This qualitative analysis examines the causes and effects of Information Technology (IT) labour shortages in rural environments and relate them to the labour market in Terrace, British Columbia (BC). In rural communities with fewer IT job prospects, it can be difficult to attract and retain skilled IT workers, forming a skills shortage. Some of the effects of this skills shortage can be found in IT workers being underemployed or undertrained for positions they hold, leading to waste, inefficiency and lack of productivity. Underemployed IT technicians are a waste of talent which could otherwise be used to increase productivity and efficiency, while undertrained IT technicians are prone to costly mistakes. It is important to note that skills shortages are not restricted solely to rural communities, although they are more pronounced in them. Some of the effects of a rural IT skill shortage include slower economic growth and technical disparity over urban counterparts, which can contribute to a less diverse workforce. This paper will explain if and why there are IT skill shortages in Terrace and rural BC, using careful study of data in rural communities and it will present realistic solutions to address these challenges from a management perspective. Growth trends in IT will be explored to project which skills will require training investment in the future. --Leaf ii.