Guide to hire in Latam

Debunking Five Myths About Hiring in LATAM

What myths are stopping startups from hiring in LATAM? Misinformation might be shortening your access to an untapped talent pool of developers. 


Hiring in LATAM is becoming more than just a trend for startups looking to build their nearshore teams of developers. However, some startups are still missing out on the potential of LATAM developers because of the cultural barriers between them.

We are debunking the five most common myths that stop startups from considering LATAM as their first choice destination to build their nearshore teams.

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#1 LATAM candidates lack English skills

Don't doubt LATAM English skills

 

We get it; you are afraid of having communication issues with your nearshore team. You want things to run smoothly, but you would be surprised at how well LATAM candidates speak English.

They are out there if you are looking for candidates with a higher level of English, and there are plenty to consider if you’re looking for higher management roles, such as tech leads. 

A study made in 2021 showed that LATAM English proficiency is rising, and this year will not be an exception. The global pandemic also significantly improved the region's English skills when remote work became a worldwide standard and an opportunity to find employment.

Indeed not every candidate has perfect English, but LATAM developers have shown to communicate successfully in daily standup meetings without hassle. They are out there if you are looking for candidates with a higher level of English, and there are plenty to consider if you’re looking for higher management roles, such as tech leads. 

In their efforts to lower unemployment rates, local governments are offering English programs, so their citizens could have better chances of getting hired by U.S. companies. Another factor that can prove number will continue to rise in the future.

 

#2 You only get dedicated talent if you hire them as employees

Looking to hire a coder from another country always raises doubts for startup owners and H.R. departments. What kind of benefits will you have to offer them in order to ensure their full commitment to your startup?

The truth is that every country in LATAM has different laws you must abide by depending on where the candidate is from. However, this changes depending if you are hiring the developer as an employee or as a contractor.

There are many benefits to hiring in LATAM, and being able to choose from hiring as employees or contractors is one of the reasons it is an excellent option for startups looking to grow their nearshore teams. 

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For example, in Ecuador, you must legally set up a company in the country when hiring employees but not when hiring contractors. In other cases like Mexico, you must treat the candidate as a full-time employee and give annual paid leave and compensation when fired. 

We are trying to say that you will have to abide by most labor laws and taxation, but there are fewer restrictions when hiring developers as contractors. Some candidates even prefer to be hired this way to avoid having their salaries reduced due to taxes, which does not affect their commitment.

There are many benefits to hiring in LATAM, and being able to choose from hiring as employees or contractors is one of the reasons it is an excellent option for startups looking to grow their nearshore teams.

Want to know more? Hire Developers: Full-time vs. contractors blog.

Map for hiring in LATAM

 

#3 Culture not compatible with the U.S.

It's no secret that pop culture from the states has reached many corners of the world, and LATAM is no exception. We know this isn't what makes them the perfect cultural fit, but they have a sense of connection and knowledge of what it's like living in the U.S., and that's a good start.

In our experience, LATAM developers are mainly ready to match your startup's culture and have shown they are fast learners. We've all been there; adapting to a new job takes its time.

Things will work out if you give them time and allow them to be fully part of your team by supporting them during onboarding.

And it's not different with LATAM developers onboarding their newly acquired remote job positions. When we help companies find and hire developers, we aim to find them a match for their startup. We offer a three-month guarantee and follow-up to overlook how the candidate adapts to your startup.

LATAM developers are creative and passionate about what they do, and the truth is, if you want them to fit in with your startup, we're talking about a two-way street. Things will work out if you give them time and allow them to be fully part of your team by supporting them during onboarding.

Interview LATAM candidates

 

#4 Lower rates mean lower quality.

This is a big one; the supposition that lower hiring rates in LATAM are due to less tech knowledge is one of the most common misconceptions. U.S. companies are always astounded by developer rates, especially when reviewing senior candidate profiles. But, it’s not about skills or quality, it's about the cost of living. Programmer salaries differ from what you've experienced in the U.S. due to the local economy. Still, salaries in LATAM are almost matching those in the US due to high demand.

Studies mention that tech developers are among the top employees they transfer their money to when startups make their monthly salary payments.

Some startups are yet to become full believers in the potential LATAM is showing for those looking to build their nearshore team of developers. 

However, the data out there hints otherwise, and each day, more companies are turning their eyes down south when looking to hire. Studies mention that tech developers are among the top employees they transfer their money to when startups make their monthly salary payments.

LATAM candidates bring as much to the table as any other engineer. Why else do scaling companies continue to find and hire candidates from the region? Returning customers are a hint of trends that will surely rise due to a widespread consensus of credibility.

Hiring LATAM developers

 

#5 Startups have fewer chances of finding senior candidates in LATAM.

LATAM’s talent hub remains undiscovered by many startups out there, but because of their U.S. mindset, they fail to believe that senior candidates from the region hold a strong standard of code quality. Of course, not all candidates are senior developers, but that doesn’t mean LATAM’s numbers or skills are less impressive.

We’ve interviewed dozens of candidates who show true leadership skills and are even pretty sharp when discussing business-solving problems in creative ways. 

Each year there are more and more tech graduates in the region, and we know for sure that there is a steady increase in developer culture and communities. It is a lack of knowledge what creates the myth that senior candidates are not easy to find.

We’ve interviewed dozens of candidates who show true leadership skills and are even pretty sharp when discussing business-solving problems in creative ways. 

A problem you may stumble upon, especially when discussing senior candidates, is the fierce competition to hire them. Either way, LATAM senior developers are not always the first choice for startups which can give you the chance to scoop outstanding software candidates before others do.

 

Conclusion

LATAM's got your back if you are looking for outstanding software talent. Awana offers startups and scaling companies a connection to LATAM's talented developers to grow at their own pace without myths or roadblocks.

Ready to start hiring or still unsure about LATAM? Let’s talk.

 

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