the critical role of leadership in employee motivation: how managers inspire (or demoralize) teams.

the critical role of leadership in employee motivation: how managers inspire (or demoralize) teams

Managers and team leaders have a major impact on employee motivation – a key driver of job satisfaction, productivity, and overall company success. In this article, I will explore how different leadership styles shape motivation and share practical strategies for keeping teams engaged. My goal is to help you, as a leader, recognize your influence on employee motivation and understand how to build a more engaged and energized team.

If you want a simple yet powerful way to check in on your team’s motivation, I encourage you to download our Hand Workshop – it’s a great tool for sparking open conversations.

the impact of leadership

Leadership can make or break employee motivation. Research by Gallup found that managers impact approximately 70% of team engagement levels, demonstrating the influence leadership has on workplace motivation. Moreover, about 1 in 2 employees have left a job to escape a bad manager, a striking statistic that shows how poor leadership directly causes demotivation and turnover.

These findings underscore a crucial point: leadership isn’t just about overseeing tasks – it has a measurable impact on morale, engagement, and retention. The right approach can create a motivated, high-performing team, while the wrong one can lead to disengagement and high turnover. In the sections ahead, we’ll dive into leadership behaviors that enhance motivation – and those that hinder it.

positive leadership behaviors

Great leaders give meaning to work. By consistently communicating a compelling vision – how the team’s efforts impact the organization or community – they help employees feel part of something bigger, boosting intrinsic motivation. Connecting daily tasks to larger goals makes even routine work purposeful.

Trust is another key motivator. Having worked closely with numerous teams, I’ve found that leaders who empower their teams by delegating authority and allowing autonomy tend to enhance engagement. When employees have ownership over their projects, they feel valued and competent. Instead of micromanaging, effective leaders set clear expectations while offering support, not control.

Constructive feedback is also essential. Another study by Gallup shows that 80% of employees who receive meaningful feedback are highly engaged. Great leaders provide regular, actionable insights that help employees grow.

Moreover, strong leaders go beyond assigning tasks – they act as mentors. By guiding skill development and showing genuine interest in employees' careers, they nurture loyalty and motivation. A leader who schedules one-on-one meetings to discuss career goals builds long-term engagement.

Also, great leaders lead by example. Their resilience, integrity, and enthusiasm set the tone for the team. A manager who stays calm and solution-oriented during challenges inspires employees to do the same. 

Keep in mind that positive leadership isn’t just about managing tasks – it’s about inspiring people. By building trust, providing meaningful feedback, mentoring employees, and leading by example, great leaders create motivated, engaged teams. When leadership is strong, employees don’t just work – they thrive.

leadership pitfalls

After exploring the key aspects of positive leadership, it's just as important to recognize the common pitfalls that can undermine team motivation. In my experience, the following leadership behaviors often lead to disengagement and frustration:

• Micromanagement and overcontrol – A micromanaging boss, hovering over tasks, sends a message of distrust. Employees under such control feel their creativity and autonomy are stifled, most likely leading to frustration and disengagement. 

• Lack of communication or direction – If you as a leader fail to communicate expectations or give feedback, your employees are left uncertain about their priorities. This lack of direction can cause frustration and diminish motivation.

• Negativity and unfairness – A leader who only criticizes but never praises, or who shows favoritism, can quickly demoralize a team. When hard work goes unrecognized or rewards are distributed unfairly, employees lose motivation.

• Ignoring work-life balance – Leaders who expect 24/7 availability and don't respect boundaries can burn out their team. Employees may comply out of fear, but their intrinsic motivation erodes. Over time, they disengage or leave.

• Poor example setting – A disengaged or unethical leader sets a negative example. If a manager misses deadlines, arrives late, or criticizes leadership, the team follows suit or loses respect. Without respect, motivation drops, which is one reason 50% of employees leave their jobs, as the above-referenced study found.

By avoiding these pitfalls, leaders can cultivate a positive, motivated, and high-performing team.

how leaders can improve

Now that we have examined both the impact of positive leadership and the common pitfalls, the next step is improvement. At Randstad, we apply the following key strategies to enhance leadership effectiveness and drive employee motivation:

• Enhance self-awareness – Encourage leaders to seek feedback through 360-reviews, anonymous surveys, or Randstad’s "Hand Workshop" to identify demotivating habits.

• Invest in leadership development training – Support leadership development in communication, conflict resolution, and coaching. Strong leadership skills can be learned and refined.

• Make engagement a priority – Treat team morale as a key performance indicator. Tracking engagement surveys or turnover rates helps managers stay accountable for motivation.

• Adopt proven best practices – Regular one-on-ones, public recognition, private constructive feedback, and approachable leadership foster a positive culture. Even small gestures, like greeting the team each morning, make a difference.

leadership is the linchpin

In conclusion, I want to emphasize that leadership is the linchpin of employee motivation. For any company looking to strengthen its workplace culture, investing in strong, effective leadership is one of the smartest moves.

If you’re a manager, team leader, or hold any leadership role, take a moment to reflect: Are we truly inspiring our teams? What’s one change I, or we as leaders, can make to boost motivation? Small shifts in leadership approach can lead to big results – higher engagement, lower turnover, and even improved business performance.

When leadership gets it right, the impact is undeniable.

key takeaways

• Leadership directly influences engagement – Managers impact up to 70% of team engagement, and bad leadership contributes to turnover. 

• Positive leadership behaviors drive motivation – Leaders who share a clear and compelling vision, empower autonomy, offer constructive feedback, and mentor their teams create more engaged and productive workers.

• Trust and recognition are key motivators – Employees are more motivated when trusted with responsibilities and recognized for their efforts. Regular feedback and appreciation boost morale and satisfaction.

• Common leadership pitfalls undermine motivation – Micromanagement, poor communication, negativity, and lack of work-life balance are major demotivators that erode trust and drive disengagement. 

• Leaders must continuously improve – Self-awareness, leadership training, and prioritizing team engagement help managers grow.

• Leadership shapes the workplace environment – Employees mirror their leaders. A leader’s attitude, work ethic, and integrity shape team motivation, productivity, and overall company success.

If you want a quick and effective way to assess motivation levels in your team, I encourage you to download our Hand Workshop – a simple yet powerful exercise that encourages open discussions about workplace strengths and challenges. It helps you gain insight into your team’s motivation and engagement, driving both individual and company success.