Addressing toxicity and enhancing inclusive culture in the banking sector through spiritual leadership

Abstract

Orientation: Workplace spirituality and spiritual leadership may previously have been just new buzzwords in the corporate world, but they have now become important phenomena of significant scientific inquiry.

Research purpose: The research explored how spiritual leadership can address toxic workplace cultures, enhance inclusivity, and promote employee well-being in the banking sector in South Africa to ensure transformation is fast-tracked in the sector.

Motivation for the study: This motivation succinctly captures the study’s purpose by emphasising the pressing challenges in the banking sector, such as toxicity and exclusivity, while highlighting the potential of spiritual leadership to drive transformation and success.

Research approach/design and method: A qualitative, exploratory research approach was adopted. Primary data were gathered through semi-structured interviews with 9 participants and 21 personal narratives, all sourced from a large South African bank. Data were analysed using interpretive phenomenological analysis.

Main findings: Leadership is dominated by autocratic and transactional styles, further hindering transformation and reinforcing exclusionary practices. Additionally, there is a general lack of appreciation for diversity within the workplace. However, cultural and organisational values align with elements of spiritual leadership. Specific facilitators unique to the banking sector can enhance spiritual leadership to drive transformation by addressing systemic issues and promoting a more inclusive culture, and the adoption of spiritual leadership was shown to enhance workplace dynamics and foster a more inclusive environment.

Practical/managerial implications: Workplace spirituality must be prioritised to enhance employees’ well-being, happiness, contentment, and satisfaction across diverse employee groups.

Contribution/value-add: This study contributes to leadership and organisational research by highlighting the role of spiritual leadership in addressing toxic workplace cultures, fostering inclusivity, and enhancing employee well-being, using transformational leadership as a strategy.