Corporate Jargon and Social Status

By George Waggott, founder, and Roberto Fonseca-Velazquez, law student

George Waggott Law

An article published by Columbia Business School suggests that a person’s use of corporate jargon reveals more about them that it may appear at first glance. Professor Adam Galinsky of Columbia Business School says that he has uncovered a link between the use of jargon and perceived social status. His research suggests that people often use jargon not just to communicate, but to compensate for feelings of insecurity or low status. In his study, coauthored with Zachariah C. Brown and Eric M. Anicich, Galinsky describes this behavior as “compensatory conspicuous communication”. Compensatory conspicuous communication is a way for the communicator to signal their own importance, much like people wear luxury clothes to signal status.

Galinsky’s interest in jargon began when an MBA student shared with Galinsky the student’s observation that his classmates often used unnecessarily technical language. Galinsky’s believed this was related to his earlier findings that people seek meaning in unrelated signs when they feel a lack of control—a behaviour he calls a “compensatory response.” He theorized that jargon might serve a similar purpose: a linguistic tool to project competence and status.

To test this, Galinsky and his team analyzed 65,000 dissertation titles, categorizing the dissertations based on linguistic complexity, acronyms, and legalese. They excluded technical terms and slang to focus on deliberate uses of complex vocabulary by the authors. The results showed that dissertations from lower-ranked universities contained more jargon, suggesting that students may use complex language to signal insider knowledge and elevate their perceived status.

Galinsky also tested his hypothesis by running live experiments. In one experiment, participants were asked to pitch entrepreneurial ideas. The participants who were told they were competing against famous or highly-educated individuals used more jargon. Similarly, in conversations between participants that were observed by the researchers, lower-status participants were more likely to use complex language. This pattern reflects what Galinsky describes as a psychological need to appear knowledgeable or authoritative when one feels less powerful.

An interesting point arises: Galinsky warns that this strategy of using jargon to signal status and competence can backfire. In the real world, high-status individuals tend to prioritize clarity and effective communication over complexity. The supporting research shows that those with higher status are more focused on being understood, while those with lower status are more concerned with how they are perceived.

The use of jargon is not inherently bad, and it can be appropriate in certain contexts. For younger professionals, using jargon correctly may demonstrate familiarity with a field. But for leaders, it can undermine their ability to inspire and communicate vision. Galinsky emphasizes the importance of knowing your audience: jargon may alienate some listeners while signaling competence to others.

Jargon also plays a role in group identity. Organizations often develop their own internal language, which fosters cohesion but can also create barriers for outsiders. Galinsky cites examples from business schools and technology companies, where specialized terms serve both practical and symbolic functions.

In a related study, Galinsky explored how status affects generosity in communication. Participants who felt insecure about their status were less likely to acknowledge the contributions of others. Yet, those who did express gratitude were more likely to be viewed favorably and have their ideas accepted. This suggests that withholding credit for other people’s contributions to one’s work can be self-defeating, while generosity enhances perceived status.

Ultimately, Galinsky’s work reveals that language is more than a tool for communication; it’s also a mirror of our psychological state and social standing. Whether we choose to use jargon or not, the way we speak can elevate or diminish our perceived status. Being mindful of this can lead to more effective and positive workplace interactions.

For more information about George Waggott Law, please see: www.georgewaggott.com, or contact: george@georgewaggott.com