Bitcoin or LR. Let them incur the fees to convert to their own local currency.

Thanks for the quick reply. We considered bitcoins. What is LR?

I think he's referring to Liberty Reserve.

Before there were USD/BTC exchanges you had to use someone like LR to get Liberty Dollars and then exchange them for bitcoins or vice versa. I may be remembering incorrectly. I looked into back in 2010.

Negociate the fees with your bank.

Also, wiring money within the SEPA zone is free: if your developer is ok for having an account in an European country, go for it.