This week, Nike released disappointing quarterly results, but has already made moves to address the situation by appointing Elliott Hill as the new chief executive, hoping to revive the brand’s former glory.

Hill’s professional journey gained attention on LinkedIn last month, where his comprehensive career history emerged. He has spent his entire career at Nike, starting as an intern in 1988 and working his way through 13 positions in over 30 years, making him a prime example of a “company lifer.”

Many responded warmly, lauding Hill’s journey as an “incredible, inspiring journey” and emphasizing the importance of long-term dedication and perseverance. Some highlighted that he exemplifies the notion that commitment and overcoming obstacles lead to success.

However, the enthusiasm surrounding his story reflects a reality faced by newer generations: the prospect of being a long-term employee in a single company is far less common than it was for earlier generations. The rise of technology-driven firms, many of which have only been around for a short time, has changed the landscape. When Hill began his career, only two of the current “Magnificent Seven” stocks, Apple and Microsoft, were established. The average lifespan of a company in the US S&P 500 has decreased from 67 years to just 15.

Moreover, career experts often suggest that staying in the same position leads to stagnation. Career and change coach Rebecca Parker noted that there’s an unspoken guideline in some industries: remaining in the same role for over 18 months can lead to perceptions of complacency.

Transitioning roles is often essential for career advancement and salary increases. Data from the Office for National Statistics indicates that employees who switched jobs enjoyed an annual pay increase of 9.5%. Conversely, those who stayed saw a mere 2.9% rise. This trend has remained constant over the past decade, highlighting the financial benefits of job mobility.

Understanding the penalties for staying put is crucial, even for those satisfied with their current roles. A lack of movement might suggest an absence of ambition. William Beardmore-Gray, chair of Knight Frank and a lifelong member of the property group, humorously acknowledged this when introducing himself to new employees, jokingly questioning if they thought him a “complete loser” for his long tenure.

However, remaining with one company isn’t as uncommon as it may seem. Recently, Japan Airlines appointed Mitsuko Tottori, who joined as a flight attendant in 1985, as its new leader. Similarly, Ron Vachris, now head of Costco, began as a forklift driver at Price Club, later acquired by Costco. Oliver Blume, CEO of Porsche and parent company Volkswagen, exemplifies this trend in German automotive firms, where many executives have risen from graduate trainee positions without leaving.

Starting from entry-level positions can foster better relationships with junior staff. Pano Christou, CEO of Pret, began his career as a teenager flipping burgers at McDonald’s and has spent 24 years at Pret, appreciating the authentic and credible connections he can forge with his team.

For employers, the benefits of employee retention go beyond recruitment savings; they also foster institutional knowledge. Fiona Gordon, CEO of advertising at Ogilvy, began her career in 1992 and has held various leadership roles across major cities. She emphasizes that staying engaged while remaining with the same company is possible by exploring different departments or regions. Additionally, having long-term employees contributes a deep understanding of the organization’s essence and capabilities.

Despite companies’ focus on cultivating a strong culture, they often struggle with effective implementation. A clear mission statement or annual team-building events are not enough; having dedicated employees who have navigated challenging periods provides invaluable perspective and guidance for the company’s future direction.