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Durban BPOs Forge Alliances with Local Government to Tackle Youth Unemployment

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For years, South Africa has grappled with high youth unemployment. The Business Processing Outsourcing (BPO) industry’s innovative impact sourcing model provides sustainable employment opportunities for young people, particularly those from disadvantaged backgrounds. Despite the sector’s success, maintaining competitiveness against global leaders like India and the Philippines remains a challenge.

Cities like Cape Town actively support BPOs, offering incentives that enhance global competitiveness and ensure fair employee compensation. Kwa Zulu Natal has shown significant growth in contact center jobs, but Durban seeks similar support. Industry leaders, including CCI and the Durban Chamber of Commerce, recently engaged with Durban officials, presenting the potential job creation impact of BPO sector growth.

Durban’s Chamber of Commerce CEO, Palesa Phili, highlighted the job creation potential and urged competitor BPOs to form partnerships with local government. Incentives could include transport solutions, free zones, tax rebates, and infrastructure support. CCI South Africa’s CEO, Peter Andrew, emphasized the positive impact of such incentives, not only making cities more cost-effective but also boosting employment.

eThekwini Metro Mayor Mxolisi Kaunda expressed a vision for Durban as a world-class city with a favorable environment for business and job creation. He committed to collaborating with industry leaders to maintain Durban’s position as a top outsourcing destination.

The BPO industry, known for transforming lives, especially for women from disadvantaged backgrounds, aims to address unemployment, with over 40% of job seekers in Durban having given up. Collaboration between industry and government is seen as key to positive change and addressing unemployment challenges in the city.

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