Don’t just take our word for it. Brazil’s tech talent pool is harvesting some of the best software engineers and architects out there. The country is home to an amazing tech community. Think we’re biased? You shouldn’t. Here are some links for you to screen through:
- Forbes: Why Brazil’s tech scene is one to watch (a.k.a high-quality stakeholders, Mature venture community, Liquidity).
- Venture Beat: Brazil is emerging as a world-class AI innovation hub. (R&D labs, National IoT plan).
- Law.com: Latin America Fintech Boom Continues While Asia Remains in Slump. (Funding surpasses China and India).
Taking Brazil’s tech talent pool under consideration when building or scaling digital product teams:
(a) Deals with the local scarcity of technical expertise;
(b) Allows for broader pay scales without compromising work conditions;
(c) Broadens mindsets and perspectives on product development.
Let’s dive in on those benefits and implications, shall we? Read on to understand why the demand for Brazilian tech talent in the US is growing significantly.
What are the most in-demand tech professionals right now?
According to CIO, the 10 most in-demand tech jobs for 2020 are:
- AI Architect (FYI, Brazil is emerging as a world-class AI innovation hub);
- Business Intelligence Analyst;
- Cloud architect;
- Data (analyst, scientist, engineer);
- Developer (web, software, mobile);
- DevOps engineers;
- Help desk and desktop support professionals;
- Network/cloud administrator;
- Network security (architect, engineer, administrator);
- Systems administrator.
(3) Reasons to hire sought-after professionals from Brazil’s tech talent pool
1. Abundant talent
Latin America in general has some interesting numbers. There are over 133k UI, full-stack, mobile, enterprise, and game developers to pick from. Rates are also interesting, with salaries ranging from R$ 6k to 33k per month. The fact these professionals are available at a 1 to 3h time zone difference is just an added perk.
Also, from the Top 200 Universities in Latin America in 2020, number one, the University of São Paulo (USP), is Brazilian, as well as 71 other ones in the list.
Brazil offers tech staff by the numbers and here is some data to make it tangible:
- 6.18 million fluent English speakers;
- 6th largest IT market;
- 1st in IT investments in Latin America;
- 46k IT graduates per year;
- 2.4k higher education institutions;
- The largest population of Java developers in the world;
- 2nd for legacy systems and enterprise development (after the US) in mainframe developers;
- 4th position in top front-end developers;
- One of the lowest attrition rates in the world.
Brazil accounts for more than half of Latin America’s Unicorns, including real estate renting platform Loft and fintech Nubank. Yes, we do have tech in our veins! If you want to know each one of them in detail, click the image below.
→ If you’re comparing between countries, have a read: Tech talent pools: pros and cons of IT staff augmentation and software outsourcing in Brazil, India, and Ukraine.
2. Highly-adaptable manpower
There’s one more thing to be said about Brazil’s tech talent pool. Brazil is a rather diverse country, and professionals tend to carry a few traits that benefit teams that welcome them:
- Problem-solving outlook towards adversity, leading to ingenuity and innovation;
- Easy-going attitude and adaptability to change, facilitating continuous improvement;
- Strong ability to navigate in multicultural environments.
Moreover, this positive approach to life and career means these software professionals are more than willing to adapt and grow. US companies looking to hire Brazilian IT professionals are not taken for granted.
The best programmers and technologists are eager to engage in international settings. Work abroad, yes. The best professionals are already working remotely, and consider nearshoring a valuable stepping stone.
Companies willing to take them in as their own are valued as a way to get soft and hard skills up to speed before moving abroad for good.
Take the word of Alberto Silveira, Vice President of Software Engineering at PowerSchool:
“We don’t lower the bar to hire anyone, Ubiminds meets expectations or, most likely, exceeds expectations on the talent level that we are looking for.”
3. Let’s talk quality
Ok, so Brazil’s tech talent pool has promising numbers. And Brazilian technological staff have the willpower to build better products and deliver value. But are they any good?
In one word: yes. Brazil has underexplored pools and markets of top-level engineers. Plenty of them have similar (and sometimes higher) profiles as their American counterparts. This is a better value for money: reach pay scales 40-50% lower than in the US, for a top-level engineer.
At a conference at Stanford University, consultant Spencer Stuart highlights it’s much more a matter of brainpower and experience, not pricing.
“American companies with operations in Brazil are also increasingly searching for local senior leadership talent here instead of bringing “expats” from other countries.”
In this sense, Ubiminds boast many success cases so far. Ubiminders are already leading Mobile Development, Security, and Integrations teams in US-companies.
“The level of maturity and knowledge that the technical staff provides us is very impressive.”
Says Dave Newman, Director of Engineering at Fundera.
What are the risks from trying to hire directly, with no assistance, in Brazil?
Hiring Brazilian engineers directly can be cumbersome. Cost and quality covered, one deal-breaker gets in the way: risk.
- Visa impediments make it too slow and cumbersome to hire these experts to work in the US;
- Opening a firm in Brazil to hire them locally doesn’t make sense, financially and legally. It also seems to create more problems than it would solve;
- Even if you do manage to hire as remote freelancers, there wouldn’t be a support structure. Co-employment can become an issue.
As experienced as you are, you probably don’t know the local market extensively and comprehensively. But we at Ubiminds do know, for example:
- Who are the other companies using the same stack as you;
- Which are the good IT universities and specialized schools;
- What’s suitable, fair compensation;
- What are the mandatory benefits you have to handle your employee when hiring in Brazil, and so on.
So what are the legal liabilities to be aware of?
The most common legal structures used for an outsourcing transaction in Brazil are:
- The execution of a services agreement with a third party;
- The execution of a temporary work agreement;
- The execution of an independent service provider contract.
By excluding the first option, then you will have to deal with…
The cost and effort of setting up shop in Brazil
According to TMF Group, on average it takes 11 procedures and around 90 days of work to start a business in Brazil. Construction permits demand an average of 20 procedures and 404 days to finally get authorised.
And there’s more:
“Brazil’s tax regime is one of the driving forces behind its complexity. More than 90 taxes, duties and contributions are charged in Brazil, and all taxes are based on different government spheres of federal taxes, state taxes and municipal taxes”.
Sounds like a lot of work, right? But for specialists who actually live and understand the process, this can be done a lot faster.
And if you’re thinking about hiring people as freelancers in Brazil, watch out: it can turn out more complicated than you imagined. There are laws that can turn this kind of work into permanent work in case the talent feels like being an actual employee of your company – then requiring its benefits and maybe even suing you.
Quality of hire (how can you be sure you’ve got the right person? It takes effort!)
Is your HR ready to verify the tech skill level of candidates, in a foreign country?
We have a basic step-by-step take on tech recruiting. By doing so, we reach a deep understanding of your company culture. And also work side by side to find talents that have not only the tech skills that you need but also the cultural fit, keeping turnover under control.
The bar is high: for 1 job position to be filled, we only deliver you the top 1-3% candidates: from 200 sourced candidates or applicants, we only introduce you to one-to-three of them. We spare you at least 25 profile interviews.
→ If you want to know our process in detail, please check our article “Why hire IT staff augmentation with Ubiminds: everything you need to know about how we source, vet, and custom-curate digital product teams”.
Commitment vs. number of clients (is the engineer full-time dedicated?)
Here we can think of some comparisons. Let’s dive into it:
- Project-based vs. product-based:
Ownership is key. It is commonly known that employees tend to give their best when feeling part of something – purpose. By the way, this is a very common trait among Brazilian engineers.
When being allocated to one company for a longer period, it becomes your second home. It’s different from being a freelancer, for e.g, jumping from project to project – usually with a heavy deadline, and few or no interactions with other team members.
- Off the bench vs. custom-curated:
The biggest perk of hiring “off the bench”, – companies that have engineers promptly waiting for a new project/job – is time-saving. You get your engineer resource right away – but that does not guarantee success.
On the other hand, we must say it is a temporary pleasure. Usually, the contract falls apart after some weeks, if the issues are not resolved, due to the lack of fit within the company’s mindset and culture. This was a round peg placed into a square hole.
The analysis of soft-skills is becoming more important by the day. You can teach your engineer a new feature, some hacks, and they may even already have perfect code. However, if they don’t know how to communicate with you, are not problem-solving minded, or even have no empathy with co-workers and leadership, it is all unfortunately worthless.
How does Ubiminds take all the risk from hiring in Brazil away?
We appreciate and compensate Ubiminders well, increasing retention rates
We compensate Ubiminders well, which keeps them feeling secure and valued. At the same time, working for foreign companies grants them access to top of the line technologies.
And there’s more: the work doesn’t stop after the hire is made. We coach and keep up with every Ubiminder along the way, as well with your company hiring and product managers.
The opportunity of being at the forefront of innovation is extremely appealing. Combined, all these factors lead to high retention rates as well.
After all, we offer a big opportunity for a career jump to these talents. And they do appreciate it by sticking happily to their jobs. This is also a very common trait in Brazil: the sense of resilience and commitment, once they are in, they are definitely in.
Take the work of the Ubiminder Maianne Ribeiro:
“I would say that the thing that makes the most difference for me [at Ubiminds] is that we are one team. There’s no split between us, we are all in the same boat, working together, and no-one is going to leave you to drown.”
We provide white-glove service for custom-curated digital product teams
When you hire Ubiminds, you leverage our know-how: we buy you time by selecting a tailored professional for your company, within your budget, swiftly.
To expand digital product teams in Brazil with added quality and accountability for a better ROI, a strong partner makes everything quick and easy.
Ubiminds bridges the gap, acting as a local branch office for US companies. It supports American technology companies scale operations by building distributed teams in Latin America.
Thanks to its unique #OneTeam approach, the company expands the HR structure at zero cost.
Ubiminds finds, hires, and supports IT professionals within Brazil’s tech talent pool all while protecting you from liability. The service provider assumes all legal & fiscal accountability – from employment to non-disclosure and intellectual property.
Tap into Brazil’s unique talent pool, start hiring with Ubiminds! Fill the form. We’ll reach out with more information asap.
International Marketing Leader, specialized in tech. Proud to have built marketing and business generation structures for some of the fastest-growing SaaS companies on both sides of the Atlantic (UK, DACH, Iberia, LatAm, and NorthAm). Big fan of motherhood, world music, marketing, and backpacking. A little bit nerdy too!
Curious to Learn More?
Schedule a free consultation on how Ubiminds can grow your software teams in LatAm, safe from liability.
How can Ubiminds help you?
Ubiminds empowers you to expand your talent pool, land top candidates, and comply with local legislation. Schedule a call and find out how.