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Ethics at Work 2015 Survey of Employees Main Findings and ThemesBy Daniel Johnson
2 IBE Ethics at Work Survey 2015: Main Findings and ThemesChapter
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What we do The IBE was established in 1986 to promote high standards of business behaviour based on ethical values.
• Weraisepublicawarenessoftheimportanceofdoingbusinessethically.
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Doing business ethically ... .... makes for better business
Survey
Ethics at Work 2015 Survey of Employees Main Findings and Themes
By Daniel Johnson
1
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EthicsatWork:2015SurveyofEmployees-MainFindingsandThemes
ISBN 978-1-908534-16-3
©IBEwww.ibe.org.uk
FirstpublishedNovember2015bytheInstituteofBusinessEthics24GreencoatPlaceLondonSW1P1BE
RegisteredCharityNo.1084014
2 2015 IBE Ethics at Work Survey: Main Findings and Themes
ContentsPage
IBE Foreword 5
Messages from Survey Gold Supporters 6
Introduction 9 Purposeofthesurvey 10
Datacollection 10
Thereport 11
Settingthescene 11
Chapter 1 Main Findings from the British Survey 14 Chapter 2 Main Findings from the Continental 16 Europe Survey
Chapter 3 Survey Themes 18 Theme 1 Employeeawarenessofcorporateethics 19
programmesincreasesethicalawarenessand perceptionsofethicalculture
Theme 2 Youngeremployeesexpectmoreoftheir 25 employersregardingresponsible businessconduct
Theme 3 Conductingpersonalactivitiesatworkisseen 28 tobemoreacceptablethanotherpotentially unethicalpractices
Theme 4 EmployeesincontinentalEuropearenow 32 moresensitivetoethicalissuesintheirworkplace
Theme 5 ManagersincontinentalEuropehaveagreater 34 awarenessofsupportforethicsatwork thannon-managers
Summary and Conclusion 39
Appendix Methodologies and Respondent Profiles 41
Statements from Survey Silver Supporters 43
Related IBE Publications 45
3 2015 IBE Ethics at Work Survey: Main Findings and Themes
Author Daniel Johnson istheResearchHubManagerattheInstituteofBusinessEthics.Heresearchesandwritesonanumberofbusinessethicstopicsfor theIBE,managesitsprogrammeofpublicandcorporatesurveysandengagesintrainingandpublicspeakingtoraiseawarenessofthesubject.HeholdsaMaster’sDegreeinCorporateSocialResponsibilityfromtheICCSRat NottinghamUniversity.
AcknowledgementsTheIBEwouldliketothankthefollowingcompaniesfortheirgenerousfinancialsupportofthissurvey.
Gold Supporters
Silver Supporters
Bronze Supporter
Manypeopleandorganisationshavemadethissurveyreportpossible.Inadditiontothefinancialsupportprovidedbythecompanieslistedabove,wearegratefultoIpsosMORIandComResfortheirhelpandsupportinproducingthereport.TheauthoristhankfulfortheinputofallattheIBE,especiallyJoannaHickswhoeditedthetextandoversawproduction,andtoNeilPaffordwhodesignedandlaidoutthefinalreport.
4 2015 IBE Ethics at Work Survey: Main Findings and Themes
IBE ForewordThewaybusinessisconducted–theethicsofbusiness–continuestobeofpublicimportance.Individualcorporatecrisescontinue.Tesco,ToshibaandVolkswagenareamongthosewidelyreportedin2015.The24/7informationworldinwhichwelive,meansthatnobadcorporatepracticecanbehidden forlong.
Employeeviewsareoneofthebarometersbywhichthetemperatureofethicalbusinesscanbemeasured.Theirapproachtoethics–whattheyarewillingornotwillingtodo–andtheirperceptionofhowtheyfeelsupportedtodotherightthing,arecrucialtounderstandingwhyandhowthesecorporatescandalsarise.
ThisiswhytheInstituteofBusinessEthics(IBE)hassurveyedBritishemployeesabouttheirattitudesandperceptionsofethicsatworksince2005.In2012thiswasextendedtoafurtherfourcountries:France,Germany,ItalyandSpaininordertoprovideapictureofethicsatworkacrosscontinentalEurope.
Thisreporthighlightsthemainfindingsfromthefivecountriesanddrawstogethersomethemestoconsider.Theemployees’viewpointshowsthedegreetowhichcompanieshaveembeddedtheirvaluesabout‘howtheydobusiness’.Thisisanareawherecontinuousimprovementisalwaysneeded:thedatashowsthatthisdoesseemtobehappeningcomparedtopreviousyears,butthereareexceptions.
IamverygratefultoDanielJohnson,IBE’sResearchHubManager,forhisauthorshipofthisandtheothersixreportsinthe2015EthicsatWork Surveyseries.
Finally,thisseriesofsurveyreportswouldnothavebeenpossiblewithoutthefinancialsupportofagroupoftheIBE’ssubscribersandIthankthemallfortheircontributions:Barclays,Centrica,LloydsBankingGroup;Aviva,HSBC,L’Oréal,Orange,RBS,Total;andAirbus.
AswithallIBEpublicationswelookforwardtoreceivingyourfeedbackandinsightonthesesurveyfindings.
Philippa Foster Back CBEDirectorInstituteofBusinessEthics
5 2015 IBE Ethics at Work Survey: Main Findings and Themes
Barclays plc
The traditional view of a company as a function of land, labour and resources has passed its use-by date. A company is now much more than this; it is a group of people with a common purpose – serving customers creatively and profitably so to create long term value for shareholders. Responsible companies create a climate of challenge, opportunity and recognition for their people and contribute to society in ways that are congruent with their business and obligations to their owners.
The impact that a significant company such as Barclays can have is potentially far reaching. With over 130,000 employees, 48 million customer and client relationships, and many thousands of suppliers across operations in over 50 countries, we touch people’s lives across the world in a variety of different ways. We therefore need to embrace high standards and conduct ourselves in a way that is admired.
Barclays has embraced the purpose of helping people achieve their ambitions – and this is supported by a set of values that is articulated, explained and applied throughout our organisation. We are serious about this and track our progress, ensuring the organisation is stronger in every key respect at the end of a year than it began the year such that we are an organisation defined not just by ‘what’ we do, but also ‘how’ we do it and the consequences of our actions and decisions.
Integrity is at the core of a responsible company and needs to be demonstrated consistently and without fail. Along with excellence in service this is fundamental not only to our long-term success, but our very reason to exist.
In light of this, we welcome the results of the IBE’s 2015 Ethics at Work Survey.
John McFarlane Chairman, Barclays
Barclays is an international financial services provider engaged in personal, corporate and investment banking, credit cards and wealth management with an extensive presence in Europe, the Americas, Africa and Asia. Barclays’ purpose is to help people achieve their ambitions - in the right way.
With 325 years of history and expertise in banking, operating in over 50 countries and employing over 130,000 people, Barclays moves, lends, invests and protects money for customers and clients worldwide.
Messages from Survey Gold Supporters
6 2015 IBE Ethics at Work Survey: Main Findings and Themes
Centrica plc
AtCentrica,webelieveitisvitalforcompaniestohaveanethicalandmoralcompasstosecuresustainablebusinesssuccessandcreatevalue insociety.
Fromtheprioritisationofsafetytoarespectforhumanrightsandtheprotectionoftheenvironment,ourbusinessprinciplessetoutthehighestethicalstandardsweexpectandtheprinciplestowhichwecommittooperateby.AllofourprinciplesareunderpinnedbyuniversallyacceptedstandardsincludingtheUNGlobalCompactTenPrinciplesandtheInternationalLabourOrganisationCoreConventions,whilesupportingAnti-BriberyandCorruptionlegislation.
Upholdingtheseprinciplesisourcommitmenttodogoodbusinesswhichhelpsdefineusintheeyesofourpeople,ourcustomersandourwiderstakeholders.Indoingso,wehopetobuildtrustworthinessinourbusinessandsector.
Embeddingethicalpracticesacrossaninternationalcompanyinameaningfulway,canhoweverbechallenging.Wewelcometheresultsofthe2015IBEEthicsatWorkSurveywhichwillinformtheevolutionofourethicalframeworkandourpurposeinsociety.
Rick Haythornthwaite Iain ConnChairman,Centrica CEO,Centrica
Centricaisa21stCenturyenergyandservicescompanywhereeverythingwedoisfocusedonsatisfyingthechangingneedsofourcustomers.Havingservedourcustomersforover200years,thisiswhatweareknownfor,whatwearegoodatandwherewehavedistinctivecapabilities.
Wehave28mcustomeraccountsacrossourleadingcustomer-facingbusinessesofBritishGasintheUK,BordGáisEnergyintheRepublicofIrelandandDirectEnergyinNorthAmerica.Includingtheexploration,production,generation,marketingandtradingofenergyalongsideourstoragebusinesses,weemployover37,500peopledirectlyandsupport174,000jobsinthewidereconomy.
Messages from Survey Gold Supporters
7 2015 IBE Ethics at Work Survey: Main Findings and Themes
LloydsBankingGroupisaleadingprovideroffinancialservicestoindividualandbusinesscustomersintheUK.
Ourmainbusinessactivitiesareretailandcommercialbanking,generalinsurance,andlong-termsavings,protectionandinvestment.WeprovideourservicesunderanumberofwellrecognisedbrandsincludingLloydsBank,Halifax,BankofScotlandandScottishWidowsandthrougharangeofdistributionchannelsincludingthelargestbranchnetworkintheUKandacomprehensivedigitalproposition.
TheGroupisoneofthelargestcompaniesintheFTSE100indexofleadingUKcompanies.
Messages from Survey Gold Supporters
Lloyds Banking Group
DoingbusinessethicallyandresponsiblyisattheforefrontofourmindsatLloydsBankingGroup.That’swhywearedeterminedtocentreourorganisationaroundservingcustomerneeds.Thiscustomer-centricapproachreflectsourbeliefthatbanksneedtoreturntothequalitiesthatoncemadethempillarsofthecommunitiestheyserve–recognisingthathavingthetrustofcustomersisanimperativeforourindustry.
IbelievewhatdifferentiatesLloydsisourexplicitmissiontohelpBritainprosper,whichisintegraltoourstrategyandisunderpinnedbyanethicalandresponsibleapproach.Thisiswoventhroughoutthefabricofourbusiness–fromtheaimsweset,tohowwemeasureourperformance.
Implementingaconsistentcultureacrossalargeanddiverseorganisationisnotaneasytask,butourstrongcompanyvaluesandrobustcodesofresponsibilityprovidestrongfoundationsonwhichtobuild.Weknowthatbuildingcolleagues’prideintheorganisationanditspurposeisanessentialelementofdoingbusinessresponsibly,whichiswhy‘buildingthebestteam’,isakeypillarofourstrategy.
Regainingtrustofourstakeholdersiscentraltoourbusinessratherthana‘nicetohave’.Itwilltaketime,butwearecompletelycommittedtoachievingthisbysettingthehighestpossiblestandardsofintegritytoserveourcustomers,clientsandshareholders.
TheworkconductedbytheIBEaspartofemployees’viewsonethicsatworkwillprovideuswithvaluableinsightsintohowourcolleaguesviewthisissue.
Lord Blackwell Chairman,LloydsBankingGroup
8 2015 IBE Ethics at Work Survey: Main Findings and Themes
IntroductionWhat are employees’ attitudes to the way business is done in their place of work? Do they feel able to speak up when they have become aware of misconduct? Are formal ethics programmes effective in embedding ethical values into organisational culture and behaviour? Are there differences between sub-groups of employees? Have perceptions changed over time?
TheInstituteofBusinessEthics(IBE)hasaskedsimilarquestionsoftheBritishworkforcesince2005. 1 In2012,weextendedpartofthesurveytofouradditionalmajorEuropeanmarkets–France,Spain,ItalyandGermany. 2
In2015,withanincreasedinternationalpublicdialogueconcerningethicalconductintheworkplace,stimulatedinpartbymajorinternationalcorporatescandals,wehaveextendedthisresearchfurther.WehaveexpandedthenumberofquestionsaskedinfourcontinentalEuropeanmarketstocontinuetheharmonisationwiththeunderstandingofemployeeviewsofbusinessethicsintheirworkplaceinBritain.
ThisreportpresentsmainfindingsandthemesfromtheIBE’s2015researchintoethicsatworkinBritain,France,Germany,ItalyandSpain.
ThenationalsurveyresultsfromBritain,France,Germany,ItalyandSpainandthecomparativecontinentalEuropefindingsareeachpublishedinseparatereports.Theoverallsurveyconclusionsarepresentedhereinthisseventhreport Ethics at Work: 2015 Survey of Employees – Main Findings and Themes.
1 The2005,2008and2012Employee Views of Ethics at Work: British Survey reportsareeachavailable,freetodownload,fromtheIBEwebsite.
2 Employee Views of Ethics at Work: 2012 Continental Europe Survey, available,freetodownloadfromtheIBEwebsite.
AllthesurveyreportsareavailablefreetodownloadfromtheIBEwebsite.
EthicsatWork:2015SurveyofEmployees–Main Findings and Themes »EthicsatWork:2015SurveyofEmployees–Britain »EthicsatWork:2015SurveyofEmployees–Germany »EthicsatWork:2015SurveyofEmployees–France »EthicsatWork:2015SurveyofEmployees–Italy »EthicsatWork:2015SurveyofEmployees–Spain »EthicsatWork:2015SurveyofEmployees–Continental Europe »
9 2015 IBE Ethics at Work Survey: Main Findings and ThemesIntroduction
British Survey Ipsos MORI
Continental European Survey ComRes
Data collection methodFace-to-face interviewin English
Online in native language
Date of data collection 6-23 March 2015 4-11 March 2015
Number of respondents
674 respondents (weighted to be representative of the British working population, aged 16+)
750 respondents per country, 3,000 total (weighted to be representative of the working population, aged 16+ in each country)
Employment status of respondents
Full-time workers onlyFull-time and part-time workers
Length of questionnaireTotal of 16 questions (10 questions with sub questions)
Total of 13 questions (with no sub questions)
Data collectionDataforthisresearchwascollectedbytwoseparatepollingorganisations.ThedatafortheBritishreportwascollectedbyIpsosMORIinaseriesofface-to-faceinterviews.ThedatafortheContinentalEuropepartofthesurveycoveringFrance,Germany,ItalyandSpainwascollectedonlinebyComRes,withtheEnglishquestionnairetranslatedintothelocallanguageofeachcountry.Inbothcases,thesurveyswereundertakeninMarch2015.ThetwoapproachestodatacollectionarecomparedandcontrastedinTable1.TheresearchmethodologiesandrespondentprofilesarepresentedinmoredetailintheAppendix.ThesurveyquestionnairescanbefoundinAppendix1ofeachnationalsurveyreport.
Table 1 Summary of research methodologies
Purpose of the surveyTheaimsofthe2015IBEEthicsatWorkSurveywereasfollows:
• todevelopanunderstandingofemployees’attitudesto,andperceptionsof,ethicsintheworkplacein2015
• toidentifytrendsanddevelopmentsbymakingcomparisonswiththedataoftheIBE’spreviousEthicsatWorksurveys
• toexploreifandhowanethicalcultureandtheexistenceofformalethicsprogrammesinfluencestandardsofethicalbehaviourintheworkplace
• toassesswhethermanagers’attitudestoethicsaresignificantlydifferenttothosetheymanage
• toenquireifandhowemployeesfeelsupportedinmaintainingethicalstandardsatwork
• tocomparehowbusinessethicsisviewedandunderstoodbyemployeesindifferentEuropeancountries.
10 2015 IBE Ethics at Work Survey: Main Findings and ThemesIntroduction
The reportDuetothedifferencesinresearchmethodologiesandrespondentprofiles(outlinedabove),directcomparisonsbetweentheBritishandContinentalEuropesurveysarenotpossible.Thisreport,therefore,presentsindicativetrendswhichareobservedtobeconsistentbetweenthetwosurveys,ratherthanattemptingtocomparethetwodatasets.
ThisreportpresentsthemainfindingsfromtheIBE’sBritishandContinentalEuropeEthicsatWorkSurveysin2015andexploresfivethemeswhichemergefromthedata.
Setting the sceneTherehavebeenanumberofsignificantglobaleventssincethisresearchwaslastconductedin2012.Businessethicshasneverbeenseentobemoreimportantthaninthechangingbusinessenvironmentofthe21stcentury.Therecentglobalfinancialcrisishadanethicaldimensionwhichresultedinwidespreadramificationsinorganisationsaroundtheworld.Subsequently,theglobalbusinessvernacularhaschanged,withmanybusinessleadersemphasisingtheimportanceofcreatingethicalcultureswithintheirorganisationsandattemptingtopromoteresponsible,sustainablebusiness.Thisistrueacrosssectors,locationsandsizeofcompany.
Expectationsplacedonbusinessbysocietyandotherinternalandexternalstakeholdersarenowhigherthaneverbefore:
• Employeeswanttoworkfororganisationsinwhichthecultureisalignedwiththeirpersonalvalues. 3
• Shareholdersareexercisingtheirrightsmorediligently,puttingpressureoncompaniestotakeethicsseriously.Forexample,votingagainstexecutivecompensationpackagestheydeemtobeexcessiveatcorporateAGMs. 4
• Suppliers,especiallysmallandmedium-sizedenterprisesare‘findingtheirvoice’,whetherindependently,collectivelyorthroughanotherpartyontheirbehalf,especiallyinrelationtounfairpaymentterms. 5
• Customersarevotingwiththeirfeet,boycottingproductsandcompaniesthatdonotmeettheirexpectations,andthesocietiesinwhichorganisationsoperateexpectthosecompaniestobeheldaccountablefortheiractions. 6
3 SurveysofUKstudentshavedemonstratedthatover70%believeacompany’sethicalapproachtobeadeterminingfactorwhentheyareassessingpotentialemployers.AGCAS(2013)Political and ethical issues: diversity matters.
4 SeeIBEBusinessEthicsBriefing(No42)Fairness in the Workplace: pay.
5 SeeIBEBusinessEthicsBriefing(No34)Supply Chain and Payment Practices.
6 In2013,inthewakeofthemediacoveragerelatedtotheamountofcorporatetaxpaidintheUK,StarbucksreportedafallinUKsalesforthefirsttimein16years.SkyNews(2014)‘StarbucksSalesFallForFirstTimeIn16Years’.
Expectations placed
on business by
society and other
internal and external
stakeholders are
now higher than
ever before.
‘‘
11 2015 IBE Ethics at Work Survey: Main Findings and ThemesIntroduction
Consistentethicalbehaviourmaybethestatedaimofmostbusinessleadersbutthefrequencyofreportedlapsesdoesnotdiminish.Whyisthis?TheexperienceoftheIBEovernearlythreedecadesindicatesthatoneoftheprinciplecausesisagapbetweenthestandardssetbytheboardandtherealityofstaffmeetingorganisationaltargets.
Discoveringwhatemployeesatalllevelsofanorganisationthinkaboutthewaythecorporatevaluesareappliedinalltheorganisation’srelationshipsisasignificantwayofunderstandingwheretheproblemsarise.Thisresearchhelpswithunderstandingemployees’attitudesandexperiencesandcanhelptoaddresswhathasbecomeknownasthe‘say/do’gap–wherewhatanorganisationsaysisnotfoundtobepractised.
specific national contexts
Thespecificnationalcontextsinwhichthe2015IBEEthicsatWorkresearchwasconductedalsoneedtobehighlighted.
In Britain,thelastthreeyearshaveseenthebusinessethicslandscape‘moveon’fromthescandalsassociatedwiththefinancialcrisis.Anincreasedawarenessoftheethicalaspectsofbusinessdecision-makinganda‘secondwave’ofcorporatescandalsfromavarietyofsectorsoftheeconomyhasledtohigherlevelsofcorporateandpublicengagementinbusinessethics.AsreportedbyEdelman,theUKisdriftinginthe‘trustdoldrums’withtrustinbusinessbeinglostasaresultofcompaniesnot‘playingfair’,especiallywithregardtolevelsoftaxandexecutivepay. 7 ThisisconsistentwiththeIBE’sownresearchoftheBritishpublic’sattitudestobusinessethicswhichshowsthatcorporatetaxavoidanceandexecutivepayarethetwoissueswhichmostneedaddressingbycompanies. 8 Thatbeingsaid,thisresearchsuggeststhatemployeesinBritainarelessscepticaloftheirownorganisations,indicatingthatlowlevelsoftrustareininstitutionsasopposedtoindividualemployers. 9
Spainhasexperiencedadeepeconomiccrisisoverrecentyears.Thishashadamajorimpactonpublicexpectationsofcompaniesandinstitutions.Theynowactivelydemandgreateropennessandaccountability.Businessethicshasalsogainedgreaterrelevancefordifferentstakeholders,andisnowpositionedascentraltonewcorporatemanagementmodels.Companymanagementisbecomingincreasinglyfocusedonsocialresponsibilityandgoodgovernance.
Understanding
employees’ attitudes
and experiences
... can help to
address what has
become known as
the ‘say/do’ gap.
‘‘
7 EdWilliams(2015)‘The UK: We’re drifting in the doldrums’EdelmanResearchInsight.
8 IBESurveyAttitudes of the British Public to Business Ethics 2015.
9 AmongstBritishemployees,81%saidthathonestywaspractised‘always/frequently’intheirorganisation’sdailyoperations:BritishReport,Figure5,p15.
12 2015 IBE Ethics at Work Survey: Main Findings and ThemesIntroduction
InthelastfewyearsinFrance,businesshasbeenpreoccupiedwithimprovingefficiencyinthefaceofperceivedburdensomeregulationsandanexcessiveroleofthestateintheeconomy.Businessethicsmayhavebeenseenasasecondaryconsiderationrelativetotheseconcernsandthegeneraleconomicmalaise.Additionally,thesizeableFrenchdefencesectorhasrepeatedlybeenimplicatedincorruptionandtheFrenchbanksarefacingsomeofthesamemisconductproblemsastheirUKandUScounterparts.AnotherinterestingrecentdevelopmentwasthedecisionoftheFrenchcourtthatconvictedSociétéGénérale’sroguetraderJérômeKervielwhenitsuggestedhealonewastoblameforhismisconduct.TheFrenchpublicwasgenerallyscepticalofthisconclusion.ThismayinpartexplainthesurveyfindingssuggestingFrenchorganisationsarelesslikelytohaveethicsprogrammesinplace,thoughculturaldifferencesrelativetootherEuropeancountriesandtheUKinparticularareanimportantanddeeperexplanation.
Overtime,theattentionpaidtobusinessethicsinGermany has ebbedandflowed.However,sinceanumberofcorruptionscandalsinthecountrybetween2005-2010,companyapproacheshavechangedabruptly.Thisledtoaperiodofriskbasedduediligenceand‘bureaucraticcompliancesystems’beingsetup.However,businessethicswascommonlyperceivedasunnecessary.ThissurveysuggeststhatthisisnowbeginningtochangeinGermanorganisations.
Sincethissurveywaslastcarriedoutin2012,theItalianeconomyhasbeensignificantlyaffectedbyacontinuingeconomiccrisis.Severefinancialdifficultieshavemeantcompanieshavehadto‘battendownthehatches’and,consequently,therehasbeenanegativeimpactontheemphasisplacedonethicalbusinessbehaviour.Anotherimportantpointtonoteisthatthisresearchwascarriedoutintheimmediateaftermathofthe ‘Mafia Capitale’ scandalinthecountrywherebywell-knownpoliticalandbusinessfigureshavebeenconvictedofcontractriggingandembezzlementofpublicfunds.TheshockwavesofthescandalhaveledtoamajordecreaseoftrustininstitutionsintheviewoftheItalianpublic.
13 2015 IBE Ethics at Work Survey: Main Findings and ThemesIntroduction
1Main Findings from the British SurveyIn Britain, the experience of business ethics in the workplace has remained relatively consistent over the last three years. The perception of how frequently honesty is practised in the daily operations of their organisation is still high amongst British employees. 10 The proportion of employees who raised their concerns of misconduct has also remained constant (at around half), and the proportion who had felt pressured to compromise their organisation’s standards of ethical conduct has remained low (only 8%). See dashboard of 2015 findings below.
However,overthelongerhistoryofthissurvey,changesinemployeeattitudesto,andexperienceof,ethicshaveseenconsiderablefluctuation,whileemployersupportforethicsatworkhasgrownpositively.
SincetheIBEfirstconductedthissurveyin2005,therehasbeenaconsistentriseinawarenessofsupportprovidedbyorganisationstoencourageethicsatwork(asshowninFigure1).ThissuggeststhatethicsprogrammeshavebecomemoreestablishedinBritishorganisationsoverthelast10years.
dashboard of 2015 findings: Britain
TheBritishEthicsatWorkSurveyreportwiththefullfindingsisavailabletodownloadfromtheIBEwebsite »
People treated inappropriately / unethically / unfairly
Britain
Proportion who said honesty is practised ‘always / frequently’*
Level of awareness of misconduct*
Most common type of misconduct aware of**
Proportion who did not raise their concerns of misconduct**
Most common reason for not raising concerns***
Proportion who felt pressured to compromise their current organisation’s standards of ethical conduct*
Main pressure****
I felt it might jeopardise my job
Time pressure
Britain
81%
45%
20%
8%
*n=674 **n=134 ***n=60 (caution small base size) **** n=53 (caution small base size) Forfullbases,seeBritishReport
14 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 1
11PublicConcernatWork,theUKwhistleblowingcharity,havereporteda15%increaseinthenumberofcallstheyhavereceivedregardingworkplacewhistleblowingmattersbetween2012and2014.
Were you satisfied with the outcome? base(2012,2015)=63,73AllBritishfull-timeworkersraisingconcernsofunethicalconduct(cautionsmallbasesize)
Q4d
2012 2015
Yes
No
39%
61%
55%
30%
70%
Theawarenessanduseofspeakup(whistleblowing)systemshasincreasedovertime.11Manyorganisationsarestrivingtocreateconfidenceinthesystemstheyhaveputinplace.However,satisfactionwiththeoutcomeofspeakinguphasfallenbyalmosthalfsince2012,withlessthantwo-fifths(39%)nowsatisfiedwiththewayinwhichtheirconcernwasdealtwith.
Figure 2 Employee satisfaction with the outcome of speaking up, Britain(2012-2015comparison)
In Britain,
employer support
for ethics at work
continues to grow
i
Satisfaction with
the outcome of
speaking up has
fallen by almost
half in Britain
since 2012
i
base(2005,2008,2012,2015)=759,791,665,674AllBritishfull-timeworkers
2005 201520122008n A Written standards
n B A means of reporting misconduct confidentially
n C Advice or information helpline
n D Training on standards of ethical conduct73%
86%
66%
54%
49%
62%
58%
73%
84%
55%
65%
52%
50%
47%
69%
78%
Yes
No
Figure 1 Changes in employee awareness of elements of a formal ethics programme, Britain (2005-2015comparison)
15 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 1
Main Findings from the Continental Europe SurveyAcross continental Europe, in general, employees are less positive in 2015 about their experiences of ethics in the workplace than they were when we first conducted this survey in 2012. Honesty is said to be practised less frequently and employees say they are more aware of misconduct. Fewer raised their concerns when they became aware of misconduct, and awareness of each of the four elements of a formal ethics programme is lower. However, employees across continental Europe are also less likely to have felt pressured to compromise their organisation’s ethical standards than in 2012.
SignificantvariationsinexperiencesarealsoobservedineachofthefourcontinentalEuropeancountriessurveyed-France,Germany,ItalyandSpain.Forexample,asopposedtotheoveralltrendsabove,moreemployeesinSpainnowsaythathonestyispractisedalways/frequentlyintheirorganisationthanin2012,andawarenessofelementsofanethicsprogrammedidnotfallinGermany.Themainvariationsforeachcountryarehighlightedonthenextpage.
dashboard of 2015 findings: continental Europe
2
TheFrench,German,ItalianandSpanishEthicsatWorkSurveyreportsandthecomparativeContinentalEuropereport,givingthefullcontinentalEuropeanfindings,areavailabletodownloadfromtheIBEwebsite. »
Continental Europe
People treated inappropriately
/ unethically / unfairly
I did not believe corrective
action would be taken
I was following my boss’s
orders
People treated inappropriately
/ unethically / unfairly
I felt it was none of my business
I was following my boss’s
orders
People treated inappropriately
/ unethically / unfairly
I did not believe corrective
action would be taken
I was following my boss’s
orders
Abusive behaviour
I did not believe corrective
action would be taken
I had to meet un-realistic business
objectives/deadlines
People treated inappropriately
/ unethically / unfairly
I felt I might jeopardise my
job / I felt it was none of my
business
I was following my boss’s
orders
Continental Europe FRA GER ITA SPA
Proportion who said honesty is
practised ‘always / frequently’*
Level of awareness of misconduct*
Most common type of misconduct
aware of**
Proportion who did not raise their
concerns of misconduct**
Most common reason for not
raising concerns***
Proportion who felt pressured to
compromise their current organisation’s standards
of ethical conduct*
Main pressure****
58%53%54% 54%
73%70% 63%66% 77%
45%32%30%33%
49%
12%12%13% 14% 15%
23%
*n=3,000 **n=975 ***n=527 ****n=398 Forfullbases,seeContinentalEuropeReport
16 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 2
TheresearchrevealedaclearculturaldifferencebetweenemployeesinGermanyandSpain,regardingtheirperceptionsofhonestyintheworkplaceandorganisationalmisconduct.EmployeesinSpainwerethemostlikelytosaythathonestyispractisedatleastfrequentlyintheirorganisation’sdailyoperations,butalsothemostlikelytohavebeenawareofmisconduct.TheoppositeistrueofGermanemployees.ThisindicatesthatintheopinionofSpanishemployees,thereislessofadistinctionbetweenpracticeswhicharedishonestandthosewhichviolatethelawororganisationalethicalstandards,thanthereisforGermanemployees.ThiscanbeexplainedbythefactthatinGermany,honestyisseenmoreasanindividualvirtue,thanasacharacteristicoforganisationalconduct.Consequentlythisfinding,whichmaybeviewedasadiscrepancyfromaBritishperspective,doesmakesensefromaGermanone.
SignificantnationalvariationsGermany is the only country where levels of awareness of ethics programmes did not fallGermanemployeesreportedahigherlevelofawarenessofcodesofethicsandspeakup(whistleblowing)linesthanin2012.InthethreeothercontinentalEuropeancountries,levelsofawarenessofeachoftheseelementsofaformalethicsprogrammegenerallyfell.(SeeContinentalEuropeReport,Table10,andGermanReport,Figure10.)
Honesty is said to be practised more frequently in Spanish organisationsSpainistheonlycountrysurveyedinwhichemployeesreportedanincreaseinthefrequencyofhonestyintheworkplace.InallthreeothercontinentalEuropeancountries,itdecreased.(SeeContinentalEuropeReport,Table2,andSpanishReport,Figure3.)
In France, fear of retaliation is less of a barrier to speaking upOnly13%ofrespondentsinFrancesaidthattheydidnotraisetheirconcernsofmisconductbecauseoffeelingthatitmightjeopardisetheirjob.ThisislowerthaninallothercontinentalEuropeancountriessurveyed.(SeeContinentalEuropeReport,p22,andFrenchReport,Figure7.)
Italian employees are most aware of speak up lines and ethics trainingAwarenesslevelsofameansofreportingmisconductconfidentially(35%)andtrainingonethicalstandards(39%)arehigherinItalythanintheotherthreecontinentalEuropeancountries.(SeeContinentalEuropeReport,Table10andItalianReport,Figure10.)
i
17 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 2
3Survey ThemesWhile direct comparisons cannot be made between the British and Continental Europe datasets, when the data for each of the countries was considered collectively, five key themes emerged. Three are observed to be consistent in both Britain and continental Europe, the final two relate only to continental Europe.
Theme 1 Thesurveyprovidesevidenceofhow investing in corporate ethics programmes can benefit an organisation,throughtheimpacttheyhaveonemployeeperceptionsoftheethicalcultureoftheirorganisation.
Theme 2Intermsofresponsiblebusinessconduct,younger employees (those aged 16-34) expect more from the organisations for which they workthanolderemployees(aged55+).
Theme 3Attitudestocertainworkplacepracticesaregenerallyobservedtobesimilaracrossthecountriessurveyed.Ingeneral,attitudes of employees tend to be more lenient towards conducting personal activities during work hours,thanotherpractices.
Theme 4Evidencesuggeststhatemployees in continental Europe are more sensitive to ethical issuesintheworkplacethantheywerethreeyearsago.
Theme 5ManagersincontinentalEuropearefoundtohaveagreaterknowledgeandawareness of the elements of corporate ethics programmesthannon-managers,suggestingthatthereisstillworktobedoneinembeddingsuchprogrammesacrossalllevelsofemployees.
Each of these findings, and its associated implications, are considered in this chapter.
i
!!!!
18 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter3
© iB
E
Whichcreatefeedbackloopsforlearningandimprovement
Written standards of ethical
business conduct
Code of Ethics
Means of reporting
misconduct confidentially
Speak Up Line
Advice about behaving
ethically at work
Advice or Information
Helpline
Training on ethical standards
of conduct
Ethics Training
i
Theme 1Employee awareness of corporate ethics programmes increases ethical awareness and perceptions of ethical culture
TheIBEdefinesbusinessethicsas‘theapplicationofethicalvaluestobusinessbehaviour’.Inordertoaffectbusinessbehaviour,ethicalvaluesneedtobeembeddedthroughouttheorganisation,fromtheshopfloortothedirector.Thearticulationofcorporatevaluesisthefoundationofanyethicsprogramme,fourelementsofwhichareshowninFigure3.
Figure 3 Four elements of an effective ethics programme
Summary
The results of the 2015 Ethics at Work Survey show that in both Britain and Continental Europe, awareness of corporate ethics programmes increases the ethical awareness of employees and their perceptions of ethical culture. In both surveys, employees in organisations which provide a code of ethics, a speak up line, advice/information helplines and ethics training, are more likely to say that honesty is practised always/frequently in their organisation; are less likely to have been aware of misconduct in the preceding year; and are more likely to agree with each of the indicators of an ethical culture.
Ethical Values
are embedded into the cultureand influence behaviour
through
3.119 2015 IBE Ethics at Work Survey: Main Findings and Themes
Chapter3
Inthissurvey,participantswereaskedwhethertheybelievedthattheirorganisationofferedthesefourcommonelementsofanethicsprogramme-acodeofethics,aspeakupline,advice/informationhelplinesorethicstraining.Notethisdescriptionofthesefourelements,usedthroughouttheremainderofthisreport,isanabbreviationofthewordingusedinthesurveyquestionnaire.12
TwentyyearsofIBEresearchhasrevealedthatthemostcommonpurposeofacompany’scode of ethicsistoprovideguidancetostaffonhowtohandleethicaldilemmasthatmayariseinthecourseoftheiremployment,outliningwhatisexpectedoftheminthewaythattheybehaveatwork.13Thecodeisthemostfundamentalelementofacompanyethicsprogramme,andthemainmeansofsupportanorganisationcangivetoitsemployees.14
Whistleblowing (or speaking up) isbecominganincreasinglyprominentissuefororganisations.Inrecentyears,therehavebeenanumberofhigh-profilewhistleblowingcaseswhichhavemadeglobalheadlines,andsomeoftheallegationsraisedhavehadsignificantreputationalconsequencesfortheorganisationsinvolved.Theactofraisingaconcerncantakemanyforms.Anincreasingnumberoforganisationsarestrivingtocreateanopencultureinwhichindividualsfeelfreetospeakupandraiseanyconcernstheymayhave.Thealternative,ifcompaniesdonotoffersuchsupporttotheiremployees,isthattheywillraisetheirconcernsexternally,eitherwitharegulatororeven themedia.
Manyorganisationsnowofferadvice or information helplines as an additionalmeansofsupporttoemployees.Thesemaybesupplementaryto,orincorporatedaspartof,thespeakupsystem(above).Thisreflectsashiftintheapproachbeingtakenbyorganisations–manyarenowseekingamoreconsultativeandpreventativeapproachtodealingwithissuesofmisconduct,insteadofthepreviouslymorereactivedetectionorinvestigationapproach.Inaddition,offeringadviceoraninformationhelplineisagoodwayinwhichtohelpfosteranopenculturewhereemployeesfeelfreetospeakupabouttheirconcerns,andwhereethicalconsiderationsstarttobecomeengrainedintheorganisationandpartofbusinessasusual.15
12Q7inContinentalEuropesurvey,Q5inBritishsurvey.Fullquestionwording:Pleaseindicatewhetherthefollowingstatementappliestoyourorganisationornot?A.Myorganisationhaswrittenstandardsofethicalbusinessconductthatprovideguidelinesformyjob(forexampleacodeofethics,apolicystatementonethicsorguidanceonproperbusinessconduct);B.Myorganisationprovidesemployeeswithameansofreportingmisconductconfidentially,withoutgivingtheirnameorotherinformationthatcouldeasilyidentifythem;C.MyorganisationoffersadviceoraninformationhelplinewhereIcangetadviceaboutbehavingethicallyatwork;D.Myorganisationprovidestrainingonstandardsofethicalconduct.WhereA.isunderstoodtorepresentacodeofethics,B.aspeakupline,C.advice/informationhelplines,andD.ethicstraining.Theseabbreviationsareusedfortheremainderofthisreport.
13IBESurveyCorporate Ethics Policies and Programmes: 2013 UK and Continental European Survey.AvailableforfreedownloadfromtheIBEwebsite.
14IBEReportDeveloping an Effective Code of Business Ethics(2016forthcoming).
15IBEGoodPracticeGuideSpeak Up Procedures.AvailabletopurchasefromtheIBEwebsite.
Offering advice
or an information
helpline is a good
way in which to
help foster an
open culture where
employees feel free
to speak up about
their concerns.
‘‘
20 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
20 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter
16IBEGoodPracticeGuideDeveloping and Using Business Ethics Scenarios.AvailabletopurchasefromtheIBEwebsite.
Manyorganisationsarealsorecognisingtheimportanceofprovidingtrainingonstandardsofethicalconductfortheiremployees.Dedicated ethics training,orinclusionofethicaldilemmasinotheremployeetraining,isaneffectivewayofincreasingemployeeengagementregardingbusinessethics.16
Eachofthesefourelementshelpstoincreasetheethicalsensitivityofemployeesbyraisingawarenessandunderstandingofethicalconsiderationsintheworkplace.
Employee awareness of elements of ethics programmes
ThefindingsfromtheBritishandContinentalEuropesurveysrevealthatemployeeawarenessofcorporateethicsprogrammeshaschangedovertime.AsalreadyshowninBritain,therehasbeenaconsistentpositiveincreaseinemployeeawarenesslevelsofeachoftheelementsofanethicsprogrammesince2005(Figure1inChapter1).
AcrosscontinentalEuropethepictureismoremixed.GermanyistheonlycontinentalEuropeancountrysurveyedwherelevelsofawarenessofethicsprogrammesdidnotfall.DecreasesinemployeelevelsofawarenesswerereportedinItaly,SpainandFrancebetween2012and2015.
Table 2 Changes in levels of employee awareness of each of the elements of an ethics programme, Continental Europe (2012-2015)
› ›› ››
› ›› ››
› ›››
› ›››❙
❙
Continental Europe ITA SPA FRA GER
A. Code of ethics
2015 ‘Yes’ 46% 47% 48% 42% 47%
Change since 2012 -7% -20% -4% -12% +7%
B. Speak up line
2015 ‘Yes’ 28% 35% 28% 24% 27%
Change since 2012 -3% -3% -9% +1% +3%
C. Advice/Information helpline
2015 ‘Yes’ 19% 21% 17% 18% 20%
Change since 2012 -15% -15% -26% -18% 0%
D. Ethics training
2015 ‘Yes’ 27% 39% 23% 21% 23%
Change since 2012 -12% -21% -24% -6% 0%
Germany is the
only country
where awareness
of all elements
of an ethics
programme
did not fall
i
base(2012,2015)=3001,3000(750ineachofFrance,Germany,ItalySpain)
21 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
Benefits associated with investing in ethics programmes
The‘businesscaseforbusinessethics’hasbeenwelldocumented.Companieswhichoperatetohighethicalstandardshavebeenproventoshowincreasedfinancialperformanceovertime. 17Relativelylittleresearchhasbeenproducedthatindicateshowbusinessethicspays.Responsestothissurveyprovidesomeevidenceoftangiblebenefitsresultingfrominvestmentincorporateethicsprogrammes.
Participantswereaskedwhethertheirorganisationprovideseachofthefourelementsofanethicsprogrammelistedabove,andwerecategorisedaccordingtowhethertheyindicatedthattheirorganisationoffered‘all’,‘any’or‘none’oftheseoptions.Theirresponsestoallquestionsinthesurveywerecomparedtoassesstheimpactofprovidingformalsupporttoemployees.
The findings show that in Britain, employees who indicated that their organisation provided all four of these mechanisms had a more positive experience of ethics in the workplace.Theyweremorelikelytoagreewitheachoftheindicatorsofanethicalculture,andhadamorepositiveperceptionofthebehavioursobservedintheirorganisation(seeFigure4).
Onesuchbehaviouristhepracticeofhonesty.Honestyisatraitwhichisvaluedbyorganisations,andisoftenastatedcorevalue. 18Inpractice,itisalsoinstantlyrecognisable.Assuch,itcanbeusedasaproxyforbusinessethicsorbusinessintegrity(aswasdoneinthissurvey). 19
Thesurveyalsoaskedparticipantsabouttheiropiniononanumberofstatementsrelatedtopracticeswhichcanbeconsideredasindicatorsofanethicalculture. 20Thestatementscanbecategorisedintothefourareasof:
• management behaviour (‘Overall,mylinemanagersetsagoodexampleofethicalbusinessbehaviour’,and‘Mylinemanagersupportsmeinfollowingmyorganisation’sstandardsofethicalbehaviour’) 21
• communication of ethics(‘Mylinemanagerexplainstheimportanceofhonestyandethicsintheworkwedo’,and‘Issuesofrightandwrongarediscussedinstaffmeetings’)
• responsible business conduct(‘Myorganisationactsresponsiblyinallitsbusinessdealings(withcustomers,clients,suppliers,etc.)’,and‘Myorganisationlivesuptoitsstatedpolicyofsocialresponsibility’),and
• enforcement of ethical standards(‘Myorganisationdisciplinesemployeeswhoviolatemyorganisation’sethicalstandards’).
Responses to this
survey provide
evidence of tangible
benefits resulting
from investment in
corporate ethics
programmes.
‘‘
17ResearchbyEthisphereLLC(2015)showsthatbycomparinganequal-weightEthisphereIndexofthe‘World’sMostEthical(WME)Companies’totheFTSEAllWorldIndex(MarketCapweighted)andtheMSCIAllWorldIndex(EqualWeighted),theremaybeapremiumtobeearnedbyinvestingincompaniesintheWMEIndex.
18AccordingtoForgingValues,integrity(ethics/honesty)isoneofthe17commonsharedvaluesofFortune500companies-http://forgingvalues.com/17-common-values/
19Ina2012ICAEWreportReal Integrity: practical solutions for organisations seeking to promote and encourage integrity,attemptstodefinebusinessintegritywerefrequentlygroundedinthethemeofhonesty.
20Question6oftheBritishquestionnaireandQuestion8oftheContinentalEuropequestionnaire.
21Inthesurvey,participantsweregivenanadditionaloptioninthiscategory‘Mylinemanagerrewardsemployeeswhogetgoodresults,eveniftheyusepracticesthatareethicallyquestionable’.However,asthisstatementisframedinthenegative,itisexcludedfromtheanalysishere.
22 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
22ThisfindingalsoappearstobetrueintheBritishsurveyhoweverthebasesaretoosmalltogivestatisticalconfidencetothisfinding.63%ofthoseinorganisationswhichprovideallfourmechanismssaidthattheyraisedtheirconcernsofmisconduct(74respondents).45%ofthoseinorganisationswhichprovidenonesaidthesame(only9respondents).
Figure 4 Employer provides ‘all’ elements of a formal ethics programme / All British respondents comparison, Britain(2015)
Employer provides
‘all’ elements of an ethics programme
All British
respondents
(Q3) Honesty practised (‘always or frequently’)
(Q4a) Awareness of misconduct (‘no’)
(Q7a) Pressure to compromise organisation’s ethical standards (‘no’)
(Q6) Indicators of an ethical culture (‘agree’)
Management behaviourOverall, my line manager sets a good example of ethical business behaviour
My line manager supports me in following myorganisation’s standards of ethical behaviour
Communication of ethical standardsMy line manager explains the importance of honesty and ethics in the work we do
Issues of right and wrong are discussed in staff meetings
Responsible business conductMy organisation acts responsibly in all itsbusiness dealings (with customers,clients, suppliers etc.)
My organisation lives up to its stated policy of social responsibility
Enforcement of ethical standardsMy organisation disciplines employees whoviolate my organisation’s ethical standards
85%
84%
81%
71%
72%
69%
65%
95%
76%
79%
78%
92%
86%
76%
81%
83%
83%
87%
82%
ThesameistrueinthecontinentalEuropeancountriessurveyed(seeFigure5).Inaddition,continentalEuropeanemployeeswhowereawareofsomeformofmisconduct,andsaidthattheirorganisationoffers‘all’thetestedelementsofanethicsprogrammearealsomorelikelytosaythattheyraisedtheirconcernsofmisconductwithmanagement,anotherappropriateperson,orthroughanothermechanism,thanthosewhoindicatedthattheirorganisationprovided‘none’oftheabove.22
Britain Response rate:
69%
Employees
in British
organisations
which provide
all four elements
of an ethics
programme have
a more positive
experience of
ethics in the
workplace
i
base(employerprovides‘all’,allBritishrespondents)=436,674
23 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
76%
75%
74%
74%
81%
81%
Figure 5 Employer provides ‘all’ elements of a formal ethics programme / employer provides ‘none’ comparison, Continental Europe(2015)
base(employerprovides‘all’,employerprovides‘none’)=261,830
* only significant at the 90% level, all others significant at the 95% level
** only those who said that they were aware of misconduct (at Q3) responded to this question. Base (employer provides ‘all’, employer provides ‘none’) = 81, 303 (caution small base size)
Continental Europe Response rate:
68%
*
83%60%
49%
37%
27%
27%
28%
27%
54%
35%
39%
71%
74%
Employer provides
‘all’ elements of an ethics programme
Employer provides ‘none’
(Q2) Honesty practised (‘always or frequently’)
(Q3) Awareness of misconduct (‘no’)
(Q5) Did you raise your concerns? (‘yes’)**
(Q8) Indicators of an ethical culture (‘agree’)
Management behaviourOverall, my line manager sets a good example of ethical business behaviour
My line manager supports me in following myorganisation’s standards of ethical behaviour
Communication of ethical standardsMy line manager explains the importance of honesty and ethics in the work we do
Issues of right and wrong are discussed in staff meetings
Responsible business conductMy organisation acts responsibly in all itsbusiness dealings (with customers,clients, suppliers etc.)
My organisation lives up to its stated policy of social responsibility
Enforcement of ethical standardsMy organisation disciplines employees whoviolate my organisation’s ethical standards
Employees
in continental
European
organisations
which provide
all four elements
of an ethics
programme
also have a
more positive
experience of
ethics in the
workplace
i
24 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
Theme 2Younger employees expect more of their employers regarding responsible business conduct
Thenewgenerationenteringtheworkforceiscreatingopportunitiesandchallengesfororganisationswantingtoconducttheirbusinessinanethicalmanner.23Thefindingsfromthissurveyreinforcethisunderstanding.
Participantsinthisresearchweregroupedaccordingtoage,andtheirresponsestoallquestionsinthesurveywerecompared:
• ‘Younger employees’–thoseaged16-34
• ‘Mid-career employees’ –thoseaged35-54,and
• ‘Older employees’ –thoseaged55+.
Thefindingsrevealthatyoungeremployeesposeaninterestingconundrumtoemployers.IncontinentalEurope,whiletheyexpectmoreoftheiremployerintermsofresponsiblebusinessconduct,theysaytheyhaveamorelenientattitudetowardscertainspecificpracticesrequiringpersonalresponsibility.24 Theyarealsomorelikely,thanolderemployees(55+),tobeengagedwithethicsprogrammes,specificallyspeakuplinesandadviceorinformationhelplines.However,themajorityarestillnotawareofeachoftheelementsofanethicsprogrammeintheirorganisation(seeFigure6).
Summary
Findings from both the British and continental European surveys suggest that when compared with older employees (aged 55+), younger employees (aged 16-34) are found to pose something of a conundrum to their employers. While they are more likely to be aware of, or engaged with, elements of an ethics programme, they are also less likely to agree with the statements related to responsible business conduct. This seemingly greater concern for wider stakeholders suggests that they expect their employer to have an increasingly external outlook on the way in which it conducts its business.
23SeeIBEBusinessEthicsBriefing(No48)(2015)Business Ethics across Generations.
24Ahigherproportionofyoungeremployeesconsidereachofthenineworkplacepracticestestedtobeacceptablecomparedwithbothmid-careerandolderemployees.
25ThesefindingsmustbetreatedwithcautionduetothesmallbasesizeofolderemployeesintheBritishsurvey(n=102)whichmeansthatanumberoftheobserveddifferencesarenotstatisticallysignificant.
InBritain,youngeremployeesarealsomorelikelytobeawareofeachoftheelementsofaformalethicsprogramme,aswellastheprovisionofincentivesthanolderemployees.Howevertheytendtohavealoweropinionoftheresponsiblebusinessconductoftheirorganisation(seeFigure7). 25
The findings reveal
that younger
employees pose
an interesting
conundrum to
employers.
‘‘
3.225 2015 IBE Ethics at Work Survey: Main Findings and Themes
Chapter 3
16-34 55+
(Q7) Awareness of elements of an ethics programme (‘yes’)
Code of ethics
Speak up line
Advice/information helplines
Ethics training
(Q11) Provision of incentives (‘yes’)
(Q8) Indicators of an ethical culture (‘agree’)
Responsible business conductMy organisation acts responsibly in all itsbusiness dealings (with customers,clients, suppliers etc.)
My organisation lives up to its stated policy of social responsibility
Continental Europe
Figure 6 Younger employees (16-34) / Older employees (55+) comparison, Continental Europe (2015)
15%22%
28%
56%
50% 56%
61%
* not a statistically significant difference base(16-34,55+)=812,521
25% *
*46%46%
32% 26%
16-34 55+
(Q5) Awareness of elements of an ethics programme (‘yes’)
Code of ethics
Speak up line
Advice/information helplines
Ethics training
(Q8a) Provision of incentives (‘yes’)
(Q6) Indicators of an ethical culture (‘agree’)
Responsible business conductMy organisation acts responsibly in all itsbusiness dealings (with customers,clients, suppliers etc.)
My organisation lives up to its stated policy of social responsibility
31%
84%
81%
81%
79%
78%75%
73%
74%
74%
* not a statistically significant difference base(16-34,55+)=249,102
*
*
*
*
*
Figure 7 Younger employees (16-34) / Older employees (55+) comparison, Britain (2015)
86%66%
65%
Britain Response rate:
Response rate:
20%
23% 18%
Younger
continental
European
employees expect
more of their
employer in terms
of responsible
business conduct
than their older
counterparts
i
Younger British
employees are
more likely to be
aware of a speak
up line and ethics
training
i
26 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
Understanding of these generational differences in the workforce should encourage organisations to tailor their ethics training, communication and awareness programmes to the different generations in their workforce, rather than attempting a one-size-fits-all approach to business ethics.26 OnesuccessfulexampleofthisisdescribedinBox1.
Box 1 Case Study: Sodexo UK and Ireland 27
FoodservicesandfacilitiesmanagementcompanySodexohasdevelopedaprogrammetobuildunderstandingbetweendifferentgenerationalgroupsinsideandoutsideoftheworkplace.Theinitiative-GenerationsWorkstream-waslaunchedin2012andhashelpedemployeestounderstandthepersonalandprofessionaldevelopmentneedsofdifferentgenerations,providingemployeeswithopportunitiestointeractandlearnfromtheirpeers.
OneparticularlysuccessfulinitiativeoftheGenerationWorkstreamprogrammeiscalledGenERAtions,anemployeenetworkbasedonthespeciallydesignedboardgameGenMatch.Thepurposeofthegameistohelpstaffappreciatethediverseworkforcethatmakesuptheorganisation,andtheopportunitiesandchallengesthiscanpresent.Playershadtomatchstatementsaboutworkmotivationandstyle,technologyandlifestyletotherelevantgenerations.
Thankstoitsinnovativedesignandaneffectivecommunicationcampaign,thenetworkattractedmorethan300membersinitsfirstfourmonthsandtheimpacthasbeenpositive.Initsmostrecentemployeeengagementsurvey,78%ofemployeesagreedthatSodexovaluesdiversityintheworkplace,upfrom66%in2012.
AccordingtoCEODebbieWhite:“The differences between generations can lead to misunderstanding and miscommunication but, in a workplace situation, if we raise awareness of those differences and harness people’s individuality, it can have a huge impact on the way we work together and help us perform better as a business. That is why we have launched the GenERAtions network; to help us all better understand the people we work with and make us more effective.”
26Generationaldifferencesareonlyoneofthedifferenceswhichorganisationsshouldconsiderwhentailoringtheirethicsprogramme.Forexample,somecompaniesadapttheirmessagesrelatedtoethicsdependingonjobfunctions,orlearningstyles.SeeIBEGoodPracticeGuideCommunicating Ethical Values InternallybyKatherineBradshaw.
27BusinessInTheCommunity2015AwardsFinalist,casestudy,availableonline.
27 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
Theme 3Conducting personal activities at work is seen to be more acceptable than other potentially unethical practices
Ethicsbeginswherethelawends.Asalreadystated,ethicaldilemmasinhabitgreyareas,wherethecorrectcourseofactionisnotasimpleblack/whitedecision.Differencesinopinion,upbringingandexperience(tonamebutafew)meanthatindividualshavedifferentdefinitionsofwhatmaybeconsideredacceptable.Attitudestoethicsintheworkplacevarybetweencultures,agesandovertime.
Makingethicsprogrammeseffectiveonaglobalscalecanbeachallenge.Oneofthekeystoaddressingthischallengeistogainaproperunderstandingofdifferencesinattitudestoethicalissuesininternationallocations,andtoadapttheethicsprogrammeaccordingly.28
ParticipantsinboththeBritishandContinentalEuropesurveyswereaskedtopassjudgementonwhetherornottheythoughtninespecificpracticeswereacceptable.Thisservedasabarometerofethicalawarenessofemployeesineachcountry.Understandingthenuancesinattitudesofemployeesindifferentcountrieswillhelporganisationseffectivelyembedtheircorporateethicsprogrammesglobally.
Whilstdifferenceswererecordedbetweencountriesinthespecificlevelsofacceptabilityofeachofthepracticestested,ineachofthecountries,attitudesaregenerallyfoundtobemorelenienttowardsconductingpersonalactivitiesduringworkhours(‘makingpersonalphonecalls’,‘usingtheinternetforpersonaluseduringworkhours’,‘postingpersonalmailfromwork(e.g.lettersorparcels)’),thanotherpractices.
Summary
Attitudes to certain workplace practices are generally observed to be similar across the countries surveyed. In general, attitudes of employees tend to be more lenient towards conducting personal activities during work hours, than other practices. This may be indicative of the changing nature of the 21st century workplace where the lines between work and home are becoming increasingly blurred.
28SeeIBEGoodPracticeGuideGlobalising a Business Ethics Programme.AvailabletopurchasefromtheIBEwebsite.
Attitudes to ethics
in the workplace
vary between
cultures, ages and
over time.
‘‘
3.328 2015 IBE Ethics at Work Survey: Main Findings and Themes
Chapter 3
Figure 8 Acceptability of common workplace practices, Continental Europe (2015) most unacceptable practice first
n Unacceptable n Acceptable
Pretending to be sick to take the day off
Charging personal entertainment to expenses
Minor fiddling of travel expenses
Using company petrol for personal mileage
Favouring family or friends when recruiting or awarding contracts
Taking pencils and pens from work
Posting personal mail from work (e.g. letters or parcels)
Using the internet for personal use during work hours
Making personal phone calls from work
g
F
H
E
I
A
B
D
C
91%
91%
90%
7%
7%
8%
85%13%
76%21%
74%25%
70%27%
59%39%
52%46%
To what extent, if at all, do you think that each of the following actions is acceptable? base=3,000(750ineachofFrance,Germany,Italy,Spain)
Q1
AswehaveaskedthisquestionaspartoftheBritishsurveyforanumberofyears,itispossibletoseehowtheattitudesofBritishemployeestothesepracticeshavechangedovertime.In2015,bothmakingpersonalphonecallsfromworkandpostingpersonalmailfromworkareconsideredtobeacceptablebyasmallerproportionofBritishemployeesthantheywerein2008.Theoppositeistrueforusingtheinternetforpersonaluseduringworkhours,whichincreasedinitsacceptabilitybetween2012and2015.(SeeFigure9.)
Theincreaseintheacceptabilityofusingtheinternetduringworkhoursisperhapsindicativeofthewayinwhichlinesbetweenworkandhomehavebecomeincreasinglyblurredoverthelastfewyears,asthe21stCenturybusinesslandscapebecomesincreasinglymobileandflexible,andlessreliantonemployeesbeingphysicallypresentinthe‘office’.
Manyemployeesusetheirowndevices(smartphones,tablets,andincreasinglylaptops/notebooks)toaccesspotentiallysensitiveinformation.Thispractice(knownasBYOD-BringYourOwnDevice)isbecomingincreasinglycommon,andmanycompaniesnowhaveBYODpolicieswhichaimtobothfacilitatethismoveandmanagetheassociatedrisks.
Continental EuropeIn continental
Europe, attitudes
are generally
found to be more
lenient towards
conducting
personal activities
during work hours
i
29 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
Figure 9 Changing attitudes toward conducting personal activities at work time over time, selected practices, Britain (2008-2015comparison)percentage saying acceptable
n C Making personal phone calls from work
n B Posting personal mail from work (e.g. letters or parcels)*
n D Using the internet for personal use during work hours**
201520122008
I am going to read out some things which have happened in workplaces. In which category would you personally place each one?
base(2008,2012,2015)=791,655,674AllBritishfull-timeworkers
*B.2008and2011questionwording:“Postingpersonalmailfromwork”**D.2008and2011questionwording:“Usingtheinternetforpleasureinworktime”
Q2
45%
25%
30%
44%
38%
26%
50%
25%
31%
Britain
Thespeedofthischangeisalsoposingachallengefororganisations.Statementsregardingemployeesconductingpersonalactivitiesduringworktimeareprominentincompanycodesofethics,andtheapproachesoftwoorganisationsareshowninBox2.
Box 2 Example statements: Conducting personal activities at work in codes of ethics
The Coca-Cola Company Donotengageinpersonalactivitiesduringworkhoursthatinterferewithorpreventyoufromfulfillingyourjobresponsibilities.29
ShellYoushouldapplyhighethicalstandards,complywithapplicablelawsandregulations,andensureyoumeetShell’ssecurityrequirementswhenusingShellITandcommunicationfacilities.YourpersonaluseofShell’sITandcommunicationfacilitiesshouldnotincurmorethananominalcostornegativelyaffectproductivity.30
29TheCoca-ColaCompany:CodeofBusinessConduct(August2012),availableonline.
30Shell:CodeofConduct(2014),availableonline.
Using the internet
for personal use
during work hours
is now considered
to be significantly
more acceptable
than in previous
years
i
30 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
31ProfessorStewartFriedman,inanarticleavailablefromEntrepreneurMediaInc.(June2014), availableonline.
Increasingworkplaceflexibility,especiallywithregardtoconductingsomepersonalactivities,mayactuallyhaveapositiveimpactonemployeeproductivity.ProfessorStewartFriedman,attheWhartonSchoolofBusinessattheUniversityofPennsylvania,suggeststhatallowingemployeestotakeshortbreaksduringtheworkdaytocompletepersonalactivitiescaninfactresultinhigherproductivity.31
TheblurringofthelinesbetweenworkandhomemaybeonereasonwhyusingtheinternetforpersonaluseduringworkhourshasrisensignificantlyinacceptabilityamongstBritishemployeessince2012.Thisisnotnecessarilyanegativeforanorganisation.
Increasing workplace
flexibility, especially
with regard to
conducting some
personal activities,
may actually have
a positive impact
on employee
productivity.
‘‘
31 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
base(2012,2015)=3001,3000(750ineachofFrance,Germany,ItalySpain)
Theme 4Employees in continental Europe are now more sensitive to ethical issues in their workplace
Aspartofthisresearch,participantswereaskedtwoquestionsregardingpracticeswhichtheythoughtmaycompromisetheirorganisation’sethicalstandards:“During the past year at work, have you been aware of any conduct by your employer or colleagues that you thought violated either the law or your organisation’s ethical standards?” 32 and “Have you felt pressured to compromise your current organisation’s standards of ethical conduct?” 33
Whenresponsestothesetwoquestionsareviewedtogether,itsuggeststhat,incontinentalEurope,employeesaremoreawareofunethicalpracticesingeneral,withoutbeingpersonallyinvolvedwiththem.ThiswouldsuggestthatcontinentalEuropeanemployeesarenowmoresensitivetoethicalissuesintheirworkplacethantheywerelasttimeweconductedthissurveyin2012,andtheyseemmoreabletoidentifyinstancesofmisconductintheirworkplace,evenwheretheyarenotdirectlyinvolved.
Table 3 Change in awareness of misconduct by country, Continental Europe(2012-2015)
Summary
In the continental European countries surveyed, the findings suggest that employees are now more sensitive to ethical issues in the workplace than they were in 2012. Over these three years the level of awareness of misconduct has increased in each of Germany, Italy and Spain (in France it has remained consistent). Simultaneously, the proportion of employees who have felt pressured to compromise their organisation’s standards of ethical conduct has decreased in all four of these countries. These observations suggest that continental European employees are now more able to identify misconduct, even when they are not personally involved.This was not found to be the case in the British survey.
32Q3inContinentalEuropesurvey.
33Q9inContinentalEuropesurvey.
!!!!
ContinentalEurope
SPA GER ITA FRA
2015 ‘Yes’ 33% 45% 23% 32% 30%
Change since 2012 +5% +9% +5% +5% 0%››› ❙›
In continental
Europe, employee
awareness of
misconduct
has generally
increased since
2012
i
3.432 2015 IBE Ethics at Work Survey: Main Findings and Themes
Chapter 3
Inspiteofthis,theproportionofemployeeswhohavefeltpressuredtocompromisetheirorganisation’sethicalstandardshasfalleninallfourcontinentalEuropeancountries.34
Table 4 Change in proportion who have felt pressured to compromise their organisation’s ethical standards, Continental Europe (2012-2015)
Whentakentogether,thesefindingsimplythatwhilstemployeesincontinentalEuropearegenerallymoreawareofconductwhichtheythoughtviolatedeitherthelawortheirorganisation’sethicalstandards,theyarelesslikelytohavepersonally,ordirectly,feltpressuredtocompromisethesameethicalstandardsoftheirorganisations.ThissuggeststhatemployeesincontinentalEuropearenowgenerallymoreawareofwhatconstitutesmisconduct,andtherefore,practiceswhichmaynothaveconcernedthemthreeyearsago,nowappeartodoso.
ThesamecannotbesaidofemployeesinBritain,whereboththelevelofawarenessofmisconduct,andtheproportionofemployeeswhohavefeltpressuredtocompromisetheirorganisation’sethicalstandardshaveremainedconsistentbetween2012and2015.
ContinentalEurope
ITA SPA FRA GER
2015 ‘Yes’ 13% 15% 12% 14% 12%
Change since 2012 -9% -12% -12% -8% -5%
› › › › ›
34In2012,participantsweregivenanadditional‘sometimes’option.Thisfigurewasaddedtotheproportionofrespondentswhosaid‘yes’in2012togivethechangesince2012(%points)figuresshowninTable4.
In all four
countries, fewer
employees say
they have felt
pressured to
compromise their
organisation’s
ethical standards
than in 2012
i
base(2012,2015)=3001,3000(750ineachofFrance,Germany,ItalySpain)
33 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
Theme 5Managers in continental Europe have a greater awareness of support for ethics at work than non-managers
Theroleofmanagersatalllevelsiscriticaltotheprocessofembeddingethicsthroughoutanyorganisation.Linemanagershaveanessentialroleincommunicatingethicsmessagesandactingasrolemodels.Muchiswrittenabout‘tonefromthetop’,butthe‘toneinthemiddle’isasimportant.Ethicalleadershipplaysadistinctroleinbothbuildingandreinforcinganethicalculturewithinanorganisation,andethicalacumenisakeycompetencefor21stcenturybusinessleadership.35
Summary
Corporate messages regarding support for ethics at work appear to struggle to get beyond the management level in continental European organisations. Managers in France, Germany, Italy and Spain report a higher level of awareness of speak up lines, advice/information helplines, ethics training and incentives to encourage ethical behaviour than non-managers do. This suggests that the core elements of a corporate ethics programme are not effectively embedded in continental European organisations. Codes of ethics, on the other hand, seem to be better embedded with no significant difference in awareness levels between managers and non-managers.
Managers in continental European organisations also seem to have a more positive experience of ethics in the workplace than non-managers. They are more likely to say that honesty is practised always/frequently in their organisations, say they are more willing to raise their concerns when they become aware of misconduct, and are more likely to agree with each of the indicators of an ethical culture tested for. While a causal link cannot be established here, it suggests that continental European organisations are missing out on a number of the benefits of corporate ethics programmes due to these lower levels of awareness amongst non-managers.
As with Theme 4, this only applies in continental Europe. Such differences were not found in the British survey.
Ethical acumen is
a key competence
for 21st century
business leadership.
‘‘
35IBEReportSetting the Tone: ethical business leadershipbyPhilippaFosterBack.AvailabletopurchasefromtheIBEwebsite.
i
3.534 2015 IBE Ethics at Work Survey: Main Findings and Themes
Chapter 3
Thequalityandstyleoftheleadershipwillinfluencethetoneoftheentireorganisation.Thoseinpositionsofmanagement,whetherseniororlinemanagement,shouldbeawarethattheyarealsoinpositionsofresponsibility.Whilethecollectivetoneatthetopoftheorganisationisofutmostimportance,therearealso‘leaders’ateverylevelofanyorganisation.Thoseforwhomtheyareresponsiblewillnaturallytrytoemulatethem.
Ethicalleadershipisnotstraightforwardandrequirespersonalintegrityaswellasmoralcourage.Itisbyfollowinggoodpracticewhenoperatinginthegreyareasnotcoveredbythelaworregulationthatleadersdemonstrateboththeircapabilitiesandtheircharacter.Anethicalleader,leadsbyexample,butalsoknowsthatleadershipisaboutprovidingasupportiveenvironmentforindividualsintheorganisationtobehaveinanethicalmanner.
Manyorganisationsarenowtalkingabout‘manager-led’communicationoftheirethicsprogrammes,andeachoftheNationalReportscontainanexampleoftheadditionalrequirementsplacedonmanagersbyacompanyfromthatcountry.
Management responses to the continental Europe survey
Becauseoftheimportanceoftheroleofmanagersinembeddingcorporateethics,theresponsesofthoseinpositionsofmanagementwerecomparedwiththoseofnon-managersforeachofthequestionsintheContinentalEuropesurvey.ThesubsequentanalysissuggeststhatmanagersincontinentalEuropearemoreengagedwithethicsintheworkplacethannon-managers.Theyarefoundtohaveahigherlevelofawarenessofthreeofthefourelementsofacorporateethicsprogrammetested(speakupline,advice/informationhelplinesandethicstraining),aswellasincentivesprovidedbytheirorganisationtoencourageethicalbehaviourintheworkplace,specifically, publiccommendations.
Figure 10 Manager / non-manager comparison, Continental Europe (2015)
It is by following
good practice
when operating
in the grey areas
not covered by the
law that leaders
demonstrate both
their capabilities and
their character.
‘‘
13%22%
* not a statistically significant difference base(Managers,non-managers)=728,2272
24%
23%
45%48%37% 26%
25%
Continental Europe Response rate:
35%
Managers in
continental
Europe are more
aware of support
for ethics in the
workplace than
non-managers
i
*
34%
17%
Managers Non-Managers
(Q7) Awareness of elements of a formal ethics programme (‘yes’)
Code of ethics
Speak up line
Advice/information helplines
Ethics training
(Q11) Provision of incentives (‘yes’)
(Q12) Types of incentives provided
Public commendation (e.g. employee awards)
35 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
Thesedifferencessuggestthateachoftheseelementsofanethicsprogrammeareinfactmorewidelyavailablethanisreportedinthisresearchoverall.ThisraisesaquestionofhoweffectivelyethicsprogrammesareembeddedincontinentalEuropeanorganisations.
Codesofethicsappeartobuckthistrend,andarethemosteffectivelyembeddedelementofanethicsprogrammewithnodiscernibledifferenceobservedintheresponseratesofmanagersandnon-managers.Thedifferenceforethicstrainingmayinpartbeexplainedbythepracticeofsomeorganisationswheremanagersaregivendifferenttrainingonethicstothatgiventonon-managers.Nevertheless,employeesatalllevelsshouldbegivensomeformofethicstrainingtosupporttheminethicaldecision-making.Thegreaterawarenessofincentives,especially‘soft’incentivessuchaspubliccommendation,furthersuggeststhatthesearenotcommonpracticeincontinentalEuropeanorganisations,andarenotwellknownbyemployees.
Manyorganisationsfindthatitisarealchallengetoembedpracticesespousedbytheboardconsistentlyacrossalllevelsofemployees.Thisisespeciallytrueatthe‘squeezedmiddle’.Atthislevel,avarietyofpressuresandexpectations,whetherimplicitorexplicit,coalescetocreateaformofethical‘permafrost’,wheremessagesaboutethicsfailtopenetrate.36Somecompanieshavebeguntointroducemanagementtoolkitstohelpempowerandequiptheirmanagersincascadingethicalmessagesthroughouttheorganisation.Box3illustratestheapproachtakenbyonesuchcompany.
Box 3 Case Study: Rolls-Royce 37
Codes of ethics
appear to be the
most effectively
embedded element
of an ethics
programme.
‘‘
36IBEGoodPracticeGuide(2015)Communicating Ethical Values Internally.AvailabletopurchasefromtheIBEwebsite.
37Casestudyamendedfromp44 Communicating Ethical Values Internally(above).
RollsRoyce,theglobalpowersystemscompany,hasdevelopedaManagers’Toolkitwhichaimstoprovidemanagerswiththetoolsrequiredtostimulatemeaningfuldiscussionsaboutethicalissues,aswellasprocessesfordealingwithethicaldilemmas.TheToolkitisaphysicalboxwhichcontainsdilemmasandfacilitationprompts,anditcanbeaddedtoovertimewithfollowupmaterials.Thecontentisalsoavailableelectronically.
Threetimesayear,managersareaskedtoutiliseadifferentdilemmabasedactivitywiththeirteams.
Activity1helpswiththeidentificationofanethicaldilemmaandinvolvesadiscussiononhowtoresolveit.Managersareprovidedwithabankof30scenarios,on‘dilemmacards’,basedonreallifeexamples,andgivenguidanceastowhichonesmightbemostappropriatefortheirteam.
Activity2seekstobringethicsclosertohome,withdiscussionson localandrelevantdilemmasidentifiedbytheteam,andtheeffecttheymighthave.
36 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
Activity3isthemostchallenging.Operatingonfeedbackfromemployees,itfocusesonhighlightingthepositiveoutcomesofdilemmas.Oftendilemmas,andtheirconsequences,canbeseenasnegative:reporttheissue,losethebusiness,loseacolleague.Tocounteractthis,teamsareaskedtoidentifypositiveoutcomesthatcanarisefromtheresolutionofadilemma,forexample,processchangeorimprovedrelationships.Thishelpstobringtolifethepowerofethicaldecision-makingtochangeoutcomesforthebetter.
Box 3 Case Study: Rolls-Royce continued
Perceptions of continental European managers of ethics at work
Figure 11 Manager / non-manager comparison, Continental Europe (2015)
Managers Non-Managers
(Q2) Honesty practised (‘always or frequently’)
(Q5) Did you raise your concerns?* (‘yes’)
(Q8) Indicators of an ethical culture (‘agree’)
Management behaviourOverall, my line manager sets a good example of ethical business behaviour
My line manager supports me in following my organisation’s standards of ethical behaviour
Communication of ethical standardsMy line manager explains the importance of honesty and ethics in the work we do
Issues of right and wrong are discussed in staff meetings
Responsible business conductMy organisation acts responsibly in all its business dealings (with customers, clients, suppliers, etc.)
My organisation lives up to its stated policy of social responsibility
Enforcement of ethical standardsMy organisation disciplines employees who violate my organisation’s ethical standards
base(Managers,non-managers)=728,2272
* only those who said that they were aware of misconduct (at Q3) responded to this question. base (Managers, non-managers) = 227, 748
67%
49%
49%
48%
42%
38%
40%
41%
38%
79%
59%
53%
54%
55%
52%
65%
64%
61%
Continental Europe Response rate:
Managers in
continental
Europe are more
positive in their
perceptions
of workplace
ethics than non-
managers
i
37 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
NotonlyaremanagersincontinentalEuropemoreawareofsupportforethicsatworkthannon-managementemployees,theyarealsofoundtobemorepositiveintheirperceptionsofworkplaceethics,andmorewillingtoraisetheirconcernswhentheybecomeawareofmisconduct.ContinentalEuropeanmanagersarealsomorelikelytothinkthathonestyispractisedalwaysorfrequentlyintheirorganisation,andagreewitheachoftheindicatorsofanethicalcultureatahigherlevelthannon-managers.
These differences suggest that there is more that organisations in continental Europe could do to embed their ethics policies throughout their organisations effectively. Whileacausallinkcannotbeestablishedhere,italsosuggeststhatcontinentalEuropeanorganisationsaremissingoutonanumberofthebenefitsassociatedwithcorporateethicsprogrammesduetothislackofawareness.Increasingawarenessmaythenresultinthemorepositiveperceptionsheldbymanagersbeingreflectedmorewidelythroughoutorganisations.
Inaddition,lookingjustatthethreeindicatorsofanethicalculturerelatedtolinemanagers,managersofmanagersappeartobethemostethical.Thefactthatmanagersaremorelikelythannon-managerstosaythattheirownmanager‘setsagoodexampleofethicalbusinessbehaviour’,‘supportsmeinfollowingmyorganisation’sstandardsofethicalbehaviour’,and‘explainstheimportantofhonestyandethicsintheworkwedo’suggeststhis.Non-managersarenotaspositive,anddonotagreewiththestatementstothesameextentformiddle-management/linemanagers.
InBritain,thesedifferenceswerenotfound.
However,resultsfromtheBritishsurveyappeartosuggestthat,thegapbetweenwhatmanagerssayandwhattheydoisgrowing,andthatgoodresultsarebeginningtotakeprecedenceoverethicsforsomemanagers.In2015,Britishemployeesaremorelikelytosaythattheirlinemanagerexplainstheimportanceofhonestyandethicsintheworktheydo,buttheyarealsomorelikelytosaythattheyrewardgoodresults,evenifethicallyquestionablepracticesareused(seeFigure21onpage32oftheBritishReport).AnecdotalevidencefromIBEsubscriberswouldsuggestthatworkisunderwayto addressthis.
Continental
European
organisations are
missing out on
a number of the
benefits associated
with corporate
ethics programmes.
‘‘
38 2015 IBE Ethics at Work Survey: Main Findings and ThemesChapter 3
Summary and ConclusionEthicsatworkhasneverbeenmorerelevantthanitisatpresent.However,ensuringeffectiveemployeeengagementremainsachallenge.TheviewsofemployeesinBritain,France,Germany,ItalyandSpainhaveallchangedintheirownuniquewaysincetheIBElastconductedthisresearchin2012.
Fiveconsistentthemesfromtheresearchhavebeenexploredinthisreport.ThefirstthreeapplytoboththeBritishandContinentalEuropeversionsofthesurvey.ThefinaltwoapplyonlytotheContinentalEuroperesearch.
Thesethemeswere:
Employee awareness of corporate ethics programmes increases ethical awareness and perceptions of ethical culture.
TheresultsofthesurveysshowthatinbothBritainandcontinentalEurope,awarenessofcorporateethicsprogrammesincreasestheethicalawarenessofemployeesandtheirperceptionsofethicalculture.Inbothsurveys,employeesinorganisationswhichprovideacodeofethics,aspeakupline,advice/informationhelplinesandethicstraining,aremorelikelytosaythathonestyispracticedalways/frequentlyintheirorganisation,arelesslikelytohavebeenawareofmisconductintheprecedingyearandaremorelikelytoagreewitheachoftheindicatorsofanethicalculture.
Younger employees expect more of their employers regarding responsible business conduct.
FindingsfromboththeBritishandcontinentalEuropeansurveyssuggestthatwhencomparedwitholderemployees(aged55+),youngeremployees(aged16-34)arefoundtoposesomethingofaconundrumtotheiremployers.Whiletheyaremorelikelytobeawareof,orengagedwith,elementsofanethicsprogramme,theyarealsolesslikelytoagreewiththestatementsrelatedtoresponsiblebusinessconduct.Thisseeminglygreaterconcernforwiderstakeholderssuggeststhattheyexpecttheiremployerstohaveanincreasinglyexternaloutlookonthewayinwhichitconductsitsbusiness.
Conducting personal activities at work is seen to be more acceptable than other potentially unethical practices.
Attitudestocertainworkplacepracticesaregenerallyobservedtobesimilaracrossthecountriessurveyed.Ingeneral,attitudesofemployeestendtobemorelenienttowardsconductingpersonalactivitiesduringworkhours,thanotherpractices.Thismaybeindicativeofthechangingnatureofthe21stcenturyworkplacewherethelinesbetweenworkandhomearebecomingincreasinglyblurred.
39 2015 IBE Ethics at Work Survey: Main Findings and ThemesSummaryandConclusion
Employees in continental Europe are now more sensitive to ethical issues in their workplace
InthecontinentalEuropeancountriessurveyed,thefindingssuggestthatemployeesarenowmoresensitivetoethicalissuesintheworkplacethantheywerein2012.OverthesethreeyearsthelevelofawarenessofmisconducthasincreasedineachofGermany,ItalyandSpain(inFranceithasremainedconsistent).Atthesametime,theproportionofemployeeswhohavefeltpressuredtocompromisetheirorganisation’sstandardsofethicalconducthasdecreasedinallfourofthesecountries.TheseobservationssuggestthatcontinentalEuropeanemployeesarenowmoreabletoidentifymisconduct,evenwhentheyarenotpersonallyinvolved.
ThiswasnotfoundtobethecaseintheBritishsurvey.
Managers in continental Europe have a greater awareness of support for ethics at work than non-managers
CorporatemessagesregardingsupportforethicsatworkappeartostruggletogetbeyondthemanagementlevelincontinentalEuropeanorganisations.ManagersinFrance,Germany,ItalyandSpainreportahigherlevelofawarenessofspeakuplines,advice/informationhelplines,ethicstrainingandincentivestoencourageethicalbehaviourthannon-managersdo.ThissuggeststhatthecoreelementsofacorporateethicsprogrammearenoteffectivelyembeddedincontinentalEuropeanorganisations.Codesofethics,ontheotherhand,seemtobebetterembeddedwithnosignificantdifferenceinawarenesslevelsbetweenmanagersandnon-managers.
ManagersincontinentalEuropeanorganisationsalsoseemtohaveamorepositiveexperienceofethicsintheworkplacethannon-managers.Theyaremorelikelytosaythathonestyispractisedalways/frequentlyintheirorganisations,saytheyaremorewillingtoraisetheirconcernswhentheybecomeawareofmisconduct,andaremorelikelytoagreewitheachoftheindicatorsofanethicalculturetestedfor.Whileacausallinkcannotbeestablishedhere,italsosuggeststhatcontinentalEuropeanorganisationsaremissingoutonanumberofthebenefitsofcorporateethicsprogrammesduetotheselowerlevelsofawarenessamongstnon-managers.
Aswiththefourththeme,thisonlyappliesincontinentalEurope.SuchdifferenceswerenotfoundintheBritishsurvey.
Stakeholder expectations on all organisations are now higher than ever before. The insights provided by this research can help organisations address the gap between what they say they do, and what occurs in practice in their own organisations (the ‘say/do gap’). It should also encourage organisations that ‘doing business ethically makes for better business’.
40 2015 IBE Ethics at Work Survey: Main Findings and ThemesSummaryandConclusion
41 IBE Ethics at Work Survey 2015: Main Findings and ThemesChapter
Appendix Methodologies and Respondent Profiles
ThisreportpresentsthefindingsofIpsosMORI’sandComRes’spublicresearchonbehalfoftheInstituteofBusinessEthics.
2015 IBE Ethics at Work: Continental Europe Survey - ComRes research
Thesurveywasconductedonline,inthenativelanguageofthecountrybeingsurveyed,andwhereappropriate,optionswithinquestionswere‘randomised’toavoidanyunduebiastheremayhavebeenwhenansweringpotentiallysensitivequestions.Itwascompletedbyatotalof3,000respondentsacrossfourcontinentalEuropeancountries,comprisedofarepresentativesampleof750workingadultsineachcountry,aged16+,between4-11March2015.Resultsincludebothfull-timeandpart-timeemployees,andwereweightedtotheprofilebelow.
2015 IBE Ethics at Work: British Survey - Ipsos MORI research
674face-to-faceinterviewswereconductedwithfull-timeworkersinGreatBritainasapartoftheIpsosMORICAPIBUSsurvey,between6-23 March2015.TheresultsareweightedsoastoberepresentativeoftheBritishfull-timeworkingpopulationaged16+.
AcopyoftheBritishandContinentalEuropeSurveyquestionnairescanbefoundinAppendix1oftherelevantNationalSurveyReports.
The full ComRes survey results can be found at www.comres.co.uk. ComRes is a member of the British Polling Council (BPC) and abides by its rules.
GEnDER AGE SECTOR MAnAGERS
Male Female 16-34 35-5455+ Public/Voluntary PrivateManagerNon-manager
Total number of respondents Continental Europe = 3,000
54% 46% 27% 56% 17% 33% 67% 24% 76%
Total number of respondents France = 750
52% 48% 31% 54% 15% 35% 65% 33% 67%
Total number of respondents Germany = 750
53% 47% 29% 50% 21% 36% 64% 16% 84%
Total number of respondents Italy = 750
59% 41% 22% 60% 18% 29% 71% 27% 73%
Total number of respondents Spain = 750
55% 45% 26% 59% 16% 32% 68% 21% 79%
Total number of British respondents = 674
61% 39% 39% 49% 12% 30% 69% 46% 54%
41 2015 IBE Ethics at Work Survey: Main Findings and ThemesAppendix
Statements from Survey Silver Supporters
Aviva
Trustisvitalforourbusiness,andwehavetoearnitintherightway.Weaskedourcustomers–whatmakesacompanyresponsibleandsustainable.Theirnumberonepriorityis“If you’re not ethical and transparent then anything else you do would not make up the gap”.Customerexpectations,quiterightly,areontherise,givingevenmorereasontogobeyondessentialcompliance. Attheheartofitallarerealpeopleworkinginaculturethathasahugeimpactonthewaytheybehave.Wealwaysstartwithourvalues–caremore,killcomplexity,createlegacyandneverrest.Theseguideouractionsbigandsmall.Nooneiscriticisedforlosingbusinessbyactingethically,orprejudicedfromreportingabreach.But,beyondthat,weneedtocreateanenvironmentwherewearepracticallyequippedandempoweredtomakereallygooddecisions.Thisdoesn’tjustsupportacompliantbusinessbutaninnovativeandsustainablebusiness,abletodeliverforcustomersandmakeapositivecontributioninsociety.
Avivaprovideslifeinsurance,generalinsurance,healthinsuranceandassetmanagementtoover30millioncustomers,across16marketsworldwide.IntheUK,wearetheleadinginsurerservingoneineveryfourhouseholdsandhavestrongbusinessesinselectedmarketsinEurope,AsiaandCanada.Avivahelpspeoplesaveforthefutureandmanagetherisksofeverydaylife.In2014,wepaidout£24.6billioninbenefitsandclaims.Byservingourcustomerswell,wearebuildingabusinesswhichisstrongandsustainable,whichourpeopleareproudtoworkfor,andwhichmakesapositivecontributiontosociety.
HSBC
Everybusinesshasresponsibilitiestoitscustomers,employeesandshareholders,andtothecommunitiesinwhichitoperates.AtHSBC,wewanttoensurethatouremployeesfeelempoweredtodotherightthingandweputgreatemphasisonourvaluesofbeingdependable,connectedandopen.
Westrivetobeanorganisationpeopleareproudtoworkforanddobusinesswith,andwhichisviewedasethicalbyallstakeholders.Thisiscrucialtofulfillingourpurposeasaninternationalbank.
HSBCisoneoftheworld’slargestbankingandfinancialservicesorganisations.Witharound6,100officesinbothestablishedandemergingmarkets,weaimtobewherethegrowthis,connectingcustomerstoopportunities,enablingbusinessestothriveandeconomiestoprosper,and,ultimately,helpingpeopletofulfiltheirhopesandrealisetheirambitions.
Weservearound48millioncustomersthroughourfourGlobalBusinesses:RetailBankingandWealthManagement,CommercialBanking,GlobalBankingandMarkets,andGlobalPrivateBanking.Ournetworkcovers72countriesandterritoriesinEurope,Asia,theMiddleEastandAfrica,NorthAmericaandLatinAmerica.
ListedontheLondon,HongKong,NewYork,ParisandBermudastockexchanges,sharesinHSBCHoldingsplcareheldbyabout213,000shareholdersin131countriesandterritories.
42 2015 IBE Ethics at Work Survey: Main Findings and Themes
Statements from Survey Silver Supporters
L’ORÉAL
Theprimaryobjectiveofanethicsprogrammeistobringaboutculturechange.Withoutsuchchangeinculture,youcannotexpectbehaviourstochangehowevermuchyouspendoncommunication,training,policiesorcontrolsystems.Fundamentally,youcannotforcepeopletoobeyethicalstandards,youneedtogetthemtobecomeproactiveactors/supporterssoitbecomespartoftheculture.Ethicsshouldbeabouthelpingpeoplemakegooddecisions,ratherthansimplyfinger-pointingbaddecisions.
Toknowifthiscultureshiftishappening,itisessentialtoregularlymeasureemployees’perceptiononafewkeypointssuchastheircomfortinspeakingup,whethertheyfeellistenedto,whethertheyfeelthattheircompanyrewardsgoodbehaviourandalsosanctionsmisconductwithoutanydoublestandard.
Asinanyculturechange,therearealwaysearlieradoptersbutwhatisimportantistoreachthetippingpointwherethereareenoughemployeeswhowanttokeeptheircompany‘clean’so thattheothersfeelstrongsocialpressureagainstgettingit‘dirty’.Andthegoodnewsforanymultinationalcompanyisthatthis approachworkswhereveryouoperatethroughouttheworld.
L’Oréalhasdevoteditselftobeautyforover105years.Withitsuniqueinternationalportfolioof32diverseandcomplementarybrands,theGroupgeneratedsalesamountingto22.5billioneurosin2014andemploys78,600peopleworldwide.Astheworld’sleadingbeautycompany,L’Oréalispresentacrossalldistributionnetworks:massmarket,departmentstores,pharmaciesanddrugstores,hairsalons,travelretailandbrandedretail.Researchandinnovation,andadedicatedresearchteamof3,700people,areatthecoreofL’Oréal’sstrategy,workingtomeetbeautyaspirationsallovertheworldandattractonebillionnewconsumersintheyearstocome.L’Oréal’sambitionistobeanexemplarycompanyworldwideandintegrateethicsintotheveryheartofitsbusinesspractices.
Orange
To‘bringthebestofdigitaltechnologytothegreatestnumberandmakeOrangetheoperatorofchoice’cannotbedonewithoutstrictethicalstandards.
Thefullsetofprinciplesofactionandrulesofbehaviourguideeachofourpeople,intheirday-to-daywork.Ithelpstoinstiltrust–inemployees,customers,suppliers,shareholdersandallotherstakeholders.
Thecodeofethicsisthecornerstone,itspellsfourcommitmentstorespect,integrity,qualityandteamspirit,withacertainnumberofindividualbehaviouralprinciplestowhicheachofthestakeholdersmustadhereintheirprofessionalactivity.
AGroup-wideawareness-raisingprogrammehelpsmanagerstostrengthenthegroup’sethicsapproach.Aneducationprogrammeontheprinciplesofindividualbehaviourandactionisavailablethroughethicse-learningprogrammes,bothatGrouplevelandineachentityorcountry,tohelptaketheseprinciplesonboard.
Inaprofessionalcontext,ethicsandresponsibilityaretrulyeveryone’sconcern.
Orangeisoneoftheworld’sleadingtelecommunicationsoperators,withoperationsin29countries,andaleadingprovideroftelecommunicationservicestomultinationalcompanies.
Positioningitselfasadynamiccompanythatisefficient,responsibleanddigitallyproficient.
TheGrouphasintegrateddigitaltoolssuchasBigData,thecloudandopenAPIs.
Andwillcontinuetooperatewithintheframeworkofastrongethicalpolicythataccountsforchangingsocialandenvironmentalfactors.
Orange’sambitionisbasedonastrongcommitmenttoprovidecustomerswithanunmatchedexperience,sothattheywillbeabletobenefitfromthedigitalrevolution.
43 2015 IBE Ethics at Work Survey: Main Findings and Themes
Total
Ourethicsprogrammehasbeeninplaceformanyyears,butwestillhavetocontinuallyupdatematerialsandcommunication,andworkonimprovingthewaywetreatcertaintopics.
Consequently,inrecenttimes,wehaveupdatedourCodeofConduct,ourBusinessIntegrityGuideandourHumanRightsGuide.Thisyear,wehavelaunchedanewtrainingmoduleforAnti-Fraud,anditwillbefollowedbynewtrainingmaterialsforAnti-Corruptionandgeneralethicschallengesinthecomingmonths.Wehavespecificworkinggroupsimprovingduediligenceinthesupplychain.WealsonowhaveacomprehensivenetworkofComplianceandEthicsOfficers.
Themainongoingchallengeishowtomaketheeffortssustainablebymaintainingthisdynamicapproach.Wecontinuetoencouragespeakingupdespitetheconcernsofsomeemployeesandotherstakeholdersaboutthis.Webelievethattherightapproachistotalkaboutbuildingsustainablegrowthandcreatingvalueforallourstakeholders,ratherthanconcentratingonproblemsandrisksforthecompany.Thispositiveapproachispartofourcommitmenttobetterenergy.
Totalisoneofthelargestintegratedoilandgascompaniesintheworld,withactivitiesinmorethan130countries.Its100,000employeesputtheirexpertisetoworkineverypartoftheindustry–explorationandproductionofoilandnaturalgas,refining,chemicals,marketingandnewenergies.Totalisworkingtohelpsatisfytheglobaldemandforenergy,bothtodayandtomorrow.
RBS
RBShasaclearambitiontobenumberoneforcustomerservice,trustandadvocacyineachofourchosenbusinessareasby2020.
Deliveryofourambitiondependsinlargepartonourabilitytodemonstratebeyondquestionthatwearearesponsiblecompanydoingbusinessinasustainableway.
WeknowthatRBSexistsinasectorthatfaceshugechallengesandneedstochange,andwe’recommittedtoplayingaleadershiprole.Inrecentyearswe’vechangedourbusinesspracticesonarangeofissuestomakebankingfairerforourcustomersandourcommunities.
Wehaveaboard-levelSustainableBankingCommitteedealingwithmattersofethics,reputationandtrust,includingculturalchange.ThepriorityoftheCommitteeistoassessandencouragetheworkoftheexecutiveteaminbuildingabankthatputscustomers’interestsfirstandembedssustainablebankingintoeverythingthatwedo.
RBSisaUK-basedbankingandfinancialservicescompany,headquarteredinEdinburgh. Weprovideawiderangeofproductsandservicestopersonal,commercialandcorporateandinstitutionalcustomersthroughourbrandsincludingRoyalBankofScotland,NatWest,UlsterBankandCoutts. Wehaveasingle,simplepurpose–toservecustomerswell.Thisisatthecoreofourambitiontobuildabankknownforitsconsistent,highqualitycustomerservice. Wewanttobetrusted,respectedandvaluedbyourcustomers,shareholdersandcommunities.
Statements from Survey Silver Supporters
44 2015 IBE Ethics at Work Survey: Main Findings and Themes
Related IBE Publications
IBEpublicationsprovidethoughtleadershipandpracticalguidancetothoseinvolvedin developingandpromotingbusinessethics,includingseniorbusinesspeopleandethicsandcompliancepractitioners.
Somerecentpublicationsrelatedtothistopicwhichyoumightbeinterestedininclude:
Board Briefing: Checking Culture: a new role for internal auditPeter Montagnon
Caninternalaudithelpaboardunderstandhowthecompany’scultureisembeddedinawaythataffectsbehaviourthroughouttheorganisation?Whatneedstobedonedifferentlyorbettertohelpensurethatthisisthecase?ThisIBEBoardBriefinglooksattheroleofinternalauditinadvisingboardsonwhetheracompanyislivinguptoitsethicalvalues.Itdrawsonthepracticalexperienceofthoseactuallyinvolvedatseniorlevelinsixcompaniesrepresentingawiderangeofsectorsandsizes.Inaseriesofinterviews,AuditCommitteechairs,headsofinternalauditandheadsofethicsandcompliancetalkdirectlyabouthowtheyhaveapproachedthechallengeofcheckingculture.
Report: Setting the Tone: ethical business leadershipPhilippa Foster Back CBE
Leadershipisessentialtobusinessethics,asethicalqualitiesareessentialtogoodleadership.Thisreportdemonstratesthatbusinessleadersshouldconsiderethicalcompetenceasacorepartoftheirbusinessacumenandprovidesguidancetothosewishingtobuildacultureoftrustandaccountabilityandstrengthentheethicalaspirationsoftheirorganisation.Itincludesinterviewswithbusinessleadersofferingpracticalinsightsintoethicalleadershipissues.
IBE Good Practice Guide: Surveying Staff on Ethical Matters Katherine Bradshaw, Andrea Werner & nicole Dando
Howcanorganisationsusestaffsurveystotaketheirethicaltemperatureandassesstheefficacyoftheirethicsprogrammes?Thisguideoutlinesthedifferentmethodsforsurveyingstaffonethicalmattersandconsidershowtomaximisetheeffectivenessofsurveys.Alistofquestionsthatcompaniescanusetoasktheirstaffaboutethicalmattersisprovided,includingtheIBE’s12benchmarkstaffsurveyquestions.
For details of all IBE publications and resources visit our website www.ibe.org.uk
45 2015 IBE Ethics at Work Survey: Main Findings and Themes
Ethics at Work2015SurveyofEmployeesMain Findings and Themes
Employee views are a key indicator of the ethical temperature in today’s organisations.
Whatdoemployeesthinkabouttheethicalbusinesspracticesoftheiremployer?Whatdotheyconsiderethicalbehaviour?Andhowmuchsupportdotheygetto‘dotherightthing’?
TheInstituteofBusinessEthicshasconductedaregularsurveyintoemployees’viewsofethicsatworkinBritainsince2005.ThesurveyhassincebeenwidenedtoincludeFrance,Germany,ItalyandSpain,givingadditionalinsightsintoethicsatworkincontinentalEurope.
Thisreportpresentsfivekeythemeswhichemergedfromthe2015IBEEthicsatWorkSurveyintoemployeeviewsofethicsatworkrelatingtoemployeeawareness;thedifferencebetweenmanagersandnon-managers;theimpactofethicsprogrammes;andtheexperienceofyoungeremployees.
ThesefindingswillhelpthosewithaninterestinbusinessethicstounderstandboththecontinentalEuropeanandBritishlandscapesinbusinessethics,fromtheperspectiveofemployees,in2015.
ISBn 978-1-908534-16-3 Availableatwww.ibe.org.uk