East Europe and Latin America have a few important similarities: resilience in the face of political turbulence, a sense of identity rooted in their rich cultural pasts, and an appreciation of tradition. Both regions have survived economic instabilities and come out stronger. People in both these places are spirited and solution-oriented. It’s no wonder that talent in LATAM and East Europe is so highly regarded by the rest of the world.
Although some regions are thought to be superior in the context of the availability of certain skills–India for tech skills and the Philippines for customer experience– both East Europe and LATAM are emerging as untapped fields of talent. There is no right or wrong when it comes to deciding which place should be your go-to skill shop. All of them are viable for several different reasons. Usual considerations when standing on the threshold of this decision are the availability/suitability of talent, costs, and the ease with which you can build a remote team from the region in question. This article is no exception.
Language-wise, they are evenly balanced. East Europeans are quickly catching up on the business world’s communication requirements. Let’s see how the two stunning places measure up against each other in the professional skills space.
Remote Talent in LATAM vs Remote Talent in East Europe
LATAM and its growth trajectory
Latin America is a staple for US creative outlets hiring remote talent. Countries like Brazil, Argentina, Mexico, and Colombia have strong educational systems that produce skilled professionals, especially in fields like software development, design, and customer support. The region’s younger population is tech-savvy, bilingual (often fluent in English), and eager to work for international companies. LATAM’s 1-hour time gap with the States also makes it an attractive option for North American companies seeking talent in similar time zones.
Eastern Europe’s Expertise
Eastern Europe, including countries like Poland, Ukraine, Romania, and Bulgaria, is well-known for its strong background in technical fields. The region has a long history of excellence in engineering, mathematics, and IT. Eastern European professionals are highly skilled in software development, cybersecurity, and data science. Many also speak multiple languages, including English. The region has been a hub for outsourcing for decades, giving it a reputation for high-quality, reliable work.
Cost of Talent in LATAM vs Cost of Talent in East Europe
Competitive Pricing in LATAM
Hiring remote talent in LATAM is cost-effective compared to the U.S. and Western Europe. Salaries are much lower, so a developer in Argentina or Colombia may charge significantly less than a developer in the U.S. while still offering high-quality work. This cost advantage makes LATAM appealing for companies looking to stretch their budgets without compromising on talent.
YouTeam estimates suggest that the cost of hiring a remote developer from LATAM would approximately be $61/hour in 2024.
Eastern Europe: Higher Quality for Slightly Higher Prices
While Eastern Europe is still more affordable than Western Europe or North America, it might be more expensive than LATAM. The cost of living in Eastern Europe is higher, which is reflected in the salaries demanded by professionals. Many companies are willing to pay this because of the high skill level and experience that Eastern European professionals bring. In specialized fields like cybersecurity or AI development, the higher cost may be justified by the expertise and reliability found in Eastern Europe.
Thus, although YouTeam estimates suggest that the cost of hiring a remote developer from East Europe would approximately be $58 per hour, chances are you might need to pay more for a higher level of skill or expertise.
Time Zone Differences
LATAM’s Alignment with North America
Countries in LATAM are typically within 1-3 hours of U.S. time zones. This overlap makes real-time communication easier and allows for more collaboration during regular working hours. For U.S. companies, this means that teams can work together more seamlessly, with fewer delays due to time differences.
Eastern Europe’s Balancing Time Zones
Eastern Europe operates in time zones that are 6-10 hours ahead of the U.S., so a 3- pr 4-hour overlap can be easily reached. But for companies in Western Europe, Eastern Europe offers a much closer time zone alignment, making it a convenient option. The time difference can also be beneficial for companies that need around-the-clock operations, as Eastern European teams can work while North American teams are offline, ensuring continuous progress on projects.
Cultural Compatibility
LATAM’s Similarity with the U.S.
LATAM professionals often share a strong emphasis on teamwork and transparency with their US counterparts. Their business culture is also relationship-oriented, so building trust and personal connections is important. This cultural alignment can make it easier for U.S. companies to integrate LATAM talent into their teams, leading to smoother collaboration.
Eastern Europe’s Work Ethic and Technical Focus
Eastern Europe has a traditional work ethic with a focus on efficiency, discipline, and technical expertise. Professionals in this region deliver work that’s second to absolutely none. Even though the work culture can be more formal and hierarchical compared to LATAM, younger workers are adapting communication practices that are more open and direct.
At the end of the day, work quality is what matters; cultures are meant to be arranged for better output and not the other way around.
Language Skills
LATAM’s High English Proficiency
Much of the Caribbean speaks fluent and correct English. It’s the business language in most Latin American countries. Argentina and Mexico have high levels of English proficiency, so there are never any language issues during conversations with U.S. or European companies. The bilingual nature of many LATAM professionals also makes them great for roles that require regular communication with English-speaking customers.
Eastern Europe: Multilingual and Proficient in English
Sheer closeness to Britain is an unrecognized advantage. Children are taught English along with their mother tongues in countries like Poland and Romania. Additionally, many professionals in Eastern Europe speak multiple languages, including German, French, and Russian. This multilingual ability can be an asset for companies operating in multiple regions and/or serving a diverse customer base.
Infrastructure
LATAM: Rapidly Improving
The technological infrastructure in LATAM has been improving rapidly, with increased access to high-speed internet and modern technology. Major cities in Brazil, Mexico, and Chile have amazing internet connectivity, and remote work isn’t a problem. Rural areas can be more difficult, so consider the location of the talent you’re hiring.
Eastern Europe: Established and Reliable
The technological infrastructure in Eastern Europe is solid. High-speed internet is widely available, and many professionals work in modern co-working spaces or from well-equipped home offices. The region’s long history of outsourcing means that the necessary infrastructure to support remote work is already in place. Kyiv. Lviv, Bucharest, Budapest, and Riga are as good as any tech hub in the world.
Legalities in LATAM vs Legalities in East Europe
LATAM: Varying Labor Laws
Each country in LATAM has its own regulations regarding employment contracts, taxes, and worker rights. Even if there is a local expert helping you out during the process, some amount of knowledge of the processes is always preferable to knowing absolutely nothing. Some countries have bureaucratic hoops to be jumped through, such as complex tax systems or stringent labor regulations. This could potentially complicate the hiring process.
Eastern Europe: Established Outsourcing Frameworks
The legal frameworks for hiring remote talent are well-established here. Poland and Ukraine have clear guidelines on contracts, taxes, and worker rights, making it easier for companies and/or local guides to manage compliance. In any case, most professionals there are familiar with international contracts and have experience working with clients from the U.S. and Western Europe.
Talent Availability in LATAM vs Talent Availability in East Europe
LATAM: Competitive Talent Market
The tech talent market in LATAM is becoming increasingly competitive. More companies are trying to hire remote talent from the region, so professionals in LATAM have more options. This can drive up salaries and make it harder to retain top talent. However, the region still offers a large pool of skilled workers, particularly in software development, digital marketing, and customer support.
Eastern Europe: High Demand for Specialists
Eastern Europe also has a competitive talent market, particularly for specialized roles in IT, engineering, and data science. The region’s strong reputation for technical expertise means that top talent is often in high demand. Companies may need to offer competitive salaries and benefits to attract and retain the best professionals. However, the depth of expertise available in Eastern Europe can make the investment worthwhile for companies needing highly specialized skills. As mentioned earlier, most companies are happy to pay more for their expertise and focus.
Cultural and Social Environment
LATAM: Warm
The cultural environment in LATAM is generally informal and collaborative. Professionals value personal connections and believe in being friends with their colleagues. It’s normal to hang out with colleagues after work, and this dynamic is great for companies that need a tight-knit, motivated remote team.
Eastern Europe: Professional
The typical Polish or Hungarian workplace is a bit more formal and focused on professionalism. While relationships are important, the work culture in Eastern Europe often prioritizes efficiency and results. This is ideal for companies that value discipline and output. Eastern European professionals are dedicated to their work and make very inspiring colleagues. You may not form a close personal friendship with them, but the professional learnings they will share with you will more than make up for that.
Wrapping Up
Hiring remote talent in LATAM vs hiring remote talent in East Europe isn’t a match. There’s no clear winner.
There are many advantages of hiring remote talent in LATAM and Eastern Europe, but the cost of salaries in both countries isn’t as reasonable as in India or the Philippines. They cater to different needs and preferences.
LATAM is an excellent choice for companies looking for cost-effective, bilingual talent in time zones that align closely with North America. The region’s growing tech expertise, informal work culture, and improving infrastructure make it a good option for remote hiring.
Eastern Europe has deep technical expertise, a strong educational background, and a working infrastructure for outsourcing. The quality and reliability of the talent justify the slightly higher price you have to pay, especially for specialized roles in IT and engineering. This focus on professionalism and output is valued in many circles.
This article has hopefully given you the basics on which your decision should be based. Add to this mix the specific needs of the company (budget, required skills, time zone preferences, and cultural fit). A well-rounded discussion of every point set out here, coupled with knowledge of your own needs, will make the way ahead quite clear.
