The Power of Great Leadership: Why People Leave Bad Bosses, Not Bad Workplaces

People don’t leave jobs; they leave bosses. Research consistently shows that poor leadership is a significant reason for employee turnover, and a bad manager can outweigh even the best benefits, pay, or work conditions.

The Statistics Speak for Themselves

The numbers tell a clear story: leadership matters. According to Gallup, 70% of the variance in team engagement is determined solely by the manager. This means the single biggest factor influencing how connected and satisfied an employee feels at work is their boss, not the organisation’s culture or the specific role they’re in.

Further Gallup research reveals that 50% of employees have left a job to “get away” from a manager at some point in their career. It’s not that people dislike their actual jobs—they dislike how they’re treated or managed. Even when work is challenging or the workplace isn’t perfect, a supportive leader can be the key to retaining top talent.

In a study conducted by DDI, 57% of employees reported leaving a job because of their boss. What’s more, nearly one in three people in the same study said they would stay longer in their current role if they had a better relationship with their manager.

Bad Bosses Create Stress, Burnout, and Disengagement

A poor manager doesn’t just make work unpleasant—they actively damage an employee’s mental health and productivity. According to the American Psychological Association, bad leadership is one of the leading causes of workplace stress. And when stress levels rise, so does burnout. The Workforce Institute found that 60% of employees believe their manager has the greatest impact on their stress levels at work.

Bad bosses micromanage, communicate poorly, fail to provide recognition, or create toxic environments of fear and blame. These behaviors not only frustrate employees but also reduce their ability to perform. The Harvard Business Review reports that employees working for bad bosses are more likely to be disengaged and unmotivated, leading to decreased productivity.

High turnover is expensive. Replacing an employee can cost 50-200% of their annual salary, according to Gallup, meaning that toxic managers directly impact a company’s bottom line.

The Key Lies in Relationship-Centred Leadership

At the heart of effective leadership is building strong, meaningful relationships with team members. Relationship-centred leadership recognises that the quality of the relationship between leader and employee is critical for engagement, trust, and long-term success.

A relationship-centred leader takes time to know their people beyond their roles. They listen, understand strengths and challenges, and invest in personal and professional growth. This leadership style goes beyond transactional management, focusing on creating an environment where employees feel supported, valued, and understood.

Studies have shown that employees who feel connected to their managers and trust them are more likely to be engaged and perform at their best. A LinkedIn study found 94% of employees would stay longer at a company if they felt their manager was invested in their career development.

Great leaders understand that relationships are not just built through formal performance reviews or occasional check-ins—they are nurtured through everyday interactions. This includes showing empathy, offering regular feedback, and celebrating achievements. Relationship-centred leadership fosters psychological safety, where employees feel comfortable sharing ideas, expressing concerns, and taking risks without fear of judgment.

Leaders who prioritise relationships also foster strong accountability. When employees trust their leaders and feel trusted in return, they are more likely to take ownership of their work, collaborate effectively, and commit to shared goals. This not only improves morale but drives productivity and innovation.

Why Leadership Development Should Be a Priority

Given the impact of bad leadership on employee retention, companies must invest in leadership development. Training managers on how to build strong relationships, communicate effectively, and foster trust is essential to creating a thriving, engaged workforce.

According to the Global Leadership Forecast, only 14% of CEOs believe they have the leadership talent they need to execute their strategy. This highlights a clear need for leadership development at all levels of an organisation. Companies that prioritise leadership development and training experience higher employee satisfaction, engagement, and retention.

When leaders are equipped with the skills to engage and support their teams, everyone benefits. Employees are more likely to stay in their roles, be more productive, and contribute to a positive organisational culture. And when employees feel valued and supported, they’ll deliver their best work.

Conclusion: Leadership is the Key to Retention

People don’t leave companies—they leave bosses. While workplace conditions and job tasks can contribute to dissatisfaction, it’s often the relationship with a manager that pushes an employee to quit. The statistics make it clear: bad leadership is one of the most significant causes of turnover.

Great leadership can keep employees engaged, productive, and committed, even in less-than-perfect environments. By investing in leadership development, companies can cultivate emotionally intelligent managers who prioritise relationships, foster growth, and create the kind of workplace where employees want to stay.

Leadership is about empowering people. When leaders focus on their people’s well-being and growth, they create the conditions for success, for the individual and the organisation.