Fewer than 10% of employees believe their bosses are exhibiting moral leadership

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  • In today’s edition of CEO Daily: Diane Brady discusses the current state of moral leadership in the business world.
  • The key story: could double capex spending; investors aren’t enthused.
  • Market update: Largely down.
  • Also: All the latest news and office watercooler discussions from .

Good morning. Good morning. Having covered CEOs for decades, I often reflect on what defines a strong leader—especially amid today’s landscape. It boils down to actions and practices, not just good intentions. Dov Seidman, founder and chairman of and, has researched leader behavior metrics for as long as I’ve been reporting on the topic. I gained exclusive access to the institute’s , which surveyed over 2,500 U.S. employees to evaluate the presence of moral leadership practices in their workplaces, categorized managers and companies into five tiers, and linked these tiers to business results.

Key findings include: 78% of employees at top-tier companies reported having satisfied customers, versus 14% at bottom-tier firms; 83% of respondents from top-tier companies said their organization fosters new ideas, compared to just 4% at the bottom. Your manager also makes a difference: 3% of employees who work under top-tier managers in the least polarized workplaces plan to leave their jobs, while 18% of those with bottom-tier bosses intend to do so. I asked Seidman for practical tips to help leaders reach the top tier. Here’s his advice:

·   Speak the truth, even if it carries some personal risk.

·   Apologize sincerely and make amends when you make mistakes.

·   Frame decisions by connecting them to the organization’s core purpose.

·   Support others in building the judgment needed to make ethical choices.

·   Involve your team in a shared effort to practice moral leadership.

Roughly 94% of study participants said the demand for moral leadership is more pressing than ever, yet fewer than 10% of CEOs were rated as effective in this area. “Reaching the top tier yields enormous benefits,” Seidman told me yesterday. “You’ll build resilience, foster loyalty, and achieve stronger outcomes.”

Contact CEO Daily through Diane Brady at