The Impact of Trust-Building Leadership Behaviour at Selected Organisations in the Financial Sector

Emoke Nyeki () and Marta Juhasz ()
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Emoke Nyeki: Budapest University of Technology
Marta Juhasz: Budapest University of Technology

Financial and Economic Review, 2024, vol. 23, issue 3, 140-170

Abstract: The study investigates the extent to which trust is reflected in managers' behaviour in treating employees and how this is perceived by subordinates. Our analysis was conducted using the Pearson's chi-square test and tests determining the likelihood ratio and linear relationship. Analysing the responses of a total of 556 employees from four financial organisations, we examined how managers can build trust with their employees and how, beyond the treatment by managers, the degree of change perceived within the organisation and the attitude of trust in employees affected employee engagement. The findings confirm that the experience of trust has a knock-on effect on the manager: it increases the manager's internal security and self-confidence, which serves as an additional resource to reinforce the atmosphere of trust within the organisation.

Keywords: trust; leadership; people management; change (search for similar items in EconPapers)
JEL-codes: M00 M51 M54 M55 (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:mnb:finrev:v:23:y:2024:i:3:p:140-170

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