USA's Tech Skill Shortage: 2025 Market Scan
The numbers tell a story that every American business leader already knows from experience: finding qualified tech talent in 2025 is harder than ever, and the problem is getting worse, not better.
According to Robert Half's 2025 Building Future-Forward Tech Teams report, 87% of US technology leaders say they face challenges finding skilled talent. More than three-quarters (76%) report that a tech skills gap is evident in their departments right now. This isn't a future problem—it's a present crisis affecting hiring across the entire technology sector.
The scope is staggering. The IDC estimates that by 2026, the IT skills shortage will result in $5.5 trillion in losses globally, with the United States bearing a disproportionate share of that impact. The Bureau of Labor Statistics projects 317,700 tech job openings annually through 2034, while tech unemployment hovers at just 2.8%—far below the national average of 4%.
For Managed Service Providers and IT departments across America, this shortage isn't academic theory. It's the reason you can't fill that helpdesk position that's been open for three months. It's why your senior engineers are drowning in Level 1 tickets because you don't have junior staff to handle them. It's why you're watching competitors who've solved this problem scale aggressively while you turn away business.
This comprehensive market scan examines the state of America's tech talent shortage in 2025, revealing which roles are hardest to fill, where salaries are heading, and—critically—how successful businesses are solving these challenges when traditional hiring fails.
The Current State: By the Numbers
Let's establish the baseline. Here's what the US tech workforce looks like entering 2025.
Employment and Growth Projections
According to CompTIA's State of the Tech Workforce 2025 report, the US tech workforce grew by 1.2% during 2024, adding approximately 72,500 net new workers. That sounds positive until you consider the demand side: over 7 million tech job postings were recorded in 2025, reflecting a 33% month-over-month increase and 16% rise compared to the previous year.
Tech occupation employment is projected to grow from 6.09 million in 2025 to 7.03 million by 2035—about twice the rate of overall US employment. This growth creates enormous opportunity, but only if businesses can find the people to fill these roles.
The replacement rate tells an even more concerning story. The replacement rate for tech occupations during the 2024-2034 period is expected to average about 6% annually, or approximately 352,000 workers each year. That's not growth—that's just replacing people who retire or leave the industry. When you add growth on top of replacement, the annual hiring requirement becomes overwhelming.
The Compensation Reality
Tech workers command a significant premium over other occupations. CompTIA's research found that the median wage for tech workers in the US is $112,667—a 127% premium over the median national wage. This reflects market scarcity: when supply is tight and demand is high, prices rise.
For employers, particularly small and mid-sized businesses and MSPs, this creates a painful dilemma. You need talent, but your budget hasn't doubled to keep pace with market rates. As one analysis of the MSP staffing crisis noted, 52% of MSPs report they simply can't find technicians at rates they can afford—even when they're willing to pay market wages.
The Unemployment Paradox
Here's where it gets really interesting: IT unemployment sits at 2.8% as of mid-2025, well below the national average. In practical terms, this means virtually every qualified tech professional who wants a job already has one. You're not competing for unemployed candidates—you're competing to poach employed workers from other companies.
This explains why recruitment has become so difficult. The days of posting a job and receiving 50 qualified applications are long gone. Today, filling a single helpdesk position requires active recruiting, competitive offers, and often months of effort.
Which Roles Are Hardest to Fill
Not all tech positions face equal hiring challenges. Some roles are relatively easier to staff; others are near-impossible to fill regardless of budget. Here's where the shortage hits hardest.
AI and Machine Learning Engineers
AI skills are the fastest-growing demand in 16+ years of tech hiring data, according to Nash Squared. The demand nearly doubled between 2024 (28%) and 2025 (51%). In the US alone, job postings mentioning AI spiked by 1,800%.
Generative AI job postings increased by 170% from January 2024 to January 2025, according to Indeed's Hiring Lab. Roles that mentioned generative AI include machine learning engineers, data scientists, and management consulting positions—all commanding premium salaries.
According to the AI Workforce Consortium report led by Cisco, 78% of information and communications technology roles now include AI technical skills. Seven out of the 10 fastest-growing ICT roles were AI-related, including AI/ML engineers, AI risk and governance specialists, and NLP engineers.
The challenge? Universities and training programs haven't caught up. Given that tech skills become outdated in just 2.5 years according to Harvard Business Review, traditional educational pathways simply can't produce talent fast enough.
Cybersecurity Analysts and Engineers
Cybersecurity is listed as the #1 sought-after expertise by ManpowerGroup, with 46% of businesses reporting skill shortages. The global cyber talent gap is estimated at close to 5 million professionals, with the US representing a significant portion of that deficit.
CompTIA projects 367% growth for cybersecurity analysts and engineers between 2025 and 2035—not because cybersecurity suddenly became important, but because the shortage has become so severe that organizations will hire anyone they can find.
The stakes are high. As our analysis of why 24/7 IT support is critical notes, 58% of organizations say cybersecurity staff shortages put them at significant risk. The average cost of a data breach reached $4.88 million in 2024—a risk that understaffed organizations increasingly face.
Data Scientists and Analysts
Data-driven decision-making has transformed from competitive advantage to business necessity. The result: 38% of businesses report data talent shortages, with 414% projected growth for data scientists and data analysts through 2035 according to CompTIA.
Big data specialists and data engineers are in particularly high demand as companies seek to harness AI and cloud technologies that run on data infrastructure. Yet finding candidates who understand both the technical aspects of data engineering and the business context required to generate insights remains extraordinarily difficult.
Cloud Engineers and Architects
The accelerating shift to cloud-first infrastructure creates massive demand for cloud expertise. According to Robert Half's research, cloud engineers are among the top 15% of in-demand technology roles, and companies are willing to pay premium rates for candidates with specialized cloud certifications (AWS, Azure, Google Cloud).
The challenge is compounded by multi-cloud complexity. Today's cloud engineers need expertise across multiple platforms, understanding of hybrid architectures, and security knowledge—a skill combination that's rare and expensive.
DevOps Engineers
DevOps bridges the gap between development and operations, requiring both coding skills and infrastructure knowledge. Robert Half identified DevOps engineers as one of the most in-demand roles in 2025, with companies actively competing for limited talent.
As our guide on managing remote IT teams explains, the shift to distributed development teams has made DevOps expertise even more critical—and even harder to find domestically.
The Helpdesk Technician Problem
Here's the paradox: even entry-level positions are difficult to fill. Helpdesk technicians, NOC analysts, and Level 1 support specialists—roles that historically had healthy candidate pipelines—now sit unfilled for months.
Why? Three factors compound the problem: experienced workers have moved up to more specialized roles, leaving a gap at entry levels; traditional helpdesk work is increasingly seen as a stepping stone rather than a career, leading to high turnover; and the rise of remote work means helpdesk techs can work for companies anywhere, making local hiring nearly impossible in smaller markets.
For MSPs, this creates an operational crisis. You can't deliver service without frontline support, but you also can't afford to pay $65,000-75,000 for entry-level positions. As our analysis of overflow support needs details, this is pushing many MSPs toward offshore solutions.
Solutions That Are Actually Working
While traditional hiring continues to struggle, innovative companies—particularly MSPs and IT departments—are finding alternative approaches that solve talent shortages sustainably.
| Solution | Best For | Cost Savings | Time to Deploy |
|---|---|---|---|
| Offshore Staffing (Philippines) | Helpdesk, NOC, Level 1-2 support | 65-70% | 2-3 weeks |
| Skills-First Hiring + Training | Entry to mid-level roles | 15-25% | 3-6 months |
| Automation + AI Tools | Tier 0 support reduction | 30-50% capacity gain | 1-2 months |
| White-Label Partnerships | Specialized services, after-hours | 40-55% | 1-2 weeks |
Offshore Staffing: The Philippines Solution
The most impactful solution for many American businesses has been strategic use of offshore staffing, particularly from the Philippines. As detailed in our comprehensive guide to why the Philippines dominates remote staffing, the Philippines offers a unique combination of factors that make it the optimal destination for US businesses.
The Philippines has over 1.82 million BPO professionals, many with specific MSP and helpdesk experience. As the world's third-largest English-speaking nation, Filipino professionals communicate clearly with American clients and colleagues. The cost structure delivers 65-70% savings compared to US domestic hiring for equivalent roles, while over 788 established BPO companies have proven experience serving US businesses.
For US East Coast MSPs, the follow-the-sun coverage model using Philippines-based teams has become particularly effective. What's 8 AM to 5 PM in Manila is 7 PM to 4 AM Eastern Time—perfect for after-hours coverage without anyone working unhealthy overnight shifts.
The cultural intelligence required to work effectively with Filipino professionals is straightforward, and remote onboarding practices have matured significantly in recent years.
Skills-First Hiring with Rapid Upskilling
According to General Assembly's State of Tech Talent 2025 report, the number of HR leaders likely to use skills-first hiring has tripled in just two years. This approach focuses on certifications, demonstrated abilities, and non-degree education rather than traditional four-year degrees.
The logic is sound: when you can't find candidates with perfect credentials, hire people with aptitude and train them on your specific needs. This works particularly well for roles where company-specific knowledge matters more than general expertise.
Companies implementing skills-first hiring often partner with coding bootcamps, certification programs, or technical schools to create pipelines of candidates who've demonstrated baseline competence and can be rapidly upskilled.
Automation and AI Augmentation
While AI is creating new roles, it's also reducing the need for human involvement in certain tasks. Password resets, basic troubleshooting, and tier-0 support can increasingly be handled by automation.
As our analysis of how remote IT helpdesk services cut costs demonstrates, intelligent automation combined with strategic human support creates 30-50% capacity increases without adding headcount.
The key is not replacing humans entirely but freeing them to focus on complex work that genuinely requires human judgment and expertise.
White-Label Partnerships and MSP Networks
Smaller MSPs facing staffing constraints are increasingly partnering with specialized providers for capabilities they can't staff internally. White-label NOC services, security operations centers, and specialized expertise allow MSPs to deliver comprehensive services without hiring full teams in every discipline.
According to recent MSP trend analysis, 52% of MSPs identify hiring as their primary struggle, and white-label partnerships have emerged as the preferred solution for delivering 24/7 coverage and specialized services without building full in-house teams.
The Bottom Line: Adaptation Is No Longer Optional
The US tech talent shortage of 2025 is not a temporary disruption that will self-correct. It's a structural shift driven by fundamental supply and demand imbalances that will persist for years.
Companies waiting for the market to normalize, hoping immigration policy will change, or betting that salary increases alone will solve the problem are going to find themselves progressively less competitive against organizations that embrace alternative staffing models.
The data is clear: 87% of tech leaders struggle to find talent. The replacement rate requires 352,000 new workers annually just to maintain current staffing levels. Tech unemployment at 2.8% means you're competing for employed workers, not hiring from available pools. AI, cybersecurity, and cloud roles command premium salaries that most businesses simply cannot sustain.
The MSPs, IT departments, and businesses that thrive through 2026 and beyond won't be those who solved the talent shortage through traditional hiring—because that's not solvable. They'll be the ones who adapted their operational models to succeed despite it.
Offshore staffing, automation, skills-first hiring, and strategic partnerships aren't temporary workarounds. They're the new permanent reality of how sophisticated organizations build technical capacity in a talent-constrained world.
The question isn't whether to adapt—it's how quickly you can implement solutions before competitors gain advantages that become impossible to overcome.
Ready to Solve Your Tech Staffing Challenges?
Konnect specializes in connecting US businesses and MSPs with dedicated IT professionals from the Philippines who integrate seamlessly into your operations—providing the technical capacity you need at sustainable cost structures.
What we provide:
Pre-vetted IT professionals with US business experience: Our team members are already trained on common MSP platforms (ConnectWise, Autotask, Datto), understand helpdesk operations, and have experience serving American businesses.
Rapid deployment: Unlike 60-90 day domestic recruitment cycles, we deploy qualified technicians in 2-3 weeks, allowing you to address immediate staffing needs without months of waiting.
Flexible engagement models: Whether you need one helpdesk technician, an entire NOC team, or after-hours coverage specialists, we scale precisely to your requirements without long-term commitments.
Complete infrastructure and HR management: We handle Philippine employment, payroll, benefits and all administrative overhead so you focus on service delivery.
65-70% cost savings: Access skilled IT professionals at $15,000-$22,000 annually compared to $65,000-$75,000 for equivalent domestic roles, with no compromise on quality.
Schedule a consultation to discuss how offshore staffing can solve your tech talent challenges sustainably.
📅 Schedule a meeting: https://meet.brevo.com/konnectph
✉️ Email us: hello@konnect.ph
Let's talk about building technical capacity that scales with your business, not against your budget.
About the Author
Vilbert Fermin is the founder of Konnect, a remote staffing company connecting North American and Australian businesses with top Filipino talent. With deep expertise in IT support and remote team management, Vilbert helps MSPs access skilled technical professionals without the overhead of full-time domestic IT staff. His mission is to showcase Filipino excellence while helping businesses stay protected, productive, and competitive through strategic remote staffing.
