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Losing High Performers Is Costly! 7 Actions You Should Take Today to Keep Them.

Throughout my career, I’ve had countless conversations with high-performing employees who unexpectedly handed in their resignation.

Almost every time, their manager was completely caught off guard:

“This came out of nowhere.”

“How could this happen?”

“I had no idea she was unhappy. I thought everything was going great.”

Sadly, in most cases, the departure was entirely preventable.

The leader missed the signs that were obvious to everyone else.

And the consequences? Costly!

Replacing a high performer comes with a steep price: recruiting, training, lost productivity, and often lost revenue, not to mention the burden placed on the rest of the team, who now must pick up the slack.

Retaining top talent is essential. There is a lot at stake.

After hearing these stories again and again, clear patterns began to emerge. I’ve compiled the top 7 reasons high performers leave (in no particular order), and not surprisingly, they closely mirror what the latest research shows. Also, I share a few actions you can take today to fix the underlying problems.

  1. Minimal Career Advancement

Top performers are ambitious and often seek growth, whether new skills, bigger responsibilities, or upward movement. When there’s no clear path forward, they get frustrated. I often heard things like, “I want to advance, but my manager has never talked to me about my career,” or “I don’t see any advancement opportunities here.”

👉 Fix it: Have regular, open conversations about career goals. Understand what career success means to them. Provide visible development paths, challenging projects, stretch opportunities, and training. Their growth has immediate payback.

  1. Pay That Doesn’t Reflect Performance

High performers notice when their exceptional results are rewarded the same as average performance. This disconnect undermines their sense of fairness and signals that outcomes don’t matter. A typical response for why they were leaving was, “If I’m doing twice the work, why am I being paid the same?” or “My new organization will value my contributions.”

👉 Fix it: Ensure your compensation packages differentiate pay for performance. Consider performance-based bonuses, equity, or other meaningful rewards that show your top talent they are truly valued.

  1. Unaddressed Poor Performance

Nothing frustrates high performers more than compensating for team members who are not “pulling their weight”. Tolerance of poor performance sends a message that leadership is unwilling to lead, and that excellence doesn’t matter. It was not uncommon for high performers to say things like, “Why won’t my leader deal with ‘Frank’? He doesn’t do anything, and I’m the one cleaning up the mess.”

👉 Fix it: Address performance issues directly and consistently. Create a culture of accountability where everyone is held to the same standards. Set clear individual and team goals and follow through when expectations aren’t met.

  1. Internal Politics and Bureaucracy

High performers want to move fast, solve problems, and drive results. When they get bogged down by internal politics or endless red tape, they become disillusioned with the organization. I’ve heard frustrations like, “I can’t get anything done around here. Leadership just keeps putting up roadblocks because they don’t want to make a decision.”

👉 Fix it: Eliminate unnecessary layers that slow things down. Give your top performers the autonomy to make decisions and move forward. Support them when they encounter internal resistance, and clear the path so they can succeed.

  1. Poor Leadership

A bad manager can drive out a great employee faster than almost anything else. Top performers need clarity, support, and a leader who cares about their potential. But too often, I heard things like, “My manager is never available,” or “She doesn’t understand what I do or listen when I speak up.”

👉 Fix it: Invest in your managers. Train them to coach, give feedback, and build trust.

  1. Poor Communication

High performers want to understand the bigger picture. They feel disconnected and undervalued when they’re in the dark about company changes or decisions that affect their work. I’ve heard this more times than I can count: “I have no idea what’s going on,” or “Decisions are made, and no one explains how they impact me/our team.”

👉 Fix it: Communicate early and often; be transparent. Share the “why” and help them understand the rationale for the decision. Share how their work connects to the company’s success and create space for feedback and discussion.

  1. Burnout and Exhaustion

Top performers often become the go-to team members when something needs to be done. They take on more, help others, and go the extra mile. Eventually, though, it takes a toll. I regularly heard things like, “I’m just tired. I’ve been working 60-hour weeks for months, and no one seems to notice.”

👉 Fix it: Don’t take their work ethic for granted. Check in regularly, redistribute workloads when needed, and encourage taking time off. Make it clear that sustainability matters more than constant overachievement.

The Takeaway?

Top performers are invaluable but need more than a paycheck to stay. They’re looking for growth, purpose, great leadership, and recognition that reflects their impact.

Don’t take them for granted. How are they doing? What do you know for sure? Your takeaway is to reach out to your high performers and ask how things are really going. Explore whether any of these common reasons for turnover might be quietly at play and take action to lead, support, and create an environment where they can perform at their best.

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Debunking Common Leadership Myths

Before reading this article, take a moment to reflect on your leadership beliefs:

  • What do you believe makes an effective leader?
  • What leadership myths do you see persist in organizations?

Leadership myths are misconceptions and misunderstandings of what effective leadership is.  They remain common in today’s workplaces because:

  1. Many stem from outdated leadership styles that treat workers as expendable—yet, for some reason, they still linger in modern organizations.
  2. Some organizations continue to view leaders as heroes—expected to have all the answers and save the day when a crisis strikes.
  3. Leaders often repeat behaviors that worked in the past, relying on previous experience to navigate today’s challenges. Unfortunately, today’s challenges demand a different approach.

This article will debunk eight widespread leadership myths and offer recommendations to help leaders lead more effectively.

Myth 1: Leaders Should Have All the Answers

The first myth we must debunk is that leaders should have all the answers. In reality, expecting a leader to know everything is unrealistic. The abundance of information in the world today makes such an expectation impossible. Instead, successful leaders continuously learn, stay informed about critical issues, communicate transparently, and empower their team members to be experts. Leaders earn credibility and trust when they are vulnerable enough to admit they don’t have all the answers. Instead, they seek out those answers and communicate them to their teams.

Myth 2: Leaders cannot have Work-Life Balance

Leaders must work 80-hour work weeks to stay ahead is also a myth. It is undoubtedly challenging for leaders to balance their professional and personal lives, but it’s not impossible. Many highly successful leaders achieve work-life balance by being master delegators, focusing on deep work during peak energy times, focusing on the “Big Rocks,” eliminating tasks, meetings, and functions containing little value, and prioritizing family time. It’s incredible how much time can be freed when unnecessary work is eliminated. Just remember – A leader running on empty fuels a team running on fumes.

Myth 3: Being Visionary is Only Important in the C-Suite

We can all think of the charismatic, visionary CEO, like Steve Jobs, and assume you can’t do that.  “Clearly, visionary leadership is not for me!”  However, research on Transformational Leadership finds that vision is critical for leader effectiveness at all levels. Leaders enhance engagement and motivation when communicating a compelling purpose. The exciting thing about vision skills is that they can be learned and improved with practice.  You can build these skills by translating a job’s purpose to the mission, communicating inspiring change, and explaining an exciting future. Creating a compelling vision is a skill to be honed throughout a leader’s career, not just when they reach the top.

Myth 4: Don’t Invest in Employee Development Because They Will Leave

Another common myth is that investing in people’s development will lead to them leaving the organization. This is a harmful and dangerous misconception. One of the most frequently cited reasons for turnover is a lack of personal development. Sadly, organizations create the opposite outcome by believing this myth – people are likelier to leave organizations because they do not receive development.  Ways to develop people and keep them from leaving include communicating their value, outlining a potential career path, granting them autonomy, having open and honest career discussions, and creating high-impact stretch assignments.

Myth 5: Leaders Should Only Focus on Their Strengths

How could this be a myth? We constantly hear that people should focus on using their strengths.  While it’s crucial to leverage one’s strengths, only focusing on them can be a flawed leadership strategy. About 50% of leaders fail because of a critical flaw or derailer, not due to missing strengths. Leaders should focus equally on using their strengths and minimizing or working around their weaknesses or potential derailers.  One way to do this is to use feedback or objective assessments to enhance self-awareness.

Myth 6: Leaders Must be Extremely Confident to be Successful

TV and movies are filled with the hero boss.  When times are tough, the strong leader simply steps in and tells everyone what needs to be done.  While confidence and courage are necessary for making difficult organizational decisions, overconfidence often leads to poor decision-making due to underestimating risks and ignoring other’s input. Research also shows lower leader confidence can enhance conscientiousness and focus, resulting in successful outcomes. With the right mentorship, feedback, and support, confidence can be built for long-term success.

Myth 7: Development is a Waste for Experienced Leaders

The seventh myth is that personal development is a waste of time for experienced leaders. This misconception stems from arrogance and a belief of having “made it.” A lack of a growth mindset can lead to an untimely failure. Being an effective leader is a never-ending journey, even for the most accomplished leaders. At the senior level, development may focus more on mentoring, coaching, and stretch experiences.

Myth 8: Leaders Shouldn’t be Vulnerable

The final myth is that leaders shouldn’t be vulnerable. This myth stems from an antiquated belief that vulnerability equals weakness. In reality, research supports the importance of leadership authenticity, which includes vulnerability. Leaders can show vulnerability positively by sharing their thoughts and feelings, asking others for feedback, discussing important work issues, sharing personal information, owning up to mistakes, and discussing their values and beliefs.

Debunking these leadership myths can lead to better understanding and more effective leadership strategies. It’s essential to continuously evaluate and challenge our beliefs about leadership to ensure we’re not falling victim to these myths. What leadership myths made your list?