Trust-based leadership – a key factor for future-oriented employers

October 14, 2026

The labour market is characterised by continuous processes of change and rapid technological development. This places ever greater demands on employers and leaders, as employees value different factors from those that were emphasised before. Businesses must be future-oriented with the aim of meeting the needs of tomorrow's employees. For organisations to survive in an increasingly competitive labour market, they depend on engaged employees who are willing to put in sufficient effort.

Unfortunately, many companies struggle with high turnover and high sickness absence. How can employers attract and retain the best candidates and secure the right competence? What must employers focus on to meet the demands of the working life of the future? The expert panel of Abelia, NHO's association for knowledge and technology companies, has discussed this and presented it in its report on future-oriented employers. Abelia highlights eight characteristics of future-oriented employers, including trust-based leadership.

Why is trust-based leadership beneficial for organisations, and how can leaders practise it?

Being a leader involves a complex role and a great deal of responsibility. As a leader, you are responsible for the organisation's results. In addition, you must ensure a fully sound working environment where employees thrive. It is a well-known fact that employees who are doing well at work cope better with their tasks, and thereby contribute positively to the company's productivity and efficiency. A leader cannot order employees to be motivated and engaged at work. However, they can be conscious of their own leadership style and behaviour with the aim of helping employees flourish. According to Abelia's 2023 HR survey, trust-based leadership is one of the most important things to deliver to employees. So how can you succeed with trust-based leadership?

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Trust-based leadership

A leader who practises trust-based leadership has good relational skills and recognises the unique competence of their employees. The leader shows trust in employees by giving them a high degree of autonomy, so that they can influence their own work. Considering the responsibility that rests on a leader's shoulders, it is understandable that it is sometimes tempting to exercise control to make sure the work is done in line with the organisation's goals and strategies.

Leaders have overall responsibility and must continuously think about what is best for the business. In this context, it is essential to find a good balance and avoid excessive use of control mechanisms that break down trust, so that it does not come at the expense of employees' well-being. If employees feel overly controlled, it can hamper their motivation and, in turn, their performance. How can employees believe in their own ability if they feel that their leader does not believe they will succeed with their tasks? Many will probably recognise how frustrating it is to have a leader looking over their shoulder.

According to Professor Bård Kuvaas, autonomy at work is the most important factor for intrinsic motivation. He also emphasises that the benefits of trust-based leadership are robustly supported by research. Trust also brings major financial gains, since less time and fewer resources are spent on control and monitoring. Unfortunately, mastering trust-based leadership is easier said than done.

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How to succeed with trust-based leadership?

Trust in the relationship between leader and employee goes both ways. One aspect of trust-based leadership is that the leader gives employees freedom with responsibility, so that they experience autonomy. On the other hand, it is just as much about employees earning and honouring that trust by meeting requirements and expectations. To be able to give trust, you need to know your employees. The key is to be close, but not controlling. It is also about employees trusting that their leader is there for them. This requires the leader to see each individual and meet their needs.

Knowing which employees want a high degree of autonomy, for example, and who instead need support from their leader to master their tasks, is important information for any leader. It is natural to assume, for instance, that a new employee needs closer follow-up than a more experienced colleague. However, leaders are not mind readers. So how can they find out employees' needs and expectations, and adapt their leadership style and behaviour accordingly? In this context, dialogue between leader and employee is a key starting point.

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Dialogue – a leader's most important tool

To build a culture characterised by trust, we need insight into each other's needs, expectations and competence. Building good relationships that promote openness and trust is absolutely essential. Motivati is a system that supports leaders and helps them practise trust-based leadership by offering a good starting point for planned dialogue between leader and employee.

By using the Motivation Analysis™ ahead of the employee appraisal, the leader gains unique insight into each employee's individual needs and motivation. Both parties also have the opportunity to clarify the expectations they have of each other. In this way, through planned dialogue, they can both manage the psychological contract between them. Psychological contracts are about the unwritten expectations employees have of leaders and vice versa. These expectations can be both fulfilled and broken on both sides. Fulfilling the contracts can create a sense of being valued, increased trust and a stronger desire to maintain commitments, while breaches can lead to reduced job satisfaction, motivation and performance.

Good, open and well-meaningly curious communication is the key. It is essential to set aside time to be a leader and focus on the relationship with your employees, not just on day-to-day operations and other tasks. A leader must dare to trust their employees and make them feel valued.

To keep pace with the changes facing the labour market, you as an employer must be future-oriented. Using Motivati contributes to dynamic development and thereby supports the future-oriented employer. Good leadership is by no means an easy task. Leading people takes time, and a leader often has many balls in the air at once. There is much to suggest that trust is a key factor here. By practising trust-based leadership, meeting your employees where they are and promoting good and open dialogue, you become a more attractive employer.

Satisfied employees pay off!