Remote Work hurts developing countries

Recently I saw a post of a Brazilian CEO, addressing an issue that many companies can relate to.

Just a few weeks ago, he lost his best and most important IT worker to a US American company.

Not because his employee was unhappy with his job (according to him). But simply because the IT worker couldn't decline the offer he got:

The US company offered him a remote job in Brazil with a salary of 40.000 reais a month - equivalent to 7.500 dollars.

7.500 US dollars for an IT professional might sound reasonable (for a US American company, it probably is). But in Brazil, this is a LOT of money. 💰

Money, the Brazilian CEO can't pay if he wants to stay profitable.

He can't match those high salaries paid by foreign companies and, due to that, is witnessing the loss of his most valuable employees.

Leaving him struggling to compete and fill his vacancies.

💭 That made me think:

Remote work offers great opportunities for people in low-income countries.

👍 Good for the Brazilian IT worker: He gets paid multiple of his previous salary while working the same hours and staying with his family.

👎 Bad for the national market, companies, and founders who face the loss of professional workers to international competition because they can't keep up with foreign salaries.

Workers, that developing countries like Brazil need to keep up with digitalization and to make the decisive leap for being a developed country.

Losing technical professionals doesn't only mean that national companies can't compete anymore. In the long run, it keeps those countries in their current status of emerging markets.

Making first-world countries richer while keeping the developing ones down. 📉

What do you think about it?

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