7 minutes
Learn about the subtle toxic leadership behaviors can erode trust, stifle innovation, and harm morale, and learn practical insights to address them effectively.
Toxic leadership behaviors are like invisible anchors holding organizations back. They might not always be immediately noticeable, but their impact is undeniable—eroding trust, stifling innovation, and driving talented employees out the door.
Whether it's a manager who micromanages every detail, a leader who avoids accountability, or a boss whose ego overshadows the team's needs, these behaviors can create a ripple effect of negativity that damages morale and productivity. And while many toxic behaviors are overtly negative, such as micromanaging or being overly controlling, others may not seem harmful at first glance, but can be equally damaging—undermining trust, communication, and team cohesion over time.
Toxic leadership behaviors can often stem from valuable skills that are overused. Qualities that, when applied in moderation, can be highly effective may become detrimental to the credit union and the team when overutilized.
Here are six toxic leadership behaviors that may be undermining your team:
1. Lack of Clarity. When leaders fail to provide clear direction or don’t communicate regularly, they create uncertainty that can quickly erode a team's confidence and focus.
Without a clear sense of purpose or understanding of expectations, employees may feel directionless, leading to confusion, decreased productivity, and disengagement. In the absence of information, employees are left to fill in the gaps with their own assumptions about the intentions of their leader. Regular, intentional communication is key to aligning the team around goals, maintaining accountability, and fostering trust.
When leaders neglect this responsibility, they not only hinder their team's performance but also risk creating a culture of disconnection, where employees are unsure of where they stand or what is expected of them. A lack of clarity around expectations and performance also breeds insecurity among employees because they don’t know where they stand.
Regular performance feedback provides clarity on what employees are doing well, and where they need to improve. This feedback not only supports the employee's performance improvement but also provides a sense of security, as team members feel more confident knowing where they stand.
2. Toxic Positivity. Having a positive outlook can be a great skill in leadership and life. Creating excitement on your team, and providing a sense of belief and optimism can generate motivation and resilience. However, when positivity is overused, it can become toxic.
Leaders who consistently push for optimism, even in challenging situations, may inadvertently shut down honest conversations and discourage employees from voicing concerns or acknowledging problems. Toxic positivity creates an environment where employees feel pressured to suppress their true feelings, which can lead to frustration, burnout, and a lack of trust in leadership.
Toxic positivity can also foster artificial harmony within a team, where members withhold their true ideas and perspectives, choosing to go along with the status quo out of fear of upsetting their leader or rocking the boat. Toxic positivity can slowly erode the credit union culture and drive away talented, exceptional employees.
Effective leaders foster an environment where employees feel comfortable disagreeing with them, and they actively encourage differing perspectives while recognizing those who honestly express their opinions.
3. The Overuse of Harmony. Harmony is a valuable skill for fostering collaboration and a positive team environment. Harmony can be valuable in ensuring that all perspectives are heard, creating a collaborative environment before moving forward with decisive action.
However, when a leader is overly focused on maintaining harmony at the expense of addressing real issues, they create a culture of avoidance, where important challenges go unresolved, and team members may feel frustrated, disconnected, or unclear about expectations. This could mean not addressing underperformance, unresolved conflicts, or important feedback.
The result is that issues fester beneath the surface, creating a sense of tension and resentment among team members. Without open communication, trust erodes, and productivity suffers.
One of the most common behaviors I see in my work that undermines a leader’s effectiveness is a reluctance to address challenges and poor performance. While the leader may be supportive and encouraging at times, their failure to confront these issues timely weakens their credibility and impact in the long run, and creates resentment and disengagement on their team.
4. People Pleasing. People-pleasing is when an individual prioritizes the desires, approval, and comfort of others over their own needs, values, or boundaries. In leadership, people-pleasing can manifest as a leader’s tendency to avoid conflict, say yes to unreasonable requests, or downplay difficult situations in order to be liked or maintain peace.
While the intention may be to create a positive or harmonious environment, it often leads to ineffective leadership, as it prevents the leader from making tough but necessary decisions, providing honest feedback, or setting clear boundaries. The focus shifts from what’s best for the team or credit union to keeping individuals comfortable, which ultimately undermines trust and effectiveness.
Leading a team can be hard. At times, it will be necessary to facilitate uncomfortable conversations for the sake of the team. Managers who struggle with people pleasing frequently avoid these necessary interactions, which ultimately undermines their authority and influence, while also negatively impacting team performance.
5. Passive Leadership. True leadership isn’t about stepping in occasionally or reacting when bigger issues arise. It’s a daily commitment to stay engaged, communicate clearly, and inspire a culture of accountability. Unfortunately, many managers lack the essential skills needed to be effective and influential leaders in today’s evolving workplace.
Passive leaders fail to recognize that effective leadership demands consistent, daily engagement. It’s not simply a position of authority—it requires active involvement, clear communication, and continuous support to create success and build trust.
An active leader builds positive influence by being visible and involved, while providing clear direction, support, feedback, and empowerment. Passive leaders fail to provide the direction, clarity, feedback, and appreciation that their team needs to be productive and engaged.
6. Being Constantly Accessible. Being constantly available to your team or others can undermine your success as a leader by creating a sense of overwhelm, leading to burnout and a lack of focus on strategic priorities. When you're always accessible, it can signal to your team that you're available to solve every issue immediately, preventing them from developing their own problem-solving skills or taking ownership of their responsibilities.
Additionally, constant availability can erode boundaries, causing a lack of respect for your time and diminishing your ability to lead with clarity and vision. The ability to prioritize and manage your workload is a crucial skill for effective leadership. Managers must prioritize the key result areas that have the greatest impact on their team and organization. However, many leaders confuse being supportive and helpful with being constantly available. To lead effectively, it's essential to manage your time and focus your energy on high priority tasks, rather than spreading yourself thin by trying to be available for everything. This is often hard for leaders to embrace because they fear that setting boundaries or stepping back will make them seem unapproachable or disengaged, when in fact, it’s necessary to maintain focus and facilitate results.
Over time, being constantly accessible keeps leaders from focusing on the most important elements of leadership—coaching, engagement, feedback, appreciation, and results, which creates a toxic environment for the team.
Not all toxic leadership behaviors are overtly negative or malicious. In fact, many stem from qualities or skills that, in moderation, can be highly effective in a leadership role. However, when these traits are overused or applied inappropriately, they can become detrimental to the organization and the team.
In many cases, managers and executives aren’t aware that some of their behaviors are creating a toxic environment, as these actions may seem harmless or even well-intentioned on the surface, but over time, they can subtly erode trust, communication, and team morale.
Leaders need to recognize when their behaviors, even when well-intentioned, are hindering growth, communication, and accountability within the team. By cultivating self-awareness and understanding the impact of their actions, leaders can avoid the subtle slide into toxicity and create a thriving team and culture.
Laurie Maddalena, MBA, CSP, CPCC, is a certified executive coach, leadership consultant and founder of CUES Supplier member Envision Excellence LLC in the Washington, D.C., area. Her mission is to create exceptional cultures by teaching leaders how to be exceptional. Maddalena facilitates management and executive training programs and team-building sessions and speaks at leadership events. Prior to starting her business, she was an HR executive at a $450 million credit union. Contact her at 240.605.7940 or info@lauriemaddalena.com