Inclusive Leadership Helps To Boost Employee Retention

Keeping employees is a big deal for companies worldwide, and a recent study from Edith Cowan University (ECU) suggests that how leaders lead can really affect how employees feel about their jobs.

The research discovered that having leaders who include everyone is super important for organizations. It helps set up an environment where employees can have a meaningful and satisfying work experience.

“Inclusive leadership is not just about embracing diversity. It is the art of weaving an extraordinarily rich tapestry of talents, ideals, and perspectives into the very fabric of organizational success. Inclusive leaders focus on employees’ need for belongingness and uniqueness and provide a psychologically safe environment that fosters creativity,” the researchers explain.

Shaping culture

“Inclusive leaders shape organizational culture and help employees to learn the expected behaviors relevant to the culture and its underlying values,” they continue. “Inclusive leaders also cultivate high-quality relationships in the workplace based on trust that can foster collaboration and cooperation among employees.”

This leadership style makes employees feel like they have more freedom, shows that they’re valued and can make fair decisions, offers emotional support, builds trust, and lets them share their thoughts. These things are crucial for creating a sense of meaning at work for employees.

Studies have found that when employees find their work meaningful, it leads to a bunch of good things for both the employees and the organization. This includes increased satisfaction with work and life, higher engagement, better mental well-being, more motivation at work, improved career growth, more creativity, positive behavior at work, and strong commitment to the organization.

Having a meaningful job can result in positive outcomes like job satisfaction, improved performance, and increased motivation.

Open to support

“Inclusive leadership refers to a leadership style that invites and appreciates contributions from followers by demonstrating openness, flexibility, and availability, which can create a psychologically safe environment,” the researchers explain.

“Such a psychologically safe environment helps employees share their unique perspectives, discuss differences, and practice problem-solving. Also, inclusive leaders promote employees’ uniqueness and sense of belongingness to the organization, the two crucial factors in creating a psychologically safe environment where employees can be themselves.”

Furthermore, inclusive leaders encourage ideas from a diverse team and make sure employees can use the company’s resources. By being available, flexible, and open, these leaders offer help and support to solve problems, emphasizing that mistakes are opportunities to learn, not reasons for criticism.

Creating meaning

The authors highlight that when leaders treat their staff with respect, value their contributions, and create a positive work atmosphere, employees see their workplace as a space for trying new things, having open discussions, and learning from mistakes. Working in such a supportive environment, led by inclusive leaders, can enhance the meaningfulness of employees’ work.

“By demonstrating all the inclusive behaviors or creating that trusting relationship at the top end of leadership, and communicating that to other levels of employees, leaders will set an example for others on how to behave,” the authors conclude.

“If a leader can help an employee to shape a meaningful work experience for us, employees will be more committed to coming to work, and it will have a more positive effect in enhancing the intrinsic motivation within employees. This will definitely have an impact on keeping employees happy and reducing the number of turnovers in an organization.”

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