Is it fair to pay foreign workers less? Co-founder of this US firm says yes

Franco Pereyra, co-founder, COO of Near sparked an online debate by claiming that the less pay for third-world countries employees is justifiable. However, people denied and countered the narrative

It is fair to pay international workers less than US workers because of the cost-of-living disparity, believes Franco Pereyra, co-founder and COO of Near, a platform that connects Latin American talent with US firms for remote work. His views have stirred controversy over global wage disparity and sparked a larger conversation about ethics in hiring.

Lower wages for global workers are ‘justifiable’

Pereyra explained his reasoning by linking wages to the cost of living, drawing from his personal experience as an Argentine based in Buenos Aires. In a LinkedIn post he wrote, “I see how some people are upset by this statement,” he acknowledged, “but staying in my country, being with my family, and benefiting from a lower cost of living is worth it to me.”

 

Staying sensitive to the issue, Pereyra mentioned that not every company exploits international talent. “Many think that workers in regions such as Latin America, India, and the Philippines are exploited. And yes, exploitation occurs, but paying lower wages in line with local cost is not inherently wrong,” he said.

 

The post on the professional networking platform gained significant traction, where people were sharply divided in their opinions.

 

Pro-Pereyra argument: LinkedIn users argued that cost differences drive offshoring. According to one user, “Offshoring works because companies pay less in lower-cost regions. Without this, they wouldn’t hire globally.”

 

Critics of Pereyra: Others said Pereyra oversimplifies the issue. “He has overlooked critical factors like working conditions and the quality of life for employees,” another user pointed out.  

Addressing exploitative practices

In a follow-up LinkedIn post, Pereyra pointed to the dark side of hiring globally, specifically the exploitation of workers in countries like India and the Philippines. “I have seen global talent, particularly in these regions, treated as disposable — cycling through a revolving door of short-term hires,” he wrote.

 

“Employees face miserable working conditions and leave within months, while companies deal with the operational chaos of constant turnover, rehiring, and retraining,” Pereyra said, emphasising the long-term harm to both parties.  

Implication of wage disparities

Pereyra’s comments have triggered a renewed discussion about the global labour market. For instance, Indian IT professionals play a pivotal role in the global tech industry, especially in Software as a Service and innovation-driven sectors. However, despite all this, many of them are still undervalued through low wages and limited benefits. While Pereyra’s arguments resonated with some economic facts, critics pointed to the critical need for fair and sustainable hiring models.