Employee Trust is Dipping: Leadership Steps to Turn the Tide

The 2025 Edelman Trust Barometer revealed a concerning decline in employee trust, with only 75% believing employers “do the right thing,” down 3 points from prior years, signaling a widening gap amid workplace challenges. 

This HR Spotlight article compiles insights from business leaders and HR professionals on practical steps to rebuild trust. 

Experts emphasize transparent communication, active listening, and following through on commitments to foster authenticity. 

They recommend regular check-ins, psychological safety measures, personalized growth plans, and inclusive practices like cultural competency. 

By owning mistakes, soliciting feedback, and aligning actions with values, leaders can enhance morale, reduce stress, and create environments where employees feel valued, ultimately driving productivity and loyalty in uncertain times.

Read on!

Rebuilding employee trust starts with being honest and consistent. Leaders should show they understand what matters to their teams by listening carefully and acting on feedback.

Transparency matters too – explaining decisions clearly helps people feel involved rather than left out. It also means following through on promises because trust fades when actions don’t match words.

Creating chances for genuine connection through regular check-ins or informal chats helps people feel valued beyond their work.

Owning up to mistakes and taking responsibility can strengthen trust, showing the organisation is made up of real people, not just rules.

Transparency, Consistency Rebuild Employee Trust

Mauricio Velásquez
President & Founder, DTG

Be transparent, don’t just make and share decisions without context or explanation. Explain how you came to make said decision and get input ahead of the decision from all parties involved.

Communicate regularly—state of the business, industry, emerging trends—regular “all hands meetings.” Recommit to Mission, Vision, and Core Values and hold all to account; none of this “Well this person is a Senior Leader—they will not be held to the same standards.”

Is your organization Psychologically Safe? Do we have high or low trust teams? Are you approachable as a Manager/Leader—do you solicit feedback to improve without getting defensive? Are people afraid to share contrarian ideas, suggestions, and recommendations?

Do you think your team members are holding back—for fear of retaliation? Do you allow bullies, toxic people to “roam free and dominate?” SMR Covey says “Leadership is getting results in a way that inspires trust.”

We ask in our Trust-Psychological Safety workshops what we are doing (as Leaders/Managers) every day to Build Trust and Undermine Trust (behaviorally, might be unintentional)? Never say “This was needed to know and you did not need to know”—destroys trust.

Transparent Communication Fosters Psychological Safety

Balaram Thapa
Co-Founder & Travel Advisor, Nepal Hiking Team

Emphasizing cultural competency and inclusive narratives can have a powerful impact on rebuilding trust within the workplace.

When employees see their diverse backgrounds and stories authentically represented and celebrated, it fosters a deeper connection and commitment to the organization.

Creating spaces where employees can share personal stories related to their cultural backgrounds and experiences can be transformative. This practice encourages open dialogue, breaks down stereotypes, and enhances mutual understanding across teams.

As people relate on a human level beyond job titles, trust organically grows. Support these initiatives with clear actions, like incorporating learnings into company policies and celebrations, demonstrating that the company values every individual’s story.

Cultural Stories Enhance Workplace Trust

To rebuild trust in such a scenario, focus on personalizing professional growth. While companies often emphasize generic career pathways, tailoring growth plans to individual skills and aspirations can make a huge difference.

Engage employees in regular one-on-one conversations not just about performance, but about their career aspirations and personal growth goals.

Empower managers to help team members access resources, training, or mentorship opportunities that align with these personal goals. This approach shows that the company values them as individuals, not just cogs in a machine.

When employees feel their unique contributions and potential are recognized, trust grows. This method fosters a stronger, more personal connection between employees and employers, bridging the trust gap effectively.

Personalized Growth Boosts Employee Confidence

Focusing on transparent compensation practices can be an effective way to rebuild trust in the workplace. When employees have a clear understanding of how salaries are determined, they perceive a fair and equitable work environment.

Sharing information on pay ranges and the criteria for promotions or raises demystifies the process and reduces skepticism.

Implementing an open forum or Q&A sessions where employees can discuss their compensation concerns or gain clarity on the company’s financial strategies fosters trust.

This approach, while not as commonly discussed as open-door policies or feedback loops, addresses the fundamental issue of fairness and transparency in the workplace—key factors in building and maintaining trust.

Transparent Pay Practices Build Trust

Shannon Alter
Leadership Coach, Communications Expert & Founder, Leaders Exceed

Trust must be earned and the easiest way to earn trust with your employees is to be open, honest and communicate with authenticity and transparency. As the CEO or team leader, it’s your responsibility to lead by example.

To boost trust, optimism and unlock loyalty, senior leaders need to start here:
Think of your organization as a “handshake” kind of business. Employees want to shake your hand and look you in the eye in the process – that’s how you begin to build trust.

In a fast-paced, hybrid working world, communication is more awkward and more transactional than ever. To combat this, leaders must take time to actually talk with their teams. People want to be seen and heard.

Make interactions intentional. Don’t just show up to your office and hope for the best. Instead, actively seek out opportunities to interact with employees. It works at building connection, a sense of belonging and also trust.

Don’t abandon one-on-ones with your team because you’re busy. These are a prime opportunity to really understand what’s going on in the business, from the very people who are helping you build the business. It’s a great opportunity to listen and show your team that you value them.

Authentic Interactions Drive Team Trust

Rebuilding trust in the modern working world begins with transparency, coupled with consistent action that is closely aligned with the values of the business. I have witnessed this personally while orchestrating moves for clients feeling uncertain: communication and keeping your eye on the ball worked to settle nerves, engender confidence and keep everyone moving in the same direction.

There are some pragmatic considerations too, such as listening to employee issues and easing financial burdens through competitive salary and support programmes – particularly when fears over affordability are a key trust factor.

Managers must also ‘prove’ their credence by honesty about issues and through involving workers in decision-making to stop them feeling excluded.

Creating a culture of inclusivity that encourages difficult discussions about diversity and civility also helps mend broken relationships. Lastly, investing in employee growth through reskilling and career development is a sign of playing the long game and it helps deepen loyalty.

Such efforts build the basis for trust that can lift moral and lead to better business results.

Inclusive Actions Strengthen Employee Loyalty

Renante Hayes
Executive Director, Creloaded

To rebuild trust in today’s workplace, leaders must first embrace consistent, transparent communication. This means sharing both successes and challenges openly.

Second, implement actionable feedback loops where employee input directly influences decisions, with clear attribution when their ideas are implemented.

Third, leaders must visibly demonstrate integrity by honoring commitments, admitting mistakes, and aligning actions with stated values.

Finally, recognize that trust-building isn’t a one-time initiative but requires sustained effort through regular check-ins and accountability measures.

In my experience, trust doesn’t come from grand gestures but from countless small moments of authenticity and follow-through that demonstrate genuine respect for employees as stakeholders in the organization’s future.

Consistent Transparency Increases Trust Levels

The HR Spotlight team thanks these industry leaders for offering their expertise and experience and sharing these insights.

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