Leadership in Crisis: Will Your Company Be a Refuge—or a Risk?

Trust is in free fall. 61% of people hold grievances against government, business, and the wealthy. Confidence in institutions—public and private—is crumbling. And the last two weeks? They’ve only made things worse.

Federal rollbacks on DEI, grant funding cuts, and policy shifts have created disruption—not just for government employees, but for private organizations and everyday citizens as well. People are watching leadership decisions more closely than ever, questioning what’s next, and looking for stability wherever they can find it.

This puts leaders at a critical crossroads: In an uncertain world, must corporations act as embassies for their people?

When institutions falter, the workplace becomes more than just a job. It can be a stabilizing force—an environment where employees feel protected, valued, and heard. But too many organizations are moving in the opposite direction—scaling back benefits, tightening control, and treating employees as liabilities instead of assets.

Meanwhile, engagement is plummeting, and 54% of leaders report feeling burned out themselves.

This week, we’re breaking down what leaders need to do right now to rebuild trust, create stability, and redefine what it means to lead in a world where traditional institutions are faltering.

Three Ways Leaders Establish Trust with their Team

The past two weeks have been filled with disruption. Federal rollbacks on DEI, grant funding cuts, and policy shifts are fueling uncertainty—not just for government employees, but for private organizations and everyday citizens as well. People are unsettled, questioning what’s next, and looking for stability wherever they can find it.

As a leader, this is your moment to show up—not with empty reassurances, but with action. If the institutions around us feel unstable, your organization can be an embassy for its people: a place of safety, clarity, and belonging in uncertain times. Here’s where to start:

1. Meet the Needs of Your Workforce: Organizations trying to regain power—through strict RTO policies, cost-cutting, or surveillance tactics—are missing the point. Trust isn’t built through control. It’s built by meeting the real needs of your workforce. Employees don’t want empty promises; they want your actions to match your words. In Essential, we outline four key human requirements that people need to thrive at work. When companies make decisions that undermine these four needs, trust erodes. When they design policies that support them, employees stay engaged, innovative, and committed:

• Purpose: Does my work matter? Do I see how my contributions connect to a bigger mission?

• Agency: Do I have autonomy over how I work? Am I trusted to make decisions?

• Well-being: Does my workplace support my mental, emotional, and physical health?

• Connection: Do I feel like I belong here? Do I have meaningful relationships at work?

💡Action step: Ask yourself: Are we designing policies that serve these four human requirements—or just asserting control? Choose one area to improve—whether it’s increasing transparency around decisions, offering more flexibility, or opening up real conversations about what your employees need to thrive.

2. Create Psychological Safety—Not Just Perks: Employees don’t stay at companies because of free snacks or fancy perks. They stay because they feel safe, seen, and valued. In an era of uncertainty, corporations that act as embassies for their people create environments where employees can speak up, take risks, and know that leadership has their backs.

💡 Action step: When everything else feels in flux, a workplace where voices are heard becomes an anchor. Ask your team:

• “What’s one thing leadership could do to create a greater sense of safety and belonging?”

• “How do you feel we’re living our values as a team? Where could we do better?”

3. Redefine Leadership as Service: Leadership isn’t about status—it’s about stewardship. The most trusted leaders aren’t the ones who hoard power; they’re the ones who use it to serve. Companies that recognize their role as stabilizing forces—places where employees can grow, contribute, and be valued—will be the ones that thrive.

💡 Action step: This week, focus on one tangible way you can serve your team—whether it’s giving them more autonomy, advocating for their needs, or creating space for real conversations about what’s working (and what’s not).

10-Minute Takeaway: Trust Audit—How Are You Showing Up for Your Team?

Step 1: Reflect
Ask yourself: If I were an employee in my company today, would I feel heard, valued, and secure?

Step 2: Reality Check
Pick one of these quick assessments:

• Inbox Test: Scroll through your last 10 emails or Slack messages—do they signal openness and support, or just urgency and demands?

• Meetings Test: In your last team meeting, did you do more listening or more talking?

• Decision Test: Think about a recent leadership decision—how much input did you seek before making it?

Step 3: Take Action

• Ask your team directly: What’s one thing I could do to strengthen trust?

• Choose one small but meaningful action based on their response—and follow through.

Disruption will always be part of the world we live in—but trust is the foundation for resilience and adaptability.

What We’re Reading, Watching, and Listening to This Week

1. Christie Smith on Employee Engagement in Crisis: In last week’s Newsweek interview, Christie breaks down the real reasons behind today’s engagement crisis and why traditional approaches aren’t working. Leaders need to move beyond perks and policies to create workplaces where people feel genuinely valued, heard, and invested. Read the full interview.

2. Record Number of CEOs Are Stepping Down—Here’s Why: CEO turnover is at an all-time high, driven by activist investors, employee pressures, and the demand for new leadership approaches. What does this mean for executive teams—and who’s next? Read the analysis on Financial Times.

3. Five Trends Shaping Leadership in 2025: From the power shift between employees and employers to the impact of AI, Financial Times’ Isabel Berwick breaks down five key trends that will define leadership in the coming year. Watch here.

4. Closing the Skills Gap—How Leaders Can Tackle the Scarcity Crisis: The workforce is evolving faster than companies can keep up. Leaders aren’t just facing a hiring problem—they’re facing a skills crisis. Christie breaks down how companies can rethink hiring, training, and internal mobility to build the workforce they need for the future. Read it here. Read more on Chief Executive.

A Dose of Humanity to Fill Your Cup

Mental health isn’t about feeling good all the time. It’s about having emotions that fit the reality of what’s happening—even when those emotions are uncomfortable.

Emotions are data. The stress, frustration, or uncertainty you (or your team) might be feeling right now isn’t just noise—it’s information. Instead of suppressing difficult emotions, leaders who acknowledge and manage them well create psychological safety, resilience, and trust.

Uncomfortable emotions aren’t just normal—they’re valuable. The real skill isn’t avoiding them; it’s learning how to use them.

👉 Watch Lisa Damour and Adam Grant discuss this perspective on emotional health.

Thank you for being here. Until next week,

The Humanity Studio Team

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