6 Common Challenges in the Tech Industry Addressed by Global Hiring Platforms

Challenge 01: Finding Skilled Professionals

Among the biggest challenges in IT recruitment is the ever-growing shortage of skilled professionals, especially in emerging fields like AI and cybersecurity. According to Gartner, by 2026, there will be an estimated shortage of 1.2 million software developers. The tech talent shortage is becoming increasingly problematic, with businesses struggling to find skilled professionals to fill essential roles in frontier industries.

How Hiring Partner Can Help: Tapping Into a Global Talent Pool

Recruiting tech talent has become easier for companies thanks to global hiring platforms that allow access to professionals from all over the world. Instead of being restricted to a specific location like Silicon Valley or New York, recruiting tech talent from a global pool opens up opportunities for businesses to access specialised skills across various regions. Platforms such as Smart Working and Upwork provide access to pre-vetted talent pools from countries like India, Ukraine, and Brazil, where technical expertise is abundant and labour costs are often lower.

Sample Example

Imagine being a startup in Austin, Texas, and needing to hire a developer with blockchain expertise in a tight timeline. After weeks of no luck finding local candidates, you turn to a global hiring platform. In just days, you find Maria, a blockchain specialist from Spain. She has the exact expertise you need and is available to start right away, even working in sync with your team, thanks to her flexible schedule. This not only saves you time but also opens the door to new markets as Maria brings valuable insights from the European tech landscape.

Challenge 02: Rising Costs of Hiring Locally

Hiring locally in tech hubs like San Francisco or London can be incredibly expensive. A software developer in the U.S. earns an average of $120,000 annually, while hiring in international markets can significantly lower this cost. Check here the developer hourly rate in the US & UK. For many startups and small to medium-sized enterprises (SMEs), these local hiring costs are simply unsustainable.

How Hiring Partner Can Help: Cost-Effective Remote Talent

When it comes to hiring technical talent, global hiring platforms make it possible to bring on top-tier professionals at competitive rates. Platforms like Deel and Remote have made it easier to hire talent from different countries where wages are lower, but the quality of work remains high. This not only helps reduce costs but also allows businesses to reinvest their savings into other growth areas.

Sample Example

Let’s say you run a growing fintech startup in London, and you need to scale quickly. Hiring local developers would cost you £80,000 per year, but by using a global hiring platform, you find Rajesh, a highly skilled developer from India. His rate is significantly lower, and he delivers top-quality work. You save over 40% on hiring costs, which you can now funnel into marketing efforts and product development, accelerating your growth.

Challenge 03: Navigating Global Compliance and Regulations

When hiring internationally, companies must comply with varying labour laws, tax regulations, and employment contracts. Navigating international hiring challenges such as differing labour laws, tax regulations, and compliance can be overwhelming without the help of platforms that simplify the process.

How Hiring Partner Can Help: Built-In Compliance Features

Global hiring platforms such as Smart Working, Deel, Remote, and Oyster provide built-in compliance solutions, ensuring that businesses adhere to local labour laws. When it comes to hiring technical talent, global platforms manage payroll, taxes, and contracts, streamlining the process for businesses. The hiring partner takes care of all the hiring legal work and compliance. By automating this part of the hiring process, companies can focus on scaling their operations without worrying about legal complications.

Sample Example

Imagine expanding your business into Latin America, where each country has its own set of labour laws. Without an entity in these countries, compliance becomes a headache. Using Deel, you hire a team of talented engineers from Mexico, Argentina, and Brazil. The platform takes care of all legalities contracts, tax regulations, and payroll so you can focus on building your product rather than getting lost in administrative tasks.

Challenge 04: Cultural and Time Zone Differences

Working with a global team offers a wealth of opportunities, but it also comes with challenges like cultural misunderstandings and time zone misalignment. Differences in work culture, communication styles, and language barriers can disrupt team dynamics, leading to inefficiencies.

How Hiring Partner Can Help: Collaboration Tools and Best Practices

Remote hiring is made smoother with global hiring platforms that integrate collaboration tools like Slack, Zoom, and Asana, ensuring teams can communicate efficiently across time zones. Additionally, they offer insights on managing cultural diversity, such as local holidays, preferred working hours, and communication styles. This fosters an inclusive environment that ensures remote teams work efficiently despite being spread across continents.

Sample Example

Picture this: You're a project manager in New York, and your newly hired developer is based in India. With a 10-hour time difference, traditional communication would be tricky. However, using tools like Slack and Notion, your team operates asynchronously. Daily updates flow seamlessly, project timelines are managed across time zones, and a weekly Zoom meeting keeps everyone aligned. Despite the distance, your team is as efficient as ever.

“Take care of your employees, and they’ll take care of your business.” — Richard Branson

Challenge 05: Retaining Remote Employees

Employee retention is a major issue in the tech industry, with remote employees often feeling disconnected from their teams. According to a 2023 LinkedIn report, remote workers are 32% more likely to experience burnout, leading to higher turnover rates. Retaining tech talent is crucial for companies to maintain continuity and avoid constant retraining and rehiring.

How Hiring Partner Can Help: Employee Engagement and Perks

Global hiring platforms help companies improve retention by offering tools for virtual onboarding, performance tracking, and engagement activities. Additionally, platforms like Oyster and Deel provide benefits packages, wellness programs, and incentives specifically tailored for remote employees. These initiatives help remote workers feel valued, boosting both productivity and loyalty.

Sample Example

Imagine leading a remote team spread across Europe, Asia, and North America. You notice morale slipping and turnover rates climbing. By using Deel’s platform, you introduce mental health programs, offer personalised development plans, and provide a competitive benefits package that rivals local standards. Within months, engagement improves, and your team reports higher job satisfaction, reducing turnover by 20%.

Challenge 06: Skill Gaps and Ongoing Training

As the tech industry evolves, staying updated with the latest technologies is critical. The half-life of technical skills is shrinking, with many becoming obsolete in just 18 months. Companies need to ensure that their teams are continually upskilling to remain competitive.

How Hiring Partner Can Help: Continuous Learning Programs

Some global hiring platforms partner with training providers to offer upskilling opportunities. For example, the UK’s Smart Working partners with multiple platforms to provide remote workers access to courses on the latest programming languages, cloud computing, and more. This ensures that companies not only hire the best talent but also invest in their ongoing development, closing skill gaps as they emerge.

Sample Example

Imagine hiring a data scientist from Singapore through Smart Working to work on your AI-driven project. Though he's highly skilled, AI is constantly evolving. You can enrol him in a machine learning course on any platform by requesting your dedicated customer success manager. A few months later, he not only enhanced his AI expertise but also implemented cutting-edge techniques into your project, boosting overall team productivity by 15%.

Conclusion