Less than 10% of employees believe their bosses demonstrate ethical leadership

Good morning. Good morning. As someone who has covered CEOs for decades, I think a lot about what makes a good leader, especially in this environment. It is about behaviors and practices, not intentions. Dov Seidman, Founder and Chairman LRN and How Society InstituteI’ve studied metrics related to leaders’ behaviors as long as I’ve been reporting on them. You’ve got an exclusive look at the institute 2026 Case study of ethical leadership in businesswhich asked more than 2,500 American workers to rate the presence of ethical leadership practices in their organizations, ranked managers and companies into five levels, and linked this to business results.
Some results: 78% of employees at top companies felt they had satisfied customers, compared to 14% at lower companies; While 83% of these respondents said that their companies encourage new ideas, compared to 4% at the bottom. And your boss matters too, as 3% of those who report to top-tier managers in less polarized workplaces want to leave their position, compared to 18% who report to lower-tier bosses. So I asked Seidman for advice on what leaders can do to reach that higher level. Some tips:
· State the truth, even if it creates some personal risk.
· Make amends when you get things wrong – apologize sincerely.
· Explaining decisions in the context of how they relate to the organization’s goal.
· Help others develop the wisdom needed to make the right decision.
· Take your team on an ethical leadership journey.
Some 94% of employees surveyed said the need for ethical leadership is more urgent than ever, but less than 10% of CEOs were judged to be leading effectively. “If you can get to the top level, the benefits will be enormous,” Seidman told me yesterday. “You build resilience and loyalty and get better results.” You can read the full study here.
Contact the CEO daily via Diane Brady at diane.brady@fortune.com
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