Our internal labor market Figure 1: Marsh McLennan Enterprise Internal Labor Market (ILM) Map, 2020–2022 Career level Total hires Average active headcount and total promotions Voluntary exits Leadership 7.0% 9,239 6.9% (SVPs, MDs, (644) (637) Partners) 17.8% (3,460) Management 10.4% 19,383 9.8% (VPs, Principals) (2,040) (1,921) 14.7% (4,503) Our workforce is dynamic, constantly evolving and Professional 19.1% 13.1% a direct outcome of our talent decisions over time. (AVPs, Associates) (5,907) 30,450 (4,041) We track colleague movement in, out and around the company to better understand where we need to 6.5% focus. Using Internal Labor Market (ILM) maps and (1,327) other workforce statistics, we can learn about factors Entry 29.3% 15.2% that affect the workforce and identify important (Analysts, Support) (6,070) 20,328 (3,127) questions for further examination. • How can we better retain diverse talent? Overall rates 18.5% 3-year average active headcount*: 12.2% • Do we have the right recruitment strategy? and totals (14,661) 74,00 (9,776) • Are we developing talent in the right ways? *Marsh McLennan’s enterprise-wide ILM map represents three-year average annual counts and rates, calculated using actual hire, promotion and termination events betwen January 1, 2020 and December 31, 2022 (excluding a small percentage of We’ve steadily developed our workforce through colleagues with unassigned career levels). internal promotions and external hires. For example, Marsh and Guy Carpenter mix building and recruiting senior-level talent. In contrast, Mercer and Oliver Wyman Group primarily promote from within. Our tailored methodology Our enterprise people strategy — one that benefits The ILM methodology was created by our Workforce Strategy & Analytics team at Mercer and Marsh McLennan while adapting to each business is used by many of our clients to draw out initial observations and hypotheses. We use ILMs to — considers intricacies and talent goals. We use ILM uncover root causes of workforce outcomes, enabling evidence-based decisions regarding our maps and other indicators to track the evolution of people priorities and investments. our talent pool. Overview Environment Social Governance Appendix 2022 ESG REPORT 26