The Impact of Positive Leadership on Employee Engagement, Productivity, and Talent Retention in the Era of Artificial Intelligence

Abstract

In recent years, Artificial Intelligence (AI) has reshaped workplace dynamics, influencing leadership, employee engagement, productivity, and talent retention. This paper examines the key role of positive leadership in enhancing engagement, boosting productivity, and supporting talent retention in the AI-driven work environment. Positive leadership—defined by trust, empowerment, and optimism—emerges as essential for managing the challenges of increased human-machine collaboration. By reviewing empirical studies and theoretical frameworks, this research explores how leaders can create a culture of engagement, increase productivity, and retain talent by leveraging AI to complement, rather than replace, human abilities. Additionally, the paper addresses shifting employee expectations for leadership in AI-enhanced workplaces and offers insights into aligning leadership practices with technological progress. The study concludes with practical implications for businesses aiming to succeed in the AI era and suggestions for future research.