It is very difficult to build and maintain trust within organizations. Today’s corporate world is zooming in the fast lane of ever changing and advancing technology creating new job opportunities at the same time causing corporate downsizing within human resources resulting in layoffs. Working in these types of conditions can be hard on employees in any level of the organization. People can not trust a company in which they feel their jobs are not secure.

Trust is very important to an organization in many ways. Establishing a basic understanding of trust in an organization will help the company run smoothly. When people trust other people they feel comfortable and in turn will work well together creating a more positive working environment. Employees who trust are usually better team players who can easily

It is important to maintain trust within the organization because of its significant affect on the organization. An organization that is trustworthy has dedicated employees who are focused on their work and achieving the goals in the organization. On the contrary an organization in which employees do not feel the company is trustworthy will spend more of their efforts spreading rumors, exchanging gossip, updating their resumes, or seeking other employment opportunities. If distrust spreads outside of the company, its customers may take their business elsewhere. A dishonest company may also find it hard to keep shareholders investing in it, because most people will only invest in companies in which they trust. This loss of trust can be devastating to company performance. When people don’t have confidence in management, productivity falls, turnover rises, gossip spreads, cynicism sets in and initiative evaporates.

Trust will be lost when a company ignores major issues that have the office buzzing. If an employee feels the company is keeping secrets or keeping “elephants in the parlor” he/she will start to talk and spread rumors. It is in the company’s best interest to bring the issue to the table and answer the questions as best they can without violating someone’s confident information.

False feedback can lead to distrust. People expect there work to be evaluated and documented honestly. It may be hard to give negative feedback face to face, but it is necessary to avoid more severe consequences. If an employee doesn’t receive the negative feedback he/she deserves and then is terminated because of their poor work they will feel as though they have been wrongfully terminated and not trust the organization is making proper ethical decisions. Other employees will also lose trust for the manager(s) when they see these unfair decisions being made. The employee may have deserved to be terminated, but it is the responsibility of the manager to provide accurate feedback. Thus, the loss of trust would be directly caused by the manager.

work through disagreements and learn to compromise. An employee who trusts will often work harder, come up with better ideas, be dedicated, and stay with their employer longer. Having a sense of trust in the workplace creates an atmosphere of serenity putting employees in a comfort zone realizing they are needed and play an important role in the organizations success. The trust employees have between management and top executives and their ability to make the right decisions is strategic trust. Employees often wonder whether or not the management is capable of keeping the ship afloat. Is the management competent enough to help the company succeed? The second type of trust is personal trust. Personal trust is the trust employees have in their own managers and co-workers. Employees are very observant and often watch their managements

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