Bouncing back from a year of bad workplace behaviour

The year 2024 could well go down in history as a time when people behaved badly in the workplace. But, unless leaders choose to step up, the worst may still be yet to come, writes Claire Gallagher.

In 2024, there were far too many examples of people behaving badly at work.

From a review into the “toxic” culture within the NSW Police Force to the report into Nine’s culture that exposed harassment and bullying, or the survey of more than 3,000 migrant women that found more than half experienced workplace sexual harassment – 2024 was littered with stories of toxic workplace culture. The final nail in the coffin? A lawsuit against mining giants Rio Tinto and BHP alleging systemic sexual harassment and gender discrimination that had been going on for decades.

It’s a sorry state of affairs and little surprise Gallup research has found employees have hit the lowest level of engagement in more than a decade. They’re calling it the ‘Great Detachment’ as employees disengage en masse. It’s a trend that also speaks to Australia’s productivity growth rate, which has been on a downward trajectory since 2015.

As we enter a post-woke era and see the rise of right-wing populism driven by economic hardship, employment insecurity and geopolitical and cultural uncertainty, there’s a risk that things will get worse before they get better for Australian workers.

We only need to look to the US for a sign of how, as Donald Trump calls time on diversity, equity, and inclusion (DEI), leaving the door wide open to harassment and discrimination in American workplaces.

Brands, including Walmart and McDonald’s, had already begun to wind back their DEI practices, while Costco and Apple now find themselves in a fight against proposals to end diversity programs in the face of criticism and suggestions DEI could have a negative impact on profits. This is ludicrous given that research shows the opposite, with McKinsey finding that companies with gender and ethnically diverse boards are more likely to outperform financially.

For some, the shift away from DEI-type initiatives is long overdue – seen as either reverse discrimination, tokenistic or simply not aligned with personal values. For others, the shift is deeply concerning as it represents a less tolerant and open-minded workplace that will potentially inhibit innovation and productivity.

I’m not trying to tell you which side to take. Rather, I’m suggesting leaders need to understand and represent the needs of all internal and external stakeholders.

To that end, there has never been a more important time for authentic leadership in our workplaces.

We need leaders who are honest, open, and sincere. Leaders who hold themselves and others to account, who inspire and create value – in practical terms – among the people they work with. Leaders are committed to a purpose greater than themselves.

If you are a leader reading this, consider how you demonstrate confidence and compassion; inspire, not ridicule. How can you be open and transparent in the face of mis/disinformation, create clarity and confidence when people are worried and confused and give your staff something positive to focus on?

Rather than rhetoric about what’s wrong, the problems or threats, how can you focus on the opportunities and potential to do more and do better?

Like it or not, we are all in this together. It’s not “them”; it’s “us”.

If leaders step up and truly embrace authenticity, our 2025 report card could show a renewed engagement among workers, pivoting back towards a reinvigorated and safe workplace culture.

We have an opportunity to learn from the past and do better. So, let’s do it.

Claire Gallagher is the employee brand director at Principals.