#TrustBarometer

2018 Edelman Trust BarometerTHE EMPLOYER ADVANTAGE

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Methodology

2018 EdelmanTrust Barometer

Online Survey in 28 Markets18 years of data

33,000+ respondents total

All fieldwork was conducted between October 28 and November 20, 2017

General Online Population7 years in 25+ markets

Ages 18+

1,150 respondents per market

All slides show general online population data unless otherwise noted

Mass PopulationAll population not including informed public

Represents 85% of total global population

Informed Public10 years in 20+ markets

Represents 15% of total global population

500 respondents in U.S. and China; 200 in all other markets

Must meet 4 criteria:

Ages 25-64

College educated

In top 25% of household income per age group in each market

Report significant media consumption and engagement in business news

28-market global data margin of error: General population +/-0.6% (N=32,200), informed public +/- 1.2% (N=6,200), mass population +/- 0.6% (26,000+), half-sample global general online population +/- 0.8 (N=16,100). Market-specific data margin of error: General population +/- 2.9 (N=1,150), informed public +/- 6.9% (N = min 200, varies by market, China and U.S. +/- 4.4% (N=500), mass population +/- 3.0 to 3.6 (N =min 740, varies by market).

A Volatile and Nuanced Landscape

27 24 23 20 19 17 13 12 10 9 9 8 7 7 5 3 3 -1 -2 -3-10 -10 -13 -13 -17 -17 -21

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16 markets with Typical Changes in Trust

Source: 2018 Edelman Trust Barometer. Trust Volatility Measure. The net year-over-year (2017-2018) percentage point change across the four institutions (TRU_INS). General population, 28-market global total. For more details on how the Trust Volatility Measure was calculated, please refer to the Technical Appendix.

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Aggregate percentage point change in trust in the four institutions, and change from 2017 to 2018A Polarization of Trust

6 markets with extremeTrust Gains

6 markets with extreme Trust Losses

Source: 2018 Edelman Trust Barometer. The Trust Index is an average of a market's trust in the institutionsof government, business, media and NGOs. Informed public, 28-market global total. 5

Average trust in institutions, informed public, 2017 vs. 2018

Trust Index

Informed PublicDeclines to Neutral

60 Global80 India79 China78 Indonesia77 UAE71 Singapore68 U.S.62 Canada62 The Netherlands61 Italy61 Mexico57 Malaysia57 Spain56 France56 U.K.55 Colombia54 Australia54 Germany53 Hong Kong51 Argentina51 Brazil50 S. Korea50 Turkey49 Japan49 S. Africa47 Sweden45 Russia44 Ireland43 Poland

2017Informed Public

2018Informed Public

Biggest changes in

U.S. -23

Argentina +9

Sweden +9

Malaysia +8

Turkey +7

U.S. Trust Index crashes 23 points

A 1-point decline in the Global Trust Index

Trust (60-100)

Neutral (50-59)

Distrust (1-49)

59 Global83 China81 Indonesia77 India76 UAE70 Singapore67 The Netherlands65 Malaysia65 Mexico62 Canada 60 Argentina57 Italy57 Turkey56 France56 Sweden55 Australia55 Spain54 Germany52 U.K.51 Brazil50 Colombia50 S. Korea49 Hong Kong48 Ireland48 Poland47 Russia46 Japan45 S. Africa45 U.S.

A Mandate to Lead

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36 3640 41 42 42 43 43 44 44 45 46 47 48 49 49

53 54 56 5760 60

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Source: 2018 Edelman Trust Barometer. TRU_INS. [BUSINESS IN GENERAL] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal.“ (Top 4 Box, Trust) General population, 28-market global total.

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Percent trust in business, and change from 2017 to 2018

Trust in Business Increases in 14 of 28 Markets

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Distrusted in 16 markets

TrustNeutralDistrust

Y-to-Y Change− +0

Government% Trust 43 28 24 18 14 27 25 34 33 46 35 33 36 54 73 35 37 70 41 46 43 46 44 51 65 45 77 84 46

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42 40 39 39

2718 15 15 14 10 10 7 6 5 5 5 4 3 3 1 1

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Source: 2018 Edelman Trust Barometer. TRU_INS. Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal.“ (Top 4 Box, Trust) General population, 28-market global total.

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Gap in trust in business vs. government

Business More Trusted Than Government in 21 Markets

Business%Trust 52 70 64 57 53 54 43 49 48 60 45 43 47 60 78 40 42 74 44 49 44 47 41 46 56 36 68 74 36

Business more trusted Government more trusted

Gap

TrustNeutralDistrust

Countries with Typical Changes in Trust

Countries include Russia, Mexico, U.K., Japan

Countries with extreme Trust Gains

Countries include China, UAE, South Korea

Countries with extreme Trust Losses

Countries include U.S., India, Colombia, Brazil

Source: 2018 Edelman Trust Barometer. TRU_INS. Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal.“ (Top 4 Box, Trust). Trust Volatility Measure. The net year-over-year (2017-2018) percentage point change across the four institutions (TRU_INS). General population, 28-market global total. For more details on how the Trust Volatility Measure was calculated, please refer to the Technical Appendix. 9

Percent trust in the four institutions, in countries with extreme and typical changes in trustWhere Trust Loss is Extreme, Business is the Retaining Wall

55 58

31

4551 49

44 42

56 54 5447

Business MediaNGOs Government Business MediaNGOs Government Business MediaNGOs Government

Source: 2018 Edelman Trust Barometer. TMA_SIE_SHV. Please indicate how much you agree or disagree with the following statements. (Top 4 Box, Agree), question asked of half of the sample. CEO_AGR. Thinking about CEOs, how strongly do you agree or disagree with the following statements? (Top4 Box, Agree), question asked of half of the sample. General population, 28-market global total.

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Percent who agree that…

Business Must Show Commitment Beyond the Business

56% Companies that only think about themselves and their profits are bound to fail

47% CEOs are so focused on global issues that they overlook local and national matters

60% CEOs are driven more by greed than a desire to make a positive difference in the world

Source: 2018 Edelman Trust Barometer. CEO_AGR. Thinking about CEOs, how strongly do you agree or disagree with the following statements? (Top 4 Box, Agree), question asked of half of the sample. CEO_EXP. Below is a list of potential expectations that you might have for a company CEO. Thinking about CEOs in general, whether they are global CEOs or a CEO who oversees a particular country, how would you characterize each using the following three-point scale? (Most important responsibility, code 3), question asked of half of the sample. General population, 28-market global total. 11

Percent who agree, and percent who say each is one of the most important expectations they have for a CEONew Mandate for CEOs

Percent who say that CEOs should take the lead on change rather than waiting for government to impose it

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64%

Their company is trusted

Their products and services are high quality

Business decisions reflect company values

Profits and stock price increase

Building trust is job one

Even Higher Expectations for CEOs in the U.S.

Source: 2018 Edelman Trust Barometer. CEO_AGR. Thinking about CEOs, how strongly do you agree or disagree with the following statements? (Top 4 Box, Agree), question asked of half of the sample. CEO_EXP. Below is a list of potential expectations that you might have for a company CEO. Thinking about CEOs in general, whether they are global CEOs or a CEO who oversees a particular country, how would you characterize each using the following three-point scale? (Most important responsibility, code 3), question asked of half of the sample. General population, U.S. 12

Percent who agree, and percent who say each is one of the most important expectations they have for a CEO, in the U.S.

Percent who say that CEOs should take the lead on change rather than waiting for government to impose it

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69%

Their company is trusted

Their products and services are high quality

Business decisions reflect company values

High ethical standards

In the U.S. trust follows product and service

Source: 2018 Edelman Trust Barometer. CEO_EXP. Below is a list of potential expectations that you might have for a company CEO. Thinking about CEOs in general, whether they are global CEOs or a CEO who oversees a particular country, how would you characterize each using the following three-point scale? (Most important responsibility, code 3), question asked of half of the sample. CEO_PER. How well do you feel CEOs are currently doing in meeting this obligation? Please indicate your answer using the 5-point scale below. Question asked of half of the sample and those who answered codes 2 or 3 at CEO_EXP. (Doing well, codes 4-5; Doing mediocre, code 3; Doing poorly, codes 1-2). General population, 28-market global total. 13

Percent who say CEOs are performing well, among those who say each is one of the most important responsibilities for CEOs

CEOs Falling Short of Expectations

Worst Scores (Bottom 5 of 21)

28 Communicate regularly with the public

28 Educate the public on economic issues

28 Educate the public on social issues

26 Speak out if government makes bad decisions

26 Step in when government does not fix societal problems

Best Scores (Top 5 of 21)

60 Increase profits and stock price

52 Produce quality products and services

48 Be a leading voice on productand industry issues

47 Ensure company is trusted

47 Hide true opinions if they could hurtthe business

Majority

approval on

only 2 of 21

expectations

The Employer AdvantageThe Employer Advantage

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57 57 60 60 62 64 65 66 68 68 71 71 71 71 72 72 72 73 74 75 76 79 80 81 82 83 8690

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Source: 2018 Edelman Trust Barometer. TRU_INS. [YOUR EMPLOYER] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal.“ (Top 4 Box, Trust) General population, 28-market global total.

Note: 2016 data was taken from Q525-526. Thinking about your own company and other companies in your industry, please indicate how much you trust each to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust), question asked of half of the sample. General population, 28-market global total.

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Percent trust in employer, and change from 2016 to 2018Employers Safehouse of Global Governance

TrustNeutralDistrust

l llllllllllllllllllllllllllll+7 +17 +2 -18 +12 -2 +16 +2 +6 +9 +12 +9 -1 +21 +14 -5 +14 -4 0 +20 +11 0 +15 -9 +19 +3 -2 +3 +13

Change, 2016 to 2018− +0

Source: 2018 Edelman Trust Barometer. TRU_IND. Please indicate how much you trust businesses in each of the following industries to do what is right. Again, please use the same 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust), industries shown to half of the sample. General population, 28-market global total.

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Percent who trust each sector, among the general population and those employed in the sector, and percent who trust their employer

Familiarity Breeds Trust

5460 62 62 62 62 63 63 63 66 66 67 68 70

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Trust in sector, general population Trust in sector among those employed in the sector Trust in employer among those employed in the sector

Source: 2018 Edelman Trust Barometer. TRU_INS. [YOUR EMPLOYER] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal.“ (Top 4 Box, Trust) General population, 28-market global total, by age.

Note: 2016 data was taken from Q525-526. Thinking about your own company and other companies in your industry, please indicate how much you trust each to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust), question asked of half of the sample. General population, 28-market global total, by ages 18-34.

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Percent trust in employer, and change from 2016 to 2018, by ageEmployers Trusted Across Generations

73 72 72

18-34 35-54 55+

TrustNeutralDistrust

Change, 2016 to 2018− +0

l l l+5 +4 +14

Source: 2018 Edelman Trust Barometer. TRU_INS. [YOUR EMPLOYER] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal.“ (Top 4 Box, Trust) General population, U.S., by age.

Note: 2016 data was taken from Q525-526. Thinking about your own company and other companies in your industry, please indicate how much you trust each to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust), question asked of half of the sample. General population, U.S., by age. 18

Percent trust in employer, and change from 2016 to 2018, by ageUnexpected Allies in the U.S.

8378 75

18-34 35-54 55+

TrustNeutralDistrust

Change, 2016 to 2018− +0

l l l+12 +8 +22

ThePartnership

Source: 2018 Edelman Trust Barometer. CEO_RFB. You are about to see a series of two choices. For each pair, we want you to choose the one that you are more likely to believe. Question asked of half of the sample. General population, 28-market global total.

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Percent who believe that employees are more believable than CEOs

Employees More Believable Than CEOs

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82 80 80 80 79 79 78 77 76 75 75 74 74 74 73 71 70 70 69 69 67 64 63 62 61 61 5852

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Source: 2018 Edelman Trust Barometer. CEO_EMP_EXP. Below is a list of potential expectations that you might have for a company employee. Thinking about employees in general, how would you characterize each using the following five-point scale. (At least some expectation, codes 3-5), question asked of half of the sample. General population, 28-market global total.

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Percent who expect each of the following of employeesEmployees Expected to Take a Broader Role

Speak up if they see their company doing wrong

Support their company’s causes and community activities

Pressure management to weigh in on social issues

82% 80% 61%

Source: 2018 Edelman Trust Barometer. CEO_EMP_EXP. Below is a list of potential expectations that you might have for a company employee. Thinking about employees in general, how would you characterize each using the following five-point scale. (At least some expectation, codes 3-5), question asked of half of the sample. General population, 28-market global total.

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Percent who agreeGive Employees a Voice

Employees64%

should participate in their company’s social media activities

9085 84 84

7976 76 75 74 74 73 72

68 66 6458 57 56 56

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In 23 markets, 50% or more of respondents agree

63 6154

50 5047 46 44

41 3935

Source: 2018 Edelman Trust Barometer. CRE_PPL. Below is a list of people. In general, when forming an opinion of a company, if you heard information about a company from each person, how credible would the information be—extremely credible, very credible, somewhat credible, or not credible at all? (Top 2 Box, Very/Extremely Credible), question asked of half of the sample. General population, 28-market global total.

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Percent who rate each spokesperson as very/extremely credible, and change from 2017 to 2018 Technical Experts Are the Most Trusted Source

+3 +1 -6 +4 +1 -1 +3 +7 +6 +12 +6

− Y-to-Y Change+0

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The Employer AdvantageOur Roadmap

Source: 2018 Edelman Trust Barometer. TMA_SIE_SHV. Please indicate how much you agree or disagree with the following statements. (Top 4 Box, Agree), question asked of half of the sample. Trust-building mandates Analysis. The most effective trust building mandates for each institution. INS_EXP_BUS. Below is a list of potential expectations or responsibilities that a social institution might have. Thinking about business in general, how would you characterize each using the following three-point scale. Question asked of one-third of the sample. General population, 28-market global total. 25

Without Trust, They Will Stop Buying

1 Safeguard privacy

2 Drive economic prosperity

3 Invest in jobs

4 Ensure competitive workforce

5 Consumer safety63% agree

A good reputation may get me to try a product—but unless I come to trust the company behind the product I will soon stop buying it, regardless of its reputation”

“ Trust-building mandates for business

Source: 2018 Edelman Trust Barometer. Source: 2018 Edelman Trust Barometer. ATT_STE. Please indicate which institution – Government, Media, Business or NGO’s – is best described by each of the following statements? CEO_AGR. Thinking about CEOs, how strongly do you agree or disagree with the following statements? (Top 4 Box, Agree), question asked of half of the sample. General population, U.S.

Percent who think each institution is most broken and percent who say CEOs should take the lead on change, in the U.S.State of Government Opens Opportunity for CEOs in the U.S.

69%

Which institution is the most broken?

Percent who say that CEOs should take the lead on change rather than waiting for government to impose it

59%Government

Source: 2018 Edelman Trust Barometer. COM_RFB. You are about to see a series of two choices. Each choice describes a different source of information, a different format for presenting information, or a different style of communicating information. For each pair, we want you to choose the one that you are more likely to believe is giving you the truth. While we know that some of these choices may not be easy, please do your best to select only one of the two options given--the one that is most likely to be true most often. Choices shown to half of the sample. CEO_AGR. Thinking about CEOs, how strongly do you agree or disagree with the following statements? (Top 4 Box, Agree), question asked of half of the sample. General population, 28-market global total. 27

Which is more believable about a company?CEOs and Business Must Take a Stand

63%

CEOs52%

should regularly communicate directly to the public using social media

Company’ssocial media

Percent who agree:

The Case for Hyper Connectivity

Source: 2018 Edelman Trust Barometer. CEO_RFB. You are about to see a series of two choices. For each pair, we want you to choose the one that you are more likely to believe. (Please select only one of the two options given.) TRU_INS. [EMPLOYER] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal.“ (Top 4 Box, Trust) General population, 28-country global total. 28

Media influences employee perceptions

OUTSIDE:

55%of employees believe news outlets more than their CEO for information about their company

Trust is earned within the organization

INSIDE:

72%trust their employer

Employee advocates influence perceptions of external stakeholders

OUTSIDE:

71%employees more believable spokesperson about a company than CEOs

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Seize the Employer Advantage

1 Define who you are: Today, a strong employer brand, value proposition and purpose-driven culture are table-stakes

2Educate and advocate: How you show up as a corporate citizen – through position, policy and practice – defines how you are trusted internally and externally

3 Activate allies:In today’s complex workplace leveraging multi-channel communications to build trust is paramount

4Create connections: Peer-to-peer or leader-to-leader, well-managed connections and collaborations across all levels of the organization keep a company moving towards its goals