Why do US companies look for remote software developers?
For the last year, most businesses worldwide went remote — that is not an exceptional working model anymore, but a new normal. After a period of accustoming, companies noticed significant benefits of working with remote teams and talent from different countries without any limitations.
Moreover, the shortage of tech talent in the United States is increasing. According to government reports, there are up to 1 million IT jobs left unfilled each year. The unemployment rate in the US tech industry is also lower than any other industry — at just 2%. It becomes more challenging and takes more time to find new local qualified tech employees.
Outsourcing software development to other countries looks like the best decision for US companies with tech projects. And this option has a lot of great advantages:
- Top tech talent worldwide — when hiring remote software developers, you are not limited to candidates in your location but can choose among the most qualified engineers worldwide.
- Flexible team — when outsourcing developers, you can have a flexible team required for your needs. When needed, you can expand your team and hire software engineers for a short period, avoiding long processes of hiring and terminating employees like when you work with an in-house team.
- Less time — the process of hiring an outsourced tech team takes less time than hiring in-house. Moreover, which expanding your outsourced team due to your requirements, you can complete your tasks and launch your product much faster.
- Lower costs — as you have access to a worldwide IT market, you can find outsourced developers with the same skill sets at lower prices, as the US developers are more expensive.
Remote software developers: what’s the benchmark?
The demand for tech professionals across the country is consistently very high. It is getting harder for employers to source skilled full-time programmers. That is partly because the number of professionals is not growing fast enough to match the demand.
Another contributing factor is that there is a constant and rapid shift towards using new technologies. As a result, software developers do not have enough time to keep up with the pace of change.
The Pacific region, the biggest tech hub in the US, now faces the most significant skill shortage. The most severe skill shortages are in emerging areas relating to:
- Data analysis
- Cloud computing
- Machine learning
As well as more traditional tech roles such as:
- Software engineering
- Web development
Knowledge of Salesforce is amongst the most demanded complementary skills.
As the roles in demand are becoming increasingly technical, it is challenging for HR managers and recruiters to identify talented software developers following job descriptions. Moreover, in these times of tech talent demand, it becomes more difficult to interest the candidate and to motivate software engineers to accept your offer.
To ease the process and find a software developer that meets your needs, you should prepare a list of your requirements as well as information about your project advantages and different perks.
An interesting trend to note is that 57% of the companies in the IT sector practice some form of remote work in the USA. Presumably, this is a way for companies to provide talented software developers with even better conditions. Sky-high salaries and amazing office environments are no longer enough to attract the best in the domestic market.
In the USA, 57% of the companies in the IT sector practice some form of remote work.
Where to find remote software developers
As these skill shortages and HR challenges become more pronounced, product and software developer companies face the need to look for remote workers from offshore and nearshore destinations and consider alternative hiring options. Before choosing the option of hiring remote software engineers, you should learn more about the best countries for outsourcing tech talent and software developers’ rates in 2022. For example, here you can see the average developers’ rates in the popular outsourcing destinations:
|North America||Western Europe||Eastern Europe||Latin America||Asia||Africa|
Average hourly rate for software development, 2022
After you learn more about the IT market, choose the best hiring model for your project:
Option 1. Traditional outsourcing
One of the most prominent options that come to mind for most hiring managers is the traditional outsourcing model.
Many outsourcing and software development companies have partners and sales offices onshore in the US. They can meet with clients in person before the services are outsourced or in the case that projects run into issues. That is the case for several Ukrainian software development companies like TechMagic, Rademade, DevCom, etc. Most outsourcing software development agencies can offer both backend and frontend developers with a dedicated project manager in a team.
Option 2. Sourcing high-quality freelancers
However, those who have experience with hiring freelancers will be aware that there is a range of risks and disadvantages relating to:
- The likelihood that freelancers will be working on multiple projects at once
- The difficulty of managing them, particularly when you are trying to form a remote team from scratch
- The communication skills of freelancers might be not high enough for a remote job
- Delivering on time
If we add all of these risks together, we will end up with elevated and sometimes unacceptable levels of risk.
Option 3. Remote contracting sites
Over the last few years, the number of sites or so-called job boards where developers can apply for remote work has increased dramatically.
These sites often provide:
- Access to the CVs of developers who wish to operate remotely
- Clients with the ability to post jobs that are suitable for remote working
Here are some of the most known sites and their respective offers:
- Cybercoders has listed 41 remote developer roles just this week,
- RemoteOK offers contract job opportunities to those who want to work remotely,
- Indeed allows you to change geography and tap straight into local markets in offshore locations.
Option 3 is typically an improved version of Option 2. That is because contractors will limit the number of clients they service to 1 or 2 during the contract period. It means that they can provide a degree of focus that freelancers often cannot.
Reflecting on the above three options
However, all of the above three options can be a bit hit and miss in terms of:
- The time it takes to recruit talent through these channels and the hiring process itself;
- The quality of the talent;
- The service level these individuals can provide remotely.
Important to mention:
Options 2 & 3 don’t allow you to scale the team because you are essentially engaging with developers individually.
Option 4: Platforms for hiring individuals and teams of developers
Hiring platforms such as YouTeam, VenturePact, and ModernWeb offer thoroughly vetted teams of software engineers. It can be a great way to find a software developer who works remotely or even the entire software development team.
Companies and developers are subject to a comprehensive vetting process, ensuring that only top performers are on the list. Hence the quality risks are reduced substantially.
Developers’ soft skills are also reviewed during the vetted process applied by YouTeam. It allows clients to find a software developer based on certain soft skills and knowledge of programming languages and experience.
Price comparison between platforms for hiring and remote software developers in the US
In terms of salary, remote work software engineers in the US receive the same salaries as on-site developers. However, in real terms, there will be a reduction in the company’s expenses. That is because the company will no longer need to provide office space and other onsite perks.
- Junior software engineer: $25 per hour or $ 42,000 per year.
- Middle software engineer: $38 per hour or $ 63,000 per year.
- Senior software engineer: $68 per hour or $ 88,000 per year.
At the same time, the quality of work delivered will be almost the same as in the United States.
Hiring remote software developers for US Project: FAQ
We’ll put things mentioned above briefly here, plus add a few new valuable sources.
How to find remote software developers?
How to vet software engineers?
Before hiring a remote software developer, you should evaluate their tech skills, and what is more, discuss the developer’s soft skills to check if it would be easy to collaborate with this candidate remotely.
With our guide of vetting remote software engineers, you can check the tech skills and experience of the developer. Also, we have prepared a checklist to evaluate an outsourcing company you want to work with.