What makes leading & managing in the public sector difficult at times?   There are several challenges leading or managing in the public sector. For one, there is an economic challenge. Salaries in the public sector are usually consistent across the board for everyone with some exceptions. Depending on your academics and skillset, a well-qualified candidate may earn much more in the private sector. There are also limitations to overtime or bonuses in the public sector. As a result, not only is it difficult to hire well-qualified candidates, it is just as difficult to retain them. Concurrently, it can be difficult to continuously motivate their employees when everyone is essentially making the same no matter how hard one is working. Government managers find other ways to motivate their employees through various performance awards or time-off.