US tech firms switch are switching to LatAm remote workers
The shift to remote working led several US-based technology firms to find and recruit professionals from Latin America (LatAm).
In a Bloomberg report, the rise in LatAm hiring is attributed to their lower pay while working roughly the same time zone. The shift of currencies due to the pandemic also boosted the trend.
For example, Brazil attracted American companies due to the Brazilian real losing more than a fourth of its value for the last two years.
Other Latin American currencies such as the Argentinian peso and Colombian peso were among the big underperformers since the pandemic started.
According to a report by consulting firm Korn Ferry, the ongoing talent shortage is also leading the American tech industry to Latin America. By 2030, it is projected that the US may face a shortage of at least 1.2 million tech professionals.
Global hiring company Deel reported that the number of foreign companies hiring from Latin America has increased by 156%, with software engineers leading the recruiting rally.
However, tech marketplace Hired said that this trend caused the average tech salary in the US to drop by 1.1% in 2021, while other countries experience a 6.2% rise in their salaries.
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