While C-Suite executives remain cautiously optimistic about the prospect of lower taxes and reduced regulations, it is tempered by uncertainty related to global tariff conflicts, associated cost increases and supply chain disruptions, according to a new survey by public relations firm Padilla.

The third annual C-suite Perspectives study found leaders expressing a growing emphasis on confidence, flexibility, humility, stoicism and a growth mindset, reflecting their determination to move ahead.

The survey of more than 100 C-suite executives and 1,000 employed adults and in-depth interviews with nearly 50 C-suite leaders, found that leaders have spent the last few years building change-resilient cultures.

In fact, 67 percent of the C-suite feel their employees are “fully” or “very” ready to embrace and assist with change initiatives within the organization, and they’re prepared to capitalize on that though not all employees are on board.

Leaders feel a renewed sense of urgency to move past the reactive management style of recent years to drive their strategic business objectives.

Issues seen as the most challenging:

• Determining how to leverage AI
• Data privacy and security
• Attracting and retaining employees
• Adapting to market shifts
• Achieving business goals
• Modernizing technology

Despite the increasing challenges of building strong employee cultures, 50 percent of C-suite leaders think employees’ well-being has improved over the past year, but only 29 percent of employees agree.

The “Great Executive Resignation” continues at unprecedented levels.

From 2023 to 2024, there has been a 7-point increase in leaders stepping back earlier than in the past — roughly 1 out of 5 leaders.

The next level of leaders doesn’t necessarily want to pick up the baton, the survey found, with 61 percent of employees (ages 52+) expressing a desire that their career/responsibilities to remain the same or be simplified.

Pushback on ESG and DEI initiatives has caused some leaders to reconsider their strategies, while others are doubling down, adjusting programs (often quietly) and emphasizing business value.

A majority (83 percent) of C-suite leaders are either selectively or aggressively adopting AI, driven by better quality products and services. While leaders are optimistic, 24 percent of employees remain uncertain and see it as a moderate or significant threat.

“Leaders ended 2024 with cautious optimism that they could move beyond the near-term management mindset of the past several years and get back to executing on long-term vision and direction,” said Matt Kucharski, Padilla president. “That desire to move things forward is coming up against political/geopolitical uncertainty, a fragile workplace culture, and an era marked by increasing mistrust and polarization. This leaves today’s C-suite leaders looking for a way to power through.”