American-based AIG Business Processing Services Inc. (BPSI) will hire more than 900 agents to support expansion in the Philippines. BPSI president Neil Elais said that the company's 600 strong workforce would be increased to 1,500 this year.

BPSI decided to pursue local expansion due to Philippines' high English proficiency and low cost operations. Elias said, "The Filipinos' proficiency in English and the 30%+ cost savings in offshoring have impressed most US companies with outsourcing arrangements with the Philippines."

In relation to this, Trade and Industry Secretary Juan B. Santos, instructed local schools to use English as their principal language of instruction. Also, special courses were designed to support the IT BPO industry.

Additionally, the Technical Education and Skills Development Authority has been campaigning for IT certification. They said that certification would provide Filipinos with better job opportunities, and give foundational knowledge for more advanced certifications.

AIG in part has set up language schools and cultural workshops to improve communication. Elias said that this has made "AIG successful in developing a career management system for [their] employees, [preparing them for] a global career."

In 2004, The Philippines' IT and e-services sectors recorded an impressive growth increasing to PHP 8.07 billion from 2003's PHP 5.4 billion.