Amid all these insights, a few key discussions stood out—particularly those addressing shrinkage, customer experience, and workforce challenges. These conversations highlighted important trends and opportunities that could shape how field service companies support retailers in the years ahead. Here are a few key takeaways from the event.

Addressing shrinkage and workforce turnover

NRF 2025 highlighted challenges in the retail workforce, including high turnover and operational inefficiencies that contribute to shrinkage. For some retailers, shrinkage can cost up to 1.4% of annual revenue. Beyond inventory loss, shrinkage also includes wasted time, inefficient service coordination, and delays in technology rollouts, all of which can impact the bottom line.

At the same time, workforce instability remains a major hurdle, with turnover rates in retail reaching as high as 60% in some roles. This constant churn makes it difficult for retailers to maintain consistent service levels, especially when it comes to store operations, technology installations, and equipment maintenance.

This is where field service providers can play a critical role. By leveraging on-demand technicians alongside full-time labor, field service providers can help retailers quickly fill gaps in service needs—whether for store remodels, technology deployments, or ongoing maintenance. As demand in retail fluctuates, the ability to quickly connect with qualified independent technicians will be key to maintaining seamless operations and meeting customer expectations.

Visibility and tracking: a growing opportunity for field service companies

Retailers are investing heavily in digital product passports (DPP) and RFID technology to track inventory, reduce waste, and improve sustainability. This increased emphasis on real-time visibility extends beyond retail operations. Many retailers are looking for trusted field service partners who can implement, maintain, and support these systems.

Demand for enhanced visibility and tracking presents an opportunity for field services companiesto provide essential installation, maintenance, and troubleshooting services. By deploying RFID tracking systems and installing smart inventory management tools, field service companies play a critical role in bridging the gap between technology adoption and real-world execution.

AI-driven smart technology

Despite workforce challenges, retail sales in the U.S. are growing by 3%, reaching $8.5 trillion, driven in part by the rapid adoption of AI-powered solutions that enhance efficiency and profitability. As retailers integrate AI into their operations—from smart inventory management to automated scheduling tools and predictive maintenance—they need skilled field service providers to help deploy, install, and support these technologies.

This shift creates a growing demand for field service companies that can implement AI-driven retail technologies, including:

• Installing and maintaining self-checkout systems, digital signage, and AI-powered kiosks.
• Deploying and servicing smart inventory tracking systems that leverage RFID and computer vision.
• Supporting automated scheduling and workforce management systems for retail stores.

Looking ahead: The future of field service in retail

NRF 2025 highlighted how quickly technology is changing the retail industry, from AI-driven automation to real-time tracking and workforce optimization. As retailers continue to adopt these advancements, the demand for skilled field service support will only grow.

There was a lot to learn at the event, but one thing is clear—in retail, the intersection of technology and customer service is more important than ever. Field service companies will be instrumental in implementing, maintaining, and optimizing these innovations to enhance operations and customer experience.

Learn how Field Nation can help you meet the demands of your retail customers!

The post Key takeaways from the 2025 National Retail Federation Show appeared first on Field Nation.

Other industry research also highlights the talent crisis. In April 2023, the job openings to hire ratio was 1.6, indicating a high demand for skilled cablers compared to the available workforce. The quit rate also stood at 1.6, further emphasizing the scarcity of qualified professionals. With over 9.9 million vacant jobs and an aging workforce, the industry is grappling with the exodus of experienced workers.

Moreover, declining vocational enrollment during the pandemic has exacerbated the supply shortage. These factors, coupled with the increasing demands of the fiber broadband and telecom industries, highlight the urgent need to address the lack of skilled cablers. The fiber broadband industry alone is expected to build 1.6 million miles of fiber over the next five years, leading to job creation estimates in the hundreds of thousands, according to the Fiber Broadband Association. Similarly, the telecom industry, currently employing approximately 672,000 technicians, requires an additional 250,000 new technicians in the short term to keep up with demand.

While cablers are in short supply, there is positive news for service leaders. Experienced cabling independent contractors using the Field Nation marketplace can help bridge the gap in cabling demand. Contact our team to learn how we can connect you with skilled professionals who can support your cabling needs.

The post The cabling talent shortage: a major hurdle for growth appeared first on Field Nation.

Explore the key trends shaping field service—and how to stay ahead.

Delayed customer projects are expected to return to market in Q2/Q3 2025, creating new service opportunities. Service organizations continue to face mounting cost pressures as inflation persists. High capital costs are pushing ROI requirements higher, while customers continue to defer non-essential capital investments.

Competition for skilled technicians continues to intensify, pushing labor costs higher and squeezing service margins. Organizations face mounting pressure from multiple directions: fewer young workers entering the field, widening geographic coverage gaps in secondary markets, and accelerating knowledge loss as senior technicians retire.

Low technician utilization and high travel costs continue to squeeze profit margins. Organizations struggle to maintain service levels while finding it increasingly difficult to scale operations efficiently.

The projected closure of 15,000 retail locations in 2025 creates significant near-term opportunities in decommissioning services, while also accelerating consolidation of geographic coverage needs. For remaining stores, rapid response times remain critical as downtime impacts fulfillment operations. Service organizations face growing complexity from interconnected systems and increased demand for multi-skilled technicians.

Security system maintenance requires broader technical expertise as platforms expand beyond traditional surveillance to include analytics and business intelligence. Organizations must support integrated systems across multiple locations while maintaining rapid response capabilities for critical security infrastructure.

Growing demand for data center expertise requires specialized technical skills and flexible service delivery models. Organizations must manage complex infrastructure requirements while maintaining mission-critical systems. Regular technology refresh cycles create ongoing service opportunities.

Traditional AV expertise is giving way to IT-focused skills as installations become more network-centric. Organizations must develop network integration capabilities while shifting from complex AV deployments to standardized IT-based installations. The convergence of AV and IT creates demand for cross-trained technicians.

The post The definitive guide to field service trends in 2025 appeared first on Field Nation.

The security market is experiencing accelerated demand for physical equipment installation and maintenance. This surge is fueled by technological advancements that facilitate faster and easier set-up, coupled with the decreasing cost of technology. For example, many companies are replacing legacy CCTV systems with newer, more cost-effective IP camera systems.

We’re also seeing an uptick in installs for retail environments. Brands are looking for ways to improve loss prevention and safety measures. According to the National Retail Federation, inventory shrinkage is a big problem—to the tune of $100 billion in losses each year. 

Retail shrinkage is a complex number that includes several kinds of loss. “Partial shrink,” where customers don’t pay for all their items at self-checkout, has become more of an issue as retailers shift from traditional registers to self-checkout kiosks. However, external theft like this accounts for only 36% of the total shrinkage. Employee theft contributes to another estimated 29% of retailer losses. Deterrence and surveillance equipment are two main ways retailers can prevent shrink from these kinds of theft.

The education sector is also driving equipment installations. Schools and universities are looking for new ways to keep their campuses safe from external and internal threats. Many are turning to solutions like integrated access control and surveillance systems to help monitor student and visitor activity. 

Unravel the complex needs of each state's security licensing requirements

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MSPs, OEMs, system integrators, and dealers in the field service sector have an opportunity to capitalize on this incredible market growth. However, doing so will require your company to rethink its labor strategy.

The Labor Challenge

Your company’s ability to meet market demand depends on its access to skilled labor in the field. That is a current challenge with low unemployment and ongoing skilled labor shortages.

While internal labor resources (employees) have their place, they come with added operational costs for health insurance and other benefits. Internal labor also makes it harder for your company to scale up or down or pivot to regions where demand is booming. Many technicians today prefer the flexibility of contracting, making it more difficult to find technicians to hire as internal labor.

The security market also comes with added complexities. Licensing requirements vary by state, county, and city. With no standardization, this can make expansion into new markets more challenging.

One way to mitigate licensing and labor challenges is with third parties. Depending on their size, they may have licensed labor across several states or large metropolitan areas. However, companies that rely solely on this labor strategy aren’t entirely out of the woods. What happens when the third party lacks availability or doesn’t cover an area you now want to serve? Or, what if the third party doesn’t hire a quality installer and your customer’s perception of the brand suffers? 

Your company must evaluate these issues and risks to determine the right labor strategy. But before you do, there is one other option to consider.

Rethinking your labor mix

Adding on-demand labor is an effective way to enable growth where internal labor locks you in for a longer term; on-demand labor allows you to fill labor gaps immediately.

How do you access on-demand labor? Typically, a labor marketplace enables connection to independent contractors in your target geography with specific skills and the required licensing based on your scope of work. It also allows companies to define and post the work, vet and assign the right technician, and review and approve each work order, facilitating on-demand work in one place, with the ability to scale quickly and build relationships for future work.

In today’s economy, companies thrive by adopting a diversified labor strategy. By adopting a labor approach incorporating internal resources, third parties, and on-demand labor, you can leverage the strengths of each type of labor to fuel growth cost-effectively.

Benefits of on-demand labor

On-demand labor benefits companies across the board. Leadership can maximize profitability and protect margins by aligning work demand with an on-demand labor workforce. Sales will win more business, knowing they can cover any location with competitive pricing. Operations and finance departments can reduce management and paperwork by leveraging third-party marketplace software and payment systems.

When executed effectively, on-demand labor through a marketplace also improves outcomes. Payments don’t process until technicians complete the work to your specifications, reducing site revisits by as much as 40% compared with third parties*. 

Furthermore, on-demand labor reduces costs by eliminating third-party margin stacks and giving you direct control over pay rates. On average, you can reduce labor costs by up to 20% versus third parties and 30% versus employees*. 

Will this growth trend continue?

Even if net new demand slows down, the installed base of existing equipment is massive. Just maintaining what’s already there will keep labor demand high in the near term.

The good news is that demand for new equipment isn’t predicted to slow down. A research report from ASIS International and the Security Industry Association (SIA) found that the physical security equipment market is expected to grow 9% in 2024 to $60.1 billion. By 2026, the market will be worth $70 billion.

Rethinking the labor mix might be the key to tapping into this growth for MSPs, OEMs, system integrators, and dealers. With a diversified workforce, you can deploy the right skilled labor resources when and where you need them to deliver great outcomes.

This article was originally published on SDM Magazine.

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Understanding the scope of the AV labor crisis

The labor crisis in the AV industry is more severe than ever. According to recent surveys, 72% of integrators cite talent issues as a top concern, with installer and technician roles being the hardest to fill​​. This shortage has been exacerbated by the increasing complexity of AV projects and the need for rapid, high-quality installations and services.

The key challenges integrators face include:

• Volatile project backlogs: With fluctuating demand, maintaining a consistent workforce is difficult.
• Service inflation: Rising costs make it challenging to stay profitable.
• Evolving customer needs: Clients demand faster response times and higher quality service.
• Supply chain issues: Delays and product shortages add another layer of complexity.

Traditional labor options and their limitations

AV integrators have traditionally relied on two main labor options: hiring employees and subcontracting. Each has its pros and cons:

1. Employees:
   • Pros: Control over talent selection, trained and certified staff, fast deployment.
   • Cons: Slower to scale, fixed costs regardless of demand (including overhead), high travel expenses.
2. Subcontractors:
   • Pros: One-stop-shop for project management, variable costs.
   • Cons: Slow deployment, opaque expenses, lack of control over technician selection​.

Given these limitations, a hybrid model that incorporates on-demand labor using a labor marketplace can offer a more flexible and cost-effective solution.

The rise of labor marketplaces

Labor marketplaces like Field Nation are emerging as a critical solution to the IT labor shortage. Marketplaces provide direct access to independent contractors who can be matched to specific job requirements based on their skills, experience, and performance ratings.

Benefits of a labor marketplace

• Local resource access: Technicians are sourced locally, reducing travel costs and response times.
• Control and flexibility: Integrators can vet and manage talent directly, ensuring quality and reliability.
• Cost-effectiveness: By paying only for the work needed and avoiding additional management overhead, integrators can save significantly on labor costs​​​​.

Introducing the AV & Digital Signage Select Network

Due to the AV labor shortage, Field Nation and Herman Integration Services have partnered to create the AV & Digital Signage Select Network, the nation’s largest on-demand network of AV installers. This network includes over 1,600 independent technicians with proven experience installing, decommissioning, or configuring audio-visual and digital signage equipment, as well as running and terminating cable to the same equipment.

Key Features:

• Experienced and reliable: Installers have high buyer ratings for quality, reliability, and performance.
• Cost-effective: Integrators can save up to 50% on simple service calls by using local technicians.
• Responsive: Independent installers typically respond to requests within 15 minutes in major metropolitan areas, compared to days or weeks for traditional labor options.

Implementing a hybrid workforce model

A hybrid workforce model combines the best aspects of direct hires, subcontractors, and labor marketplaces. This approach allows integrators to:

• Cut costs and increase margins: By sourcing technicians close to job sites and paying only for the work needed.
• Ensure compliance: Manage payroll, tax, and insurance easily, while ensuring compliance with labor laws.
• Control service quality: Select talent based on skills, experience, certifications, and ratings.
• Respond quickly: Access a nationwide network of AV installers and technicians for rapid deployment​​.

Common AV use cases on Field Nation

• Simple service calls: The AV & Digital Signage Select Network on the Field Nation marketplace can handle simple tasks such as low-voltage cabling, basic displays and speaker installations, and digital signage installations.

Conclusion

The AV labor crisis presents a significant challenge, but it also offers an opportunity for integrators to rethink their workforce strategies. By embracing a hybrid model and leveraging the AV & Digital Signage Select Network powered by the #1 labor marketplace for IT field services, AV integrators can improve service quality, reduce costs, and respond more quickly to customer needs. Complete a brief coverage assessment, and we’ll match your specific work requirements and service regions to our AV & Digital Signage Select Network.

For AV integrator leaders, the path forward involves not just finding the right technicians but also implementing a flexible, scalable workforce strategy that can adapt to the ever-changing demands of the industry. By doing so, they can ensure that they not only survive but thrive in this competitive landscape.

The post Addressing the audiovisual labor crisis: A strategic guide for AV integrators appeared first on Field Nation.

Field Service USA invited me to host key industry leaders in a roundtable discussion, resulting in a lively and well-attended forum. Leaders shared valuable insights on the challenges and opportunities their companies face amid evolving macro trends and labor shortages, setting the stage for a productive event. 

Here’s a closer look at some of the key themes and observations from this conversation.

Industry-specific trends and challenges

As economic conditions remain volatile, different field service sectors are adapting to current market pressures. Representatives from the medical sector, a significant part of our roundtable, shared that demand for medical services and equipment remains steady despite economic fluctuations. In IT field services, a pullback in discretionary spending impacts certain projects, but rapid growth persists in areas like data center expansion, wireless infrastructure upgrades, and AV and digital signage projects.

The skilled labor shortage requires companies to adapt to the rise of independent contractors, reshaping workforce dynamics. Leaders agree that adapting to economic volatility, embracing automation, and strategically incorporating on-demand labor is vital for sustained success.

The labor market’s new dynamics

One of the most pressing issues discussed was the labor shortage affecting various industries, including IT field services. It was fascinating to hear how companies are devising new strategies to source labor. An emerging trend is the successful hiring of younger Gen Z workers, who are increasingly looking toward trade schools rather than traditional four-year colleges. In fact, WSJ reported a 16% increase in vocational-focused college enrollment last year, its highest level since the National Studen Clearinghouse (NSC) began tracking such data in 2018. This shift is a significant marker of changing career preferences among younger generations, who are looking to manage debt while feeding their ambition for career growth and entrepreneurship.

Strategic hiring and Gen Z’s workplace expectations

Discussions also touched on the distinctive work expectations of Gen Z. This generation has a different approach to work, favoring flexibility and meaningful engagement over traditional employment models. This shift requires companies to rethink how they attract and retain young talent, ensuring that job roles and company cultures align with these evolving expectations.

Innovations in training and development

The roundtable also shed light on innovative training approaches. For instance, one service company has implemented a multi-year apprenticeship program. This training approach allows new hires to gradually learn and take on responsibilities, a method that ensures depth of expertise but also requires substantial investment. Such models are not widely feasible but offer a glimpse into how leaders are thinking creatively about building a skilled workforce.

The importance of soft skills

A recurring theme was the importance of soft skills in the workforce. Technical skills can be taught, but soft skills—like interpersonal communication and professionalism—are harder to instill. Companies are increasingly prioritizing these traits in their hiring processes, recognizing that these non-technical abilities are crucial for long-term success.

Concluding thoughts

The roundtable discussions and other conversations throughout the event provided profound insights into how various service leaders are navigating current challenges. From innovative training programs to adapting hiring practices for newer generations, the strategies discussed highlight the need for flexibility and innovation in response to changing economic and social landscapes.

These interactions not only enriched my understanding but also emphasized the importance of such forums where leaders can share, learn, and strategize together. The collective wisdom gathered is invaluable as we continue to navigate the complexities of today’s environment.

The post The future of work explored at Field Service USA appeared first on Field Nation.

This shift is not just a trend but a noteworthy movement. A recent Field Nation study revealed that 98% of IT field service technicians prefer to work as independent contractors, either exclusively or in combination with a full-time job. Aside from the clear growth opportunities in the field service industry, independent contractors enjoy a variety of additional benefits.

Why do people prefer independent contracting?

Many people enjoy independent contracting because it allows them to set their own work schedules and choose which projects they work on. In a Field Nation study on independent contractors, 36% of respondents said flexibility was a top reason for choosing contracting work, and 27% indicated autonomy and control as additional main drivers toward their decision.

Jenny Korpalski, an independent technician who uses Field Nation to find and complete work, emphasizes schedule flexibility as a key reason for doing independent contracting. “I love setting my schedule and having the freedom to work if I want to or just take days off,” she said.

Satisfaction and work-life balance

Most IT professionals who contract are pleased with their jobs. Four out of five of them say they are satisfied or very satisfied. They like being able to balance their work and personal life better. More than 70% of these workers say they have a better balance now than before. Also, when they find jobs through platforms like Field Nation, they can do different kinds of work that match what they’re good at, keeping their job interesting and making them feel good about what they do.

Entrepreneurship opportunities

Another benefit of choosing contracting is the opportunity to be your own boss and build your own personal business. Being your own boss can look like being in control of your schedule and taking on projects that help you gain desired skill sets, whether that’s communication or a specific ability such as low-voltage cabling. You can also use contract work to establish and maintain a workload for your field service company.

Longevity and growth opportunities

IT contracting is not just something people do for a little while. For many contractors, it’s what they want to do for their entire career. A study by Field Nation found that 64% of people contracting have been doing it for six years or more, showing how much they enjoy this way of working. The main reason they think about stopping is when they retire.

Opportunity growth for contract labor

Companies are also noticing the benefits of independent contracting, and many are using both full-time and contract workers to help them get work done. According to IHL Group, there’s been a significant increase in IT spending, meaning there’s a greater need for IT experts who can work flexibly. Companies that started early in hiring contract workers are seeing good results. They’ve found that hiring these workers lets them get the right IT help when needed, no matter where they are.

Independent contracting on the rise

The trend towards independent contracting is not limited to the IT sector. The broader economy is witnessing a significant increase in independent workers, increasing 89% since 2020, with 72.1 million independent workers in America, as reported by the MBO Partners’ State of Independence in America 2023 report.

Experience the benefits of independent contracting with Field Nation

The rise of independent contracting in the IT field services sector is a testament to the changing dynamics of the workforce, driven by professionals’ desire for flexibility, autonomy, and work-life balance. As the demand for skilled IT professionals continues to grow, more and more field service companies turn to Field Nation to find talented technicians to help with their projects.

Whether you’re seeking full-time or part-time independent work, the opportunities in the IT services sector are abundant and rewarding! Start your journey as an independent contractor and sign up for Field Nation today!

The post The benefits of choosing independent contracting appeared first on Field Nation.

The shifting employment landscape

It’s critical for field service leaders to understand the changing landscape as skilled technicians lean into new ways to work. Here are several employment trends to watch.  

The gig economy and independent contractors

Recent research shows Americans increasingly choose independent forms of employment instead of traditional full-time work. In fact, the MBO Partners State of Independence report confirms that 72.1 million Americans are independent workers, about 45% of the workforce. The field service industry is not immune to this shift, with a recent study of field service technicians showing that 98% of respondents prefer independent contracting in some capacity. 

The dichotomy of employment choices

Today’s labor market presents more options than the binary choice of full-time employment or contracting. Many professionals blend these models, working both as employees and independent contractors for various reasons, including earning extra income and having greater control over work schedules. This hybrid approach complicates the traditional view of employment, making it challenging to gauge the actual extent of the skilled labor shortage.

Retirement wave

A significant portion of the field service sector’s workforce is nearing retirement. According to the Service Council’s survey, about 50% of IT technicians are 45 years or older, a trend mirrored across various trades. This “Silver Tsunami” implies that many skilled, experienced workers are transitioning out of full-time employment. However, many are transitioning to contract work.

Low unemployment, yet high demand

Despite a low unemployment rate in the tech sector (about 2%), there’s a growing demand for skilled labor, partly due to the rapid deployment of technology across industries. This demand, coupled with the aging workforce, hints at a potential mismatch between available jobs and suitable candidates.

Using on-demand labor to overcome challenges and embrace trends

Despite these impactful shifts in the labor market, field service companies can rest assured there are solutions to potential challenges. Here are a few ways to help your company thrive in the evolving labor market.

On-demand skilled labor availability

While there’s a narrative of a labor shortage, the reality might be more about connecting skilled workers to work opportunities. Thousands of independent contractors  use Field Nation to find and complete work. Companies can access these independent workers by leveraging the #1 labor marketplace to find and vet skilled techs to complete assignments.

Technological advancements and requirements

Technology trends drive demand for skilled technicians who can perform installation, maintenance, and updates to existing systems. Meeting this demand may seem challenging, but with Field Nation, field service companies have access to local, on-demand independent contractors  to fulfill their project needs. With Field Nation, field service leaders can confidently select independent contractors based on the skills, experience, and qualifications listed on technicians’ profiles.

Embrace labor trends with Field Nation

The field service industry faces complex challenges, including shifts in work preferences, demographic changes, and evolving skill requirements due to technological advancements.

Address these challenges head-on with Field Nation! Leverage the power of the #1 labor marketplace and start building your on-demand workforce today.

The post Understanding labor shortage trends in the field service industry appeared first on Field Nation.

At the same time, services inflation remains persistent and currently stands at 5.3%. Consumer spending has shown signs of softening, though the extent is less than anticipated. Spending during the holiday period increased nearly 4% in 2023, a slower pace than in the previous three years but in line with pre-pandemic trends.

Retail is a major driver of field service spend. A pullback in discretionary spending and the increased cost of capital have contributed to postponed investments in certain field service projects, while other categories are accelerating due to a continued emphasis on automation and customer experience.

Turning to the workforce, the field service sector is grappling with a structural deficit—the skilled labor shortage. Job openings are at their lowest since March 2021, influenced by high capital costs and subdued demand. The labor participation rate is stagnant at 62.5%, with a lack of participation from younger workers and attrition among experienced technicians. In the tech realm, the unemployment rate remains remarkably low at 2.3%.

However, a notable trend has emerged: a significant rise in independent workers. Across many industries, including field service, workers opt for independent contractor roles to have more control over their work and their time. While some workers become full-time contractors, others do independent work to supplement full-time employment.

According to the MBO Partners State of Independence report, 72.1 million Americans are independent workers, about 45% of the workforce. In a recent study of field service technicians, 98% of respondents prefer independent contracting in some capacity. Experienced workers have not disappeared; they have chosen to work differently.

For more insights into macroeconomic and labor trends affecting the field service industry, access our complete white paper on 2024 trends and predictions based on proprietary data from the Field Nation marketplace.

The post How to adapt to economic and labor shifts in 2024 appeared first on Field Nation.