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Purpose

This study aims to address and observe the positive side of perceived overqualification (POQ) on employee knowledge sharing (KS) and career planning. Role identity theory highlights that an employee’s POQ is related to employee career identity in a positive way.

Design/methodology/approach

The hypotheses were supported by a time-lagged examination of 277 supervisor–subordinate dyads working in the corporate sector.

Findings

The findings state that a person’s career identity is associated with increased KS and career planning. Furthermore, the effect of overqualification on KS and career planning was predicted to be mediated by career identity. Using an interactionism mechanism, this study indicated that this mediation is moderated by leader humility. The career identities of overqualified employees are elevated when a humble leader supports them. The results suggest that, when handled appropriately, POQ may benefit both employees and organizations.

Research limitations/implications

The implications of these results are examined theoretically and practically. Moreover, the findings of this study will open new avenues for scholars and practitioners in the field of organizational behavior and human resource management.

Originality/value

The study examined the positive side of POQ and its effect on employees’ career outcomes and KS attitudes. This study is among the first empirical studies to examine career outcomes and KS behavior due to POQ.

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