Bad bosses are killing your profit

The actions of one person can have a direct effect on employee health and wellness

Bad bosses — we’ve all dealt with one directly or we know one, maybe many. Most of us at some point have pondered, “Why haven’t they been fired?” 

Although I don’t like to label people as “bad,” the term “bad bosses” has become part of our business language to identify a segment of the work population that causes much conflict and costs employers significant amounts of money.

A 2015 Gallup Poll found that half of all employees who quit their jobs do so to escape their direct managers. Think about it: Out of all the reasons people leave employers, 50 percent resign due to the actions of one person. This decision is a negative and direct link to health and wellness, since bad bosses create enormous amounts of employee stress. Workplace stress costs companies millions of dollars in lost productivity and lawsuits each year, driving up healthcare costs and creating countless problems for employers. 

Imagine how high the average employee’s stress level needs to be, on an ongoing basis, for him or her to make the serious decision to quit their job for no other reason than to escape a negative environment they have little or no control over. Most likely, these employees believe the situation is not going to improve and that their company will likely not fire the person anytime soon. In addition, this leads to employees having a poor view of the management skills and inactions of upper management, further damaging employee morale.

When our stress levels are so high we begin to look for an exit, we are in full “fight or flight” mode. Our brains are operating at a primal survival level, one where we seek a better situation in which to feel safe, healthy and valued. Most employees crave a work environment in which they can, at the very least, feel safe, productive, respected and be treated fairly. When these elements are missing due to the actions of an immediate supervisor, employees are forced to hyper-focus on their own well-being vs. their own work, which saps productivity. 

Does having a toxic non-management employee result in the same damage to a company as a toxic manager? No. The toxic manager is doing more harm to your company. Every company has a hierarchy — company culture typically works “top-down.” Therefore, toxic managers tend to poison those around them and everyone below them. The non-management employee tends to have a more limited negative effect.

In addition, the toxic employee tends to be fired more quickly, whereas the toxic manager tends to create a broader unhealthy environment and can cause multiple employees to quit before upper management takes control of the situation, if ever. 

For a number of reasons, employers hesitate to force bad managers to change and often take even longer to fire them, sometimes operating under the false hope that the situation will take care of itself, or not wanting to invest the time and resources to hire and train a new manager. They may also fear a lawsuit by the manager.

This is flawed thinking, since the bad boss is continuously costing the employer much more money and time in lost productivity, higher healthcare costs and the risk of multiple employee lawsuits than the contained cost of hiring a new, and hopefully competent, manager. Solving a bad boss problem will likely result in fairly immediate improved morale and loyalty from multiple employees, positively affecting productivity and profit.

Be aware of employees who are struggling. Do they happen to work under the same supervisor? Their actions can be symptomatic of high stress levels due  to a negative work environment. Getting to know your employees and creating a safe and friendly environment in which employees feel free to report negative or abusive behavior creates a positive workplace culture where employees flourish and companies profit.

Invest the time in helping these managers improve their skills or remove them from the company altogether. When firing a manager is necessary, the long-term effects to the fired individual may actually prove to be positive, as they will likely be forced to evaluate their own behavior and hopefully learn better skills to bring to their next employer.

Employees talk. They share their feelings about work with family, friends and acquaintances. They are your best advertising or your worst advertising. Help them to spread glowing reviews of your company as the best place to work by providing them with managers who create a positive and supportive environment where everyone wins!  

Carol Phillips, author of “52 Simple Ways to Health,” is a Manchester-based health and wellness expert. She can be reached through her website at 

Categories: Health, News