How leaders can create psychologically safe teams during periods of heightened stress

A group of professionals in a meeting room, discussing and collaborating around a table with a laptop and documents.

Stress reveals the true nature of a team. When deadlines tighten, markets shift, or the org chart gets redrawn again, the pressure doesn’t just test whether people can execute, it tests whether they still feel safe enough to speak up, admit a mistake, or ask for help. For leaders trying to navigate all this, psychological safety isn’t a nice-to-have you get to once things calm down. It’s the difference between a team that learns and adapts under pressure and one that quietly falls apart from the inside.

When failure feels dangerous, so does everything else

To understand why psychological safety matters so much when the pressure’s on, it helps to know what’s happening in the brain the moment someone’s afraid of getting something wrong. The brain doesn’t really distinguish between a mistake and a physical threat; it treats them the same way. The amygdala, our built-in alarm system, fires off a fight, flight, or freeze response and pulls resources away from the prefrontal cortex – the part of the brain responsible for clear thinking, planning, and taking smart risks. As one description puts it, the amygdala essentially “hijacks the logic and reason part of our brain” putting us on high alert before we’ve even had a chance to think it through.

In a low-stress environment, this hijack is momentary. People recover. They recalibrate. But during periods of sustained pressure, the amygdala stays on high alert, and the prefrontal cortex stays suppressed. The result is a team full of people who are physically present but mentally in survival mode, unable to do the honest, exploratory thinking that problem-solving and innovation demand.

Psychological safety works by removing that threat signal. When people trust that they won’t be punished, blamed, or embarrassed for admitting an error, the brain doesn’t go into defense mode. People remain capable of exactly the kind of thinking that stressful periods require most.

Why high-pressure moments make safety harder

Harvard professor Amy Edmondson, who coined the term psychological safety, frames the challenge through a simple two-by-two matrix of safety and accountability. The combination that leaders should aim for is high safety paired with high accountability, what Edmondson calls the “learning zone.” This is where people take the interpersonal risk of admitting mistakes precisely because they trust the outcome will be constructive rather than punitive.

The most dangerous combination is the opposite: sky-high accountability paired with almost no safety. Edmondson calls this the “anxiety zone,” and it’s exactly where fear of failure spikes. People feel the pressure to perform, but they don’t feel safe enough to say “I’m struggling” or “I don’t know” or “I’m worried about this.” So the problems don’t get solved, they just get hidden.

Periods of heightened stress naturally push teams toward that anxiety zone. Accountability intensifies. Tolerance for error shrinks. Unless leaders actively intervene, the safety aspect of the equation deteriorates precisely when it is most crucial. As one group of failure researchers put it, “Without a safe environment to fail, we tend to cover up or run from failure without reflecting; therefore, forfeiting our ability to gain valuable insights and learn from failure.”

What leaders can do

Creating psychological safety under pressure is not about lowering standards or softening expectations. It is about making failure discussable so that the team can learn and course-correct in real time. Here are four practises that leaders can put into action, especially when stress is high.

Separate failure from fault. One of the most damaging habits in high-pressure teams is the collapse of failure and fault into a single concept. Recent work on how people relate to failure highlights this directly: “We often collapse failure and fault and in so doing create an environment where it is not safe to highlight concerns or failures.” Leaders can break this pattern by treating mistakes as data rather than verdicts. When something goes wrong, ask “What can we learn from this?” before asking “Who is responsible?” The sequence matters. It signals to the team that understanding comes before judgement.

Just say it. If the team is under real pressure, express it clearly and directly.  It sounds small, but naming what everyone’s already feeling actually quiets the brain’s alarm bells, because the threat stops being this unspoken thing everyone’s dancing around. Try: “This is a hard stretch, and I know it. I still expect us to hold the line on quality and I expect us to have each other’s backs while we do it.” That kind of honesty doesn’t cost a leader authority. It’s exactly what earns trust.

Model vulnerability first. Edmondson’s research makes clear that psychological safety doesn’t eliminate failure. It makes failure discussable. But someone has to go first, and that person should be the leader. Share a recent mistake you made or a decision you’re unsure about. When leaders demonstrate that admitting an error is safe, it allows everyone else permission to do the same.  As researchers who study our emotional responses to failure have observed, guilt and shame “gain their power by lurking in the shadows and convincing us that we are alone in our struggles.” A leader who steps into the light first weakens that power for the entire team.

Respond to negative news with curiosity, not punishment. The moment that defines a team’s psychological safety is not the motivational speech or the team-building offsite. The leader’s response the first time someone delivers bad news is crucial.  Frustration or blame directed at that person sends a clear message: hide problems.  But if it’s met with genuine curiosity and real appreciation for the honesty, the message lands just as clearly the other way: surface problems early, and we’ll solve them together. Under stress, leaders have to be extra deliberate about how they respond in that moment. The leader’s response the first time someone delivers bad news is crucial.

The payoff is performance, not just comfort

Leaders sometimes worry that prioritising psychological safety during high-stress periods will make the team too comfortable or overly cautious, thus slowing innovation. However, as Edmondson’s framework demonstrates the learning zone requires both high safety and accountability.  Psychological safety without accountability produces a comfortable team that underperforms. Accountability without safety produces an anxious team that hides problems. Only the combination produces a team that holds itself to high standards while remaining honest about what is and isn’t working.

When people fear failure, their brains redirect energy from thinking to surviving. When people trust their team, that energy flows toward solving problems, surfacing risks early, and doing the kind of creative work that stressful periods demand. The leader’s job during these moments is not to eliminate the stress. It is to ensure that stress doesn’t silence the people whose voices the team needs most.

Reference: Talk About Talk Episode with Amy Edmondson

About the author

Dr. Melisa Buie is the co-author of Faceplant: FREE Yourself From Failure’s Funk (Practical Inspiration Publishing), and a speaker, facilitator, and organizational strategist with 30+ years of experience in industry, government and academia. 

You may also like: