In 2025, one trend came through in the results of the Edelman Trust Barometer: trust in CEOs has declined significantly, nearing the halfway mark at 51% globally.
It was recorded that close to 60% of the people surveyed feel that businesses are not doing enough to better their lives, with high grievances on affordability, climate change, retraining, misinformation, and discrimination.
But why is this happening, and why does it even matter?
According to the report, compared to other institutions, business is still considered competent and ethical, though at a much lower level than NGOs, the media, and the government.
Here’s where the leaders and CEOs have to play their roles and how they can make a difference. The drop in trust is only an indication that people expect a lot more from businesses, that are focused on their contribution to society and how it will make people’s lives better.
Why Trust in CEOs is Eroding?
Of course, it didn’t help matters that there grew an increasing sense that CEOs weren’t really relating to the day-to-day struggles of a common person. While over the years, the wages of workers merely stagnated on average, so did the increasing pay of the executives.
People started asking themselves, “How would the CEOs lead effectively when they focus more on profits rather than solving employee and customer challenges?”
This feeling is further stirred by the lack of accountability: CEOs make far-reaching promises with regard to social responsibility, sustainability, and diversity. When those promises are not kept, disappointment sets in.
Problem with leaders and CEOs
People have lower trust in business leaders due to high grievances. It is reported that people do not generally trust CEOs. Further, the fear that leaders lie to us is at an all-time high. People fear that CEOs and leaders are purposely misleading them with things they know are false or gross exaggerations. The erosion of trust is further amplified by growing skepticism of leadership integrity.
Other factors include low incomes and feeling stuck in a swamp of distrust. People feel left behind as the gap between the rich and the poor keeps growing. Most people believe the wealthy take more than their fair share and don’t pay their fair share of taxes. They also think the selfishness of the rich is causing many of society’s problems. These feelings of unfairness only add to the anger and frustration people feel toward leaders and CEOs, making trust in them drop even further.
Trust in CEOs: Silence on Key Issues
One other area in which trust gets eroded is the silence of chief executives over key social issues. In the world today, business leaders are expected to have something to say about important issues such as climate change, economic inequality, and human rights. Most of them do not speak out owing to some unbearable backlash or controversy. As a result, they are viewed as shirking responsibility at the moment of greatest need, alienating the public and undermining confidence in their leadership.
People Want Leaders to Act More Human with Integrity
The 2025 Edelman Trust Barometer says that influence is earned through compassion, not power. This is based on the survey showing that people today are less likely to trust a leader just because they hold a position of power. Real influence is earned by showing genuine care and understanding for what people need.
For people in a high position and power, getting respect is done through connecting with people on a personal level. Leaders who understand, listen, are transparent, approachable, and know how to communicate clearly are some of the leadership qualities that make people give respect. Here, integrity plays an important part. People need leaders who are honest, ethical, and consistently do the right thing, even if it is hard to do so.
Basically, trust in CEOs and leaders is earned through respect, and respect is earned through actions. In other words, leaders gain trust by showing respect, and leaders show respect by listening, being empathetic, keeping promises, and treating others with dignity. They are also the ones who walk the walk, demonstrating honesty and fairness in all their actions.
Thus, people today care about leaders who do the right actions that show that they are human, act with integrity, and care about their own people, not someone to boss them around.
Conclusions
Ultimately, this erosion of confidence has been because there has been an evident disconnection with the people for whom they exist. Changing leadership mindsets away from pure profits to more understandings inclusive of society served and greater long-term value than immediate profits would restore that level of trust. Then, and only then, could CEOs look towards gaining some trust lost.
