During the extended period of peace following the end of the Cold War, NATO member states significantly reduced their defense spending, capturing what became known as the “peace dividend.”1 This spending trajectory, alongside other post–Cold War dynamics, coincided with sharp reductions in force levels across the Alliance,2 with the number of active-duty troops falling from approximately 5.0 soldiers per 1,000 citizens in 1990 to 2.5 today in some countries. Most countries in Europe saw a steep reduction of 60 to 70 percent, with total active-duty forces dropping from more than 3.5 million in the early 1990s to fewer than 2.0 million in 2020.3
This drawdown reflects structural change in Europe: Many NATO governments suspended or abolished mandatory military service and transitioned to smaller, professional volunteer forces. Looking ahead, continued advances in precision munitions, unmanned systems, and automation may enable militaries to operate with leaner, but more highly skilled, forces. Yet shortages of skilled personnel—particularly in cyber, sustainment, and technical trades—are increasingly acute.4
In this article, we explore the challenges of attracting and retaining the military talent that NATO member states need and outline five imperatives for combating them.
To read the full article, download the PDF here.

