Talent flight is a major risk in acquisitions—many of the most capable people in the target company are likely to look for the door.
Skilled, experienced people have plenty of opportunities in today’s labor market, and replacing those who depart may cost more and take longer than ever before. That’s why the flight of technical and functional talent can significantly reduce the value of an acquisition — a company-wide memo and town hall will not be enough to keep them on board. We recommend a holistic approach to retention that eases flight risks upon announcement; secures talent, skills, experience, and internal know-how for up to two years after the close; and includes a compelling long-term employee value proposition during integration.
Talent flight: Overlooked risks during M&A
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Navigating complex mergers and acquisitions
A slow turning: Q4' 23 M&A trends in financial services
The financial services landscape saw a slowdown in M&A activity in 2023, but hopes remain high for a more dynamic market in 2024.
KPMG Deal Advisory and Strategy distributes a wide selection of thought leadership that highlights the latest M&A issues and trends.