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Is It Safe to Outsource a Software Project to Ukraine in 2022?

Victor Purolnik
5 min read

Ukraine is one of the largest IT outsourcing destinations in the world. As Russia brutally invades Ukraine and starts a war against a peaceful country, significant questions may emerge: what will happen to Ukrainian-based companies and projects? Is it possible to continue or start cooperation with Ukrainian development companies? Is it the impact of war in Ukraine on the tech industry?

We prepared a short overview of this topic for you to get answers to these and many other questions.

 

On February, 24, Russia launched a war against Ukraine.

The shockingly aggressive and totalitarian country with more than 140 million population, almost twice as big as entire Europe, attacked a peaceful country right on the border with NATO and the European Union.

Why is it happening?

According to the Russian president and government, independent Ukraine was a potential threat to Russian safety. Russian officials have forbidden the word of war and call it the military operation; the military operation against the peaceful country, on the territories of this peaceful country, killing civilians and destroying hospitals and schools, damaging nuclear plants, and threatening the world with nuclear weapons.

This is terrifying, impermissible, and unbelievable. But it is happening.

And while every media channel speaks about it loudly, I would like to pay particular attention to your direct request:

What is happening with the IT industry in Ukraine? Is it safe to outsource to Ukraine?

Let’s make it clear.

How big tech companies respond to the Russian war against Ukraine

11.03.2022 - Youtube blocks Russian state-funded media 7.03.2022 - Upwork started to suspend operations in Russia and Belarus 3.03.2022 - Google suspends advertising in Russia 2.03.2022 - EU and the USA excludes several Russian banks from SWIFT 28.02.2022 - Starlink terminals arrive in Ukraine 26.02.2022 - Apply Pay and Google Pay cuts off Russian banks customers 24.02.2022 - Russia launched a war against Ukraine

How our team faces a new reality

Half of the Trustshoring team is currently located in Ukraine. They live in the western cities of Lviv and Uzhhorod which are currently the safest in the country.

Each team member can take time off if needed; still, we keep on working on our projects and tasks full time. It is critical to support the Ukrainian economy right now, and our team invests all possible resources in it.

Lviv and Uzhhorod regions have already welcomed over 260,000 refugees. In our free time, we volunteer for refugees’ centers and help Ukrainians in need. Besides, we raise funds to support our army and organize humanitarian help from Germany, Poland, Slovakia, and Hungary.

The Russian aggression doesn’t seem to slow down. So in this situation, we do everything we can to protect our families and friends, to help people arrive in safer cities, to support the Ukrainian army and economy.

How Ukrainian outsourcing companies operate now

I’ve been keeping a hand on the pulse of the Ukrainian IT industry for more than 7 years. And today, I can confidently say that the quality of provided services didn’t change.

  • Some Ukrainian outsourcing companies have moved their specialists and their offices to the west of the country. They keep on contributing to ongoing projects and are willing to start new ones.
  • Some Ukrainian IT specialists have relocated to Poland, Hungary, Germany, Spain, and other European countries. They continue remote cooperation with their outsourcing companies.

Projects that have been built in Ukraine, by Ukrainian IT talents, keep thriving. IT entrepreneurs and companies pay taxes and donate to the army and non-profit organizations.

The minister of digital transformation of Ukraine suggests canceling the required mobilization for IT specialists as they fight in cyberspace. At the same time, IT specialists become volunteers and join defense forces, start training to protect Ukraine in the war.

When you outsource your project to Ukraine, you can be sure about an impeccable product’s quality and at the same time, you support Ukraine and its economy.

“Ok, but what about payments?”

Most of the Ukrainian IT companies build contract-based cooperation with their employees. The specialists operate as individual entrepreneurs and get SWIFT payments to their bank accounts.

Since the beginning of the war, nothing has changed.

All banks continue all their operations. *

On February 24-26, there was a temporary shortage of cash in some of the remote regions. But as of now, this problem is eliminated.

PayPal, Payoneer, Western Union, and TransferWise enable money transfers to Ukrainian accounts, too.

*Note that problems may emerge in hot spots like Mariupol, Kharkiv, Chernihiv, and nearby regions. As for the rest of Ukraine, the bank system is working.

How top tech companies react to the Russian-Ukrainian war

Multiple tech giants all over the world join sanctions against Russia and do everything possible to stop the war. For instance, on February 28, Starlink terminals arrived in Ukraine which is incredible and appreciated support for the country. Ukrainian and international tech companies provide huge humanitarian and financial support for Ukraine. So first of all, I’d like to express the Trustshoring team’s gratitude for this.

Here, you can check the list of some of the top tech companies that pulled out of Russia:

  • Adobe
  • Amazon
  • Apple
  • Avast
  • AWS
  • Google
  • IBM
  • Windows
  • Sony

And here’s more info you should be aware of to date:

MongoDB Atlas is going to delete Russian and Belarus users’ data.

GitLab suspends new businesses in Russia and Belarus.

JetBrains suspends sales and R&D in Russia and Belarus.

Atlassian Jira cancels Russian and Belarus subscriptions.

Fiverr and Upwork freelance marketplaces suspend businesses in Russia.

Payment companies are cutting off Russia, too. Visa, Mastercard, American Express, and PayPal — announced bans in Russia, while SWIFT payments are not possible due to sanctions.

In the meantime, all of the aforementioned companies, products, and services actively help Ukrainians and continue their operations in Ukraine.

One of the best ways to support Ukraine right now is to cooperate with Ukrainian companies. And while Russian developers are no longer reliable players on the global IT market, Ukrainian engineers prove to be dependable employees and partners even in crisis.

Stand with Ukraine and help to stop Russian aggression.

 

standwithukraine

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