The recent PwC 2024 Trust Survey highlights a growing disconnect between executives’ perceptions of employee trust and the reality expressed by employees. Although 86% of the 548 business leaders surveyed believe that their employees have high trust in the organization, only 67% of the 2,039 employees surveyed reciprocated this sentiment, revealing an 18-point discrepancy, which is larger than seen in previous years.
The survey indicates that many companies might lack the appropriate mechanisms to accurately gauge and understand the trust dynamics within their organization. While businesses often claim to measure trust, PwC suggests these metrics are largely subjective and fail to adequately reflect the sentiments of various stakeholder groups, including employees, customers, and investors.
Contrary to some beliefs, the survey found that high trust within a company directly contributes to improved productivity and operational efficiency, rather than just influencing long-term retention. The immediate risk of low trust is not just employee turnover but also reduced engagement and half-hearted work effort.
Addressing this trust issue necessitates starting with company leadership. The survey revealed that only 44% of C-suite members have a high degree of trust in their peers, which is less than the trust they have in their non-C-suite colleagues. Establishing a culture of trust and openness within the organization, according to PwC, begins with the executives demonstrating trust among themselves.
Flexibility in work schedules and locations is also key to building trust. The survey showed that while a significant majority of employees believe that having control over when and where they work would increase their trust in their employer, fewer executives are willing to offer such flexibility. Moreover, the practice of closely monitoring employees’ work, especially in remote settings, can further erode trust.
While business leaders often trust their remote and in-person employees equally, many employees feel there is a disparity in how they are treated, pointing to another trust gap. PwC recommends acknowledging and addressing these trust gaps by treating trust as a collective organizational responsibility, fostering trust among leaders, maintaining a consistent company narrative, and demonstrating commitment to employee growth and organizational success.
