The #1 Reason Your Top People Keep Leaving (How to Fix It)

Added: 2026-05-31

[00:00:05]Around here, we say you're either a thoroughbred or a donkey. Thoroughbreds are high performers. They show up, go the extra mile, and carry more than their weight. You never have to beg them to do their job, they just run. And donkeys are, well, the opposite. They drag their feet. They need constant supervision. They don't run, they stall.

[00:00:25][music] If you accidentally let a donkey in the door and let them hang around for too long, somebody who can't or won't pull their load, that is, guess what happens? Your best people won't deal with it, they'll leave.

[00:00:37]And you'll be left scratching your head wondering what happened, thinking maybe it's about money or perks or the job market, but it's not. It's [music] about culture. It's about clarity. And it's about leadership. Today, EntreLeadership's head coach John Felkins is going to walk you through exactly >> [music] >> why your best people are leaving and what to do about it. Because if you want to build a business full [music] of thoroughbreds, you better learn how to stop tolerating donkeys.

[00:01:03]Thanks, Dave. We hear this all the time from business owners. I just don't get it. I treat people like family. We've got a great culture. So, why do my best people keep leaving?

[00:01:14]Let me tell you a story about one of our clients. He was an auto shop owner who had a low performer that was slow as molasses. And the rest of the team was looking at him asking, "What are you going to do about this? He's slowing us all down. Clients are getting annoyed because things aren't done right and it's taking forever." I'll tell you what he ended up doing a little later. You see, the problem wasn't just the slow employee, the problem was the leader's silence. By saying nothing, he was sending a message loud and clear, "Low performance is okay here." This is what we call sanctioned incompetence, and it's one of the fastest ways you'll lose your top people.

[00:01:55]And here's what happens when you allow sanctioning competence. Those top people, your high performers, they lose trust in you as a leader. They start to wonder if you even notice their work.

[00:02:05]They carry too much of the workload.

[00:02:08]They get frustrated. They get burned out, and they will leave because thoroughbreds don't like to run with donkeys. They want to grow. They want to win. They want to work with other A players. And when they realize the slackers are the ones setting the standard, they're not going to stick around. They'll go find a place that moves at their speed because competition is stiff for good talent. They're going to be able to find a job someplace else.

[00:02:35]They usually don't storm out. They just quietly disengage.

[00:02:39]And then, they disappear.

[00:02:42]Leaving you wondering what happened.

[00:02:44]Let's say this is you. You're losing people you don't want to lose. Your A players are quietly checking out. What do you do? Well, let me walk you through the six steps to help you get and keep your best people. First, have a hiring process that filters out the donkeys.

[00:03:03]Half the battle is keeping the donkeys out of your business in the first place.

[00:03:07]If you're not hiring driven people who are aligned with your values, you're setting yourself up for pain. We say it all the time, you don't motivate people, you hire motivated people. So, slow down. Be a little bit picky, and remember a bad hire doesn't just cost you money. It costs you time babysitting them, cleaning up their messes, and rehiring when it doesn't work out.

[00:03:31]Listen, Ramsey isn't immune from this.

[00:03:34]We've hired people that actually left the first week they got here. They looked around and they said, "I don't want to work in an office full of people." And we ask ourselves, "How did you even get here?" They were somebody that was desperate for a job, but really didn't know what it was like to be a part of a team. For us, that's a donkey.

[00:03:53]We want people that want to be on a team.

[00:03:57]Secondly, create a KRA for every role.

[00:04:00]Once somebody's on the team, set them up for success by giving them a KRA, which is what we call a key results area.

[00:04:10]This is a one-page document that says, "Here's what winning looks like in your role." No more vague expectations. No more, "Well, they should just know." Your people can't hit a target they can't see, and you won't be able to hold them accountable to a job description that's buried in a file cabinet somewhere.

[00:04:27]When the expectations are clear from day one, there's no room for confusion and no excuse for underperformance.

[00:04:35]Third, schedule weekly one-on-ones. This is probably going to freak you out, but you need to make it a habit to meet with each of your direct reports weekly for 30 minutes to check in with them.

[00:04:48]We coach people on exactly how to do this, but here's the big picture. You need to create a rhythm of communication that builds trust and keeps people aligned. You want fewer surprises? Fewer people quietly disengaging?

[00:05:02]Start with one-on-ones. It won't just improve your culture, it'll also help you surface issues early, whether it's a high performer feeling frustrated or a low performer starting to slip. Like I said, I know this can feel overwhelming to think about meeting with all of your direct reports for 30 minutes each week, but I promise it'll actually save you time because it helps you stay ahead of the problems and avoid the constant, "You got a second?" interruptions that happen throughout your day.

[00:05:33]We'll get right back to the episode, but first, do you remember when you only worked 40 hours a week? Now that you're in leadership, you do that by Wednesday afternoon. Look, you want to be a part of something meaningful. You want to make an impact and still have a life.

[00:05:49]But as your company grows, your calendar fills up, meetings stack on top of each other, and you're doing more work that doesn't require your expertise. You don't have time to lead anymore. That's where BELAY comes in. BELAY matches you with qualified US-based executive assistants, marketing assistants, and accounting professionals. Real people who can help you protect your time so you can delegate what doesn't require your leadership and focus on the work only you can do. Because growth doesn't come from doing more, it comes from doing what matters most. If you're ready to build a business that runs without running you into the ground, download BELAY's free resource, the 40-hour CEO Work Week Planning Guide, by texting ENTRE to 55123.

[00:06:35]That's e n t r e to 55123.

[00:06:40]Now, let's get back to the episode.

[00:06:43]Fourth, have the hard conversations.

[00:06:45]This is where most leaders get stuck.

[00:06:47]But listen, unspoken expectations are just premeditated resentments.

[00:06:53]If someone's not meeting expectations, you've got to say something to them.

[00:06:58]Don't wait until your thoroughbreds are already job hunting to address the problem. When you do have those hard conversations with a team member, be clear, be kind, and be direct. For example, you can say, "Hey, I care about you, but right now you're not fulfilling your KRA.

[00:07:17]This doesn't change, it's going to become a bigger issue."

[00:07:20]That's not being cruel, it's being clear, and it's one of the most caring things you can do.

[00:07:27]Taking the time to coach someone and tell them the truth is a gift.

[00:07:32]Even if you have to let them go, they need to hear it.

[00:07:35]And you may be the only leader in their life who's had the courage to say it out loud.

[00:07:41]Fifth, protect [snorts] the culture at all costs. Listen, your job is to lead your team, not protect one person at the expense of everyone else.

[00:07:53]You don't have to keep someone around just because they've been there a long time.

[00:07:57]If someone is consistently underperforming or violating company core values, you've got to deal with it quickly. Sometimes that means making the tough call to let them go. Because when you let underperformance hang around like a bad smell, everyone starts wrinkling their nose.

[00:08:17]Morale takes a hit, trust fades, and your best people start wondering if their leader even has a spine.

[00:08:24]But when you have the backbone to step in and address it directly, clearly, and respectfully, you're showing the whole team that protecting the culture matters more than keeping the peace.

[00:08:37]And don't forget, your top performers need to know you see them, too.

[00:08:41]Protecting the culture isn't just about addressing what's wrong, it's also about affirming what's right.

[00:08:47]When you take time to recognize the people who are pulling more of the weight, you're reinforcing the standard and reminding them that they're not being taken for granted. Sixth, regularly audit your team. You need to stay in tune with what's really happening on your team, not just what you hope is happening. I mean staying dialed in to how your team is performing and feeling.

[00:09:11]So this week, take a good, honest look at your team and ask yourself, are they fulfilling their KRA?

[00:09:18]Are they living out our core values?

[00:09:21]Would I rehire this person? Are they helping or hurting team morale?

[00:09:26]You can use the red, yellow, green system if it helps. Red, they're negatively affecting performance or team culture. Yellow, they're struggling but coachable. And green, they're doing great. Then have the conversations that you need to have. Because if you don't call it what it is, you can't lead through it. And your culture will lead itself, usually in the wrong direction.

[00:09:48]Let's go back to that leader that I said hired the donkey, the slow guy.

[00:09:53]Well, he sat him down. He got really clear on expectations. It was a tough conversation, but he let him know, "This is what you've got to do to stay on this team."

[00:10:02]And luckily, the guy stepped up. And everybody else saw that happen. They saw the leader have the conversation, and they saw what the standard was.

[00:10:11]So, here's the deal. Your best people aren't leaving because they don't like the work. They're leaving because you haven't protected them from low standards. They're tired of sanctioned incompetence, and wondering if you're ever going to do anything about it.

[00:10:26]And here's the good news.

[00:10:28]You can turn it around.

[00:10:29]Start by intentionally hiring the right people. Set clear expectations up front.

[00:10:35]Build rhythms of accountability. Have the hard conversations. And protect the culture at all cost. And regularly check in to see how your team is doing. You get those things right, and you'll create the kind of business that people want to be a part of.

[00:10:53]When your team knows they're seen, when they know the standard is high, when they know they're part of something bigger than themselves, they don't just stay, they thrive. They run, and they carry the vision forward.

[00:11:05]If this episode hit home, and you know something's got to change in your business, our coaches, our team, are here to help.

[00:11:13]We're offering a free 30-minute consultation with one of our EntreLeadership Coaches. No pressure, just a conversation about where your business is stuck, and what to do next.

[00:11:24]We've worked with thousands of business owners in the exact same spot, so hit the link in the description to book a call.

[00:11:31]And if you've enjoyed today's episode, be sure to like, share, and subscribe for more great leadership content.

[00:11:39]And we want to hear from you. What's the one thing you need to change to protect your [music] team's culture?

[00:11:45]Let us know in the comments. I'm your host Dave Ramsey, and this is EntreLeadership.