Managers - The Root of Employee Retention

Cathie Leimbach • June 28, 2022

Yes, it’s the manager who has the most impact on employee retention! 

Employees control only 30% of the factors that contribute to workplace engagement and retention. It’s the manager who controls the other 70%. Gallup’s book, It’s the Manager, introduces 52 insights into workplace realities that inform leadership practices which impact employee satisfaction, engagement, and retention. This article provides a high level look at why leveraging manager effectiveness is the best way to increase productivity and the organization’s bottom line.

For nearly a century the American dream was to have law and order, food and shelter. Once these were satisfied, people wanted to have a family, own a home, and live in peace. Now, in America and globally, the highest priority dream is to have a good job.  According to Gallup’s research, the most important contributor to the ‘best life imaginable’ – especially for young people and women – is to have a great job with a living wage and a manager or team leader who encourages your development. 

Unfortunately, only 15% of the global workforce reports having a great job. The reality that 85% are either just going through the motions or they hate their job has a negative impact on health, quality of life, organizational results, and the economy.   

Imagine the impact of increasing employee engagement to 50% of the workforce! How different individuals’ lives and our communities would be! But how can that possibly be done?

In the past 30 years workplace study after study has identified the factors that impact employee engagement. The biggest impact is how managers lead their people. Remember, managers control 70% of the variance in team engagement. Effective leadership practices have been identified, but few managers know about them. And even fewer put them into practice. 

Are your team members crystal clear everyday about what you want them to achieve? How often do you praise them for the things they are doing well? How encouraging and supportive are you when they need to improve their workplace performance? How skilled are you in these aspects of leading people?

What can you do to engage your employees for everyone’s benefit? If you would like to become a more effective leader at work, email me, Cathie Leimbach, asking for further information about developing highly effective people leadership skills. When you lead your team members well, they will become enthusiastic high performers. Don’t you want to experience this in your workplace? What difference would it make to your life?

By Cathie Leimbach August 4, 2026
Most employees know what they are expected to do each day. Far fewer fully understand why their work matters or how it contributes to the organization's success. Yet that understanding is one of the most powerful drivers of engagement, commitment, and performance. Gallup research consistently shows that employees who feel connected to their organization's mission and purpose are significantly more engaged, while highly engaged teams achieve stronger productivity, profitability, customer satisfaction, and retention. When people understand how their individual responsibilities help customers, coworkers, and the organization succeed, their work becomes more than a list of tasks—it has meaning. Supervisors play the key role in creating that understanding. A job description explains what to do. Leadership conversations explain why it matters. They help employees see how quality, safety, customer service, teamwork, and continuous improvement all connect to the organization's goals. As work changes, priorities shift, or new challenges arise, supervisors who communicate openly help employees understand not only what is changing, but why those changes matter. Questions, discussion, and regular feedback replace assumptions with clarity and build trust. Employees who understand the purpose behind their work are more likely to make good decisions, solve problems, take initiative, and remain committed during difficult times. They also appreciate knowing that their organization is willing to invest in their future through learning and career development opportunities, even if promotion is not immediate. When supervisors consistently connect daily work to a larger purpose through meaningful conversations, employees gain direction, confidence, and motivation. They don't simply complete tasks—they understand the difference they make. And that understanding creates a workplace where engagement, performance, and retention naturally grow. Need Help with a Difficult Workplace Conversation? Great leadership doesn't happen by accident—it happens one conversation at a time. Join our FREE Workplace Conversations Clinic on the 3rd Monday of every month , from 3:00–3:30 p.m. , beginning August 17 . When you're wondering how to handle a workplace people challenge, join the Workplace Conversations Clinic to run it by Cathie Leimbach and other attendees. Join the Workplace Conversations Clinic Conversation is where leadership happens.
By Cathie Leimbach July 28, 2026
From uncertainty to confident, supportive leadership conversations