Follow these steps to allow mailbox archiving in 365.
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Set the Default Policy Tag (5-7 years > move to Archive): Exchange (legacy) – Microsoft Purview
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Set the Tag to the Default Retention Policy: Exchange (legacy) – Microsoft Purview
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Apply an E5 License to the User: User Details Panel – Microsoft 365 admin center
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Enable the Archive Mailbox (User > Other): Exchange admin center (microsoft.com)
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PS: Disable Retention Hold for each user: Set-Mailbox ‘user-mailbox’ -RetentionHoldEnabled $false
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PS: Start Mailbox Assitant to Archive Messages: Start-ManagedFolderAssistant ‘user-mailbox’
- Verify it is working (wait 12-24 hours runs at ~0.5GB /hr): Exchange admin center (microsoft.com) Other > Mailbox Archive
Help:
Policy Tagging: https://aka.ms/DiArcTag
Check retention hold: Get-Mailbox ‘user-mailbox’ |select RetentionHoldEnabled
365 Troubleshooting tool: Open help in the admin portal and enter: Diag: Archive Mailbox