According to a survey of 5,114 employees by leadership consultancy Endaba, almost half of staff do not trust their senior managers or CEOs and two thirds believe senor managers do not care how staff perceive them.
The survey, which polled employees in both the public and private sector, shows although public trust in the banking sector is at an unprecedented low, the problem is not just confined to the financial sector, but is endemic across all business.
Patrick Egan, managing director of Endaba, said: "The lack of trust in an organisation will prove catastrophic, particularly in a recession and the firms that have low levels of trust are the ones that will struggle to survive.
"Our research found where there is low organisational trust, people disengage and productivity drops. Diminished trust has a knock-on effect on everything. Relationships with employees, colleagues, suppliers and customers are compromised; confidence plummets - and so does reputation."
Half of employees don't trust their CEO or senior managers - and a quarter don't trust HR
HR has been voted the least trusted department in business, with more than a quarter of employees expressing mistrust in the profession.
