IWG says economic uncertainty may push demand for flexible workspaces

MULTINATIONAL office space provider International Working Group Plc (IWG) said it is looking to bolster its presence in the Philippines as geopolitical and economic uncertainties may prompt companies to adopt more flexible and cost-efficient workspace strategies, the company’s new country manager said.

- By Beatriz Marie D. Cruz Reporter

“Global economic shifts, including the increased tariffs, are causing an increase in operational costs as well,” IWG Country Manager for the Philippines Rowena Bravo-Natividad said in a virtual interview with Business World.

“These uncertainties may push companies to diversify their operations, which may lead to more investments coming into the Philippines and expanding into new countries, exploring a satellite office setup.”

Since assuming the role of country manager for the Philippines in April, Ms. Natividad has been leading IWG as it navigates global shifts in the flexible workspace market.

“We've actually been receiving inquiries from other parts of Asia and the US who may have an office existing in those particular locations, but they would want to be able to diversify.”

Last month, US President Donald J. Trump imposed reciprocal tariffs on key trading partners but implemented a 90-day tariff pause while maintaining a 10% baseline tariff.

The Philippines was originally assigned a 17% tariff before the pause, the second lowest in Southeast Asia.

More foreign entities have integrated hybrid work into their company culture as part of risk management strategies, Ms. Natividad said.

She added that the rise of startups has also fueled demand for cost-effective and flexible workspace solutions in the country.

“So, that’s where IWG comes in as a solution provided to these companies in times of uncertainties.”