U.S. companies are increasingly hiring remote tech professionals from Latin America, with notable demand from Chile and Colombia. Gen Z workers are preferred for their enthusiasm and readiness to learn. A focus on mental health and competitive perks is essential for talent retention amidst declining layoffs and job resignations in 2024.
In 2024, the demand for remote Latin American tech professionals surged significantly as U.S. companies sought talent within similar time zones, as indicated in Deel’s Global Hiring Report. The sector has expanded notably since the Covid pandemic, making Deel a pivotal player in the global HR and payroll industry.
Chile witnessed the most substantial increase with a 67% growth in international hiring, closely followed by Colombia at 55%. Both Mexico and Argentina recorded a growth of 54%. Brazil was also notable with a 53% increase, though Argentina faced challenges due to rampant inflation which led global firms to overlook it despite its talent pool.
Top cities for hiring in 2024 include Buenos Aires, Bogotá, São Paulo, and Lima, among others. A shift in payment preferences towards U.S. dollars has emerged, with Argentina leading a 7% increase in dollar payments, followed by Colombia and Mexico at 6% each. Brazil experienced a 4% rise, while Chile saw a 3% increase.
A notable trend is companies favoring younger professionals, particularly those from Generation Z, over seasoned workers. Despite their lack of experience, analysts suggest that Gen Z’s enthusiasm and technological adeptness are attractive to employers. The report notes a global demand surge for young talent by 97%.
Chile reported an impressive 147% increase in hiring Gen Z tech professionals, with Argentina and Mexico also experiencing growth above 112%. Interestingly, Gen Z not only demonstrated the highest wage growth globally, but they were also less likely to leave their jobs for better pay compared to their millennial counterparts.
Roles in demand included software engineers, developers, customer service agents, and accountants, as Deel’s extensive analysis highlighted that 82% of hiring remains remote. Daniel Peña Ronderos, CEO of DevSavant, affirmed that Latin America is equipped to fulfill the growing global tech talent demand.
Innovations in education technology, particularly “EdTech” platforms, are enhancing the talent pool by enabling individuals without traditional engineering backgrounds to acquire essential IT skills through various programs. Ronderos emphasized the necessity for U.S. firms to offer competitive perks to retain Latin American talent.
Another positive indicator is the stability of the labor market, with layoffs at historic lows and job resignations decreasing significantly throughout 2024. According to Deel, factors beyond salary, such as mental health and workplace well-being, are increasingly impacting talent retention as professionals seek secure environments with flexibility and trust.
In conclusion, the demand for remote tech talent in Latin America is surging, driven mainly by U.S. companies looking for professionals in compatible time zones. Young professionals, particularly from Generation Z, are becoming highly sought after, reflecting a significant shift in hiring trends. As the industry mitigates previous challenges related to talent shortages and retention, it is crucial for companies to adapt their employee value propositions to meet evolving expectations, focusing on well-being and flexibility.
Original Source: nearshoreamericas.com
