services a global company would like to outsource in the Philippines. For instance, if a foreign firm would like their accounting function be done in the Philippines, nXscale can form that support group for the client’s specific need.

In addition, nXscale also envisioned to create job opportunities across the country because  the pandemic has proven that remote work is possible. 

“More companies are now open to the possibility of remote or hybrid work set up which now allows us to tap talents outside the Metro, thus distributing equal job opportunities,” she added.

According to the Global Startup Ecosystem Report (GSER) released by Startup Genome, Manila’s startup is valued at $1.6 billion in 2020, with $102 million (about P4.9 billion) invested over the last two and a half years. 

nXscale is targeting global startups and scaleups wanting to start, build and scale their team in the Philippines.

“We connect global companies to the Philippine talent market. Our aim is to bring more companies to build their team here in the Philippines,” he said.

San Pablo noted that because of the pandemic, businesses have a harder to plan long term due to market uncertainties. “This is why we need to be more adaptive and innovative. Now, more than ever, it's vital to have a clear vision of what you want to achieve as a business and be flexible in the ways on how you can get there,” he added.

As they advocate for remote work, San Pablo said more people outside the Metro can get access to competitive pay, which helps create a domino effect, including empowering their communities in the provinces and lessening traffic congestion here. 

“Lastly, we hope to inspire more leaders for the next generation and equip them with the knowledge and experience that will encourage them to make better, more impactful decisions,” said the female CEO, who embraced leadership in running the company.

For its hiring, San Pablo said they do not discriminate schools and location, rather they focus on positive attributes likes skills, talent, character, and experience. 

The startup staffing company also advocates for workplace diversity, which means fostering an open environment where every voice is welcome, heard, and respected. It is providing an equal opportunity by focusing on individual’s skills, talent, character and work experience regardless of their gender, age, socioeconomic status, and even location, to name a few. 

Instead of the university they attended, San Pablo said nXscale looks into an applicant’s work and training experience, and, most importantly, the applicant’s potential to grow with the company and not just what’s in his/her resume. 

“As a startup company, we foster diverse thinking, which drives us to be more creative and innovative. It helps mold our organization to embrace our differences and be respectful, open, and inclusive as we grow,” said San Pablo.