Research indicates individuals with lower socioeconomic status have higher empathetic accuracy because their survival often depends on reading social cues. As leaders ascend financially and socially, this "empathy muscle" atrophies from disuse, creating an emotional and experiential divide with their teams.

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Neuroscience shows that individuals in high-power positions exhibit reduced motor resonance when observing others. This is a measurable neural change indicating diminished automatic empathy, not just a metaphorical shift in attitude or a conscious choice.

Today's leaders are expected to manage employee emotions and take public stances on social issues, roles for which their traditional training did not prepare them. This requires a new skillset centered on empathy and public communication to build trust with a skeptical younger workforce.

Contrary to the popular belief that power corrupts, research suggests it acts as an amplifier. If a person is already "pro-social"—oriented towards helping others—power can increase their empathy and effectiveness. If they are selfish, power will magnify those negative traits.

Brené Brown distinguishes two types of empathy. Cognitive empathy (understanding and validating feelings) is a core leadership skill. Affective empathy (taking on others' emotions) is counterproductive and leads to burnout. Leaders must practice the former and avoid the latter.

The super-rich lose empathy not necessarily because they are bad people, but because their lifestyle systematically isolates them from common experiences. With private airports, healthcare, and schools, they no longer participate in or understand the struggles of mainstream society. This segregation creates a fundamental disconnect that impacts their worldview and political influence.

A leader's emotional state isn't just observed; it's physically mirrored by their team's brains. This neurological "energy transference" sets the tone for the entire group, meaning a leader's unmanaged stress can directly infect team dynamics and performance.

The U.S. military discovered that leaders with an IQ more than one standard deviation above their team are often ineffective. These leaders lose 'theory of mind,' making it difficult for them to model their team's thinking, which impairs communication and connection.

With societal and political issues increasingly entering the workplace, the most critical leadership skills have shifted. Mars' CEO argues that empathy—to listen and connect with employees on a human level—and self-awareness—to navigate sensitive topics without personal bias—are now paramount for maintaining a civil and productive corporate culture.

Leading with empathy is emotionally draining, but it's not compassion that causes fatigue—it's the distress of witnessing suffering without being able to help. For leaders, the ability to take meaningful action during crises makes the emotional cost a worthwhile price to pay.

Compared to the general population (40% 'Thinkers'), investment professionals are overwhelmingly thinkers (80%+). This personality skew explains why these organizations can feel colder and why leaders may not instinctively consider the informational or emotional needs of their teams.