Two constraints:

1. I need to stay in the memoir class.
2. The section (and sub-section) headings need to appear as formatted below (e.g., I don't want section numbering).

Two observations:

1. If I set the section numbering depth to 'section', the hyperlinks work as desired (but then I get numbered sections).
2. If I add \bfseries or any other series to \setsecheadstyle{\Large\scshape\MakeLowercase}, then the hyperlinks work (but again, I lose the formatting desired).

Minimal working example:

\documentclass[11pt,oneside,article]{memoir}
\usepackage{graphicx,url}
\usepackage{fontspec}
\usepackage{xunicode}
\usepackage{listings}
\setcounter{tocdepth}{2}
\usepackage[usenames,dvipsnames]{color}
\usepackage[xetex]{hyperref}
\usepackage{lipsum}
\setaftersubsubsecskip{-1em}
\maxsecnumdepth{chapter}
\setsecnumdepth{chapter}
\setaftersecskip{1.7ex}

\begin{document}

\maketitle

\tableofcontents

\section{Introduction}
\lipsum
\section{Another Section}
Text.
\subsection{Subsection 1}
Text.
\subsection{Subsection 2}
Text.
\section{Last Section}
Text.

\end{document}


You can quickly fix the problem by defining your section heading style to include a hyperref anchor \phantomsection:
\setsecheadstyle{\phantomsection\Large\scshape\MakeLowercase}

• I had to had \phantomsection's to the \setsubsecheadstyle also. This worked well for me. Thanks. – brorgschlr Nov 12 '13 at 6:17