As dissatisfaction rises, Stephan Meier writes, businesses must ask themselves: Are they prepared to retain their best talent before it’s too late?
Stephan Meier is the James P. Gorman Professor of Business at Columbia Business School.
If employers could tell the future, they’d see a massive wave of resignations hitting in 2025.
A new Glassdoor report confirms what many have already suspected: employees are frustrated, disengaged and ready to leave. Nearly two-thirds of workers feel “stuck” in their current roles, with limited opportunities for growth or advancement. As dissatisfaction rises, businesses must ask themselves: are they prepared to retain their best talent before it’s too late?
For decades, corporations have understood that the best way to attract and retain customers is to give them a custom experience. By tracking customer behavior, businesses customize their experiences and offer products and services that meet specific needs. The same approach can—and should—be applied to employees.
Companies are made up of diverse teams, from C-suite leaders to front-line workers, all of whom play an essential role in keeping the business running. Treating them the same way doesn’t work. Just as businesses would never treat their customers as a homogenous group, they shouldn’t treat their employees that way either.
Why employee segmentation works
Instead of relying on broad demographic data to create one-size-fits-all HR policies, companies need a more sophisticated, personalized strategy to retain their talent, especially in the wake of growing dissatisfaction. By strategically and ethically leveraging the vast data they already collect, businesses can personalize HR interventions, prevent burnout, boost morale and prevent a wave of mass exodus. This is the power of employee segmentation.
We’ve seen how personalizing customer experiences leads to stronger engagement and loyalty. Amazon revolutionized e-commerce by using customer data to deliver tailored services. Why not apply the same philosophy to employees?
Take Eli Lilly, for example. The pharmaceutical giant implemented an “employee journey” initiative to identify pain points for underrepresented minorities and improve key moments along their career paths. The results were staggering: between 2016 and 2019, the number of women of color at the company grew by 6%.
Similarly, MasterCard uses internal marketplaces to match employees with projects that align with their interests and ambitions. Powered by an AI tool called Unlocked, employees can sign up for projects that allow them to grow their skills in areas they care about — without sacrificing pay or workload. This personalized approach, powered by data, helps MasterCard continually refine and enhance the employee experience over time.
These examples show how segmentation can turn career dissatisfaction into motivation. By focusing on the unique needs of different employees, companies can create more engaged and productive teams. Personalized management strategies don’t just increase job satisfaction — they align individual goals with broader company objectives, reducing turnover and improving overall performance.
The Glassdoor report paints a stark picture: workers are feeling stagnant, leading to what’s being called “revenge quitting.” But by using data-driven insights, businesses can identify at-risk groups and provide tailored opportunities for growth, whether through lateral moves, mentorship or specialized learning programs.
Take middle managers, for example. Often bearing the weight of layoffs and increased responsibilities, these employees are prime candidates for targeted support that can prevent burnout. In industries like retail and logistics, where turnover is high, front-line employees could benefit from flexible work arrangements or clearer career advancement pathways that help them feel more engaged.
Using data responsibly
Of course, with the power of data comes the responsibility to use it ethically. Poorly executed segmentation strategy can lead to discrimination and mistrust. Just as customer data needs to be handled carefully, so too must employee data. It’s essential for companies to use behavioral data in ways that protect privacy and foster trust. If mishandled, these practices could fuel the dissatisfaction they aim to prevent.
Transparency is key: companies must communicate clearly how data is collected, used and safeguarded.
Involving employees in decisions about data collection will foster a culture of trust and cooperation, making it easier to implement personalized HR strategies. It’s also important that data collection be voluntary. When employees understand the value of the data and trust the protections in place, they’re more likely to participate.
The potential for a 2025 quitting spree is a wake-up call. Workers are voicing their dissatisfaction, and businesses must act or risk losing valuable talent. Employee segmentation isn’t just a strategy to prevent turnover — it’s an investment in building motivated, resilient teams for the future.
As businesses plan for 2025 and beyond, now is the time to prioritize employee well-being. Personalized management, driven by data and rooted in trust, will help organizations retain top talent in an increasingly competitive labor market. The message is clear: just as companies have learned to put customers first, those that put employees first will not only survive the challenges ahead — they will thrive.
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