Trust is one of the hottest topics in business today, and it’s no surprise to hear that the COVID-19 pandemic has had some impact on businesses. A Cezanne trust in HR study revealed that 32% trust their HR teams more now following the pandemic, while 54% felt the same as before, and 14% declared that they felt the trust levels had deteriorated after it.
Additionally, 47% of respondents stated they wouldn’t trust their HR department to help manage conflict with other staff members. 31% of employees stated they were not sure whether they could trust their HR team about having their confidentiality respected, and 48% were unsure if they could trust their HR team to make them aware of internal promotional opportunities!
These questions beg the question; what can be done to help improve this? After all, HR handles a business’s most valuable asset: its people. Without trust, businesses would have a difficult time attracting and retaining top talent.
Fortunately, there are several things that HR can do to build trust within an organisation, such as using technology to improve communication, transparency, and confidentiality.
One of the most essential aspects is by investing in a human resources management system, as this can provide businesses access to important information about their benefits, compensation, and performance. This level of transparency can build trust between employers and employees.
If you want your business to be successful, you need to have trust in your HR and leadership teams. These teams ensure that the company is running smoothly and that employees are treated fairly.
Let’s discuss some other key tips for building trust in your HR leadership and why that is important.
3 Reasons Why Trust in Leadership and HR teams is Important for Businesses
1. Improvisation of Easier Communication
As any business leader knows, communication is essential for the success of any business. Whether it’s communicating vision and values to employees or sharing information about new products and services with customers, clear and effective communication is essential for ensuring that everyone is on the same page.
However, communication can only be effective if there is trust between the leaders and the HR team. When employees trust their leaders, they are more likely to be open and honest about their needs and concerns.
Any lack of communication and transparency can affect the quality of any business and make it more difficult to achieve its goals.
2. Enhanced Performance for Business Growth and Retention Rates
When employees trust their leaders and HR teams, they are more likely to be engaged in their work and motivated to do their best. A study found that companies with high levels of trust between employees and management had a 76% higher rate of employee engagement and their energy level is 106% higher than those who don’t trust their leadership.
Also, companies with high levels of trust between employees and management had a 40% lower rate of employee turnover and a 74% decreased stress level.
Trust is essential for keeping your best employees who are loyal to the company and can work towards its growth. When you have a high turnover rate, it can be costly and time-consuming to train new employees. Therefore, businesses need to create an environment where employees feel valued and respected.
3. Employees’ Empowerment for Better Results
A company’s growth depends on its employees’ empowerment. When employees trust their leaders, they are more likely to feel empowered to do their jobs. Leaders who are trusted by their employees are more likely to give them the autonomy and resources they need to be successful.
Trusted leaders also are more approachable and open to feedback. This creates an environment where employees feel like they can openly share about the internal promotional opportunities.
The corporate world is more competitive than ever, and the companies that will succeed are the ones that have strong leadership and HR teams. Trust is essential for businesses to create a positive work environment.
If your company doesn’t have trust between its employees and management, it will be difficult to reach your full potential. Furthermore, trust in HR is essential for upcoming business models that focus on creativity and innovation.