iLDE Library

The Real Cost of Poor Leadership

Poor leadership creates a measurable financial cost. Gallup found that managers influence approximately 70% of the variation in team engagement, while 50% of employees have left a job to escape a manager. In 2025, only 20% of employees worldwide were engaged, with low engagement costing the global economy approximately US$10 trillion, or 9% of global GDP. Investing in effective leadership is therefore essential for improving productivity, engagement, and employee retention.