How to maximize employee retention and career growth through supportive leadership

Fast Company

12 hours ago

I recently said goodbye to a senior leader on my team. After half a decade of personal investment, intentional skill development, and leadership incubation, they transitioned to a role at a customer's company.
I felt a lot of things as they walked out the door:
• I was devastated. I like this person.
• I was disappointed. Years of investment won't yield a return for our company.
• I was proud of them. I'm so happy for them and want to see them succeed.
That's not what you expected, right? Admittedly, I didn't either.
This response challenges my instincts. On one level, I want to retain my best talent indefinitely, ensuring all my investments yield direct, measurable returns for me and my company.
What I want more is a workplace where people feel empowered to grow, pursue new opportunities, and achieve their full potential, even if that means they eventually move on to bigger and better things outside of my organization.
This loose grip, others-oriented philosophy isn't just altruistic or virtue signaling. It's proven pivotal for long-term organizational success.
In other words, it's a hard leadership lesson, but it's worthwhile for everyone, from top-level executives to middle managers.
THE 'LEAD TO LET GO' PHILOSOPHY
Leading to let go isn't an active effort to push people away. It's about giving everyone the freedom to make the most of their professional career and realize their full potential, wherever that may lead. Put differently, leading to let go is a leadership philosophy that prioritizes an individual's best career trajectory, even if that path leads outside your organization. It's about recognizing that helping someone achieve their personal and professional best ultimately benefits not just them, but everyone involved.
Today, too many managers are missing this vital truth.
According to a 2024 employee survey, 46% of respondents said they lacked career support from their managers. Meanwhile, employees actively seek opportunities to advance their careers, maximize their potential, and pursue new challenges.
The result? One-quarter of employees say they will likely quit within the next six months because of a lack of career development opportunities. According to Forbes, a lack of career growth opportunities may be the top reason for employee turnover in 2025.
Consider the case of my employee who departed from my company. Their new role offered them an accelerated path to leadership, for which they were well-suited; however, they were still further away from achieving that position within our structure. This move cut their time to executive leadership in half, providing them with valuable experience in a new industry, where they can develop a new skill set while continuing to refine existing competencies.
There is an immediate (and somewhat obvious) question for many leaders: 'How do I benefit from losing a good employee?' The answers, as I've discovered, are profound and far-reaching.
While it can be difficult to watch people walk away, the long-term benefits significantly outweigh the short-term pain.
Making people your top priority accrues several benefits, including:
1. CULTIVATING A SUPPORTIVE CULTURE
Culture matters, and a workplace culture that only supports people when they are 'on our team' is toxic, not healthy. By openly supporting an employee's decision to move on for their long-term growth, you send a powerful message throughout your company: that leadership genuinely encourages and enables individual career ascension.
This permeates your workplace culture, creating a company where people know they will be fully supported. This makes your organization a place where people want to stay.
The results are more than just vibes. One analysis found that employees who feel connected to a company's culture are five times more likely to be engaged at work and six times more likely to recommend your company to others.
2. BUILDING A POSITIVE COMMUNITY REPUTATION
When individuals witness or hear about companies that prioritize an employee's individual growth over their immediate retention, it creates a brand reputation with impact. Your company becomes known as a place where people can truly thrive and are supported in their professional journeys.
This can become a powerful magnet for new customers and top talent, attracting high-caliber individuals who seek an employer genuinely invested in their long-term development.
The employee who leaves with your blessing and support transforms into a lifelong ally. They become an advocate for your company, a potential future partner, or even a returning boomerang employee with enhanced skills.
These boomerang employees account for up to 25% of all new hires, and Forbes notes the multifaceted benefits of welcoming these returning hires to your organization, including increased loyalty, fresh perspective, and 'a testament to your culture.'