U.S. companies are unable to find the local talent they need to grow their businesses — because it simply isn’t there.

With unemployment in the US at 4.2%, competition for talent is fierce. In the finance sector, 40% of job openings are going unfilled. And in IT, the skills gap is growing so rapidly that IDC predicts more than 90% of organizations worldwide will experience a crisis by next year — one that could translate to $5.5 trillion in lost productivity.

“Top-tier talent is not concentrated; it’s distributed,” says Sagar Khatri, CEO of global employment firm Multiplier, which acts as the legal Employer of Record (EOR) for internationally-based workers. “You need skills and expertise from all over the world.”

A new approach to hiring

To address these shortages, U.S. employers are rethinking traditional hiring practices. Many are loosening degree requirements and adopting skills-based hiring, focusing on candidates’ actual capabilities instead of their credentials. Yet, as demographic shifts and persistently low workforce participation intensify the scarcity, companies are finding that such measures aren’t enough.

Increasingly, organizations are looking abroad to fill their most pressing gaps. What was once an option reserved for multinational giants has now become accessible to companies of all sizes, thanks to the rise of global payroll solutions and EOR services that simplify legal compliance and onboarding.

According to Multiplier’s data, the number of U.S. companies hiring internationally has surged across industries. While India remains a key hub — 34% of tech talent hired through Multiplier’s EOR platform came from India last year — markets like Eastern Europe and the Philippines are also emerging as top destinations. These regions, with robust upskilling programs and modern infrastructure, are developing the pipelines U.S. employers urgently need. Even sectors long considered resistant to remote work, like accounting, are feeling the shift; the number of overseas accountants hired by U.S.-based companies through Multiplier quadrupled between 2022 and 2024.

‍

Read the full article here.