Nearly Half of Workers Say Their Boss Doesn't Truly Understand Them, New Survey Finds

As misunderstanding replaces burnout as the top workplace challenge, new data from The Predictive Index reveals how poor management is costing companies their top talent.

WESTWOOD, Mass., June 10, 2025 /PRNewswire/ -- The Predictive Index (PI), the data-driven HR platform used to hire top performers, develop effective managers, and retain your people, released findings from its 2025 Workplace Perception Gap Survey by Dynata, revealing a growing crisis of workplace misunderstanding. The national survey of 1,000 consumers found nearly half (46%) believe their boss only somewhat or rarely understands their contributions — a disconnect that may be more damaging to businesses than burnout.

"We've long focused on workload-related burnout, but our research reveals a more fundamental issue at play," said Matt Poepsel, Vice President and Godfather of Talent Optimization at PI. "When employees don't feel accurately seen or understood, it creates a perception gap that directly impacts retention, performance and innovation. This issue isn't just about hurt feelings — this negatively impacts business results."

Key findings from the report include:

• Forty-four percent of employees report being overlooked for raises, promotions or projects due to misperceptions about their skills or work style.
• Nearly half (48%) feel their contributions are consistently undervalued by leadership.
• Forty-three percent receive feedback from managers that feels misaligned with how they see themselves.
• One in five (18%) workers believe they're "more capable than they appear on the surface."
• Approximately 62% of Gen Z employees report being overlooked for opportunities due to misperceptions — 18 percentage points higher than the overall workforce average.

The survey also found that the perception gap hits younger employees particularly hard, with 54% of Gen Z reporting that manager feedback feels inaccurate or misaligned with their self-perception. This contributes to significant retention risk, with data showing Gen Z will constitute 30% of the workforce by 2030, and job board signups for this generation surging 42% in a single year.

Solutions to close the gap
The research identified clear priorities for addressing this workplace perception crisis, including:

• Forty-four percent of employees believe better leadership training for managers would improve workplace understanding.
• Forty-five percent want more frequent and meaningful feedback.
• An overwhelming 80% of Gen Z employees believe behavioral assessments would help them and their teams better understand their strengths and work styles.

"Traditional leadership approaches are failing to recognize the diverse behavioral drives and work styles that make teams successful," added Poepsel. "Behavioral data provides the objective insights managers need to truly see, understand and develop their people, including those whose strengths may not always be immediately recognized."

To discover how behavioral assessments can help close perception gaps in your organization, visit https://www.predictiveindex.com/learn/talent-optimization/resources/ebooks/hr-and-the-perception-gap/.

About the Survey
The Predictive Index Workplace Perception Gap Survey was conducted in April 2025 among a national sample of 1,000 U.S. employees across industries, job levels and generations.

About The Predictive Index
The Predictive Index (PI) is the data-driven HR platform to hire top performers, develop effective managers, and retain your people. More than 60 years of proven science, software, and a curriculum of insightful management workshops make PI the solution for any company looking to design great teams and culture, make objective hiring decisions, foster engagement, and inspire greatness in their people anywhere in the world. More than 10,000 clients and 480+ partners use PI—including Nissan, Citizens Bank, Blue Cross Blue Shield, and Omni Hotels—across 90+ countries. Learn more at www.predictiveindex.com.

Media Contact:
Abby Lewis
The Predictive Index
[email protected]

Courtney Swift
The Predictive Index
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SOURCE The Predictive Index