In the home services trades, we’re often focused on the tangible—technicians turning wrenches, trucks on the road, invoices getting paid. But if you’re leading a team, there’s another tool that’s just as crucial as any wrench or truck: empathy.

Empathy isn’t just about being nice. It’s about understanding what your team is experiencing and using that insight to make better decisions. And in an industry where skilled labor is scarce, customer expectations are higher than ever, and competition is fierce, empathy isn’t a soft skill—it’s a competitive advantage.

A study by Catalyst found that employees who perceive their leaders as empathetic are 86% more likely to report being innovative and 92% more likely to feel valued at work. Additionally, organizations with empathetic leaders see better retention rates—with employees being 50% less likely to leave—and improved productivity. These metrics highlight that empathy is not just a "soft skill" but a tangible driver of success, fostering loyalty, creativity, and higher performance in teams.

Why empathy matters in the trades

Retention & recruiting

Finding good people is hard enough. Keeping them? Even harder. Team members don’t just leave for a bigger paycheck—they leave because they feel undervalued or unheard. Empathetic leadership means listening to your team, understanding their struggles, and making changes that improve their work life. Whether it’s offering more predictable schedules, investing in training, or simply acknowledging their hard work, leaders who show empathy build teams that stick around.

Customer experience

Every homeowner who calls your business is dealing with a problem. When your team understands and acknowledges that frustration rather than just “getting the job done,” it builds trust. That trust leads to repeat business, referrals, and five-star reviews.

Company culture & productivity

A culture of empathy creates a culture of accountability. When team members see their leaders as human beings, they’re more likely to go the extra mile. They feel safe bringing up issues before they become big problems, and they work harder for a leader who has their back.

How to lead with empathy

• Ask, Then Listen – Have real conversations with your team. Ask about their challenges—both on the job and outside of it—and actually listen to their answers;
• Step Into Their Shoes – Spend a day riding along with your techs or working the phones with your CSR team. See the business through their eyes;
• Act on What You Hear – If team members bring up recurring problems, don’t just nod—take action. Even small changes, like tweaking scheduling or improving communication, can make a huge difference; and
• Recognize and Appreciate – A quick “thank you” or a public shoutout for a job well done builds morale more than you think.

The bottom line

Empathy in leadership isn’t about being soft—it’s about being smart. It leads to stronger teams, happier customers, and a healthier bottom line. And in a competitive industry like ours, the businesses that understand and implement this will be the ones that win.

So, the next time you’re making a leadership decision, ask yourself: Am I thinking about the business, or am I thinking about the people who make the business successful? The best leaders do both.