Critical concerns have been raised about the quality of employment in the offshore service sector in developing countries, suggesting that many activities have an inherent paradox of highly educated workers performing low-skilled jobs. Based on empirical data collected in the offshore service sector in Baguio City (the Philippines), this article analyses the knowledge and skills acquisition of workers using the concepts of employability and generic skills. The article demonstrates that offshore service sector work is part of a longer-term career planning of workers and an opportunity for strengthening their employability on the global labour market. The early stage of development of the offshore service sector provides workers with opportunities for local upward labour mobility. The article argues that the sector should be looked at from an employee-based perspective that emphasizes their employability and generic skills acquisition in order to understand the longer-term benefits of the sector for developing countries.