A Debate about the Control Tax: Designing for Judgment Over Oversight

Catalyst Center for Work Innovation: The Debate · May 17, 2026 · 28m

This research explores the concept of the control tax, which represents the hidden organizational costs incurred when leaders stifle high-performing talent through excessive oversight and micro-management. By prioritizing surveillance and strict approvals over autonomy, companies inadvertently trigger disengagement and the loss of their most capable employees. The research argues that trust is not a lack of accountability but a strategic design choice that requires pushing decision-making power to those closest to the work. To eliminate this tax, senior leaders must foster psychological…