Teacher hiring is a critical lever for improving school outcomes. However, the availability of supply is a significant barrier that affects principals' processes for teacher staffing. Drawing on sensemaking theory and concepts of fit, this study investigates how principals make sense of recruitment and hiring in a local labor market with severe teacher shortages. Findings illustrate labor market conditions constrained principals' attempts to hire strategically and shaped new practices and hiring behaviors. By presenting a conceptualization of these hiring arrangements-strategic, creative, and transactional hiring-this study reveals the micro-negotiations principals make when recruiting and hiring in teacher shortage environments. Teacher hiring is one of several key organizational tasks proven to be a significant predictor of school accountability performance and teacher satisfaction (Grissom & Loeb, 2011). As a critical lever for improving human capital within schools (Donaldson, 2013; Tamir, 2019), some have argued that teacher hiring is "the single most important task of a principal" (Mason & Schroeder, 2010, p. 18). Teacher hiring is a multifaceted process of recruiting, screening, and selecting the best candidate for the school environment (Engel & Curran, 2016; Harris et al., 2010; Jabbar, 2018). How principals go about this process is the focus of a growing body of research. Studies explore the kinds of tools principals use, principals' perceptions of applicant fit, specific screening and selection procedures across schools (i.e., charter or traditional public schools) and school levels, as well as the impact of policy accountability on principals' conceptualization of teacher quality (