No matter what you’re doing, team meetings can suck. They often highlight what is going wrong and quick ideas are thrown out to try and make things better…fast. Hype often revs people up, at least for a few minutes and then execution happens and bursts a lot of bubbles. Some natural leaders keep their energy high while most other teammates lose steam and focus which requires another meeting for quick ideas to try and make things better. 

Gallup’s 2025 State of the Global Workplace report came out this April revealing, again, just how out of touch managers are from their staff, how disengaged workers are from the culture of their companies, and worldwide costs are finite numbers indicating the cries employees have during the hours of 8AM-5PM.  

Read on if you want to understand more about the forward and backward movement teams take just to score a few points and the staggering loss organizations like yours take when teams are off their games for weeks at a time. You’ll learn clear ways to be a leader people will choose to follow and how coaching a team leads to lots of wins.

The Cost of Disengagement

Disengagement isn’t just everyday boredom. It’s the glazed look in someone’s eyes when a new project is announced, the surge of resumés hitting LinkedIn on Monday mornings, the quiet resignation when employees feel their voice doesn’t matter.

Disengagement is visible in the day-to-day with 8 out of 10 employees disengaged. Gallup found that only 21% of employees are engaged, 62% are “checked out,” and 17% are actively working against their organization’s goals. That’s nearly 1 in 5 employees not just uninspired, but sabotaging progress!

The ripple effect is enormous, costing an estimated $9.6 trillion in lost productivity each year with lower productivity, missed opportunities, higher turnover, and weakened trust. Half of employees say they are “actively looking for or watching for new jobs,” a number even higher among younger workers. In North America and Australia, half of employees report daily stress. In South Asia, only 15% say they are thriving in life overall. These numbers point to a workforce under strain, all across the globe.

Why Managers Are the Key

If disengagement is the disease, managers are both the carriers and the cure. Gallup estimates that 70% of the variance in team engagement comes down to the manager. When managers are energized, engaged, and supported, their teams mirror it. When managers are burned out, that disengagement spreads.

The warning signs are clear. Manager engagement has slipped from 30% to 27%, with younger and female managers hardest hit. That’s the same dip reported as during the COVID pandemic. It’s difficult to inspire a team when you yourself are exhausted. In a world of hybrid work, increased AI-driven disruption, and constant change, managers are navigating more complexity than ever before.

The Leadership Shift We Need

The old model of management, supervising tasks and enforcing rules, won’t cut it anymore. Today’s workforce doesn’t just want a boss; they want a coach. They want someone who can develop their strengths, listen to their ideas, and create a culture of trust.

Gallup’s research shows the power of this shift. Even basic management training cuts active disengagement in half. Teaching managers to lead with a coaching mindset boosts performance by 20–28%. Instead of pushing for compliance, coaching leaders spark commitment.

This doesn’t require massive reinvention. It can be as simple as managers asking more questions in one-on-ones, giving feedback as collaboration instead of criticism, and making time to recognize effort as well as outcomes. Small shifts compound over time, creating teams that feel seen, supported, and motivated to perform.

The ROI of Human-Centered Leadership

Leadership Development is often seen as a “soft skill,” but the economic stakes prove otherwise. Every disengaged employee costs the organization through lost productivity, missed deadlines, or turnover expenses. Multiply that across teams, and you get the $9.6 trillion figure.

Here’s the opportunity…imagine…reclaiming even 10% of that lost productivity money. That’s nearly a trillion dollars in productivity waiting to be unlocked. Even incremental improvements in engagement pay massive dividends. Not just in dollars, but in innovation, customer loyalty, and retention.

Organizations that invest in managers are essentially investing in their entire workforce. When managers are trained, supported, and equipped to lead as coaches, employees are more engaged, less stressed, and more likely to stay. That’s not just a “nice to have”, it’s a business imperative.

Practical Steps Leaders Can Take Now

So what can leaders do in changing times? Gallup offers three clear prescriptions:

1. Train all managers. Even basic development dramatically reduces disengagement. Don’t assume new managers will figure it out; equip them from the start.
2. Teach coaching skills. Build cultures where managers guide, question, and empower rather than dictate. This shift is linked to higher engagement and performance.
3. Invest in wellbeing. Managers who feel supported in their own wellbeing pass that resilience down. Encourage boundaries, normalize PTO, and provide resources for mental health.
   

Beyond these, leaders can model transparency, celebrate progress instead of just outcomes, and connect individual roles to the bigger mission. These practices cost little while building enormous trust.

A Call to Action for Leaders

The numbers are in, and here’s the OT play: when companies stop running on autopilot and actually tackle disengagement, magic happens—growth, creativity, and connection. Turns out, employees don’t want free pizza Fridays as much as they want to feel valued, supported, and inspired. Who knew? (Okay, everyone knew.)

The not-so-secret ingredient? Managers. Give them coaching skills, support their wellbeing, and remind them that they’re not just task-masters—they’re culture-builders, energy-boosters, and future-shapers. Basically, they’re the Special Teams of the workplace: when they’re strong, everything works better.

Unlocking potential isn’t about squeezing every drop of energy out of people. It’s about creating a place where people actually want to bring their best. The payoff? Stronger teams, healthier vibes, and a workplace that’s ready for whatever the world throws next.

By the Numbers: The State of Engagement

All the key figures from Gallup’s 2025 State of the Global Workplace report in one place:

• 8 out of 10 employees worldwide are disengaged.

• 21% are engaged.

• 62% are “checked out.”

• 17% are actively working against organizational goals.

• $9.6 trillion lost annually in global productivity due to disengagement.

• 1 in 2 employees are actively job-hunting or watching for new roles.

• 50% of employees in North America & Australia report daily stress.

• 15% of employees in South Asia say they are thriving in life overall.

• 70% of engagement variance comes down to the manager.

• Manager engagement dropped from 30% to 27%, with younger and female managers hit hardest.

• 20–28% performance boost seen when managers lead with a coaching mindset.

• Active disengagement is cut in half with even basic management training.