So, I've had a lot of trouble with saving my updated leader_skill.dds file as I don't have Photoshop which is what most of the tutorials are for. I then tried to use GIMP but it wasn't properly saving the Alpha. Fortunately, I managed to use Paint.net to save these files.

Save as...
DXT1 (Opaque/1-bit Alpha)
Cluster Fit (Slow/HQ)
Perceptual

I don't know if other saving settings will work but certainly had a lot of trouble finding one that worked. This one worked.