Tackling Talent Hoarding: Promoting Mobility for Retention

Retaining talent is challenging, especially as younger employees seek growth opportunities. Talent hoarding, where managers restrict employee movement, hinders this growth and fuels turnover. According to Deloitte, companies can address this by fostering a culture of mobility through internal talent marketplaces and manager training programs. This shift is crucial for attracting and retaining top talent in today's competitive job market, according to Deloitte.

A recent Deloitte survey found that nearly half of Gen Z and Millennials leave their jobs within a year if their career aspirations are not heard. Managers restricting internal mobility is a key reason for this. Gloat, a leading HR company, states that talent hoarding occurs when managers keep employees on their teams, limiting opportunities to collaborate across departments. Thus, stifling employee growth and preventing other teams from benefiting from their skills.

Supporting internal mobility can significantly improve retention rates. According to Workest, as reported by MBN, companies that support internal mobility retain almost twice as much talent. Internal mobility ensures a career path rather than a career rut, pushing employees out of their comfort zones and challenging them intellectually and professionally.

MBN reports that according to LinkedIn, 75% of industry leaders that anticipate internal mobility will critically influence the future of recruitment. This emphasis on internal mobility is underscored by LinkedIn's report, which shows that in Mexico, 97% of employees tend to stay longer at companies prioritizing such mobility, a figure nearly 50% higher than the global average. Responding to these findings, LinkedIn introduced tools like the Next Role Explorer in March to enhance internal mobility within organizations.

Deloitte identifies the primary cause of talent hoarding as managers' concerns over potential disruptions from backfilling positions or losing specialized expertise. However, this approach often leads to unintended consequences, as it prioritizes immediate needs over employees' growth aspirations. Consequently, this practice can increase turnover rates and hinder the development of well-rounded talent within the organization.

To combat the scenario, companies must prioritize a mindset shift among managers. This shift involves moving away from viewing employees as static assets solely for their current roles ("my team" and "assets") towards a more dynamic perspective where employees are seen as adaptable individuals with potential to grow ("our team" and "people"), asserts Deloitte. By emphasizing human-centered management practices, companies can foster a culture where managers are encouraged to support mobility and employee development.

Creating a talent marketplace is pivotal as it facilitates a transparent platform where employees can explore and pursue new opportunities within the organization. Similarly, this initiative empowers managers to tap into a wider pool of talent, enabling them to match skills with project needs more effectively, reports Deloitte.