
Fifty-nine percent of CEOs now view empathy as a perk or a nice to have. That figure comes from Businessolver’s 2025 State of Workplace Empathy report, the largest study of its kind, drawing on data from over 26,000 participants across ten years. What makes it striking is not the number itself. It is the direction of travel. That figure is up twelve points in a single year. Executives, as a group, are actively moving away from empathy as a leadership priority, and they are doing so at precisely the moment when the evidence against that position has never been stronger.
This is not an abstract concern about culture or kindness. It is a delivery risk. And it deserves to be treated as one.
The Conditions That Produced This Retreat
There is a logic to the shift, even if the conclusion is wrong. The past two years have delivered economic pressure, AI-driven disruption, and a wave of organisational restructuring that has pushed leaders toward harder, more measurable stances. Accountability culture, in many organisations, has become a proxy for toughness. Empathy, by contrast, has been quietly reframed as a luxury, something appropriate for stable times rather than periods of intense change.
The same Businessolver data shows that only 55% of CEOs now say empathy is undervalued in their organisation, down 28 points year-over-year. That is not a marginal shift. That is an entire segment of executive leadership changing its position within twelve months. The message being sent, intentionally or not, is that empathy had its moment and that moment has passed.
The problem is that the evidence says the opposite.
What the Data Actually Shows
When 27% of employees view their organisation as unempathetic, they become 1.5 times more likely to leave within six months. Across US organisations, Businessolver estimates that compounds into an annual attrition risk of 180 billion dollars. That is not a culture metric. That is a cost of goods figure that should sit on the CFO’s desk alongside every other delivery risk in a transformation programme.
The same employees in unempathetic organisations report three times higher workplace toxicity and 1.3 times more mental health issues. Those are not soft indicators. Toxic teams do not collaborate. People managing mental health crises do not adopt new systems, embrace new processes, or commit to new ways of working. They survive. And surviving is the opposite of transforming.
The leader who reads these numbers and still concludes that empathy is optional has misread the risk register.
Empathy Is Not About Feelings. It Is the Engine of Behaviour Change.
Here is the harder point, and the one that gets lost in the debate. Empathy is not a leadership style choice between being tough and being kind. It is the mechanism through which people change their behaviour. And behaviour change is the only thing that makes transformation real.
Technology does not transform organisations. People do. Systems get deployed, processes get redesigned, roadmaps get approved, and then the actual work of transformation happens in the minds and habits of the people who have to do things differently, every day. That work requires trust. Trust requires people to feel that they are understood, not just managed. And the leader who has stripped empathy from their approach has also, whether they intended to or not, stripped the conditions under which that trust can form.
BCG’s 2025 research on AI transformation makes this explicit. Their finding is that successful AI transformation is 70% people and processes, 10% algorithms, and 20% technology and data. In a programme driven by the most technically sophisticated tools in the history of business, the primary variable is still human. The technology is the smallest part of the challenge. The people transformation that runs alongside it is where programmes are won or lost. That is not a comforting aspiration. That is BCG’s operational conclusion from studying what separates AI transformations that deliver from those that do not.
Against that backdrop, the decision to treat empathy as a perk is not cautious. It is expensive.
The False Trade-Off Leaders Keep Making
The framing that puts empathy and accountability in opposition is one of the most persistent and damaging myths in transformation leadership. The assumption is that softer human approaches reduce rigour, that spending time on how people feel comes at the cost of delivery discipline. Executives who have internalised this framing tend to reach for control when things get hard, tightening governance, escalating pressure, increasing reporting frequency, as though the problem is visibility rather than engagement.
It rarely is.
The 70% transformation failure rate, driven by employee resistance and lack of management support, is not a governance failure. It is a people failure that governance cannot fix. You can have every RAG status in the programme green and still be six months from collapse if the people who need to change their behaviour have stopped believing that the organisation cares whether they succeed or fail.
Accountability and empathy are not alternatives. They are complements. The most effective transformation leaders hold both simultaneously. They are direct about what is required. They are also genuinely interested in whether the people doing the work have what they need to deliver it. That combination is not soft. It is operationally serious.
Tough Choices Require Human Leadership
Organisations under pressure will face genuinely difficult decisions in the months ahead. Restructuring, reprioritisation, AI adoption at scale. None of that gets easier by removing human connection from the programme. It gets harder, because the people who need to carry the change through are the same people who are watching how the organisation treats them under pressure.
The organisations deprioritising empathy right now are not being tough. They are being wrong about what produces outcomes. And the cost of that mistake will show up, reliably, in the delivery data.








