firb

The FIRB has maintained that work-from-home (WFH) is a temporary arrangement and has directed policies towards fully reopening the economy. Through Resolution 19-21, it allowed a hybrid work scheme with up to 90% WFH only until March 31, 2022. The board's stance is that BPO firms wishing to implement 100% WFH schemes must give up the tax incentives they enjoy, as the law requires operations to be conducted within ecozones to qualify.

Several BPO companies chose to forgo their fiscal incentives to retain hybrid or work-from-home setups for their employees. For example, Concentrix decided to let go of its tax perks to maintain its hybrid work scheme. Some firms also began moving their registration from the Philippine Economic Zone Authority (PEZA) to the Board of Investments (BOI) or deregistering to become normal corporations to continue flexible work arrangements.

Industry groups like the Semiconductor and Electronics Industries in the Philippines Foundation Inc. (SEIPI) attributed capital flight to government policies, including the FIRB's return-to-office mandate. SEIPI stated that about USD 3.6 billion in potential electronics investments were set to be committed to other countries like Vietnam, Thailand, and China, citing the rationalization of incentives and the RTO policy as key reasons.