Nearly three in four Americans think the level of ethics and honesty in politics has gone down over the past decade. And more than half feel the same way about ethics and honesty in business.

So what are you supposed to do if your job is to deal with politicians on behalf of business?

That’s the challenge facing corporate public affairs professionals as they try to manage public policy issues when trust is at a record low. The Council’s study on American attitudes about business shows the public is surprisingly supportive of major companies but has deep concerns about executive pay, corporate power and political influence.

The Public Affairs Pulse — a nonpartisan survey of 1,753 adults commissioned by the Public Affairs Council and conducted by Princeton Survey Research Associates International — ranks CEOs’ honesty and ethics just behind those of public officials in Washington and just ahead of those of state/local government officials. All three categories receive low scores. The highest scores for ethics are given to small business owners.

A Silver Lining

The good news is that six in 10 Americans have a favorable view of major companies. And nearly three-quarters say companies do a good job of providing useful products and services. Much of this support comes from younger citizens.

Yet three-quarters of the public (77 percent) endorse the opinion that there is too much power in the hands of a few large companies. And three-quarters think companies do a poor job of reining in executive pay.

It’s no surprise that lobbying and lobbyists have a negative reputation in the public’s eyes. In the survey, 55 percent say they think more unfavorably of a company that hires lobbyists to represent the firm.

It is a surprise, however, that most people are supportive of specific lobbying activities.

‘Lobby’ Isn’t a Dirty Word

When presented with five reasons for lobbying, a majority say each action is acceptable. They include advocacy to:

• Protect jobs;
• Open new markets;
• Create a level playing field;
• Reduce business costs; and
• Secure government funding or grants.

While “lobbying” as a noun sounds sinister to most people, “lobby” as a verb represents freedom of speech and opportunity. Americans understand the value of being an advocate in a democratic society.

Political Involvement Concerns

What the public is more concerned about is corporate efforts to get directly involved in elections. Sixty-three percent say they would have a less favorable opinion of a company that pays for ads to support a candidate.

In addition, 59 percent say they would have a less favorable opinion of a company that starts a political action committee. Forty-one percent would object to companies paying for ads to promote a specific public policy issue.

What It Means in Practice

Does this mean companies should abstain from political involvement? Of course not. In fact, in a survey from the Foundation for Public Affairs, PACs are rated the second most important corporate political strategy, next to direct lobbying.

It’s also worth noting that PACs are an example of campaign finance reform that works. They are heavily regulated, and contribution limits are low. At a time when many Americans are concerned about the impact of independent expenditures on elections, PACs should look downright wholesome. But that doesn’t mean the public will agree.

In this tough environment, corporate public affairs executives would be wise to assume that employees, customers and other stakeholders are as skeptical as the general public. If you haven’t discussed your public affairs priorities and practices with employees in years, now would be a good time to provide an update.

Leading companies are nonpartisan, state their commitment to ethical behavior, emphasize the strategic importance of public policy engagement and are transparent about their reasons for getting involved in politics. That’s a formula for earning trust.

For a full summary of results from the Public Affairs Pulse, along with analysis and video, click here.