Why your best employees are walking out the door

“I’m sick of being micromanaged,” my friend Helen told me, right after she resigned. 

Kylie said, “I quit because I’m not OK”. She resigned after eating a company-provided cupcake on RUOK Day – I must admit, I laughed when she told me this. Great timing girl!

“I’ve had an absolute gutful of being treated like a second-class citizen, blamed and criticised, and being expected to be a mind-reader,” David told me, about 5 minutes before he resigned.

These are only three recent examples of friends and colleagues who have resigned from their well-paid, reasonably senior roles, after being poorly treated by their managers.

Bad people managers tend to exhibit patterns of behaviour that can demoralise teams, hinder productivity, and create toxic work environments.

Poor behaviours such as:

• Micromanaging
• Not communicating clearly, compassionately and consistently
• Avoiding difficult conversations – such as giving timely feedback
• Showing favouritism
• Failing to provide support and/or resources
• Inconsistency in decision-making.

The cost of poor people management is massive.

Research from the Society for Human Resource Management (SHRM), tells us that replacing an employee can cost a company between 50% and 200% of that employee’s annual salary, depending on the role. This includes the cost of recruiting, onboarding, and training new employees, as well as the disruption and loss of productivity of the whole team during the transition period. 

Other costs include: 

• Reduced productivity from disengaged employees, ineffective management, unclear expectations and a lack of communication. Gallup research shows that highly disengaged teams can experience 18% lower productivity and 23% lower profitability compared to highly engaged teams.
• Increased absenteeism - When employees are unhappy or stressed due to poor management, they are more likely to take unplanned time off. The American Institute of Stress found that workplace stress, much of which is linked to poor leadership, leads to increased absenteeism, which can cost employers an average of $3,600 per year for each hourly worker and $2,650 per year for each salaried employee.
• Poor people management can also lead to increased legal disputes, including claims of unfair treatment, harassment, or wrongful termination.
• Managers who overwork employees, fail to provide support, or create unrealistic expectations contribute to employee burnout, which in turn reduces productivity while also increasing turnover and absenteeism. According to a study by the World Health Organization (WHO), the cost of workplace burnout is approximately $322 billion annually in lost productivity worldwide.

 And the list can go on.

In any organisation, whether a small business or a multinational corporation, the success of the team hinges on effective people management. 

It’s more than just assigning tasks or overseeing projects – it’s about fostering relationships, building trust, and creating a culture where individuals can thrive. 

Practical people management enhances team productivity and leads to long-term business success by reducing turnover, resolving conflicts, and increasing engagement. 

What are you doing to ensure you and your people are the best managers they can be?

And what poor people management has led you to resign?

I’d love to know.

Join me for my Practical People Management Workshop on Thursday 17 October and learn tactics and insights to have difficult conversations, resolve conflict, and manage expectations. 

Mel Kettle is a leadership communication advisor, strategist, and keynote speaker. She works with leaders and teams to help them communicate with confidence, so they create real connections and sustained engagement.

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