Global HR advisory firm McLean & Company has revealed in a new report that roles for “people leaders” managers and team leads responsible for employee engagement, culture, performance, and well-being have become so overloaded and under-supported that many are reaching breaking point.
According to the firm’s report Transforming the Role of People Leaders, rapid workplace complexity, evolving employee expectations, continuous change, and the rise of digital work environments have pushed leadership responsibilities far beyond what organizations originally intended.
Key findings:
People leaders are 1.7 times more likely to experience high stress than individual contributors.
Around 40% say they struggle to maintain work-life balance.
Emotional labour — guiding teams through uncertainty and change — adds a hidden burden beyond the visible workload.
Looking ahead, 73% of respondents believe leaders’ required skills will need to change “completely or almost completely” to meet the demands expected by 2030.
These pressures, McLean argues, mean many organizations risk burning out or losing their people leaders — unless the role is radically redesigned to provide clarity, capacity, and the right support.
What This Means for the HR Industry
A Redesign Is Needed — Not Just More Work
The McLean report calls for a fundamental rethink of the “people leader” role — not merely adding new responsibilities, but redefining what leaders should be doing. This involves: clarifying their purpose, accounting for both visible tasks and invisible emotional labour, and aligning HR processes and support to realistic expectations.
For HR teams, this means shifting from reactive “manager overload” fixes toward long-term structural changes: workload redistribution, clearer role definitions, capacity planning, and embedding human-centric leadership skills (empathy, coaching, emotional intelligence) as core competencies.
Leadership Development and Internal Talent Strategy Gains Urgency
The findings echo broader signals: the firm’s 2025 HR-trends research flagged leadership development and retention — rather than external hiring — as the top priority for HR leaders this year.
If many “high-potential” employees are now opting out of leadership roles due to stress and lack of support, organizations may face a leadership pipeline crisis. That makes investment in leadership readiness, coaching, and sustainable career paths more important than ever.
Rising Role of AI Does Not Replace Human Leadership — It Amplifies It
Many view automation and AI as ways to lighten human workloads. However, McLean warns these trends increase the need for human-centered leadership. As technology handles routine tasks, strong leadership in culture, empathy, communication, and team cohesion is crucial.
This shift means HR strategies and training need to change. It’s not just about managing processes well anymore. Organizations must develop leaders with emotional intelligence, resilience, and adaptive management skills.
Also Read: RChilli Uses Agentic AI to Re-Architect Recruitment in Oracle HCM, Redefining How Enterprises Hire
Implications for Businesses
Risk of leadership burnout and attrition: Businesses may see higher turnover among mid-level and senior leaders, which can destabilize teams and projects.
Reduced team performance and morale: If leaders are overstretched, their ability to coach, mentor, or engage teams may suffer — potentially hurting productivity, innovation, and retention among employees.
Weakening of organizational culture: Inconsistent leadership and stressed managers undermine efforts to build a strong, cohesive culture — especially in times of rapid change.
Strategic disadvantage in future of work: Firms that fail to redesign leadership roles may struggle to adapt to evolving work models (remote, hybrid, AI-supported), and may lag behind more agile competitors.
Necessity for long-term investment in human capital: Organizations will need to invest in leadership training, emotional-intelligence development, supportive HR frameworks and sustainable workload design.
Conclusion
The report, 【Transforming the Role of People Leaders】 by McLean & Company, states that traditional “people leader” roles don’t suit today’s workplace. As complexity, change, and employee expectations grow, many leaders feel overwhelmed. This can lead to burnout, attrition, and lower performance in organizations.
For the HR industry, this is a crucial moment. It’s no longer sufficient to simply hire effective managers organizations must rethink leadership, redesign roles, embed human-centric competencies, and build long-term support structures. Doing so isn’t just good practice: it may determine which businesses succeed — and which struggle — as we approach 2030.
