Trend Shift 7: the focus moves from retention to performance as the Great Attrition ends

Summary

McKinsey's seventh shift describes a move from simply keeping employees to actively driving what they achieve. The Great Attrition of the pandemic years is over, growth has slowed or stalled for many organizations, and the rapid rise of AI together with geopolitical uncertainty is adding strain on staff. Although many organizations aim to raise performance, fewer than a quarter manage to sustain the impact over time. The report argues that lasting improvement depends on distinctive organizational capital, meaning how a company is managed, its systems, and its culture, along with real investment in employee health and well-being. It also finds about 45 percent of leaders already see employees more willing to aim higher, suggesting the workforce is responding to rising expectations.