Wake-Up Call: Your People Don’t Trust You And It’s Hurting Your Business

Election outcomes across the developed world have reinforced that an increasing percentage of the population deeply mistrust “traditional” leaders, often those who have the most experience and standing. The significance of this trend isn’t limited to politics—it also extends to the world of business, where trust in leadership is faltering, limiting companies’ potential.

The evidence of this is beyond dispute. Analyses by Gallup have shown that organizational leaders have been steadily losing the trust of their people since the pandemic. According to their research, only 21 percent of individuals strongly agree that they trust the leadership of their employers, a decline from 24 percent as recently as 2019. Comparatively, PwC’s 2024 Trust Survey reveals that 86 percent of business executives polled think employee trust is high, compared to 67 percent of polled employees—a startling 18-point gap.

This should serve as a wake-up call for CEOs looking to increase performance and productivity in 2025, especially those in human-centered industries like healthcare. Those at the helm of such institutional structures can no longer rely on traditional thinking, assuming their position and experience will encourage confidence. They need to engage with their people differently to foster greater levels of trust, and they need the trust of their people to reach their mission-critical goals.

Fortunately, there are proven approaches to building and maintaining trust in leaders and organizations—methods that support the evolving leadership styles and work environments that individuals are demanding of politicians and bosses alike. More than anything, these approaches require adaptability on the part of executives, who would be wise to prioritize four key areas:

Embrace the trifecta of accessibility, authenticity and transparency. More and more working individuals are asking their leaders to reject hierarchical styles of the past. They place more trust in leaders who are approachable, relatable and clear in message and vision, while demonstrating they understand the day-to-day experience of team members. Executives who embody these attributes and promote them across organizations create fresh leadership norms and culture, forging stronger bonds of trust with their people while simultaneously fostering healthier workplaces.

Be clear and bold in internal communications… and ask for the same in return. Employees have had more than their share of mildly worded, unfocused messaging that reiterate the same corporate platitudes, and don’t actually address their concerns. They place more trust in leaders with the confidence to clearly articulate visions and plans that demonstrate clear understanding of the needs and desires of all parties. Achieving trust-boosting communications often requires a more dynamic communications approach tailored for different areas of the business, with a greater emphasis on both narrative and listening. This work is best achieved in environments that promote two-way dialogue, gathering regular feedback from employees in novel ways.

Empower and equip more leaders beyond the C-Suite. As most team members can attest, plenty of leaders beyond the C-Suite have knowledge, potential and trust-building capabilities that go untapped. For example, site leaders within multi-site healthcare services organizations bring unique insight into conversations around how to best support successful day-to-day operations. Organizations that invite such on-the-ground leaders into spheres of greater influence—and leverage those conversations to advance clear communication cascades and strong feedback loops—will not only benefit strategically but also earn more trust among those who interact with the leaders regularly—a significant portion of their workforce.

Pay more attention to employee engagement. Today’s softer labor market has allowed many organizations to mistakenly believe they can deprioritize employee engagement efforts given the challenge their people will face finding new opportunities. This view ignores the reality that such efforts—and trust-building initiatives in general—do more than just improve retention; they enhance productivity, foster innovation and accelerate growth. Organizations would be wise to revisit their employee value propositions early and often, clarifying what top talent is both seeking and bringing to the organization.  

By harnessing the power of trust and new ways of engaging employees, leaders can successfully stay ahead of trends reshaping our nation and world. They can further tap into their teams’ and organizations’ full potential, smoothing pathways to success now and all throughout 2025.