Inside the defense workforce: Data signals from engineers to veterans

Findem’s market intelligence unlocks labor market insights from the world’s largest, multidimensional talent dataset.

Defense contractors are evolving their talent strategies in an era defined by AI, automation, and digital transformation. With software and systems engineering at the core of modernization efforts, hiring patterns and career mobility within the defense sector are shifting rapidly. The skills, experience, and mobility of the defense workforce now determine how quickly organizations can adapt to emerging technologies and maintain operational advantage.

The following insights highlight the critical workforce patterns shaping the defense industry and where the greatest opportunities exist to attract and retain top talent.

Finding #1: Software talent drives both promotions and new hires

Defense contractors are now, more than ever, prioritizing software expertise. Engineers top both promotion and hiring lists, signaling a clear move toward digital-first capabilities.

In the past year:

• Software Engineer was the most frequently hired role.
• Senior Software Engineer was both the most promoted and the second most hired position.
• Project and Program Managers continued to play key roles in advancing cross-functional initiatives.

The concentration of movement among these roles shows how digital fluency defines organizational growth. Software and systems engineers are now central to program success, and defense contractors that invest in structured growth for this talent will have the greatest ability to sustain modernization momentum. 

Organizations competing for digital talent must balance internal development with external recruitment to meet growing demand for engineers who can innovate securely and at scale.

Finding #2: AI professionals in defense stay longer but are reaching an inflection point

AI professionals in the defense sector show significant role stability, remaining in the same position for an average of 4 years, which is 1 year and 5 months longer than the average tenure for AI and machine learning engineers across industries. This stability reflects both deep technical specialization and a slower rate of career transition compared with the broader technology market.

• 50% of AI professionals in defense have been in their role for 3+ years
• 38% have been in the same role for 4+ years and are likely evaluating new opportunities
• 16% started a new job within the past year and are less likely to be considering another change

Among these recent hires, 15% are job hoppers who have worked at three or more companies within the last three years

Finding #3: Veterans earn promotions faster but still face advancement gaps

Veterans continue to be a critical part of the defense workforce and their performance data reveals both strengths and inequities.

• Veterans working at defense contractors are 69% more likely to have been promoted in the past two years as as compared to all veterans in the US
• Yet, they are 6.5% less likely to be promoted as compared to non-veterans at defense contractors

This disparity suggests that while veterans are valued for their leadership and discipline, structural barriers may still limit equal career progression. Bridging this gap through mentorship, leadership pipelines, and equitable evaluation practices will be vital for retaining top veteran talent.

Finding #4: Veterans bring more experience but hold similar roles

Veterans working at defense contractors bring 2.7 more years of experience than non-veterans at defense contractors on average, yet both groups tend to occupy the same key roles:

• Veterans: Program Manager, Project Manager, Software Engineer, Systems Engineer, Systems Administrator
• Non-veterans: Software Engineer, Project Manager, Systems Engineer, Program Manager, Senior Software Engineer

This alignment indicates that while veterans bring seniority and depth, their experience isn’t always matched by differentiated roles or advancement pathways. Companies that leverage veterans’ accumulated expertise stand to strengthen their operational resilience.

Hiring for innovation in 2025

The defense industry is transforming at the intersection of mission readiness and digital capability. As software and AI talent reshape the sector, the organizations that succeed will be those that recognize the talent signals behind these shifts, tenure, promotion velocity, cross-functional skillsets, and the experience differentials between veterans and non-veteran technologists.

Findem’s multidimensional talent data surfaces these patterns, turning workforce insights into strategic advantage. For HR and talent leaders in defense, the opportunity lies in hiring not just for clearances, but for capability, creativity, and continuity.

Ready to see how success signals can strengthen your next technical or veteran hire? Request a demo.