“Leave me alone with these soft skills, we have to earn money.” Does this attitude sound familiar? Unfortunately, it is still part of everyday life in many companies. But those who dismiss trust and employee loyalty as “soft” risk serious economic consequences: Never before have so many employees in Germany worked to rule.
The latest Gallup Engagement Index 2024 reveals alarming figures:
- 9% of employees in Germany have a high level of emotional attachment to their employer – a historic low.
- Only 34% have full confidence in the financial future of their company.
- Trust in managers has fallen by 20 percentage points.
These worrying figures send a clear message: although managers are implementing measures to combat demotivation, there is a lack of targeted, active motivation among employees. Minimizing risks is no longer enough in times of economic uncertainty and staff shortages. What is needed is a proactive, inspiring management culture.
Change in the management culture
Employee loyalty has declined sharply. Only half of them still plan to be with their current employer in a year’s time. This downward trend requires a rethink: companies need to establish a continuous, motivating management culture that promotes a high level of emotional loyalty not only in times of crisis, but in the long term, thereby increasing performance and competitive strength. The figures show: Emotionally connected employees not only have less absenteeism, but are also more committed to the company’s success.
Trust: The foundation of successful leadership
There is a growing lack of trust in the financial future of the current employer. At 34 percent, it is the lowest it has been since the banking and financial crisis of 2008. However, it is not only trust in the future viability of the company that has declined, but also trust in managers: While 49% of employees still trusted their superiors unreservedly in 2019, this figure had fallen to just 21% by 2024. Trust is the foundation of every relationship. If it is lacking, decisions are questioned and skepticism arises. To counteract this, managers must actively approach their teams and invite them to help shape things. Strengths-based leadership that recognizes and promotes individual skills boosts self-confidence and creates a culture of mutual respect and collaboration.
The challenges of remote working
Another factor influencing company dynamics is the home office. While many employees now work in hybrid models, the figures show that not everyone is happy with this – collaboration and collegial exchange in particular are increasingly viewed critically in a remote setting. At the same time, 79% of employees say that they can work just as well or even better from home than in the office. This shows that Flexibility is not a contradiction to performance. Nevertheless, the office remains an indispensable place – for creative exchange, spontaneous solutions and an active corporate culture. Face-to-face meetings remain important in order to strengthen trust, promote innovation and create a sense of community.
New leadership culture
The latest figures from the Gallup Engagement Index are clear: leadership must change. Companies that want to be successful in the long term need a motivating and trusting leadership culture. This means no longer seeing leadership as pure control, but as active support and development of employees.
The key levers for sustainable leadership:
- Build trust – Through open communication, transparent decisions and genuine involvement of employees.
- Strengthen emotional loyalty – A corporate culture that responds to people’s emotional needs promotes commitment, a sense of belonging and a willingness to perform.
- Enable flexible working models – A well thought-out mix of home office and presence creates space for individual needs – without losing the team spirit.
- Promote strengths in a targeted manner – Leadership means recognizing and developing talent instead of just assigning tasks.
Modern leadership puts people at the center. It is no longer about managing employees, but empowering them. Managers who support rather than control create a culture of personal responsibility and growth.
The PAWLIK Group will accompany you on this path – let’s work together to create a leadership culture that ensures long-term success.
