As businesses worldwide accelerate their adoption of artificial intelligence, a severe talent gap is emerging as a major obstacle, according to new research from Bain & Company. The study highlights that AI-related jobs postings have grown by 21% annually since 2019, while compensation has risen by 11% per year. However, the supply of skilled AI professionals has not kept pace, leading to a widening talent shortage that is slowing AI implementation.
AI Ambitions Outpacing Talent Supply
Companies are struggling to find qualified professionals to fill AI-related roles, hindering their ability to scale and compete in an AI-driven world. According to Bain & Company’s Sarah Elk, Americas Head of AI, Insights, and Solutions, the talent gap has become a critical barrier to innovation.
“AI is at the forefront of corporate transformation, but without the right talent, businesses will struggle to move from ambition to implementation,” said Elk. “Executives see the growing AI talent gap as a major roadblock, limiting their ability to scale AI-driven solutions.”
The study finds that nearly 44% of executives cite a lack of in-house AI expertise as a key challenge in deploying generative AI technologies.
Global AI Workforce Projections: A Growing Divide
The AI talent shortage is expected to persist through at least 2027, with varying levels of severity across different markets:
United States: The country faces a significant AI workforce shortfall, with projections indicating that 1 in 2 AI jobs may remain unfilled by 2027. AI job demand could exceed 1.3 million, but the available talent pool is projected to reach only 645,000, leaving a gap of up to 700,000 AI professionals.
Germany: Expected to face the largest AI talent deficit globally, with 70% of AI jobs unfilled by 2027. An estimated 62,000 AI professionals will be available to fill 190,000 to 219,000 job openings, making reskilling a critical priority.
United Kingdom: The AI workforce shortfall could exceed 50%, with only 105,000 AI professionals available for an estimated 255,000 job openings in 2027.
India: The country’s AI job market is projected to surpass 2.3 million openings by 2027, while the available AI talent pool is expected to grow to 1.2 million, resulting in a shortfall of over 1 million skilled AI workers.
Australia: The country could face a shortfall of more than 60,000 AI professionals, with only 84,000 AI specialists available to fill up to 146,000 jobs by 2027.
Also read: AI Isn’t the Problem, Inefficiency Is: Sridhar Vembu
Bridging the AI Talent Gap
To address the growing workforce challenge, Bain & Company suggests businesses take proactive measures, including:
- Upskilling existing teams to bridge knowledge gaps in AI and machine learning.
- Expanding hiring strategies by tapping into global talent pools and fostering remote work capabilities.
- Rethinking AI education and training by partnering with academic institutions and offering reskilling programs.
With AI increasingly integrated into core business operations, companies that fail to invest in AI talent development risk falling behind their competitors. As demand for AI professionals continues to outstrip supply, organizations must move swiftly to build, attract, and retain a workforce capable of driving AI innovation.
