70% of managers have no training to lead a hybrid team — and it’s costing you more than $1M per year

Joe Mechlinski
4 min readFeb 9, 2024

Hot off the press data published by Gallup noted a $1.9 trillion of lost productivity due to not engaged or actively disengaged employees — which make up about 67% of the workforce.

At a macro level this number is staggering, but what does it mean for you?

Here’s the picture for a 500-person company — let’s assume:

➡ 67% are disengaged: 17.2% are “actively disengaged” and 50% are “not engaged”

➡ Disengagement costs up to 34% of the average salary which is ~$60K in the US.

‼️ Cost of disengagement for a 500 person company: $6.8M per year

But what about companies of different sizes? Let’s take a look:

These numbers are not new. In fact, roughly three-quarters of the population has been disengaged for the last 20 years — and nothing really has changed.

Role clarity → the culprit of disengagement?

Question: If disengagement is costing you potentially millions of dollars per year, what’s one thing you can focus on to fix it?

Answer: Role clarity.

The last three years of layoffs, restructures, and shifting roles have left managers with no time to realign the way their teams operate, and employees with little understanding of what’s expected of them.

This is especially true for those that are remote and hybrid as they have experienced double the decline in knowing what’s expected of them compared to on-site workers whose jobs could be done remotely.

Gallup notes that the largest decline associated with the drop in clear expectations was the extent to which employees perceived they had meaningful feedback in the past week.

That seems like an easy fix, right? Maybe — if your managers are engaged enough to do it.

Managers are MORE disengaged than non-managers?

It turns out this is true. Yikes…what?!

Called the “management squeeze,” managers are more likely than non-managersto be disengaged, burned out, feeling as though the organization doesn’t care about their wellbeing, and looking for a new job.

So if managers are disengaged, it’s no wonder people are, too.

Case in Point: One of our clients asked us to do a study of their organization to figure out why their hybrid model wasn’t working. After a survey and 25+ one-on-one conversations, we learned: the managers were the ones actively going against the organization’s hybrid policy.

They weren’t leading by example because they too didn’t want to come into the office. The worst part? When the challenges of hybrid work came up in the Executive Meeting, the managers blamed the employees for being unwilling to show up.

Flag on the play.

People leave managers, not companies

Who’s eager to step into a managerial role these days?

Wedged between corporate demands and employee expectations, many managers are at the epicenter of chaos. The Microsoft Work Trend Index published in early 2023, reported that 54% of managers feel the top brass doesn’t really get what employees need, and 74% feel powerless to make the changes their teams need.

Practically begging for a lifeline from higher-ups, managers find the support — crucial training and tools — to be in short supply. In fact:

70% have no formal training on how to lead a hybrid team.

It’s a head-scratcher, especially when you think about the high cost of attrition and the old saying, “people leave managers, not companies.”

Have you or your managers had formal training on how to lead a hybrid team?

Answer our LI poll here.

Give managers what they need

So here’s the situation: you rely heavily on your managers to drive engagement, yet the employees aren’t clear on expectations. Hybrid work is diluting your culture and impacting your results, yet your managers aren’t properly trained to lead a hybrid team and are disengaged themselves.

If disengagement is costing you millions of dollars a year, what are you willing to invest to get your managers in better shape? What’s it worth to you?

We’re kicking off a hybrid manager certification program which includes:

  • Live training sessions in a cohort with other leaders
  • Asynchronous learning modules delivered between the live sessions
  • Access to a coach, tools and resources to improve management effectiveness

🔥 More details coming soon!

If you find you are a little winded yourself, take a page from the airline industry and “put your oxygen mask on first, before helping others.” Check out this article in the Forbes Coaches Council written by our very own, Andrew Freedman, “Mastering Your Mindset: 3 Strategies to Thrive in 2024.”

🚀 to the moon,

Joe

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Joe Mechlinski

CEO of SHIFT, Founder of Latch, NYT & WSJ Bestselling Author, TEDx Speaker and Angel Investor