The vast majority of people are ethical. They want to do the right thing and follow the law. They want to work for companies that are ethical, too. In the Ethics Resource Center’s 2000 National Business Ethics Survey, 90% of the workers questioned said they expect their employers to do "what is right, not just what is profitable."
Read below for a general overview of this issue, or click here to see FAQs.
In addition to any standards of business conduct that employers may adopt, an array of laws govern every employees actions. Some of these fall into the area of common sense or ethics, such as non-disclosure of proprietary information. Others may not be quite as intuitive, for example the laws governing insider trading and antitrust.
The U.S. Federal Sentencing Guidelines require jail time for the violation of many laws covered in this section of the website. And that’s not all. There are also criminal penalties for violations of occupational safety and health laws, wage and hour regulations, and federal labor law.
When questions regarding unethical conduct arise, it is the employee's responsibility to seek guidance. Under the law, every employee is required to report suspected wrongdoing immediately. This lessens the likelihood that the person reporting will be suspected as a participant in the illegal activity.
Employees who report, in good faith, misconduct by others are protected by law from retaliation. Reports may be made to management, Security, Human Resources, or the Legal Department. Many employers also have anonymous hotlines that may be utilized.
Once a report is received, it is the responsibility of the company to investigate it. During the investigation, the company is required to take all steps necessary to maintain confidentiality. Of course, there will be investigations where it is not feasible to be thorough and maintain confidentiality. In those cases names are released on a need-to-know basis.
If the company finds the law has been violated, it may be in its best interest to self-report the violation to the Government, as that may reduce the possible penalties.
Click here to see Business Ethics FAQs.