Be interesting to see other countries in the chart as well to see if there's any bleed from the US abroad, because India, Eastern Europe and others are really hot for US offshoring.
I remember following the 2008 crash when layoffs happened in US companies (usually the highly paid senior ones) and then those same positions got relocated to my city in Eastern Europe (and other countries) for a fraction of the wages. The exec who lead that probably got a good bonus for this move.
I feel the same pattern might be repeating again, especially with remote work being more normalized now in some companies, and the talent pool abroad being bigger and more upskilled now than it was in 2009 along with increased English fluency.
Your not wrong but I think its two fold. Off shoring and near shoring.
2000-2008 I think was more of outsourcing. Companies dipped their toes in the water and tried to get low cost labor through third party companies. I think generally this does not work.
Now we have companies that off shore with full company offices in those regions like India. This can work.
On top of that you near shoring companies in Mexico and further south that can provide you lower wage engineers but that work in your timezone.
>near shoring companies in Mexico and further south that can provide you lower wage engineers but that work in your timezone
Time zone is not a big road block. Some devs in EE will accept to work in the evening to overlap with the US time, because they get paid 2x-3x the local take-home market rate, so it makes it worth their while.
Obviously it's easier timing wise for those on the Latin American continent, but mucho dinero is a good motivator for everyone, especially if they also happen to be night owls.
Sure some devs do it. But there are large companies across Mexico and South America that have a huge number of willing and able devs within the same time zone. This means you can easily supplement your existing dev teams with individuals in the same time zone. Time zone matters when you are wanting devs to be part of your existing teams.
Also, this is starting to happen for other non software and related engineering fields as well. Eventually I wonder if the U.S. government will have to step in.things that do not require us licensing are being near shored.
I remember following the 2008 crash when layoffs happened in US companies (usually the highly paid senior ones) and then those same positions got relocated to my city in Eastern Europe (and other countries) for a fraction of the wages. The exec who lead that probably got a good bonus for this move.
I feel the same pattern might be repeating again, especially with remote work being more normalized now in some companies, and the talent pool abroad being bigger and more upskilled now than it was in 2009 along with increased English fluency.