How Nearshoring in the Dominican Republic Can Benefit Your Company

The COVID-19 pandemic has forced the Dominican Republic into its first recession in nearly 17 years. The fourth quarter of 2020 has been difficult as companies closed, with over 191,273 jobs lost with particularly negative consequences for disadvantaged households, women, and informal workers.

The global shock caused by the COVID-19 pandemic had a substantial impact on the Dominican Republic’s economy. It produced a significant downturn in vital sectors in the second quarter of 2020. The GDP shrank by 6.7 percent in 2020. It was expected to grow by 5.5 percent in 2021, but it will stay below potential in 2021 and 2022. For a country that has a high potential for a nearshore destination, delivers top English skills, and is considered one of the safest countries in the Caribbean; nearshoring would not only benefit you but your future Dominican employees as well.


Asia businesswoman social distancing in new normal situation for virus prevention while using laptop presentation to colleagues about plan in video call while work in office. life after corona virus. Free Photo


Call Centers in the Dominican Republic are often 50%-65% less expensive than BPOs in the United States or Europe. Being closer to the service provider means less travel and a faster time to market. Thus, it offers a shorter supply chain for your company. Manufacturing and shipping costs will be lower, lead times will be shorter, and you will have more flexibility during volatile periods. More importantly, because nearshoring activities are in the same or equivalent time zone, your staff are not required to work overtime or at night. Having similar time zones can drastically cut expenses compared to offshoring. Nearshoring benefits your workers because they will have a healthier schedule. Also, your work relationship with them will be much easier since it’s just a 2-hour flight from the US.

With a population of 11 million people, the country boasts its workers as one of the greatest talent pools in the Caribbean.  Nearshoring in the Dominican Republic provides you with staff that is highly skilled and bilingual. Agents commonly speak Spanish, French, English, Portuguese, and Italian. The nation is the only place on the planet with this mix of language abilities. Because of the large Spanish population in the United States, this benefits U.S. markets. In effect, the BPO industry employs over 36,000 call center agents in the nation.

Close up on person working in call center Free Photo

Nearshoring in the Dominican Republic has countless benefits. It is cost-effective, brings you a shorter supply chain for your business, and provides you with a highly-skilled, multilingual workforce. Remember, you do not only benefit when you choose to nearshore. But you also aid BPO workers by giving them employment amidst the economic difficulties in the pandemic. In the bigger picture, this alleviates disadvantaged households, women, and informal workers who are in need of a job to feed their families. 

If you desire to learn more about nearshoring in the Dominican Republic, read our article “5 Benefits of Nearshoring in the Dominican Republic”. Also, do not forget to follow @SourcefitPH on our social media and visit our website!