Overqualification—when employees possess education, skills, or experience exceeding job requirements—represents a significant and growing challenge in contemporary organizations. This phenomenon has become increasingly prevalent due to economic fluctuations, technological disruption, and shifting labor market dynamics. Despite its prevalence, overqualification remains under-researched in human resource management (HRM) literature, with limited guidance for practitioners navigating its complexities.
The sustainability of talent management practices depends on effectively addressing overqualification to ensure organizational viability, employee well-being, and long-term competitive advantage. Overqualified employees often experience underutilization of their capabilities, which can lead to reduced engagement, increased turnover, and diminished organizational performance. Conversely, organizations that strategically manage overqualified talent may unlock opportunities for innovation, enhanced performance, and sustainable competitive advantage.
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