2026 Security Industry Labor Trends: What Leaders Need to Know
Jill Davie, TEAM Software by WorkWave, CALSAGA Network Partner
For security leaders, the labor landscape is always shifting. But understanding these shifts goes beyond merely keeping up; it is essential for staying profitable and operational in a high-stakes industry. As we look toward the remainder of 2026 and beyond, the data tells a compelling story.
A Cooling National Market — But Not for Security
The broader U.S. labor market has stabilized considerably. Quit rates are holding low, signaling reduced worker confidence and less market mobility. Despite this cooling, a labor shortage persists — as of late 2025, there were still 7.1 million open jobs against 7.8 million unemployed workers.
Looking further ahead, structural headwinds make this shortage unlikely to resolve on its own. An aging workforce, slowing immigration and a labor participation rate projected to drop from 62.4% in 2025 to 61.4% by 2035 suggest that competition for reliable personnel will remain fierce across all sectors.
The security industry, however, is operating in a league of its own. Our hire rate is 2.1 times the national average — 7.6% versus 3.6% nationally. While that reflects strong service demand, it also signals a constant need to replenish staff. Voluntary separations tell an equally challenging story, with the industry quit rate averaging 3.5% over the last 12 months compared to a national average of just 2%. We are bringing people in; keeping them is the harder battle.
The First 60 Days Are Everything
The data on early turnover is stark. By day 30, 18% of newly activated employees are already gone. By day 60, that number climbs to 26.4%. The good news is that employees who make it past the 45-day mark are significantly more likely to stay long-term — making the early employment experience one of the highest-leverage investments a security firm can make. A structured onboarding process that actively engages new hires from day one through at least day 90 is no longer optional. It is the single most effective tool for stopping the leak.
Wage Pressure Is Real — and Outpacing Inflation
To compete for talent, security firms have had to move pay rates consistently upward. Average hourly wages have climbed from $18.45 in December 2023 to $19.30 in December 2024 to $20.08 by the end of 2025 — a 4.0% increase in the last year alone. Notably, full-time and part-time wages have converged at that same $20.08 mark, reflecting a growing premium on scheduling flexibility.
These increases are outpacing inflation, which means margin compression is a real and growing concern. Regional variation adds another layer of complexity — average wages range from $26.16 in New Hampshire to $11.19 in Puerto Rico. Understanding your specific market benchmarks is essential to staying competitive without overspending.
Technology as a Retention Tool
One of the more encouraging findings in the 2026 data involves the impact of financial wellness technology on retention. A case study of 3,000 employees found that offering Earned Wage Access — which allows employees to draw pay as it is earned rather than waiting for payday — drove a 60% adoption rate and resulted in 16% higher retention among users. Benefits and technology that address the day-to-day financial realities of hourly workers are proving to be powerful differentiators in reducing turnover.
The Road Ahead
The security labor market in 2026 is resilient but under pressure. Demand is high, costs are rising and the easy hiring environment of previous years is behind us. Firms that integrate back-office management with field operations, reduce non-billable overtime, automate compliance and invest in the worker experience from day one will be best positioned to build a workforce that sticks.
The trends are clear: the future belongs to those who value their people and use data to prove it.
Jill Davie started her career at TEAM Software as a summer marketing intern in 1996. At the time, TEAM was a start-up with 12 employees
After earning a Bachelor of Science degree in Business Administration and Marketing from Iowa State University, Jill joined TEAM full time in 1998 as a Sales Associate. Over the next 20 years, she assumed various leadership roles in Sales, Marketing, Communications, Customer Success and Professional Services as the company grew significantly. Jill also served on TEAM’s Board of Directors from 2014 through 2021 when it was acquired by WorkWave. During her board tenure, TEAM transformed from founder-owned, to employee-owned to private equity owned. They also acquired five companies across the globe, expanding their domestic and international market leadership.
Currently, Jill serves as the SVP & GM, Cleaning & Security responsible for Customer Success Management, Professional Services and Customer Engagement. She is passionate about operational excellence, engaging directly with customers and attracting and retaining top talent with a people-centric culture.