Why Leadership Skills Matter More Than Ever in 2026

Cathie Leimbach • January 6, 2026

People are essential to your business success—yet many organizations underestimate the return on leadership development. Payroll and benefits alone account for 15 to 60% of operating expenses for most companies. In industries with lower payroll percentages, the trade-off is often expensive equipment—but without well-trained people, even the best tools underperform.


The truth is simple: mediocre employee skills produce mediocre business results. What’s often overlooked is where performance and engagement are truly shaped. Employees themselves only control about 30% of the factors that drive engagement and high performance. Leaders control the other 70%.


Despite this, only 18% of organizations say their leaders are very effective at achieving business goals, even though 71% offer leadership training. Why the gap? Much of that training focuses on strategy or systems—not on people leadership skills that directly improve performance.


When leaders do build those skills, the impact is powerful. Employees who feel supported give 57% more effort and are 87% less likely to leave. Organizations can see earnings increase by as much as 147%. In fact, leadership training delivers a $7 return for every $1 invested—more than double the return on technology investments.


Since leadership capability is being touted as the most critical factor for organizational success in 2026, it’s worth asking: Which people leadership best practices have your managers truly adopted? What currently weak areas are the most important to strengthen this year? 


A short leadership quiz can surface strengths and growth areas that aren’t always obvious—especially when you take time to talk through what it reveals.

By Cathie Leimbach August 18, 2026
An empty workstation gets your attention. What caused it should keep your attention. When attendance becomes a problem, the first response is often to review the policy, document the absence, or find someone to cover the shift. Those things may be necessary. But they don't tell you why the problem is happening. A conversation might. Instead of starting with “Why do you keep calling off?” try “I've noticed you've missed several days recently. What’s going on?” Then listen. You may hear about something outside of work. But you may also discover frustration with a supervisor, conflict with a coworker, unclear expectations, scheduling difficulties, or an employee who no longer feels valued. Understanding the reason doesn't mean ignoring attendance expectations. It means you know what you're actually dealing with. Also, look for patterns. Is absenteeism higher on one shift? In one department? Under one supervisor? Did it increase after a schedule or leadership change? Those patterns may tell you where another conversation needs to happen. Most importantly, don't wait until attendance becomes a disciplinary issue to start talking. Check in with employees. Ask what's making their work harder. Ask what they need from their supervisor. And when someone raises a concern or makes a suggestion, be sure to tell them what action you are taking or why their idea won’t be implemented. The goal isn't to eliminate accountability. It's to address problems before accountability is the only conversation left. Conversation is Where Leadership Happens™ You Don't Need to Go It Alone. Bring your workplace people challenges to the FREE Workplace Conversations Clinic on September 21. Gain insights from Cathie Leimbach and other attendees. Register here for the FREE Workplace Conversations Clinic 
By Cathie Leimbach August 10, 2026
Absenteeism is expensive. Every unexpected absence costs more than a day's wages. Someone else may need to work overtime. Priorities get reshuffled, service slows, projects fall behind, and customers notice. Before long, absenteeism starts taking money right out of your pocket. That's why many organizations turn to attendance policies, incentives, disciplinary action, or tighter oversight. But what if those approaches are addressing the symptom rather than what's really going on? Most people don't wake up one morning and suddenly decide they don't care about their work. Disengagement usually happens gradually. People stop sharing ideas. They stop feeling heard. They begin doing only what's required. Eventually, some stop showing up. By the time absenteeism is brought to your attention, the real issue may have been growing for weeks—or even months. If absenteeism has become a recurring challenge, don't just ask, "How do we reduce call-offs?" Instead, ask "What happened before people stopped wanting to show up?" That question may lead you somewhere an attendance report never will—and may ultimately save far more than overtime costs. Attendance problems. Accountability. Difficult conversations. Team conflict. Every leader faces workplace people challenges, and few have been taught exactly what to do when they arise.  Talking through your challenges with others can be helpful. Ask questions of your network. Get some ideas online. Sometimes another perspective is exactly what you need to see the situation differently. You Don't Need to Go It Alone. Bring your workplace people challenges to the FREE Workplace Conversations Clinic on August 17. Gain insights from Cathie Leimbach and other attendees as you explore practical ways to handle the situations you're facing. Register here for the FREE Workplace Conversations Clinic