2024 Edition
The State of Remote Engineering
Terminal's State of Remote Engineering Report is back for its 5th year, packed with unique insights from 1000+ global engineers riding out a stormy year of tech shake-ups and economic twists. This year, we discovered:
- Real numbers on the spike in unemployment
- What engineers need from leaders in a turbulent environment
- Why return to office (RTO) is dead to developers
- How AI's reshaping the game
- Why the freedom of contract work and contract to hire is catching on
The State of Remote Engineering includes perspectives across Canadian developers, Latin American engineers, and European technologists across experience levels. Grab your copy of the report:
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Key Insights from Developers in 2024
Software developer unemployment doubled from last year.
Tech turbulence has brought uneasy changes. 18% of global developers told us they're currently unemployed, while 42% experienced layoffs at their company, hiring freezes (41%) and budget cuts (37%). Developers reported uneasiness in their future hiring prospects, particularly those in Europe, where 83% ranked job security as their number one concern.
Have this year's economic uncertainties led to any of the following at your company?
42% - Layoffs
41% - Hiring freezes
37% - Budget cuts
30% - Concerns about the company’s future
29% - Low morale
22% - Non of the above
Developers need more clarity and transparency from leaders.
58% of software developers impacted by disruptions are asking for clearer organizational vision, a 10% jump from last year, while over half call for more openness about business performance.
What do you think employers could do to best support engineers at impacted companies?
Clarity on organizational vision
More transparency on business performance
More remote work benefits
Opportunities for advancement
More educational opportunities
Global perspectives:60% of Canadian developers and 58% of European developers want leaders to offer transparent communication and a well-defined vision.
Return to office? Developers say “no thanks.”
Remote work continues to be preferred among global developers: 63% prefer location-independent teams, 54% want to work from home full-time and only 4% want to go to the office 5 days a week. This highlights a disconnect – developers want flexible, remote work while many companies are requiring hybrid or full return to office (RTO).
What is your preferred working environment?
54% - 100% work from home
26% - Office available with no specific requirements
16% - In-office - Hybrid schedule
4% - In-office 5 days a week
Compared to global engineers, US engineers value equity.
70% of US developers say that a higher paycheck is the biggest motivation for finding a new job. Equity isn't far behind – over half rank it as very or somewhat important. There is a marked difference between US vs LatAm and European candidates, who ranked equity very low among job priorities. Only 16% of European engineers even ranked it in the top five.
More engineers are adopting AI/ML into their daily work.
AI and ML are increasingly significant to engineering teams, though their integration isn't comprehensive just yet. More than half of the engineers (55%) aren't using AI/ML in their current roles. Of those who do, about 60% dedicate less than half of their time to these tasks. While gradual, the impact is undeniable: 48% of engineers say AI will eventually automate most routine tasks.
Greater flexibility and variety lure engineers to contract work and contract to hire jobs.
Contract work is getting a nod from developers, drawn by its greater flexibility (55%) and project diversity (50%). 58% say they'd be open to contract to hire work. Preferences for more freedom and variety may be an opportunity for leaders to build mixed teams of full-time and contract engineers.
What are the benefits of contract work?
55% Flexibility in choosing projects and clients
53% Flexibility in work hours and location
49% Opportunities to work on diverse projects
48% Higher hourly rates or project-based compensation
27% Less stress or pressure to perform