The data center industry’s long-standing talent shortage is becoming increasingly acute as digitization and AI drive record demand. With more facilities coming online, the need for skilled technicians and engineers is soaring, especially in rural areas with limited labor pools.

Studies show that only about 15 percent of applicants meet the minimum job qualifications for data center jobs, so positions often take at least two months to fill. Meanwhile, the competitive labor market has driven wages higher and made it harder to retain talent as companies poach workers from each other.

As detailed in JLL’s Midyear 2024 United States Data Center Report, attrition is particularly acute among younger workers, with only 18 percent staying in their jobs after their first year. Employees list pay, burnout and career development as their top three reasons for resigning.

Complicating matters, nearly 33 percent of the technical workforce in the data center industry is at or nearing retirement age. The talent shortage is poised to worsen if companies don’t take swift action to recruit, upskill and increase retention of workers.

1. Recruit and retrain technicians from other industries: The fast-growing data center industry offers a rewarding career transition for technicians in other real estate asset classes, such as hospitals, retail centers and class A offices. With a strong training program, experienced professionals can quickly ramp up their skillsets to meet the demands of data center jobs.
2. Broaden the pipeline: The industry needs more qualified candidates to fill the growing number of openings. Partnering with trade schools and veteran employment agencies offers a way to recruit employees with transferrable skills to be trained for data center roles.

33%

3. Enhance the employee experience: Today’s workforce expects more than just a paycheck. Employees expect their employers to invest in their physical and mental wellbeing. Attracting and retaining workers requires not only a competitive wage but also high-quality amenities such as healthy food, meal vouchers, and access to fitness centers and mental health programs.
4. Foster a culture of continuous learning: With technology evolving rapidly, continuing education and leadership development ensures your workforce remains educated and qualified as data center processes change. As an added benefit, investing in employees’ career development can enhance engagement and experience.

Nearly 33% of the technical workforce in the data center industry is at or nearing retirement age.

5. Educate rising generations: Until recently, many individuals were unaware of data center career opportunities, but that’s changing as the AI movement brings more attention to the industry. Educating young people about data center career paths can help create a larger talent pipeline for the long term.

A thriving data center industry relies on a robust data pool. By investing in recruitment, training and a positive employee experience, companies can strengthen their workforce to sustain growth for years to come.