Edelman Trust Barometer

The 2010 Edelman Trust Barometer highlights that in contrast to other European countries, Ireland is experiencing a profound and continuing trust crisis. Trust in government and business in Ireland is the lowest in Europe, with business falling from 38% in 2009 to just 31% in this year’s survey. This is against a global average of 50%. Government (the political process) fairs little better with trust levels plummeting to an all time low of 28% from 31% against a global average of 49%. Trust in media and NGO’s has also fallen, but to a lesser extent.

The findings show that Irish people have the lowest level of trust in politics and business in the 22 countries surveyed. Conversely, countries such as the US, Sweden and France experienced an increase in levels of trust, further underlining a deep institutional scepticism in Ireland. Ireland was the only country surveyed that experienced declines in trust across all four institutions, business, government, media and NGOs.

While the causes of this decline in trust are easy to identify, the solutions are not. Trust today is earned through multiple actions and from multiple sources and transparency. According to the Barometer findings, the profit purpose of companies is far less important than how it treats its employees or embraces societal issues. Corporate Reputation and trust are determined by transparency, involvement and social purpose. While we have moved from a shareholder to a stakeholder world we are clearly saying to politicians that they have a mandate to continue to intervene in the economy to find solutions to the challenges we face and to communicate openly. Institutions that are slow to realise this will continue to suffer trust deficits.

The findings in this year’s Barometer underscore the reality that if businesses are to regain trust, they will need to adopt a strategy of Public Engagement, by means of a shift in policy and communications.