This study explores the growing body of research on leader’s gratitude, emphasizing its significance in organizational settings. Gratitude, a complex and multifaceted positive emotion, plays a crucial role in enhancing interpersonal relationships, promoting well-being, and fostering prosocial behavior. The review categorizes gratitude into trait, state, and collective forms, examining their unique characteristics and implications. It highlights key theoretical frameworks such as the Find-Remind-and-Bind Theory, Broaden-and-Build Theory, and Cognitive Emotion Theory to explain how gratitude functions within leadership dynamics. The review further delves into the antecedents of leader’s gratitude, including team error management, feedback, and appreciation programs and its consequences, such as enhanced social intelligence, team innovation, improved leader-member relationships, and increased organizational commitment. Moreover, the paper discusses the broader social impacts of leader gratitude, showing how it fosters a positive work culture. Identified limitations include the scarcity of causal studies and underrepresentation of cultural factors. Future research directions are proposed, such as exploring gender differences in gratitude expression, cultural variations, and the effectiveness of different gratitude expressions. Overall, the review underscores that leader’s gratitude is a powerful yet underutilized tool in cultivating effective leadership and healthy organizational environments.