SINGAPORE: As the old saying goes, “Trust takes years to build, seconds to break, and forever to repair.”
This timeless truth is particularly relevant in today’s corporate landscape, where trust in leadership is alarmingly low.
A recent report by HR consultancy DDI published by FastCompany found that just 46% of leaders fully trust their direct managers to make the right decisions.
Even more concerning, fewer than one in three employees trust senior leaders. This erosion of trust has serious consequences for teams, productivity, and overall company culture.
In Singapore
A recent study on Employee Experience Trends by Qualtrics, published by CFOTech, highlights a significant trust gap between employees and leadership.
Workers in Singapore rate their leaders six percentage points lower in trust than the global average.
Only 50% of employees in Singapore believe their leaders prioritize employee well-being over short-term profits. \
Dr Cecelia Herbert, Workplace Behavioral Scientist at Qualtrics, commented: “The relationship between employees and leaders is becoming increasingly strained…
While building and maintaining trust is challenging in times of disruption and uncertainty, our study demonstrates its profound impact on business performance and individual outcomes.
This makes it crucial for leaders to understand how to foster trust in 2025.”
The cost of low trust in leadership
The effects of diminished trust ripple through every aspect of an organization. Here are some of the most damaging consequences of a lack of trust in leadership:
Employees stop listening
When employees don’t trust their leaders, they stop listening to them. In a leadership vacuum, it’s not enough to simply issue directives.
Employees will tune out if your words don’t align with your actions or if you’re seen as inconsistent or unreliable.
People want to work for leaders who are credible, who do what they say, and who lead by example. Without that, they’ll find it hard to take direction or believe in the company’s vision.
Employee engagement takes a hit
You can launch all the engagement initiatives you want, but if trust is missing, they won’t work. Trust is the foundation upon which engagement is built.
When employees don’t trust their leaders, they disengage—not just from their work but from the organization as a whole.
This disengagement leads to a more passive workforce, with employees doing just enough to get by. In some cases, disengaged employees can even turn toxic, undermining morale and productivity.
Innovation and risk-taking stagnate
Trust is a core element of psychological safety, crucial for fostering innovation and creativity within teams.
Employees need to feel they can take risks, speak up, and offer new ideas without fear of judgment or repercussions.
Without trust, they’ll hesitate to share their thoughts, try new things, or challenge the status quo. As a result, productivity drops, and innovation stalls.
Miscommunication and conflict multiply
A lack of trust can lead to defensive behaviours, and employees may start to build walls around themselves.
Even if team members collaborate well within their groups, they may be reluctant to engage with other teams or departments.
This fragmentation can lead to miscommunication, mistakes, and even conflict. As work quality declines and frustration grows, the negative cycle continues.
How leaders can turn things around
The good news is that trust, while fragile, can be rebuilt. Leaders can take proactive steps to restore trust within their teams. Here’s how:
Lead by example
The first step is to model trustworthy behaviour. It’s one thing to talk about being trustworthy, but it’s another to demonstrate it consistently.
Your actions should match your words and be transparent and reliable. Employees will watch what you do—not just what you say—and that will shape their trust in you.
Conduct a trust audit
Trust isn’t an abstract concept—it comprises tangible components. To rebuild trust, you need to assess where it’s been broken.
By identifying areas where trust has been compromised in these four domains, leaders can create targeted action plans to rebuild it.
Whether improving communication, being more transparent, or simply being more present with your team, these small but powerful steps can restore trust.
Open communication and feedback loops
Creating an environment where employees feel heard and valued is critical to rebuilding trust. Encourage open lines of communication, seek regular feedback, and be open to constructive criticism.
When employees see that their concerns are taken seriously and addressed, trust grows.
Be accountable
One of the fastest ways to lose trust is to avoid taking responsibility for mistakes. As a leader, owning your actions, admitting when you’re wrong, and demonstrating accountability is essential.
Leaders who take ownership of their mistakes and learn from them inspire confidence and trust in their teams.
Trust Is the foundation of strong leadership
In today’s workplace, trust is not a luxury—it’s a necessity. Without it, employee engagement falters, innovation dies, and productivity plummets.
By being self-aware, consistently demonstrating trustworthy behaviour, and addressing the specific elements of trust that need attention, leaders can rebuild the trust that forms the foundation of high-performing teams.
While repairing trust may take time, the payoff is well worth the effort: a more engaged, motivated, and innovative workforce, driving success and achieving shared goals.
Trust may take years to build, but with intentional leadership, it can be restored—and its benefits will be felt across every level of your organization.
Featured image by Depositphotos (for illustration purposes only)