My old company (Petro-Canada) was acquired by Suncor back in 2008. One of the things I noticed is that the top performers at the company no longer remained after the acquisition. Do you think in typical M&A, should the company retain the best talent, or should they make way for the new?
Aside from strategic reasons for letting people go during an integration, in a general sense I think that if the employees are given a sense of security and an assurance that the intention of the company is to retain them then most employees would probably opt to stay. It often makes things more difficult for the company to bounce back when top talent exits the company. Bringing in many new hires often means a need to account for a learning curve while they learn their new roles and become familiar with the new organization.
I think it truly depends on what business you’re in and why you’re acquiring the business. There’s also the question of possible synergies since you may not need redundant roles and what was allotted during the analysis phase. For my industry, which is more service-focused, it’s very important we keep the team intact post-merger.