Social mobility and workforce diversity directly influence business performance. McKinsey’s recent research, “Breaking the standstill: How social mobility can boost Europe’s economy," shows that improving access to opportunity could increase Europe’s GDP by up to €1.3 trillion. For organizations, this highlights a powerful lever: Inclusive talent strategies strengthen resilience, fuel innovation, and create long-term value.
When people are connected with roles that match their skills and ambitions, companies benefit from deeper pipelines, lower attrition, and stronger alignment between workforce capabilities and strategic needs. Below are five practical areas where HR and People leaders can act.
1. Use workforce data to pinpoint gaps
Data offers the clearest view of how talent moves within an organization. By going beyond headline metrics and looking at hiring patterns, promotion rates, attrition, and skill inventories, leaders can spot where opportunity stalls. Breaking this information down by function, tenure, or level provides even sharper insights.
Once gaps are visible, companies can design targeted responses such as mentorship programs for underrepresented roles or new pathways into leadership.
Action for HR professionals: Audit flows across the employee lifecycle and build dashboards that track them consistently. Let the findings drive interventions instead of relying on assumptions.
2. Expand and reframe the talent pipeline
Talent pipelines are often too narrow, drawing from the same universities, geographies, or networks. This can unintentionally exclude strong candidates from different backgrounds. HR leaders can widen access by building partnerships with regional universities, technical schools, and community organizations.
Equally important is shifting toward skills-based hiring. This means emphasizing capabilities rather than credentials. McKinsey’s Skills for Success program, for example, offers virtual sessions that build core skills such as structured problem solving, storytelling, and presentation for individuals from diverse socioeconomic backgrounds. Programs like this give candidates tools to demonstrate their potential and provide employers with access to stronger and more varied talent.
Action for HR professionals: Review job descriptions to remove unnecessary requirements. Incorporate skills assessments and learning opportunities to surface potential that might otherwise be overlooked.
3. Apply AI with care in recruitment and development
AI can help scale outreach, match candidates to roles more effectively, and reduce repetitive processes in HR. However, if not properly governed, algorithms can also replicate existing biases.
At McKinsey, we use AI tools to identify and connect with candidates while also investing in safeguards such as audits, algorithm testing, and output reviews to keep processes fair and inclusive.
Action for HR professionals: Use AI to improve reach and efficiency, but embed bias reviews, regular testing, and stakeholder oversight to maintain trust.
4. Prioritize reskilling and upskilling
Automation and digitization continue to reshape the labor market. Instead of relying only on external hiring, many leading companies now focus on reskilling and upskilling their people. Structured programs tailored to specific job families and broad learning initiatives with universities or training providers help employees prepare for future roles.
At McKinsey, we also work with public sector organizations and nonprofits to expand access to job-relevant skills beyond our own workforce. This strengthens the wider talent ecosystem and creates sustainable impact.
Action for HR professionals: Identify roles most likely to change in the next few years and create clear development paths for employees in those positions. Explore partnerships that allow you to scale skilling programs effectively.
5. Create transparent and consistent HR practices
Fair career progression depends on clarity. When promotion criteria and development opportunities are standardized and openly communicated, employees can see how to succeed without relying on informal networks.
At McKinsey, we have invested in clear criteria for advancement, more visible development options, and locally tailored support programs. These steps improve fairness and strengthen confidence in the system.
Action for HR professionals: Communicate career pathways and policies openly. Standardize frameworks across the organization so progress is based on clear expectations rather than hidden rules.
Talent gaps and limited mobility are barriers to growth, but they can be addressed with practical, targeted action. By applying data, broadening sourcing, using technology responsibly, investing in skills, and embedding transparency, HR leaders can build stronger and more inclusive organizations.
The opportunity is clear. Companies that act now will create workforces that are not only more resilient but also better equipped to deliver sustained performance in the years ahead.