Purpose Guided by the conservation of resources theory, this study aims to present a comprehensive framework examining leadership, Guanxi, work-family conflict and work engagement. It specifically explores how group-level transformational leadership influences individual-level Guanxi and work-family conflict and how these factors, in turn, impact work engagement. Design/methodology/approach The study surveyed 473 teachers in the Klang Valley, Malaysia, and used hierarchical linear modelling. Findings The results reveal that transformational leadership directly enhances non-work relationships, reduces work-family conflict and indirectly predicts increased work engagement. This indirect influence occurs through the mediation of Guanxi and the work-family conflict. Notably, while stronger Guanxi is associated with greater work engagement in the professional sphere, it does not necessarily mitigate the work-family conflict in the personal domain. Originality/value These findings provide valuable insights into maintaining and enhancing work engagement by implementing transformational leadership through more effective channels, such as Guanxi and work-family conflict management.