10 Sep 2009

CNMI based call center business considers its future

8:19 am on 10 September 2009

The only call center business in the Commonwealth of the Northern Mariana Islands may recall its expansion plans and move to either Guam or the Philippines.

The executive director of the Contact Centers Division of PTI Services Incorporated, Rob Harrel, says that's if it fails to get the additional incentives it is asking for under its existing qualifying certificate.

Mr Harrel has asked the Commonwealth Development Authority to modify its qualifying certificate.

He says the terms and conditions of the current certificate are not enough for the company to overcome the challenges the business is facing.

He says the company has been working hard to expand however its cost projections, despite the current incentives, continue to put it at a competitive cost disadvantage.

Mr Harrel says the company is asking for 100 percent abatement in the business gross revenue tax for 20 years, a five-year excise tax abatement, and 10-year income tax abatement.

He says the additional incentives will help the company defray the expected impact of higher labour wages due to the impending federalization, which may be as high as 30 percent.

The Commonwealth Development Authority has yet to decide on the company's request.