How to Successfully Hire and Manage Staff in the Philippines: A Guide for Residential Builders

Hiring skilled staff in the Philippines can be a game-changer for residential builders looking to scale while maintaining cost efficiency. 

With access to a large pool of talented and educated professionals, many companies turn to platforms like OnlineJobs.ph to recruit remote home-based workers. However, international hiring—especially for remote roles in the Philippines—comes with unique challenges.

In this guide, we’ll walk you through the process of hiring Filipino staff directly, offer valuable insights on managing the process yourself without an outsourcing provider, and highlight common pitfalls to avoid. 

By understanding these factors, you’ll be better equipped to decide whether direct hiring is right for you—or if a managed staffing solution is the smarter way to solve hiring challenges in the Philippines.

Steps to Hiring Filipino Staff Directly

Define Your Requirements

Clearly outline the role, responsibilities, and required skills. However, be realistic about expectations—finding a candidate with the perfect skills and experience is often unrealistic. In many cases, it is best to hire someone with an interest and education related to the work and provide proper training. This approach ensures a better fit and long-term success while avoiding disappointment.

Create an Effective Job Listing

Your job post should be clear and engaging. Detail expectations, required qualifications, and any tools or software they’ll need to use. Additionally, be transparent about salary expectations and never talk in Australian dollars. A typical salary range in the Philippines falls between PHP18,000 (approx $490) and PHP45,000 (approx $1,200) per month, and paying beyond this is usually unnecessary and often detrimental in the long term. However, setting clear expectations that salaries can grow to PHP45,000 or higher over time can be a strong motivator. Ensuring you don’t overpay from the start allows room for performance-based increases while still attracting and retaining quality candidates.

Establish Clear Working Agreements

Define expectations around working hours, salary, performance metrics, and communication standards upfront to prevent misunderstandings. Australian employers have an advantage over companies from the USA or UK, which often require Philippine employees to work overnight. The Philippines shares the same time zone as Perth, Western Australia, making working hours between 9 AM to 5 PM in any Australian time zone desirable to Filipino employees. Clearly communicating that they will not need to work at night or on weekends can be a significant incentive for prospective hires.

Consider the Working Environment

If you are hiring a home-based employee, the option of providing them with an office space through a seat leasing arrangement in their local area is worth discussing. Working from home often comes with significant challenges related to internet stability, power outages, and distractions. Asking candidates if they are aware of a nearby office space they can use could be a game-changer, allowing them to work in a professional setting with reliable infrastructure, air conditioning, and a quieter environment.

Utilise Reputable Job Platforms

Websites like OnlineJobs.ph provide an affordable way to connect with Filipino job seekers. However, expect to receive a high volume of qualified and unqualified applications. Sorting through candidates can be time-consuming, making it crucial to quickly filter out unsuitable applicants and identify the best talent efficiently.

Efficient Payments

To avoid large bank fees and poor conversion rates, we recommend using a trusted service like Wise for international salary payments. However, many Filipino employees do not have traditional bank accounts and rely on GCash, a widely used digital wallet system similar to PayPal. While GCash is convenient for employees, it can be challenging for employers to transfer funds directly. Encouraging employees to open a traditional bank account is often a better long-term solution.

Conduct Thorough Interviews and Verify Credentials

Use video calls to assess candidates’ communication skills, professionalism, and compatibility with your company culture. Be aware that many applicants may oversell their skills, provide undetailed yes-or-no answers, and be less than honest about their past experiences. To gauge their understanding and verify their experience, ask them to repeat key points or instructions in their own words and provide detailed explanations and examples of their past work.

Provide Thorough Training

Hiring someone and expecting results without proper training is a recipe for failure. While Filipinos are intelligent and educated, they often start off reserved when working with foreign employers. The first few weeks of structured training are crucial in preventing bad habits and ensuring clarity in job expectations.

Common Challenges When Hiring Directly

1. Home-Based Work Challenges

• Unreliable Internet and Power Outages – Many remote workers rely on home internet, which can be unstable, leading to frequent disconnections and lost productivity. Additionally, most households in the Philippines experience frequent 'brownouts'—scheduled or unscheduled power outages—multiple times a week.
• Distractions – Family members, unexpected visitors, and environmental factors like roosters and motorbikes can disrupt workflow.
• Multiple Job Commitments – Many freelancers take on several jobs simultaneously, often keeping these commitments secret, which can lead to divided attention and missed deadlines.

2. Performance and Accountability Challenges

• Home-based employees often struggle with motivation and accountability due to a lack of workplace culture.
• Disappearing without notice is common and is often due to financial, family, or medical issues.
• Without structured supervision, productivity and engagement can decline.

3. Legal and Compliance Complexities

• Employers must navigate local labour laws, tax contributions, and government-mandated benefits like SSS, PhilHealth, and Pag-IBIG.
• The 13th-month pay is mandatory, and many Australian employers are unaware of this requirement.
• VAT in the Philippines differs from Australia's GST and can be difficult to manage.

How John and Carl Built High-Performing Teams in the Philippines

Hiring and managing staff in the Philippines can be a game-changer for residential builders—but only if done correctly. The right approach can lead to a seamless, highly productive working relationship. Get it wrong, and you’ll face communication breakdowns, poor performance, and high turnover.

So, what does success look like? Let’s take a look at two builders who have nailed the process.

John’s Approach: Seamless Integration and Continuous Communication

John, the owner of Buildtrend, knew that for his business to grow, he needed reliable support that wouldn’t drain his budget. That’s when he turned to Smart Online Staff. Over four years later, his Virtual Assistant (VA) remains a critical part of his operation.

What’s the secret to making it work? Integration.

John doesn’t treat his VA as an outsider—he involves her in every aspect of the business. Whether he’s in the office, on-site, or driving between projects, he keeps an open line of communication via a static Google Meet link. This constant connection ensures his VA stays engaged, understands the company’s priorities, and can act quickly when needed.

Even when one of his VAs eventually moved on, she provided plenty of notice, allowing for a smooth transition. John invests heavily in training, reinforcing the value of continuous learning and upskilling—something that has paid off with a VA who is proactive, reliable, and deeply aligned with his company’s needs.

Carl’s Strategy: Delegating Tasks That Free Up His Core Team

For Carl, the owner of Edwards Family Homes, hiring a VA wasn’t just about reducing workload—it was about getting the right things off his plate so he and his team could focus on higher-value work. Through Smart Online Staff, he brought on Katrina, an experienced VA who quickly became indispensable.

Carl acknowledges that training takes effort, but he sees it as a necessary investment. And the payoff? Katrina not only handles administrative work efficiently but also takes on tasks that other staff tend to avoid—the repetitive yet essential jobs that keep the business running smoothly.

Beyond competence, what makes Katrina a valuable asset is her dedication and attitude. She shows up every day with consistency and enthusiasm, ensuring tasks don’t just get done—they get done well.

Conclusion

Hiring Filipino staff can be an excellent way to scale your business while maintaining cost efficiency. However, it’s essential to weigh the risks of direct hiring versus the cost and benefits of working with a managed staffing provider. Smart Online Staff provides a structured solution that removes the complexities of remote hiring while ensuring productivity and compliance. If you’re considering hiring remote staff but want to avoid the common pitfalls, contact us today to learn how we can support your business with a reliable and professional offshore team.

Disclaimer: This article is a sponsored post written in collaboration with Smart Online Staff. The insights and recommendations provided are based on their expertise.