The C-suite is Getting Restless

Category

Industry Trends

Published on:

May 5, 2025

Author:

Matt Kucharski

Let’s get on with it.

That’s the sentiment that rang loud and clear in Padilla’s third annual C-suite Perspectives study, which reveals the mindset of today’s leaders and employees across a range of industries and sizes.

The study, based on surveys with more than 100 C-suite executives and 1,000 employed adults and interviews with nearly 50 C-suite leaders, found that leaders have a pent-up desire to move things ahead after several years of managing in the moment.

Padilla’s previous reports – published in 2023 and 2024 – found leaders feeling conflicted and fatigued from the after-effects of the pandemic, social and racial tensions, a fragile employee base and geopolitical uncertainty. The current report describes how leaders entered 2025 with a sense of cautious optimism based on a strengthening economy and the prospects of relief from inflation, lower taxes and reduced regulation.

There’s a strong desire to get back to focusing on longer-term strategic objectives based on vision and purpose, and leaders who don’t see progress will continue to depart at unprecedented levels. That’s going to be challenging in an environment where the impacts of tariff conflicts, cuts in federal funding and geopolitical and socioeconomic uncertainty abound.

But these new disruptions also make the C-suite's focus on moving things forward more persistent. From our findings, there are several priorities and pressures that today's leaders are navigating:

Are my employees OK?  

Leaders feel that their employees are ready to move forward with them based on the change-resilient cultures they’ve been building since the pandemic. 67% of C-suite survey respondents felt that employees were “fully” or “very” equipped to embrace and assist with change within their organizations.

But that perceived readiness isn’t necessarily shared by employees with only 41% expressing the same sentiment. This makes change management an even more essential discipline, with leaders needing to bring people along through effective change communications that drive understanding, buy-in and desired action.

Perhaps the biggest hurdle to moving ahead is the continued decline in worker well-being, the effects of fragmentation resulting from hybrid and remote work, the uncertainty of the current political environment, and the polarization in society that’s trending toward grievance.  

This is causing leaders to reevaluate employee well-being resources, make investments in employer branding, and train leaders on how to have positive workplace interactions in both on-premises and remote environments.  

Are they ready for AI?

All of this is taking place at a time when nearly every aspect of business is being affected by the accelerated adoption of AI and automation. Padilla’s study shows 83% of leaders are either aggressively or selectively adopting AI, and the vast majority believe AI will lead to better-quality products and services or see it as a competitive advantage/necessity.

But leadership’s enthusiasm for AI isn’t being matched at the same level among employees, which is compelling leaders to tie these investments to long-term vision, use multiple messengers to communicate strategy/direction, and take time to bring people along – recognizing that leadership will generally embrace the innovations faster than most employees.

Are we reaffirming or adjusting DEI efforts?  

Padilla’s report also shed light on C-suite perspectives regarding the hot button issue of DEI and ESG programs.

Not long ago, social impact initiatives were front-and-center in the boardroom, but increased pushback is causing many leaders to reconsider strategies while others are doubling down. While some companies are executing full rollbacks of their programs, we’re also seeing a lot of companies making quiet adjustments while leaning into justification based on the business value vs. altruistic dimensions.

Will I stay or will I go?

C-suite turnover continues at the highest levels in decades. Padilla’s research revealed up to roughly 1 out of 5 leaders are contemplating stepping back earlier than planned. Leaders who see progress will stick around, but those who don’t will accelerate their plans to step off or step aside.

Meanwhile, they’ll be confronting the reality that the next generation of leaders may not want to pick up the baton, causing them to look a few levels down to build the leadership skills of their future successors.  

No matter what’s in store for 2025 – and it’s fair to say for most it’s not playing out as originally planned – the desire by C-suite leaders to move things ahead is the strongest it has been in years. They want to get beyond managing in the moment and they’re leveraging new skills and attitudes to make it happen.

This article was first published on PRWeek.

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