According to the National Business Ethics survey of senior management in a company

Employees are twice as likely to experience pressure if they are top-management than compared to line-level employees, according to the Ethics & Compliance Initiative’s ™ (ECI) latest Global Business Ethics Survey Report ™ (GBES).

The data suggest that the higher up the “totem pole” an employee is, the more likely they are to experience pressure to bend the rules.

Overall, about 1 in 5 employees experience pressure to bend the rules.

Pressure to bend the rules, as defined by the GBES report, can be caused by meeting performance goals, attempting to save one’s own and others’ jobs, supervisory pressure, advancing one’s career or financial interests, and demands from people who support or invest in the organization.

According to the data, of those that experience pressure, 30% are top management employees, 25% are middle management, 22% are first-line supervisors and 17% are individual contributors.

The first 2020 report of ECI’s premier, longitudinal study on global workplace behavior, published four times per year, also found that when top management show a strong commitment to ethical leadership and organizational values, their employees are 3X less likely to experience pressure.

“The data continue to suggest that high-pressure environments are not only stressful for employees, but they can actually cause a negative ROI when it comes to ethical behavior,” said Patricia Harned, CEO of ECI. “Expanding KPIs and stretching financial goals may result in a short-term gain, but the long-term consequences to the organization is a net negative.”

Other Findings and Key Indicators of Pressure

The report found that employees experiencing pressure was linked with the prevalence of observing various types of misconduct found in organizations across the globe, all of which were about twice as likely to occur in pressure environments versus non-pressure environments.

Employees are twice as likely to observe misconduct in organizations where they feel pressure to compromise ethics standards.

“As companies around the globe respond to the unprecedented challenges of the COVID-19 pandemic, the important research in ECI’s Global Business Ethics Survey (GBES) report presents a timely and accurate overview of pressure in the workplace,” said Michele M. Brown, SVP, Chief Ethics and Compliance Officer and Deputy General Counsel, Leidos.

“These findings provide best practices to balance organizational change while upholding the highest ethical standards. Leidos is proud to support ECI research, which is helping the member community build and maintain strong ethical cultures.”

Download the latest GBES report at ethics.org/gbes

Methodology

The 2019 GBES is the 15th iteration of the GBES (formerly the National Business Ethics Survey). In 2019, the GBES surveyed over 18,000 employees in 18 countries (approximately 1,000 employees per country).

ECI established the survey questions and sampling methodology.

About the Ethics & Compliance Initiative

The Ethics & Compliance Initiative (ECI) is a non-profit organization that empowers organizations to build and sustain high-quality ethics and compliance programs. The organization provides research and a best practice community, as well as certification opportunities for ethics & compliance professionals.

Through its membership, ECI represents entities across nearly every industry, located in 37 countries on six continents each dedicated to promoting the highest levels of integrity. Visit www.ethics.org to find out more about our research, membership or funding the GBES.

The GBES is made possible with the support of its funders: Google, Boeing, Eli Lilly & Company, Altria, BP, GE, KPMG, Pacific Gas & Electric, L’€™ORÉAL, Leidos, University of Arkansas and PricewaterhouseCoopers.

Our research shows that the quality of an organization’s E&C program and the strength of the organization’s ethics culture are key to achieving desired ethics outcomes.

While a multitude of factors influence ethical behavior, the interplay of four major ethics outcomes are tied to the daily micro decisions employees make with respect to how they behave in the workplace.  ECI has been tracking the following ethics outcomes for 20 years: pressure in the workplace to compromise ethical standards; observations of misconduct; reporting misconduct; and ultimately, retaliation perceived by employees after they report misconduct.

Trend 1: Ethical Culture Strength Remains High

In 2020, ~1 in 5 U.S. employees were in workplaces with a strong ethical culture compared with 1 in 10 in 2000.

Globally, 14% of employees were working in organizations with a strong ethical culture.

Trend 2: Pressure to Compromise Standards Is the Highest It Has Ever Been

Compared with 2017, U.S. employees experienced 2x more pressure in 2020.

Globally, 29% of employees reported pressure in 2020, an increase from 20% in 2019.

Trend 3: Observed Misconduct—While Steady—Is Inching Upwards

In the U.S. and globally, the most common types of observed misconduct included favoritism, management lying to employees and conflicts of interest.

Trend 4: More Employees Are Reporting Misconduct

In the U.S. and globally, ~8 in 10 employees reported misconduct.

Trend 5: Retaliation Rates Have Skyrocketed

79% of U.S. employees and 61% of global employees reported experiencing retaliation.

ECI Members – Download Report

GBES Country Profiles

GBES will be releasing country-specific fact sheets over the course of several months, highlighting five key metrics that are indicative of the state of workplace ethics in organizations around the world:

  • ethical culture strength;
  • pressure to compromise ethical standards;
  • observations of misconduct;
  • reporting misconduct; and
  • retaliation perceived by employees after they report misconduct.

The following countries are profiled:

  • Brazil
  • China
  • France
  • Germany
  • India
  • Mexico
  • Russia
  • Spain
  • United Kingdom
  • United-States

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  • 2021 (1)

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According to the National Business Ethics survey of senior management in a company

Apr 27 2022

APRIL 27 | ECI LIVE: The State of E&C in the Workplace – Differences Between Small, Medium and Large Enterprises

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March 2021

According to the National Business Ethics survey of senior management in a company

Mar 18 2021

2021 GBES Trends Report: The State of Ethics & Compliance in the Workplace

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June 2020

According to the National Business Ethics survey of senior management in a company

Jun 25 2020

ECI Live | Pressure to Bend the Rules and the Implications on Workplace Ethics Behaviors

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Visit ethics.org/services/ to learn more about our GBES benchmarks and ECI’s assessment services, including culture surveys, our high-quality program (HQP) assessment and more.

GBES Funders

According to the National Business Ethics survey of senior management in a company

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One of the ways that ECI supports ourselves and our mission is through our Ethics and Compliance Initiative Membership. Your contact information will only be used to send you relevant updates, original research and training opportunities that will help you in your career as an E&C professional.

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Not an ECI Member? Complete this form to get the most recent GBES.

For ECI Members

Below you’ll find the link to the most recent GBES report as well as links to download several previously published reports. You’ll also find related content: GBES webinars, articles, supplementary reports, and best practices.

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We Asked: “How Has the GBES Helped You and Your Organization?”

Here’s what some of our members had to say about how the GBES reports have been able to help their organizations in the past.

What is the National business ethics Survey?

About GBES Survey participants are asked to provide insight into the strength of the ethics culture in their workplace, the instances of misconduct they have observed, and what, if any, efforts are underway in their organizations to promote integrity.

What are the main ethics of business management?

The 12 ethical principles for business executives.
HONESTY. All personnel must be committed to telling the truth in all forms of communication and in all actions. ... .
FAIRNESS. ... .
LEADERSHIP. ... .
INTEGRITY. ... .
COMPASSION. ... .
RESPECT. ... .
RESPONSIBILITY. ... .
LOYALTY..

What are the 4 business ethics?

4 Ethical principles in business.
Respect for others. Ethical people show respect for the human dignity, autonomy, rights, privacy and interest of all stakeholders. ... .
Honesty. ... .
Accountability. ... .
Integrity..

What are the 5 importance for business ethics?

An ethical company runs on principles such as honesty, integrity, fairness, trustworthiness, accountability, and respect for others.