Rethinking Talent Strategy: Why HR Leaders Must Champion Internal Mobility

HR leaders today face an urgent challenge: adapt their workforce strategies to navigate economic uncertainty or risk losing talent to career stagnation.

At a time of hiring freezes, budget constraints, and layoffs, external recruitment slows – but internal mobility must accelerate. This is because history shows it’s the organizations that redeploy and upskill their workforce internally which not only survive disruption … they emerge stronger.

Yet many organizations have typically prioritized external hiring over internal progression, leaving employees feeling like their best career move is to exit rather than grow within. Indeed, a Deloitte study found that 65% of companies report it’s easier for employees to find opportunities outside rather than inside the company. In today’s climate, that kind of talent loss is unsustainable.

That’s why internal mobility is no longer just a retention strategy – it’s a business imperative. As Josh Bersin notes, “internal mobility and project work are now central to success” in agile organizations. When employees feel empowered to explore new roles within their company, organizations unlock engagement, innovation, and resilience.

How HR Leaders Can Accelerate Internal Mobility

For internal mobility to thrive, HR teams must break down the cultural and operational barriers that prevent employees from moving across the organization.

Here’s how:

1. Establish a Talent Marketplace: Traditional internal hiring processes are slow, opaque, and discouraging. Leading companies are now driving internal mobility by creating AI-powered talent marketplaces that match employees with projects, stretch assignments, and full-time roles based on their skills and aspirations. Platforms like Gloat and Fuel50 offer similar solutions, ensuring businesses optimize workforce agility while keeping employees engaged. And the latest psychometric profiling tools, such as Prism, can give visibility to untapped talent at an organizational level.

2. Incentivize Internal Moves: Employees need clear motivation to explore opportunities within their organization. Progressive organizations are now tracking and rewarding employees who take on stretch assignments or internal gigs. Even small gestures, like internal “gig completion” badges or leadership shoutouts, reinforce the value of internal growth. HR should spotlight employees who embrace mobility, making them role models for others.

3. Challenge Outdated Talent Ownership Norms: One of the biggest hurdles to internal mobility is managerial resistance. Many leaders still operate under the outdated belief that they “own” their employees rather than developing them for broader success within the company. To address this, some organizations are implementing policies which allow employees to apply for any internal job after two years – with no manager vetoes. Initiatives such as this make talent development a shared priority across the organization rather than something managers habitually block.

4. Measure and Communicate Impact: Data makes the case for change. HR leaders should present measurable outcomes to business executives, such as reduced turnover among employees participating in internal mobility programs, cost savings from decreased external hiring, and faster project completion rates. When internal moves are linked to business outcomes like saved recruiting costs or improved workforce agility, they shift from being an HR initiative to a core strategic advantage.

Economic uncertainty has made internal mobility more than a trend – it’s now a necessity. Organizations that actively develop their people rather than relying on external hires will build a workforce that is resilient, engaged, and prepared for future challenges.

By embracing internal mobility, HR leaders don’t just fill roles – they signal to employees that growth happens here. That investment in talent will pay dividends well beyond the current downturn.

If you would like to discuss how we can help leverage the benefits of internal mobility in your organization, please get in touch with us today!