Study Shows Americans Want CEOs to Respond to Systemic Racism

With each passing year, America's political, social and economic issues become more intertwined, impacting the lives of individual citizens as well as the interests of public and privately-owned entities. The Edelman Trust Barometer, an annual survey examining corporations' trust and credibility, exposed the pressing need for companies to address—and rectify—their approaches to social justice, particularly racial justice, in its latest report. Conversations in these areas remain the subject of constant and growing importance, especially for businesses, to which consumers increasingly look to push for change. Among other findings, Edelman's 2022 study found that 73% of the U.S. population agree that systemic racism and racial injustice exist in this country. Additionally, an increasing number of Americans, between the ages of 18 and 54, identify as advocates and activists who fight for racial justice, indicating that the overall need for employers to act responsibly on these issues is more imperative now than in previous years. The report revealed four main takeaways: action earns trust; it's important to empower and embed DEI across operations; CEOs must show personal commitment to racial justice issues; and CEOs should drive structural and cultural change. Human rights and racial justice issues often seep into the intricacies of a workplace in the form of concerns regarding diversity, equity and inclusion. These deep-seated issues that persist in our societal framework trickle down to the organizational level where companies act like microcosms of the larger framework. The results from the report make this all the more apparent. Americans count on brands to lead Significant statistical findings from the recent study placed a great emphasis on the role of senior leadership—specifically CEOs. According to the report, 82% of Americans expect CEOs to react to systemic racism and racial injustice. Executive vice-president and head of U.S. multicultural communication at Edelman Jackeline Stewart said, “When we are able to leverage data like that, we can give CEOs sort of the impetus that they need to play that role. Now they have something to actually base their actions on.” What is important for companies right now is to initiate meaningful progress in the right direction, according to Stewart. “People are just really interested in folks starting to take action," she said. "You cannot let perfect be the enemy of good.” One of the discoveries the report made was that a significant portion of employees do not trust the head of DEI when it comes to the issue of racial justice. The blame, however, cannot be placed completely on the head of DEI. The report showed that employees did not expect DEI initiatives to be fulfilled by one sole person. Of the leadership within the c-suite, the head of DEI is only trusted by 18% of employees. Racially diverse executives are trusted by 20% of employees, and both the head of HR and the CEO by 24% of their employees. Stewart said that it is truly the responsibility of a company’s leadership to support the head of DEI. She said it is integral that they are surrounded by adequate resources in order for them to successfully drive the required initiatives forward. CEOs taking action The expectation that CEOs should take action, get educated, and lead DEI efforts comes from the lack of trust in the head of DEI. To improve the utility of this job, CEOs must step in and take administrative action. “A CEO must make sure that that role is reporting into them and it’s not sort of siloed into an HR function. This is someone who is at the leadership table,” Stewart said. She explained how this role should have staff support and measurable authority. While a need for a DEI education amongst CEOs was a takeaway of the report, Stewart also emphasized that people demanded authenticity from organizations. She explained how individuals were looking to see if larger corporations truly understand and support the “consumer perspective.” Issues that they raise include questioning if companies had noticed an issue regarding racial justice, had a plan of action and had identified their role in the solution. It’s not just Gen Z wanting action This call to action might mistakenly be credited to the growing presence of Gen Z in the workforce. According to Stewart, however, the compelling responses are not limited to this age bracket. She reported that all employees under the age of 55 shared strong sentiments about racial justice. “People think of the younger workforce as the workforce of the future. What we are really emphasizing is that this is today’s workforce,” she said. Edelman has been invested in the trust space for over 20 years. Stewart told Adweek that the special reports help the team support its clients and provide “sound counsel.” It found that market research allows it to root its advice “in what society really needs to hear and see to believe what brands and corporations stand for.” The use of facts, to reflect the beat of the public, guarantees that “data is driving the work,” instead of purely experience or gut feelings. Data from these reports, Stewart said, can inform how Edelman's clients change their strategies, assess how to best support their employees, and transform performative signals into affirmative actions in campaigns to drive systemic change. How the Black Marketing Community Used Juneteenth to Call for Change at Cannes Lions

Diversity, Equity and Inclusion

New Study Shows Americans Want CEOs to Take Action on Systemic Racism

Edelman Trust Barometer reveals how individuals expect businesses to respond to social issues

Nandika Chatterjee

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Nandika Chatterjee