Hiring developers in Latin America has rapidly shifted from being an “alternative strategy” to a mainstream move for U.S. companies.
With tech talent shortages at home, skyrocketing salaries, and increasing pressure to build resilient teams, more businesses are asking the same question: how does hiring developers in Latin America actually work?
This guide breaks it down step by step, covering why Latin America is such a strong talent market, what models of hiring exist, the challenges to watch out for and best practices to build successful cross-border teams.
Why Companies Hire Developers in Latin America
- Cost Efficiency Without Sacrificing Quality: Salaries are 30–50% lower than U.S. averages, but developers in the region are highly skilled, often trained in competitive STEM programs and coding bootcamps. This doesn’t mean their quality of life is lower. The cost of living is lower in most cities, allowing for lower salaries while your devs maintain high quality of life.
- Time Zone Alignment: Most of Latin America is within 0–3 hours of U.S. time zones. This allows real-time collaboration without the overnight communication delays common when hiring in Asia or Eastern Europe.
- Cultural & Business Affinity: Latin American professionals are well-versed in U.S. workplace culture. Many have worked with North American companies before, reducing friction in communication and expectations.
- Deep and Growing Talent Pool: The region has over 2 million software developers, with tech ecosystems booming in Brazil, Mexico, Argentina, Colombia, and beyond.
How the Hiring Process Works
1. Define Your Needs
Before looking abroad, clarify:
- What roles you need (frontend, backend, full-stack, mobile, DevOps, etc.)
- Seniority level required
- Budget range (knowing it will be lower than U.S. salaries)
- Level of English and time zone overlap needed
2. Choose a Hiring Model
There are three main ways companies hire in Latin America:
- Direct Hiring: Posting jobs on platforms like LinkedIn, local job boards, or freelance sites. Gives full control but requires local legal/tax knowledge.
- Recruitment Agencies: Agencies vet candidates and handle contracts, speeding up hiring but charging fees.
- Nearshore Staff Augmentation (Oceans’ model): A partner provides pre-vetted engineers, manages compliance/payroll, and lets you scale teams quickly without the overhead of direct hiring.
3. Vet Candidates Effectively
Look beyond technical skills. Assess:
- English proficiency for smooth communication
- Soft skills like problem-solving and collaboration
- Cultural fit with your team’s way of working
4. Handle Legal & Compliance
Employment laws vary by country. You’ll need to navigate contracts, tax withholdings, and benefits, or partner with a provider who takes care of this.
5. Onboard and Integrate
Remote onboarding should include:
- Access to tools and repos from day one
- Clear communication guidelines
- Regular check-ins to build trust and alignment
Where to Hire Developers in Latin America
- Brazil: Largest tech workforce (~750K developers). Strength in AI, IoT, and mobile.
- Mexico: Close to the U.S., strong English skills, booming hubs in Guadalajara & Mexico City.
- Argentina: Renowned startup culture, high adaptability, deep open-source community.
- Colombia: Fast-growing ecosystem, government-backed tech initiatives, strong English levels.
- Costa Rica & Chile: Smaller markets, but highly educated, stable environments.
Best Practices for Success
- Think long-term. Don’t treat LatAm hiring as short-term outsourcing. The best developers want stability, growth, and meaningful work.
- Offer more than salary. Training, career progression, and flexibility are major retention drivers.
- Invest in culture. Foster inclusion, collaboration, and shared purpose across borders.
- Leverage the right partner. Working with a nearshore staffing firm like Oceans Code Experts saves time, reduces risk, and ensures you get developers who are vetted for both skill and fit.
Final Thoughts
Hiring developers in Latin America works because it combines the best of both worlds: affordability and high-quality talent, without the headaches of distant time zones or cultural mismatches.
The process can be as simple or as complex as you make it, direct hiring requires more legwork, while partnering with a staff augmentation firm can make it nearly turnkey.
If your company is struggling to hire in the U.S., Latin America isn’t just a fallback optios, it’s quickly becoming the smartest way to build world-class engineering teams.
Next Step: At Oceans Code Experts, we specialize in connecting U.S. companies with top Latin American developers. If you’re ready to explore how this works for your team, schedule a free consultation
