The evolving tech talent shortage: What MSPs need to know

tech talent shortage

tech talent shortageWe’ve heard about the tech talent shortage for years. But according to experts, the reality beneath the surface is more nuanced. It’s not the same as it once was, the talent shortage has evolved and become more uneven. While the tech talent shortage is evolving, it is still something (managed service providers) MSPs must content with as they struggle to scale their businesses and serve their clients effectively. According to ISACA’s 2025 Tech Workplace and Culture study, 74 percent of organizations report difficulty finding and retaining top talent, with one-third of tech professionals having changed jobs in the last two years.

The cybersecurity sector is under intense pressure. According to ISC2’s 2024 Cybersecurity Workforce Study, there are a record high of 4.8 million unfilled roles worldwide. This gap has grown by 19 percent year over year. For the first time, budget cuts have overtaken recruitment challenges as the leading cause of talent shortages, with 33 percent of respondents citing lack of budget as the primary reason for staffing gaps.

Rethinking the cybersecurity talent gap

For MSPs competing in this environment, traditional hiring strategies are no longer enough. But just how severe is the talent shortage? That depends on who you ask.
Chris Camacho, COO and co-founder of Abstract Security, believes the issue is not a lack of talent but a lack of readiness.

“There’s plenty of talent on the market, and many skilled professionals are actively seeking work. The real challenge is that the most capable individuals, those who have evolved with the threat landscape, are already employed and continuously growing. The gap isn’t about numbers. It’s about preparedness.”

Camacho told SmarterMSP.com that MSPs and companies hoping to attract top talent need to rethink what they offer.

“Today’s best professionals want environments that invest in their growth, not just a paycheck,” he explains. That this means building programs that go beyond standard technical training.

Organizations should be teaching AI fundamentals, prompt engineering, and business communication skills to help technical teams connect their work to meaningful customer outcomes. Cybersecurity is evolving rapidly, and success depends on curiosity, adaptability, and continuous learning. “The MSPs that create internal upskilling programs, encourage experimentation, and integrate AI into daily workflows will come out ahead. Not because they discovered hidden talent, but because they nurtured it.”

Looking beyond the resume

Jennifer Weinberger, Owner and Chief People Connector at Goldstone Partners, points out that while IT and cybersecurity roles may seem hard to fill, remote applicants overwhelm many firms.

Many candidates come from different backgrounds, such as government work. They may not have the exact experience firms are seeking, but they often bring valuable transferable skills. Weinberger emphasizes that understanding where there is flexibility in role requirements can help companies fill positions more effectively.

Why veterans and relationship-building could be the key to MSP hiring success

If your MSP is struggling to find talent, Ray Spangler, Senior Vice President and CTO at Barge Design Solutions, recommends looking to the military.
Military life is built on attention to detail, which is foundational to both technology and security. Many roles also teach how to manage stress in high-pressure environments. These skills translate well to cybersecurity.

Veterans frequently bring that resilience and discipline to civilian roles. Spangler encourages MSPs to look beyond academic credentials.

“We rely too heavily on university certificates. The government invests significantly in training its workforce, and that training is highly focused and specialized. MSPs should recognize and leverage that experience,” shares Spangler.

Finally, Shelley Majors, President, and Strategic HR Advisor at Boardwalk Human Resources Consulting, believes MSPs should treat recruiting as relationship building. “Hiring in any space is tough right now. It seems like no one wants to work. The MSPs that will succeed are the ones treating recruiting like relationship building. They show up where cyber talent actually spends time, stay connected year-round, and focus on purpose and flexibility instead of chasing perfect resumes.”

Ransomware

Photo: iLixe48 / Shutterstock

This post originally appeared on Smarter MSP.