My wife and I had dinner recently with several young people – 25 to 30 years old – who were convinced that because of the nation’s financial crisis, the U.S. government is poised to commandeer everyone’s 401(k) accounts to have more working capital. They cited recent pronouncements by Argentine President Cristina Kirchner that her government intends to nationalize the country’s private pension system. Some quick research indicated that the Internet is abuzz with speculation that if it can happen in Argentina, it can happen here.
Frankly, I’m skeptical that we’ll ever see such a money grab in the U.S. Still, it made me think about the harm done when our basic institutions violate the public’s trust. A country known for protecting the rights and interests of individuals suddenly has its young people believing their government would steal their hard-earned 401(k) money.
Why wouldn’t they think so? They’ve watched the future being stolen from them, and they’re old enough to know what they’re seeing.
We’ve been slow to react to environmental degradation. We’ve piled up a national debt that threatens their future. We fell asleep at the switch while the legislators we elected, and the regulators paid to watch out for us, allowed the underpinnings of our financial system to crumble. Regaining the trust of our young people could take years if not decades.
The good news is that the situation presents an opportunity for corporations to distinguish themselves with credible responsibility initiatives, starting with the basics of honesty, fairness, transparency and open reporting. One more requirement, I believe, is a real openness to engagement and interactive forums.
Even more than the baby boomers, this generation is used to personal involvement with issues that matter to them. In their use of Facebook and other online forums, they’re finding ways to learn from one another, fight for causes they believe in, and become involved. Corporations that do the best job of gaining their trust will be those that find meaningful ways to bring them into the fold.
