IAM market surges as practical skills outpace degrees in hiring

The United States Identity and Access Management (IAM) hiring sector is undergoing considerable changes, driven by technological advancements and evolving cybersecurity priorities.

A recent study by SPG Resourcing indicates that the US IAM market will be valued at USD $7.36 billion in 2025, with an annual compound growth rate of 15.53 percent projected through 2030. The global IAM market is forecast to reach USD $65.7 billion by 2034, buoyed by major industry hubs such as San Francisco, New York, and Washington, D.C., which are experiencing rising enterprise security needs.

Salaries and demand

Data from the study shows that salaries for IAM roles are increasing substantially. Positions have seen an annual rise of 8 to 12 percent. Entry-level analysts now earn an average of USD $98,400 while senior architects can receive upwards of USD $165,000. Contractors specialising in sought-after platforms, such as Okta, Ping, and SailPoint, routinely secure pay rates of between USD $100 and $150 per hour.

This salary growth reflects escalating demand for qualified professionals as companies prioritise stronger cybersecurity practices and digital transformation objectives.

Evolving skill requirements

The findings indicate a shift in the skills employers are seeking. While traditional academic qualifications were previously emphasised, it is now more common for businesses to focus on candidates who can demonstrate practical expertise. Proficiency in Zero Trust frameworks, automated identity provisioning, and AI-powered threat detection models is now a significant criterion for recruitment.

There is increasing demand for expertise in behavioural analytics, decentralised identity, cryptographic agility, and enforcement of real-time policies. Employers are also valuing hands-on experience with technologies such as FIDO2, SAML/OIDC, and post-quantum cryptography, over more conventional educational backgrounds.

This adjustment in hiring strategies has led to greater emphasis on skills-first recruitment processes. Demonstrated experience in cloud platforms, participation in hands-on labs, and capabilities in real-world problem solving are now preferred benchmarks in candidate assessments.

Industry changes and regulatory pressures

The broader adoption of Zero Trust models, where continuous authentication, least-privilege access, and machine identity management are standard components, is influencing the shape of IAM roles across enterprises. Engineers in these positions are expected to manage policy engines and session controls that accommodate on-premises, cloud, and hybrid technologies.

Multifactor authentication (MFA) is also evolving, with expanding use of risk-based and AI-supported tools. Passwordless authentication options, including biometrics and hardware tokens, are gaining traction due to their perceived security and usability benefits.

AI applications have become embedded throughout the IAM lifecycle, supporting automated provisioning, anomaly detection, and the establishment of Identity Threat Detection and Response (ITDR) as a core aspect of enterprise security operations.

There is also growing interest in blockchain and decentralised identity, particularly with the adoption of decentralised identity wallets and the use of verifiable credentials. These measures enable new trust models, which are especially relevant in privacy-sensitive industries and government sectors.

The scope of IAM responsibilities now encompases the Internet of Things (IoT) and edge computing. Professionals are required to secure not only users, but also devices, endpoints, application programming interfaces (APIs), and machine identities throughout distributed environments.

With tightening regulations, particularly concerning GDPR, CCPA, and HIPAA, the deployment of IAM technologies to secure compliance is a rising priority. This is prompting increased use of real-time auditing, automated access reviews, and rigorously documented policy enforcement.

Recruitment strategies

"The smartest companies in 2025 are thinking beyond job titles and CVs. You need to clearly define IAM career ladders so candidates see a future with your team, not just a job. Prioritize practical skills, if someone can design a Zero Trust policy engine or run IAM threat simulations, that's more valuable than a degree. Invest in real upskilling and train your people on protocols like SAML, FIDO2, and crypto-agile authentication. Expand your pipelines by collaborating with boot camps and offering fractional roles. And above all, position IAM as a strategic enabler, not just a security checkbox. When candidates see that they'll be shaping innovation, they show up."

The report highlights that hiring timelines have extended considerably, now averaging between 65 to 75 days. There is also a reported 17 percent shortfall in filling IAM-specific positions. This talent gap underscores the necessity for organisations to rethink conventional recruitment and workforce development approaches in order to attract and retain the necessary expertise.

These industry trends suggest that companies prepared to adapt their talent strategies, focusing on practical skills development and clear career progression in IAM, will be better positioned to address future cybersecurity requirements.