Uncertainty is nothing new. But it has become increasingly visible to us through the ever-expanding worlds of technology, social media, and global economies.
As 2026 begins, we face ongoing uncertainty in markets, global politics, workplaces, and communities. The 2025 World Economic Forum Global Risks Report highlights a pessimistic and volatile outlook for the coming decade. Managing director Saadia Zahidi emphasizes that “it will be up to visionary leaders ... to address the risks now foreseen for the next decade to build durable peace and prosperity.”
While we can’t solve all the world’s issues, as business leaders we can ensure that our people feel safe enough in their day-to-day jobs to stay engaged in their work and connected to those around them. Creating psychological safety—an environment in which people feel they can share their thoughts and concerns openly—is especially important during times of turbulence. People need to be safe to express their feelings without fear of being labeled “change resistant,” “needy,” or “troublesome.”
The impact we have as leaders, good or bad, doesn’t end when people clock out. When people feel valued and seen at work, they’re likely to take a sense of security home to their dinner tables and communities. When they don’t, the opposite is also true.
The Hidden Costs of Uncertainty
Psychological safety isn’t just a “nice to have”—it can protect your organization from the costly negative impacts of uncertainty.
Research has established that high levels of uncertainty are associated with worsening mental health problems and psychological distress; conditions that can lead to poorer health outcomes.
The American Psychological Association (APA) reports that more than half of U.S. workers say job insecurity has had a “significant impact on their stress levels at work.” APA’s CEO, Arthur C. Evans Jr., PhD, says, “When people feel their jobs are at risk, it creates a sense of uncertainty that can affect every aspect of their lives.” That uncertainty generates stress linked to a host of individual health issues and, in turn, organizational costs.
Strategies to Create Psychological Safety
Leaders can’t promise definite outcomes. The truth is that sometimes leaders themselves are in a gray zone of uncertainty. What leaders can do is address employees' concerns and help them manage—and even thrive—in turbulent times.
When leaders create psychological safety, they expand what UCLA psychiatry professor Daniel Siegel calls the window of tolerance. This is the sweet spot—an optimal physiological and emotional state in which a person can regulate emotions, think clearly, and respond rather than react. When someone is within this window, their nervous system is balanced enough to support reflection, problem-solving, and social connection. When they are pushed outside it, they can experience disruptive emotions like anxiety, panic, numbness, or withdrawal. In a psychologically stable environment, the perceived threat level is lowered, allowing space for greater participation and collaboration.
Let’s look at some strategies you can use to create psychological safety and expand the window of tolerance for each employee.
Invite colleagues and employees into a judgment-free dialogue. Psychological safety is built in workplaces where people can speak without fear of judgment. If an employee is having a bad day, don’t immediately jump in to fix things or tell them how they ought to feel. Listen to them with compassion and allow them the space to be human.
When an employee trusts that their value, reputation, or relationship with you isn’t tarnished by a difficult moment, you have created psychological safety. Each time your employee feels safe enough with you to bring their most vulnerable self to the table and you respond without judgment, you are laying the foundation for better-regulated employees.
Acknowledge uncertainty and its discomfort. What we imagine is often scarier than reality. When you acknowledge uncertainty and invite your employees to share their worst-case scenarios and anxieties, you create a space that helps them regulate their emotions. Together, you can identify the parts of their internal narratives that are fact and fiction and determine what’s still unknown. Doing so grounds people in what’s real and helps them move back into the optimal zone.
Share what you can, regularly. You may not know more than your employees, or what you know may not yet be something you can share. Tell them that. Being transparent and communicating regularly reduces anxiety and shows you care. It also creates an open information pipeline and builds trust that you will share more when you can. Even a quick note such as "Hey, I’m thinking of you and haven’t heard anything new” can bridge the gap and keep people in the window of tolerance.
Reframe uncertainty. Uncertainty doesn’t always lead to disaster. It isn’t inherently negative or positive; the potential outcomes we anticipate impact our emotional response.
You can help your employees get excited about uncertain situations, such as the introduction of a new technology or a role change, by reframing them as opportunities for personal growth and development. However, this approach requires strong emotional intelligence and situational awareness. Not all uncertainty is the same, so it’s crucial not to treat each iteration equally. Doing so risks potential insensitivity and can undermine established psychological safety.
Leaders who use their powers of discernment can be sense-makers, framing the reality of the situation and offering a hopeful, purposeful vision of the future. This forward-looking manner can prevent employees from getting stuck in the present moment of difficulty.
In the end, as leaders we can’t guarantee there won’t be surprises or that uncertainty will resolve in the way everyone hoped. What we can do is honor our employees’ unique experiences and help them build greater tolerance for the inevitable discomfort of the unknown. Together, we can create workplaces built on trust and psychological safety that can carry us through even the toughest times.
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Editor's Note: Interested in learning more about the ways you can help your people succeed in a changeable environment? Join us for a complimentary webinar on January 21: Leading Through Uncertainty: Creating a Focused and Aligned Organization.
Blanchard trust expert Randy Conley will be sharing practical strategies you can apply immediately to help yourself and your team stay focused, resilient, and successful in the midst of change.
The event is free, courtesy of Blanchard.
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