In the past, the leadership style of Malaysian managers has been different from our Western counterparts due to strong cultural differences. However, with the advent of knowledge economy and the transformation of workforce, leadership style of Malaysian managers is said to be altered. This research explored the current state of leadership style among Malaysian managers and its effect on the perception of effectiveness. A survey method was employed and the data was drawn from subordinates who were working in private and public sectors in the Klang Valley area. When compared to past literature, the results imply that a shift has taken place primarily with regards to autocratic leadership. Respondents attributed leadership effectiveness to the use of participative and nurturant-task leader behavior. Gender differences were not significantly evident.