Employees in a meeting, Image: Pexels
Image: Pexels
In any organisation, leadership dictates the workplace culture. It influences productivity, profitability, and the overall environment—determining whether employees thrive or disengage.
A recent U.S. study conducted in response to the Great Resignation found that employees working under highly empathetic leadership reported greater creativity (61%) and higher engagement (71%).
These numbers aren’t just statistics; they highlight a crucial, often overlooked factor in workplace success—psychological safety.
The best leaders know that their greatest asset isn’t technology, data, or strategy—it’s people. Research consistently shows that companies fostering psychological safety outperform their competitors.
When employees feel secure enough to share ideas, take risks, and collaborate without fear of negative consequences, innovation and engagement naturally follow.
Despite the clear link between psychological safety and business performance, many organisations struggle to move beyond superficial wellness initiatives.
"Genuine inclusion isn’t about ticking boxes or launching expensive programmes—it’s about cultivating a culture where employees feel valued and empowered," explains Humsha Ramgobin, Group CHRO at Mediclinic.
Group CHRO at Mediclinic Humsha Ramgobin, Image: Supplied
Image: Supplied
During crises, businesses make employee wellbeing a priority. The COVID-19 pandemic saw companies introduce mental health support, stipends, and flexible working conditions.
Leaders listened, adapted, and placed people first. But as stability returned, many of these initiatives disappeared, replaced by rigid, pre-pandemic structures. Why? Because leadership empathy often spikes in moments of uncertainty but fades when business continuity is assured.
"The reason is simple: short-term retention concerns. When organisations fear mass resignations, they invest in people," says Ramgobin. "But once the crisis is over, many revert to old models, prioritising efficiency over engagement. This approach is flawed. Employees aren’t just looking for perks—they seek purpose, belonging, and leadership that truly supports their growth."
Inclusion is often misinterpreted as meeting diversity quotas or compliance-driven interventions. But in South Africa’s diverse workforce, true inclusion means fostering a sense of belonging across all backgrounds.
Studies confirm that employees who feel connected and valued are more productive, experience less stress, and are less likely to leave.
This cannot be achieved through policies alone. It requires leadership that actively engages with employees, listens to their challenges, and fosters an environment where contributions are recognised at all levels.
"Psychological safety isn’t about avoiding difficult conversations—it’s about encouraging them in a way that builds trust and respect," shares Ramgobin.
Employee wellbeing isn’t about adding another wellness programme; it’s about leadership. Structured initiatives can be helpful, but their true impact depends on how leaders interact with their teams daily.
Amy Edmondson, a leading expert on psychological safety, emphasises that the most successful workplaces are those where leaders build trust, show vulnerability, and model inclusive behaviour.
In South Africa’s high-pressure corporate environment, the need for psychological safety is even greater.
Yet, many companies spend more energy managing the underperforming few than nurturing their high achievers.
"Instead of focusing on punitive performance management, leaders should create conditions where excellence is encouraged and supported," Ramgobin elaborates.
As digital transformation accelerates, leadership must evolve to balance technology with human connection. Employees today seek more than just salaries—they want to align with companies that share their values, offer meaningful work, and create a sense of purpose.
Retention strategies must extend beyond financial incentives to build workplaces that inspire people to stay and contribute.
For psychological safety to become a permanent part of workplace culture, leadership development must prioritise emotional intelligence, trust-building, and inclusivity.
From junior managers to executives, leaders need the skills to empower rather than control. A facilitative leadership style—one that nurtures rather than dictates—will drive performance, engagement, and long-term business success.
The future belongs to organisations that embed trust, purpose, and human connection into their leadership frameworks. South African businesses must shift away from reactive, compliance-based approaches to inclusion and instead cultivate cultures where employees feel genuinely heard, valued, and empowered.
Leaders who embrace empathetic leadership as a core strategy will not only build successful companies but also create resilient, engaged workforces. It’s time to stop leading in response to crises and start leading with empathy at the core of sustainable business success.
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