It’s difficult to escape technology. In 2023, we’ve seen unprecedented advances in several aspects of technological innovations: from ChatGPT to other AI tools to the increasing use of complex software across all industries. In this fast-paced environment, software developers are the indispensable architects of the applications, tech tools, websites, and software we use every day. As companies seek to push the boundaries, create new experiences, and build the next great tech innovation, they require top-notch engineers to bring exciting ideas to life. This rapid innovation means software developers are in high demand and the competition to obtain the best talent is as fierce as ever.
So how do companies snatch up the best talent?
They offer attractive software engineer benefits and perks.
Why? Software engineers expect a high salary, but it is all about how companies go beyond the salary figure to make the experience of working for them an attractive prospect. The additional job benefits are drivers of motivation, inspiration, and a fulfilled work-life balance.
Here’s why the best job benefits get the top talent.
Ready to hire top tech talent?
The Insatiable Need for Software Developers in the U.S. – The Tech Talent Shortage is Real
In February of 2023, according to Statista, there were about 87,000 mobile apps released through the Google Play store. In 2008, the iOS App Store launched with 500 apps. Only fifteen years later, over seven million apps are now available on iOS and Android platforms, and that doesn’t include new software programs or other applications. Because of innovation’s rapid movement, software developers and engineers are in high demand. So much so that the U.S. can’t seem to keep up. Discussions of tech talent and developer shortages have been a topic of conversation in tech circles for a few years.
The U.S. Bureau of Labor Statistics reported a shortage of millions of skilled workers in December of 2021. In 2023, despite layoffs that made big headlines at the end of last year, the tech crunch continues to be real. A Gartner survey from November and December 2022 reported that 86% of CIOs faced more competition for qualified candidates. At the same time 73% of these professionals worried about talent attrition. By the end of 2030, the talent shortage is likely to reach 85.2 million, and companies risk losing billions in revenue due to the inability to fill these necessary spots with the right talent.
What’s more, the shortage of available software developers has only exacerbated this problem. ManpowerGroup’s recent stats on the US talent shortage revealed that tech positions are among the top 10 hardest roles to fill. The Bureau of Labor Statistics estimates that by 2026, the US software engineer shortage will hit 1.2 million while 545,000 developers will have left the market by then.
Job Benefits Drive Employment Choice for Developers
So how do companies get the best software developers? Here at CodersLink, we conduct thorough independent research to explore the growth in the Mexican tech ecosystem and some of the drivers of tech talent in the region. Software developers’ salaries are already high, so potential candidates have made the job perks the deciding factor.
Common Software Engineer Job Benefits in the U.S.
The biggest tech companies learned years ago that creating revolutionizing products meant attracting the world’s top talent. Tech companies around the world began ramping up their office space design and architecture.
Today, however, developers want more than just a decked-out office with ball pits, yoga classes, and go-karts, they look for benefits that guarantee financial security and stability for the future.
A company hiring a full-time employee understands that in addition to a base salary, they must offer benefits and balance those additional costs. As a benchmark, the cost for a standard employee benefits package costs an additional 34-37% of a software engineer’s salary.
Common software engineer benefits in the U.S. include:
- Health insurance
- Life insurance policies
- Paid vacations
- Sign-on bonuses
A talented and experienced software developer is in high demand in 2022, so it’s not rare that they often have several offers on the table. To snatch up the most experienced and innovative workers, offer the best job benefits.
Software Developer Benefits Offered By Big Tech Companies
Big tech giants know how critical attractive benefits are to acquiring tech talent. Below is a short list of some of the biggest companies and how they woo the best talent.
The social media giant excels in offering its workers hard-to-resist perks including an on-site spa, barbershop, in-office physicians, and dentists.
The company has done its research on what tech employees are looking for. In addition to vision, dental, health, and even pet insurance, the company offers health savings accounts, paid time off, maternity and paternity leaves, free drinks, snacks, and a 10% discount on all Amazon purchases.
The tech giant has not discounted the power of the perk. In addition to its uniquely comprehensive insurance plans, therapeutic counseling, child care, and pet care referrals, the company is renowned for serving delicious free meals to employees.
What Benefits are Software Developers Looking For?
So what should a company offer to get the best talent? In the age of remote work and flexi-work, the employee/office dynamic has changed. The sought-after job benefits promote a rich work-life balance, family-building, and overall employee wellness.
Our Tech Salaries Report 2023 uncovered insights on what drives tech employee turnover and what attracts them to new positions.
As Latin America’s tech talent hub, Mexico has a large pool of talent already working for U.S. companies. In addition to the traditional and standard benefits packages, software developers look for:
- An attractive work environment and culture
- Remote working opportunities
- Vacation and time off
- Professional growth opportunities
- New challenges and development
- Flexible schedule
American companies with already-established offices in Mexico, such as Pinterest, offer above-and-beyond benefits to remote employees. The perks and benefits reflect the family-friendly diversity-embracing company culture that Pinterest is known for and has cultivated. Their additional perks include things like:
- Free mental health screenings
- Fertility help
- Adoption assistance
- Generous maternity and paternity leave
In our Mexico Tech Salaries survey 2023, these benefits did not change much. The tendency for tech talent to seek jobs with higher benefits continues. Technical professionals continue to seek top benefits and see it as an important factor when deciding to take a job or leave one job for another.
For example, our Mexico Tech Salaries Report 2023, showed the reasons why tech talent left their previous employment. Better benefits was number three on that list. Number one continued to be a better salary and, this year, a lack of growth opportunities made it to #2 by one percentage point. This means that lack of growth opportunities and benefits are almost tied for the 2nd most common reason why tech professionals leave their employment.
Job Satisfaction by Salary
In our research, just over 50% of tech workers in Mexico reported medium-level satisfaction regarding their pay. This number indicates software developers are willing to switch to a job that offers a lucrative salary and benefits. In the U.S, 65% of workers reported job satisfaction. Only 20% of those surveyed would say they are passionate about their job. With low work satisfaction comes the possibility of talent willing to step out of their current role for something that offers more lucrative benefits and exciting opportunities.
Job Satisfaction by Benefits
The Employee Benefits Research Institute in the U.S. reported that 47% of U.S. workers feel satisfied with current benefits. CodersLink found that 5% of IT professionals in Mexico are dissatisfied with their current job benefits.
At the same time, 28% of IT professionals in Mexico will switch jobs based on a better job offer with an attractive salary and job benefits. According to our surveys, favorite job perks in Mexico include:
- Health insurance (including dependents)
- Social Security (IMSS in Mexico)
- Christmas bonus (above what is required by law in Mexico)
- Additional training, entertainment, and English training
- Gym memberships
- Mental health assistance
- Reimbursement of home office expenses
- Profit-sharing plan
Our research suggests that better benefits are the 2nd most important reason that motivates software developers to leave their current position.
Software Developers Look for Flexibility and Work With Growth Opportunities
After Covid, work flexibility and work-from-home options rose to the top of the list of important benefits for remote software developers. Having the option of remote work and a home office is enough to help 16.5% of surveyed developers to consider leaving their position.
Also, today’s leading talent looks for gigs that provide opportunities to grow their skills and widen their experience. Programmers are built to debug problems, find solutions, and explore new frontiers. Offer them opportunities that are interested in a well-structured and positive environment and they will feel their work matters.
The best tech talent always prefers work where they feel their efforts have an impact and they have a culture of coaching and development.
What Does All of This Mean For Companies Looking for Talent?
If you are a company looking to expand operations and still attract the top talent in the industry, hiring remote software developers from a booming tech hub in Mexico means acquiring top talent without the high costs of U.S. salaries and benefits. As an IT recruiting agency, CodersLink specializes in facilitating connections between top talent and companies.
Our 2023 research revealed that the average salary of a senior tech professional in Mexico is $4,285.99 USD per month. This is compared to a remote software developer in the U.S, who averages about $110,522 per year or $9,210 per month.
The average tech salary in Mexico cited above allows Mexican developers to live comfortably in their country. Even in destinations with a higher cost of living, such as Mexico City, developers in Mexico get top pay for a fraction of the average U.S. developer salary. This allows companies to offer additional benefits and perks that will attract the best of the best.
CodersLink gives clients a thorough analysis of the market’s benefits offerings; benefits costs, services included, and types of companies offering them. Our expertise and position in the market give us a unique advantage of knowing how benefits are adjusting according to market conditions and how developers’ demands are moving along with it.
Here’s what we’re seeing from our end:
Lowest Benefits Package
Average Benefits Package
Premium Benefits Package
|Personal Medical Insurance
|Family Medical Insurance
|Family Medical Insurance
|10 days PTO
|10 days PTO
|40% performance bonus
|40% performance bonus
|$200 monthly food stamps
|401K with up to 12% match
|$500+ yearly reimbursement for IT training
|$500+ yearly reimbursement for IT training
|Paid Maternity Leave
|Internet and Phone Reimbursement
|Discounts on Car Insurance
Your Product is Only as Good as the Talent Behind the Code
Your workforce’s integrity and capacity for innovation will directly reflect on the strength of your product or service and its potential for success. CodersLink has a well-established network of talented and vetted remote software developers that are looking for the next opportunity to hone their skills.
Our extensive research informs how we help companies find the best developers and guide them through salary and benefits based on real numbers and real-world developers working in Mexico.
To Hire the Best Remote Software Developers, Offer the Best Job Benefits
CodersLink has abundant resources to help you learn about the types of software developer benefits and salaries tech workers in Mexico expect. From our onboarding guides to lessons about managing remote engineering teams, to in-depth analysis of the Mexico tech ecosystem, the CodersLink team can help you find the dedicated remote team you need.
Learn more about how CodersLink connects you with the top tech talent.