Not too long ago, it was typical for developers in most software development companies to predominantly work in the office. Telecommuting was an exception, not the rule. The Gig Economy and Global Talent Shortage accelerated the trend toward distributed work environments. The pandemic lockdowns effectively standardized it.
Previously, most developers seemed to want to work in the office alongside others. Now that everyone’s been forced to work from home, most don’t want to return to the office. This presents an interesting scenario, perhaps even a dilemma, for employer hiring practices and outsourcing strategies.
On the one hand, there’s a distinction between what it means to have a work-from-home employee and a freelancer. The fully-loaded cost of an “in-house developer” is much greater than a freelancer or most contracted developers. Employment laws vary by location, but you can typically require employees to work specific hours at a specific location, conform to specific rules, and even wear a uniform. With freelancers and contractors, not so much.
On the other hand, the talent shortage is acute enough that companies may not want to upset the status quo. For most managers today it is talent, not funding, that’s the real bottleneck. Even so, budgets, ROI, and company profitability remain major issues. As always though, managers need to juggle these competing interests and ideally show steady improvements in their overall project and team performance.