- Artificial intelligence (AI) is already transforming the workplace, offering opportunities for organizations navigating its challenges.
- However, at the heart of this transformation lies the critical issue of trust, and the promise of AI will stall for firms who don’t address it.
- Leaders must prioritize building trust across all levels of their organization in order for their business to thrive in the Intelligent Age.
Artificial intelligence (AI) is transforming the workplace, offering unprecedented opportunities – but only for organizations that can navigate its challenges. At the heart of this transformation lies a critical issue: trust. Without it, the promise of AI will stall, leaving businesses behind in the ‘Intelligent Age’.
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Leaders must confront the reality that trust is on the decline. BetterUp’s survey of more than 200,000 US workers, employees’ comfort in raising questions and concerns to leadership in 2024 has declined quarter over quarter since 2020.
This gap in trust risks undermining the very potential that AI holds for business transformation. In this age of disruption, it’s not just about adopting AI – it’s about rebuilding the trust needed to make AI work for your people and your organization.
The decline in leadership trust
Trust in leadership is at a crossroads – a challenge further amplified by the rapid adoption of generative AI (GenAI). McKinsey reports that 91% of organizations are unprepared to scale AI responsibly, while Accenture found that while 95% of employees valued working with GenAI, they don’t trust organization leaders to implement it thoughtfully.
About two-thirds (65%) of executives Accenture surveyed admitted that they lack the expertise required for the gen AI-led transformation. We also know from BetterUp’s own data that as a leaders’ self-ratings decline in key areas, their direct report’s ability to trust them declines as well – creating a cycle for even less trust.
When trust erodes, organizations pay the price. BetterUp research shows that a 10% decline in trust can slash financial performance by as much as $115 million for a $500 million company over just four years.
For leaders, the message is clear: trust isn’t a nice-to-have – it’s a business imperative. Accenture also reports that GenAI adoption has the potential to drive $10.3 trillion in economic growth. So bridging this trust gap is no longer optional – it’s the $10.3 trillion opportunity.
Rebuilding leadership trust
The foundation of rebuilding trust lies in creating an atmosphere where employees can voice concerns, take risks, and innovate without fear of retribution.
Leaders who prioritize this kind of work environment and exhibit authentic excitement for AI can create a ripple effect to develop stronger, more engaged teams that adapt to change, drive innovation and embrace AI.
We know many factors drive mindsets for employees – culture, peers and co-workers – but far and away the greatest influence on mindsets are based on who we report to. Numerous studies show that these leaders’ emotions and attitudes are contagious for those who report to them and AI is no exception.
BetterUp and Stanford looked at employee perceptions of AI and found the two most important mindsets for managers.
The first was agency, the sense of control or faith in our ability to handle a range of tasks and situations, while the second is optimism, our confidence and hope in positive outcomes.
When direct reports see their managers exhibiting agency and optimism towards AI, they themselves are 1.5 times more likely to use AI at work and they’re almost three times as likely to exhibit agency and optimism themselves.
https://www.weforum.org/stories/2025/01/rebuilding-trust-ai-intelligent-age/
