‘The Labor is Here,’ But Policy Needs to Support the Caribbean

When Debra Fraser first came to Jamaica from Canada in 2000 on a church mission trip, she never imagined she’d play a growing role in the Caribbean’s fast-growing business process outsourcing industry.

After two years of volunteering, Fraser joined Vistaprint in 2003 as an HR leader, helping the company expand into Jamaica. That experience opened her eyes to the hurdles foreign businesses often face when setting up shop in the region, from recruiting local talent to managing wage expectations and understanding government incentives.

 “Vistaprint did a fantastic job, but it was so much work, trial and error,” Fraser said. “It kind of developed a desire in me to help other companies to not have to go through that.”

By 2010, she had started her own call center, which grew to about 50 employees before financial limitations forced her to reposition. She launched an HR outsourcing firm, assisting other companies with their Caribbean operations, often stepping in as the official employer of record.

Her company has since had a major impact on Jamaica’s BPO sector, which has grown from around 5,000 workers twenty years ago to about 60,000 today. As a part of that growth, her team recruited over 1,100 employees for ibex, a major BPO company.

From the ground up

Entrepreneurship is essential across the Caribbean, but it comes along with well-established risks. Small- and medium-sized enterprises make up 99.5% of businesses and provide about 60% of formal jobs, according to the Organisation for Economic Co-operation and Development. Nevertheless, these businesses often struggle to get financing, secure collateral, or tap into robust capital markets.

 “Banks want assets. If you don’t have property, it’s hard to grow,” Fraser said. “There aren’t many grants or angel investors here. I’ve thought about registering my business elsewhere just to access capital.”

Jamaica has improved its business climate in recent years and now ranks 71st in the World Bank’s Ease of Doing Business Index. After four decades of little to no improvement, the island is expected to see 1 to 2% annual growth over the medium term, according to World Bank Group. Mortgage rates have come down from 17% to about 8%, and the Jamaican dollar is seeing some stability amid a weakening U.S. dollar, Fraser said.

Still, many startups have no choice but to bootstrap. Fraser considers herself lucky that she was able to use family-owned land as leverage to secure funding for her endeavors.

Today, her company serves clients around the world and specializes in remote-first hiring. This approach eliminates the need for expensive office space by finding skilled workers for businesses that operate virtually — a trend that gained momentum during the COVID-19 pandemic.

 “Our clients cut 70% off labor costs by hiring in Jamaica,” she said. “And they’re getting high-quality workers with years of BPO experience. It’s a no-brainer.”

Fraser believes smaller firms like hers are well-suited to succeed, especially as larger BPO providers deal with increasing costs. She also points to rising competition from gig economy platforms like Fiverr and Upwork, which attract Caribbean freelancers but don’t contribute to local tax systems.

 “The gig economy is already here,” Fraser said. “But if you’re not on a payroll, you can’t access benefits like Jamaica’s housing trust. That’s a missed opportunity for both workers and the country.”

The fight to stay competitive

Nearby, countries like Trinidad and Tobago are pouring money into the sector — more than $245 million — to create thousands of new jobs. With strong English language skills and proximity to the U.S., the Caribbean takes advantage of the typical nearshore selling points.

But Fraser warns that to stay competitive, the region needs better policies, more funding opportunities, and stronger digital infrastructure.

 “The labor is here, the skills are here,” she said. “What we need now is better support for the people building the future from the ground up.”

According to the Global Services Association of Jamaica, about 70 companies make up the country’s BPO sector. And while some worry artificial intelligence could replace jobs, GSAJ President Wayne Sinclair believes technology could improve productivity and lead to new roles.

The global services sector remains a major job engine, with a 61.5% jump in employment over the past eight years, according to Minister of Industry, Investment and Commerce Senator Aubyn Hill.