Software Engineer Work-Life Balance: USA vs EU

For most of the software engineering community there are two distinct paths. Either working and living in Europe (UK included) or the United States. These locations seem to be the most discussed among people within these markets and job seekers from abroad. The United States is obviously known for higher salaries and Big Tech while Europe, is a little more modest and focuses on cultural heratige, safety and security.

To answer this question posed (which is better), we’ve decided to measure up the work-life balance of each location. Aside from salary, work-life balance is probably the second most important factor for developers considering a new role. We are going to compare, in detail, three aspects of the working world to discover where software engineers have the best work-life balance. So if work-life weighs heavily in your decision-making process, then read on!  

Number of hours dedicated to work

Let's start with something basic but fundamental: the average number of hours dedicated to work. Of course, this may vary depending on the company, the state, or the European country in question, but some things remain constant that make up the final result: legal limits and culture.

Average working hours

• USA: 38.9 hours per week.
• Europe: 37.5 hours per week.

Key differences

• Legal limits: In the EU, the maximum working week is capped at 48 hours, while the US has no federal limit. However, individual states might impose their own regulations.
  
• Overtime culture: The US typically has a stronger overtime culture, meaning employees are more likely to work beyond their contracted hours. This can lead to longer work weeks for some individuals.
  
• Variations within Europe: There are significant variations in average working hours across different European countries. For example, Greece has higher average hours than Germany. And so on. Denmark even has a 37-hour work week.
  

The difference in average working hours for tech workers between the US and Europe is relatively small. Still, the cultural and legal context plays a significant role in work-life balance.

How Much Could You Make Internationally? →

Holidays and PTO

It goes without saying how essential holidays are for recharging batteries, getting a tan, and being able to work for the rest of the year. Let’s compare them alongside Paid Time Off (PTO).

Minimum guaranteed paid time off

• USA: There’s no federal mandate for paid time off. Yes, you read this right. So double-check that job offer before you sign it!
  
• Europe: The EU Working Time Directive guarantees 4 weeks of paid annual leave plus public holidays per year. Individual countries often offer more. Some European startups — and even established companies such as IKEA — are offering 5 weeks of paid vacation (which seems to be a trend that’s catching on in the tech scene).

Average paid time off

• USA: Around 10–15 days of paid holiday, though it can vary greatly by company and industry.
  
• Europe: Average of 25–30 days of paid annual leave, with some countries exceeding 30 days.

Public holidays

• USA: Around 10 federal holidays, but actual days off vary by company and industry. As an employee, you might receive PTO for five public holidays in a year.
  
• Europe: Varies widely, with some countries reaching 13+ public holidays. France holds the top spot with 11 national holidays and two bank holidays. If the holiday falls within the workweek, the employee is usually given PTO.

Additional points

• PTO accrual: In the USA, it's not just debt that accrues — it’s quite common for PTO to accrue gradually throughout the year. This means employees gradually accumulate PTO hours throughout the year. In Europe, it's often granted all at once.
  
• Sick leave: In the USA, paid sick leave is not federally mandated, but some states require it. Europe typically offers separate paid sick leave from annual leave.
  
• Carryover: US policies may restrict carrying over unused PTO from one year to the next, while Europe often allows more flexibility.

Generally speaking, Europe offers more generous paid time off policies compared to the USA. This includes mandated minimums, higher averages and often separate sick leave provisions. But company culture and individual circumstances can still play a significant role in both regions.

Moving to the Netherlands for a Tech Job: The Ultimate Guide →

Other labour rights to consider

The landscape of labour rights paints a stark contrast between the USA and Europe. Europe's historical emphasis on social democracy led to stronger legal protections and unionisation, shaping their trajectory. The USA, focusing on individual freedom, free markets, and the amendments you’ll hear about on TV shows, adopted a less interventionist approach, resulting in weaker job security, lower minimum wages and limited paid leave compared to Europe's more safety-net-like systems.

To be fair, the US is such a dynamic market that, for generations, or at least it seems, job seekers did great with this less-regulated approach. Of course, that's up for debate. Some politicians still consider the Reagan era to be a golden age, while others point out how tough it was for everyday folks that lacked a sense of social security.

All that said, let’s have a look at this difference in detail:

Workers’ Day

• USA: They call it Labor Day, and it falls on the first Monday of September.
• Europe: It’s the First of May, International Workers' Day, like almost everywhere else around the globe.

Job security

• USA: At-will employment is the norm, meaning employers can terminate employees without cause. There’s limited protection under federal laws like the WARN Act for mass lay-offs. But the general rule is that in the US you can get fired or laid off just because.
  
• Europe: There’s stronger job security in most countries, with various protections against dismissal and requirements for fair redundancy procedures. Elon Musk even had trouble firing Twitter employees in Europe when he took over the company.
  

Severance packages

• USA: It depends on the company. If you get laid off, you might get a zero-dollar severance check. The severance pay is generally one to two weeks for every year worked. If you’re fired like Marty McFly, expect a $0 bonus.
  
• Europe: Generally speaking, there’s a severance package in place. In Germany, it can range from a half-month wage to a full-yearly wage for each year worked.

Minimum wage

• USA: The federal minimum wage of $7.25 per hour, but varies by state and some cities have higher minimums.
  
• Europe: The EU has no minimum wage mandate, but individual countries typically have higher minimums than the US. For instance, France's minimum wage is €11.65 per hour, Germany’s is €12.00, The Netherlands’ is €13.27 and Spain’s is €10.50 (all as of January 2023).

Unionisation

• USA: Lower unionisation rates in tech compared to Europe, except for specific industries like telecom.
  
• Europe: Higher unionisation rates, which can influence collective bargaining for better working conditions and pay. Thanks to their unions, Swedish automakers are now clashing with Tesla, and they seem to be winning.

Healthcare

• USA: Employer-based health insurance is very common, but not guaranteed. Can be expensive and subject to coverage changes.
  
• Europe: Universal healthcare systems in most countries, providing basic coverage for all citizens.

Parental leave

• USA: No federal guarantee for paid parental leave. Some states offer paid leave, and individual companies vary in their policies.
  
• Europe: Most countries offer generous paid parental leave, often exceeding the US in duration and coverage. Sweden’s parental leave is so long — for both parents! — that foreign news outlets frequently report about it.

Salaries for software engineers

• USA: Software Engineer salaries are among the highest in the world.
• Europe: Software Engineer salaries vary, and are especially good in Switzerland, but, generally speaking, they lag compared to compensation plans in the US.

Relocate to Europe or the United States

In the “work-life balance” contest between Europe and the United States, Europe wins. Of course, there is a trade to be had that’s mostly financial. 

Are you interested in relocating to Europe? Check out our job board for up-to-date job offers throughout Europe from companies offering relocation support.