Remote work is not only creating more opportunities+better earning potential for many devs. It’s also turning software engineering into a much more competitive field.
Getting a a full-remote, highly paid/prestigious position means competing with people from around the world.
Hiring full-remote globally (eg using Remote, Deel or similar) increases the hiring pool by 5-20x for companies.
In practice, this means 5-20x more options for those perceived as the very top of the market. For many others, it means more competition, and higher expectations.
Full-remote work and global teams are also a fantastic “equalizer” in skills+confidence
Before I worked at Uber with SV teams: I always assumed those folks are better/ smarter than other regions.
Working together helped both “level up” & also understand what the global bar is.
An example to illustrate “globally competitive”.
@Replit is one of the hottest startups. Incredible growth, small but mighty team (~40 ppl), compensation that rivals Big Tech (and surpasses it, if the growth continues).
To get in, you’re competing with these types of folks:
"Alright, I've had enough: I'm going out on the market to test the waters."
This is what any sensible company should want to avoid right now.
And it's how our story starts. A long-tenured engineer at this small company got a better offer from outside and announces:
"I quit. I have a better offer by almost 60%. However, I really like the team and know how much value I bring to this company. I'd be happy to stay on for a 35% increase."
Management is in panic. Should they give in and retain? Or would this be a bad move?
The CEO consults external experts, and in the end decides to not match.
"We'll recruit off the market: it's a setback of maybe two months, but we'll be better off."
The engineer leaves. The job advert of "Sr Engineer at Company" is live.
"I worked at Big Tech for two years. Got promoted from Eng1 eng to Eng2 in a year. When I was not up for senior promotion, I left for a senior title at a small company.
I now fail to get senior offers at the rest of Big Tech and realize I had a great manager."
You learned.
"What advice do you have?"
Not what you want to hear.
Decide what you really want. Title or to learn?
Go to a place where you can see yourself learning and staying for 2-3 years. You have plenty of options.
You're only 2 years into a potentially 40-year career.
And here's an unconventional option that I have seen work well:
Go back to the first company to that great manager you had. I assume you left on good terms.
One of the things working at Uber has taught me is appreciating the non-tech folks at a tech startup.
As much as I'd like to think that technology made Uber huge, in reality, just as much (if not more) of a success came from things outside tech: making things work on the ground.
Uber had city launcher teams who did incredible work with whatever resources they had.
The "ops" people would build DIY tools, and hack around things when the engineering team had no bandwidth to build.
E.g. we shipped iDEAL on Rides with zero new code, all powered by "hacks".
I now see some early-stage startups hire operations folks who do exactly this.
They sort things for customers, hacking around, doing manual work, using Google Sheets, Zapier etc.
When the work is too manual *and it's needed* only then do these teams build automated solutions.
The tech job market has never been more polarized:
Demand for senior tech workers has never been higher, compensation is hitting all-time highs, globally.
New grad and junior folks have never had such a hard time getting that first job.
A thread on what's happening and why:
1. The job market is on fire for people with experience.
COVID was the trigger, but remote is no the only reason. There's around 6 different root causes all hitting at the same time.
The result? In 12 months, compensation for senior engineers and eng managers is up ~30%.
2. All of the market is moving up. In the US, senior engineers are offered ~$500K/yr at the top of the market. In UK, seniors can get ~£200K/yr, in EU ~€175K/yr. Working full remote, $150-200K/yr is possible, globally with top-of-market startups.
A topic startup founders are hesitant to tak about in public:
Ways remote made belonging for many startup employees plummet, motivation is down, and the work ethic has dropped for so many people, dramatically.
No one wants to be called “anti-remote”. But all the above sting.
Quotes from founders:
“Most people are incredibly disengaged vs before, and I have tried lots of things to change this.”
“Some people took a second job on the side… I never expected this.”
“People are great at interviewing, excel during the trial, then their output plummets.”
A founder in central EU is more direct:
“It really stings how the local culture and remote work ethic don’t mix. Many people frankly optimise for working 3-4 hours/day and “abuse” remote. We’re starting to hire in the UK for 30-40% more as we don’t see this attitude there.”
Here are the 5 most "impactful" and 5 most-read blog articles on The Pragmatic Engineer blog in 2021.
Though my focus has shifted to the newsletter starting late August, I still cross-post some newsletter issues that are free for all subscribers.
The list:
The 5 most "impactful" ones:
1. The Trimodal Nature of Software Engineering Salaries (152K views)
This post resulted in companies re-evaluating how they think about compensation & many engineers realizing there’s a “hidden range” of sw eng compensation.