Avoid These Four Leadership Failures To Retain Employees Through The Great Resignation

For more than a year, the employment world has experienced significant upheaval as millions of workers make a mass exodus from the traditional workplace: a phenomenon now commonly called ‘the Great Resignation’. Women leaders who recognize and avoid four common leadership failures in the workplace will be better placed to retain their best employees through these turbulent times.

World-wide, leaders are grappling to understand what is fueling ‘the Great Resignation’. Also known as ‘the Big Quit’ and ‘the Great Reshuffle’, this is an ongoing economic trend in which employees have voluntarily resigned from their jobs en masse since early 2021, primarily in the US.

Research into this phenomenon that is wreaking havoc in the employment world suggests that many people are rethinking their careers, seeking a better work-life balance, facing up to long-endured job dissatisfaction, and preferring the flexibility of remote work.

As ‘the Great Resignation’ unfolds, there has never been a more important time for business leaders to think smart to ensure their work environment appeals to the post-Covid generation of workers.

Here are the four fundamental leadership failures that drive good employees away. Recognizing and rectifying these leadership failures will provide women leaders with an edge to help them retain good employees amid a mass exodus.

Rectifying leadership failure 1: Treating employees as the primary customers

The first crucial leadership failure is not recognizing that the employee is actually the primary customer.

Employees are initially drawn to work for a company because of various reasons, such as the company’s reputation. Ultimately, however, good employees stick around because of how well a company looks after them.

 Employees should therefore be treated as the primary customer. This means that each employee should be treated, cared for, managed, and responded to in a way that is consistent with how the company wants its customers to be treated.

Not only does it set a good example to manage employees this way, but it also increases one of the most important assets of any company: credibility, and the trust it brings. Employees want to work with and for a company that they can trust.

Rectifying leadership failure 2 – Recognizing leadership is not management

Another crucial leadership failure is not recognizing the difference between leadership and management.

Most companies have a management culture, which is not the same as proper leadership. Management is important and is a part of leadership responsibility. Managers have to make people follow, but leaders make people want to follow. Managers bring about compliance, but what leaders are able to create is buy-in, and this increases the likelihood of employees bringing their best self to work.

Recognizing the difference between management and leadership not only increases the likelihood of recruiting and retaining good employees, it also increases the chances of having a team that gives their best effort and go beyond the regular call of duty.

Rectifying leadership failure 3 – Realizing valued compensation is not just financial

The failure to recognize that finances are not the only form of valued compensation is a third common leadership failure today.

This is a recent development and is clear when considering the work patterns of the Millennium generation. This is the first generation in some time that does not out earn the previous generation. And it’s not because this generation is not capable or competent, but rather because they value some things more than money, such as flexibility, being part of something bigger or being valued as individuals.

Whereas paying employees so well that they tolerate toxicity in their working environment – often called ‘golden handcuffs’ – may have worked in the past, but will not work in the future.

Rectifying leadership failure 4 – Recognizing that EQ is the IQ multiplier

Last, but certainly not least, is the leadership failure of not recognizing that EQ (Emotional Intelligence) is the IQ (Intelligence Quotient) multiplier, especially now during ‘the Great Resignation’. 

It’s not that employees are avoiding work, or that they prefer to stay at home, but rather that many have had a glimpse of what it’s like to work in peace and don’t want to return to a toxic work culture.

For this reason, building Emotional Intelligence is a core leadership competency. Fortunately, building EQ is possible, and requires attention to each of the four qualities of EQ, briefly described below.


The four qualities of EQ

1. Self-awareness, referring to how well you are aware of yourself as a leader.
2. Self-management, which is the ability to manage yourself based on what you know about yourself.
3. Social awareness, or the ability to discern the difference in others’ relationship management approaches.
4. Relationship management, which is determining how different people communicate, comprehend and are motivated, and the ability to lead and respond accordingly.

In a post-COVID work world, dominated by ‘the Big Resignation”, being an emotionally intelligent leader – able to manage yourself and others – is key and critical to recruiting and keeping good employees.

By: Dr. Dharius Daniels is an emotional intelligence expert, author of Relational Intelligence: The People Skills You Need For The Life Of Purpose You Want, and former professor at Princeton University.