As the world becomes more interconnected and remote work becomes the norm, businesses are looking for new ways to source and hire talent from around the world. Spain has emerged as a popular hiring destination, so we decided to deep dive into the reasons why this is and teamed up with Figures and Oyster to bring you all the necessary tools to source, compensate and hire talent in Spain.
So, why is Spain such a great place to hire tech talent? With its pleasant climate (over 3000 hours of sunshine per year 😎), low cost of living, and excellent healthcare system, Spain is an attractive place to live and work.
In addition, Spain's new Startup Law aims to support the growth of startups and entrepreneurship in the country. It includes provisions for a Digital Nomad Visa; making Spain more accessible for non-EU citizens to work and live, a New Stock Options Regulation, which simplifies the process for granting and exercising stock options, and an Increased Tax Exemption which includes a 100% tax exemption on the first 1 million euros of profit for startups that have been operating for less than two years.
Spain also boasts a growing tech ecosystem, with tech hubs not just in Madrid and Barcelona, but also in emerging cities such as Valencia, Málaga, and Bilbao. Spain also has a number of top technical universities in Catalonia, Sevilla, and Madrid meaning there's no shortage of talent to choose from. Tech unicorns such as Glovo, Cabify, Idealista, and JobandTalent have introduced a new wave of entrepreneurs who have "done it before" creating and international investors who are helping to fuel the growth of the tech industry.
Finding quality candidates
Despite all of these advantages, tapping into the Spanish tech talent pool can still be a challenge for international companies. Being an unknown brand with limited access to local insight, recruiters may struggle with low application numbers. At Circular, we enable companies to tap into a local community of over 7000 recruiters who recommend tech talent on a daily basis, so you can connect with active, pre-vetted candidates that match your hiring criteria.
In our recent webinar, Pedro Torrecillas, Co-Founder of Circular, explained how Troop was able to reduce their time to hire a Full Stack Developer thanks to an 80% response rate!
How much should you pay tech talent in Spain?
Once businesses have found the right talent, they need to consider compensation and benefits. We asked Figures to explain how to navigate the Spanish world of compensation. When hiring in a new market, there are three main options available: localised pay, equal pay approach, and cost-based approach. Each of these options has its own pros and cons, and businesses need to consider which one is right for them. You can read more about different pay structures here.
Setting up a team abroad
Finally, businesses need to consider the technicalities of hiring someone abroad. Instead of having to figure that out on your own, or hiring a lawyer, Oyster can help you manage this process. Oyster helps you navigate the complexities of global employment (including Spain!), all while providing extensive local knowledge, so your employees get the best experience possible. It allows businesses to hire compliantly without setting up a business entity, and handles all the employment functions from one place.