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The tech employment landscape is in flux like never before, driven by rapid advances in technology, evolving market demands, and digitisation. However, one thing remains true: qualified, skilled technologists are in high demand.
The need for these knowledge workers — people who work in roles such as programming, data science, and product development — has accelerated in the past few years as more companies seek to use technology to drive innovation and solve complex problems. Even with the uncertain global hiring market, all indicators point to this trend continuing.
In Australia, the technology workforce achieved a milestone of 870,300 individuals last year, with projections indicating a surpass of 1 million in the upcoming year and further growth to 1.2 million by 2027. However, the number of graduates with IT degrees is relatively modest, standing at around 7,000 annually. The most significant deficiency in skills pertains to software expertise.
For these roles, competition for top talent is fierce. The limited supply of individuals with specialised technical expertise, coupled with the global need for tech workers, means employers must get creative in order to win the talent race.
The good news is that companies are no longer limited to hiring from their city, or even their own country. Boundaries between organisations and the global tech talent pool have faded as the world becomes increasingly acclimated to remote work.
Organisations have a strategic opportunity to expand their capabilities with new tech talent by hiring internationally, helping them to reach candidates far beyond the tech talent shortage in Australia.
Here are some ways that international employees can bridge the tech talent gap:
Access to the global talent pool
Hiring international tech employees allows organisations to tap into a much larger talent pool. Rather than limiting their hiring to people within commuting distance of the office, they gain access to skilled professionals from different countries and diverse backgrounds.
This can help organisations find talent with the specific skills and expertise they need. In a recent survey by Remote, 36 per cent of hiring managers said they are actively looking to global markets to hire tech talent, and we expect this number to continue to grow.
Expansion into new markets
Companies are turning to international hiring to supercharge their global growth by working with global employees who bring local knowledge, language skills, and professional networks. Employees who are familiar with a local market can guide you through the pitfalls of opening an office by providing:
- Local business knowledge and contacts to pave the way for introductions
- Insight into employee expectations for pay and benefits
- Professional and social support for your staff who relocate to open a new office
In other words, hiring international employees gives your company a soft landing when entering new markets and allows you to build trust quickly in new places.
Increased productivity
Building a global team enables companies to achieve worldwide coverage and asynchronous working, which can significantly enhance their overall productivity and the flexibility they offer their staff. The productivity increases when your team is distributed around the globe and work is performed continually in a 24-hour period. There is even a positive trickle-down effect on mental health, as your employees don’t need to work long or unusual hours to meet variable needs.
Going global also allows companies to lean into the power of asynchronous working. When you free productivity from hourly constraints, you will be shocked at just how much more productive your team members (and, as a result, your company) can be.
Addressing demographic shifts
In some regions, there may be demographic shifts leading to an aging workforce or a decline in the number of individuals pursuing tech careers. International hiring can help address these demographic challenges by bringing in younger talent and professionals from countries where the tech industry is thriving. This opens up a new talent pipeline and helps organisations adapt to changing workforce dynamics.
It’s important to note that international hiring comes with its own set of considerations, such as immigration laws, taxes, cultural integration, and relocation support. If you are unable to provide the necessary support and resources internally, external partners like Employer of Record companies can help not only with the legal and financial aspects of employment but also to help international hires transition smoothly into their new roles and environments.
The thought of moving to an international business model may leave your board giddy with excitement and you with a healthy dose of anxiety. The practicalities of hiring internationally can be daunting, especially if you have traditionally kept your hires local. As the world moves to a remote way of working, though, traditional barriers to hiring internationally are gone. In their place is an opportunity to gain a competitive advantage by building a world-class team.
By embracing international hiring strategies alongside other talent development initiatives, organisations can effectively bridge the tech talent shortage and build diverse, skilled, and innovative tech teams.
By Chris McNamara, chief revenue officer, Remote.
