Yes, industrial organizational psychology is in demand in the United States. In this article, I will share recent trends for jobs in this field. While jobs in industrial organizational psychology are trending up, I will also share important factors to consider regarding these trends. For example, the overall number of positions in the field of industrial organizational psychology is still relatively low, although increasing.
What is the Job Outlook for Industrial Organizational Psychology?
To answer this question, I first checked the Occupational Information Network (O*NET) for recent projections. O*NET is a well-established, reputable source of employment statistics. I have been using O*NET for years to track trends related to the field of industrial organizational psychology. The job outlook statistics have consistently been positive. The current projected growth for the field between 2021-2031 is 4 – 7%. This growth is expected for those working in the field of industrial organizational psychology, specifically for the job “industrial-organizational psychologist.” We can also gain further insight into growth trends by exploring related, but broader job titles.
O*NET shows positive trends for jobs related to industrial organizational psychology. For example, the job category of human resources specialist includes roles that someone in industrial organizational psychology may pursue, such as a recruiter. This job has a positive growth outlook of 8 – 10% (faster than the average job in the O*NET database). In the specialized jobs of Training and Development Specialists and Training and Development Managers, we see similar growth rates (8 – 10% expected. Management analysts are expected to have an even higher growth rate of 11% during the same period. For those interested in teaching, Psychology Teacher – Postsecondary jobs similarly have a high projected growth rate (8 – 10%). All of these projected growth rates are promising. However, there is more that you should consider beyond this percentage.
Number of Positions Now and In the Future Matters
When considering a job’s employment outlook, consider the number of people currently in that job. That baseline number will help you to put the growth rate into perspective. For example, suppose I were comparing two jobs on growth rate alone, and Job A has a projected growth rate of 50% and Job B of 9%. I might assume it is better to pursue employment in Job A than in Job B because it has a higher growth rate percentage. If I learned that there are only 10 people in the country currently in Job A versus 5,000 people in Job B, I might draw the opposite conclusion.
Let’s Consider Another Example
Let’s consider the job role of industrial-organizational psychologists more closely, with this information in mind. According to O*NET, 2,900 people were employed as industrial-organizational psychologists in 2021. The projected job growth rate again is 4 – 7%, which they estimate to look like 200 new job openings. If we run the numbers, the number of job openings would likely fall between 116 (4%) and 203 (7%) between 2021-2031. Let’s compare these numbers with one of the broader job categories to put it into perspective.
Suppose you were interested in industrial organizational psychology and you want to specialize in training and development. Let’s say you started as a Training and Development Specialist. O*NET estimates that 354,800 were employed as Training and Development Specialists in 2021. The projected job growth rate for this position again is 8 – 10%, which they estimate to look like 36,500 new job openings between 2021-2031. If we run the numbers, the number of job openings would likely fall between 2,920 (8%) and 3,650 (10%) between 2021-2031. If you were to enter the field with a Ph.D. and some experience, perhaps you would aim for a Training and Development Manager job. In that case, O*NET estimates that there were 38,100 people employed in that role in 2021. They estimate that, with an 8 – 10% growth rate, we will see 3,700 new openings in this job between 2021-2031.
Don’t Rely on Growth Rates Alone to Determine: Is Industrial Organizational Psychology in Demand?
Considering the findings from these comparisons, it is essential to review the actual number of current and projected jobs when making sense of growth rates. Do not rely on the percentage growth rate alone. I have seen the projected growth rate of industrial-organizational psychologists advertised and used for promotional purposes. While the growth rate looks promising, those entering the field should be aware that the overall number of positions in this field is relatively small.
Where You Live/Work Matters
In addition to growth rates and the number of positions, consider your geographic area when anticipating employment trends. The U.S. Bureau of Labor Statistics (BLS) provides estimates of the number of people working in positions by geographic area. It is important to remember that remote jobs may be “located” in one area, while employees work in another. This distinction does not appear to be present in the BLS’s statistics for industrial-organizational psychologists. When comparing the number of U.S. states with people currently employed in industrial-organizational psychology to those employed as Training and Development Managers, there is a substantial difference. If you are interested in working in a traditional, face-to-face, or hybrid setting to explore employment data for your state. Keep in mind that those statistics are estimates.
Just as in other employment areas, trends differ by location. I have found that there are more likely to be true industrial organizational psychology employment opportunities in an urban area, such as in big cities and in places where you have higher concentrations of government agencies. Large, national, and multinational companies and consulting firms are more likely to hire industrial-organizational psychologists. They tend to have their corporate officers in large cities, such as Los Angeles, New York, or Dallas. Geographic areas with high government concentrations, such as Washington, D.C., and Northern Virginia also tend to have more opportunities for people to work directly in industrial organizational psychology.
In smaller cities and rural areas, you are more likely to need to explain what industrial organizational psychology is to your employer. In those areas, you may find it easier to pursue jobs in specialized areas of industrial organizational psychology, such as Training and Development Specialist.
Conclusion
Is industrial organizational psychology in demand? Yes. Jobs in this field are in demand now and will continue to be so in the future. However, as we have seen in this article, it is important to keep in mind that the size of the field impacts what that growth translates to in terms of opportunities. Furthermore, where you live/work will also impact how you see that growth in the future.
My advice: explore specialization areas in industrial organizational psychology and find one or two that align with your interests. Develop broad expertise in industrial and organizational psychology, such as through a formal degree program. Then, develop stronger expertise in a few specialty areas (e.g., recruitment or training and development) that address the following criteria:
- You have a genuine interest in the specialty area(s).
- Jobs in the specialty area(s) have average to high projected growth rates (use O*NET to gather statistics).
- The number of people employed in that field is relatively high.
- If you plan to work in-person or hybrid, the number of people working in jobs related to that specialty area is high in your geographic area.
