Which of the following is a commonly encountered variety of unethical behavior?

Nearly two thirds of workers have experienced behaviour at work that would “probably result in widespread condemnation” if the public found out, a recent survey has found. Contributor Nick Chater, Professor of Behavioural Science – Warwick Business School.

Yet 77 per cent said their company made no changes as a result of unethical behaviour being reported and 42 per cent said that had negatively changed their perception of their workplace.

Harassment, sexism, theft and verbal abuse were the most common unethical behaviours. The survey by researchers at Warwick Business School also picked up reports of physical abuse, conflicts of interest, misuse of company resources, racism and discrimination.

Nick Chater, Professor of Behavioural Science at Warwick Business School, said: “We see reports of a wide variety of unethical behaviours in the workplace. These have clear negative impacts on the well-being of UK workers and businesses, from disengagement and disillusion to increased stress and sickness.

“The scale of the problem suggests that workers often feel unable to speak out against unethical behaviour, allowing it to continue unchallenged and potentially leading to further unethical actions.”

The survey of nearly 1,000 workers provides a snapshot of unethical behaviour in the workplace as part of a new report, Leading Integrity: Towards an organisational ethics.

More than 40 per cent of those interviewed said they sometimes experienced unethical behaviour at work, while nine per cent said it happened more than half of the time. Eight per cent encountered unethical behaviour most of the time and three per cent said it happened all the time.

Mid-level employees were the most likely offenders, followed by junior employees.

While senior staff were least likely to behave in an unethical manner, those who did so tended to be the most regular offenders.

The report by Warwick Business School aims to better understand how and why unethical behaviour occurs in the workplace to help firms respond better and prevent future incidents.

The report claims corporate integrity was once considered an “additional benefit” companies could aspire to if they wished, but customers and stakeholders now expect integrity from any business.

For example, Amazon has faced a series of scandals over alleged poor treatment of warehouse workers and delivery drivers working illegal hours for less than the minimum wage.

The report also examines how different companies responded following ethical scandals. For example, when United Airlines forcibly removed a bloodied passenger from an over-booked flight in 2017, it tried to deny responsibility by blaming the passenger, a strategy which failed.

In contrast, when Volkswagen was accused of manipulating emissions tests, the CEO and the company launched an advertising campaign apologising and offering customers compensation.

By admitting error and rebuilding, the company minimised the inevitable reputational damage.

Edward Gardiner, Behavioural Design Lead at Warwick Business School, said: “The fact that these scandals keep occurring means businesses are not good at dealing with them or preventing them.

“Unethical behaviour cannot simply be blamed on one or two bad apples. Often there are problems with the culture, leadership, and structure of the business that allow it to continue.”

“By better understanding human behaviour, we hope businesses will be able to adopt practices to prevent many cases of unethical behaviour and better respond to the incidents which do occur.”

Employees’ ethics at work are driven by individual, issue-specific, and environmental factors. Building an ethical company requires addressing them all.

What causes employees to steal, lie, or behave aggressively? Unethical behaviours like these can be driven by individual, issue-specific, and environmental factors.

Researchers Jennifer Kish-Gephart, David Harrison, and Linda Treviño analyzed 136 academic studies of ethical and unethical choices. They examined what leads to unethical intentions and behavior and how employers can reduce it.

3 Reasons for Unethical Behaviour

The researchers describe the different factors as “bad apples” (individual factors), “bad cases” (issue-specific factors) and “bad barrels” (environmental factors). Here’s how they play out.

  1. Bad apples (individual factors): Unethical choices are more likely from people with specific personal characteristics — specific views and values. Overwhelmingly, these employees are driven by self-interest. For example, they manipulate others for their own personal gain, fail to see the connection between their actions and outcomes, and believe that ethical choices are driven by circumstance. They obey authority figures’ unethical directives and act merely to avoid punishment.

    Margaret Jones is a supervisor at a production plant during a disease outbreak. Employees are complaining about inadequate protection. Margaret must decide whether to act on the concerns – including taking them to her management. She thinks: “I’ll only get in trouble with the boss. This outbreak is a situation beyond our control. I need to keep focused on what’s best for me; that’s the approach that’s worked for me so far.”

  2. Bad cases (issue-specific factors): An employee might make an unethical choice in one situation, but not in others. Some issues are more likely to lead to unethical choices. Employees are more likely to act unethically when they don’t see their action clearly causing harm — for example, when the victim is far away or the damage is delayed. Unethical choices also occur when an employee feels that peers will not condemn their actions.
    Melanie D’Souza sources material for a sign-printing company. She’s heard about a new material that degrades more easily in landfills. She’d need to do extra research to investigate the material, but she thinks the effort is worth it. “I live in this community,” she explains to a colleague. “I know our landfills are filling up, and I know it’s an issue local people care about.”

  3. Bad barrels (environmental factors): Unethical choices are more likely when the organization encourages individualistic behaviour rather than doing what is best for other employees, customers, and the community. For example, the performance management system might reward individual bottom-line achievement, no matter how it is achieved.
    “When I started here, I knew getting the bonus was mattered,” said Jan Svenson, a salesperson at a financial products firm. “That’s how everyone in the company knows who’s a winner and who’s a loser. You can cut some corners to make your targets, but don’t come up short.”

Two things that don’t influence ethical choices: Research doesn’t support two common ideas about what drives ethical behaviour. Demographic qualities —employee age, gender, and educational level — have little effect on unethical action.

And, the existence of a code of conduct does not curb unethical actions, although enforcement of such a code does. The researchers suggest that stated codes of conduct have become so common that they have lost their power.

How to Keep Employees Ethical

Strategies exist for addressing bad apples, cases and barrels. The researchers recommend these actions for companies.

  • Bad apples: Use selection tests to hire employees less inclined to unethical behaviour. For example, measure applicants’ locus of control (to see if people believe ethical choices are driven by circumstance) and their conscientiousness (within the Five-Factor Personality Model). New research shows that someone’s honesty and humility, their tendency to be fair and genuine in dealing with others, also reduces unethical behaviour. A Six-Factor Personality Model called HEXACO measures Honesty-Humility.

  • Bad cases: Link unethical behaviour to the harm it causes. Show employees the serious impact of unethical behaviour on a specific victim, especially one similar to the employee. For example, employees could meet with victims of similar actions.

  • Bad barrels: Enforce a code of conduct that defines and reinforces behavioural expectations for ethical conduct Enforcement could happen, for example, by visibly disciplining rule violators, no matter their level or status. HR systems should insure that living the organization’s values is a prerequisite for promotion to leadership positions. Leader role modeling and informal norms can also communicate that unethical conduct is acceptable.

Make Ethical Choices Automatic

Often ethical choices are impulsive, rather than calculated, the researchers report. People first do things, and later rationalize them, or first feel things, and later think about them. This tendency means that ethical choices need to become almost automatic. David Harrison told NBS: “Repeated, regular engagement with ethical matters and routine processing in moral ways is going to reap the most dividends. Ethical habits, organizational cultures, and consistent norms, along with the personality features and individual differences, shape outcomes.”

After all, we all tend to follow our self-interested impulses. “The key to solutions for all of the causes is to find some way to check that impulse,” said Harrison. Making good decisions automatic is the best way to do that, and businesses can do a lot to create a context that supports that effort.

This article was originally published in 2010 and updated in 2020 and 2022 through exchange with the researchers. Linda Treviño, David Harrison, and Jennifer Kish-Gephart reviewed the article and contributed new insights.

Read the research

Kish-Gephart, J., David A. Harrison, and Linda Klebe Treviño. 2010. Bad apples, bad cases, and bad barrels: Meta-analytic evidence about sources of unethical decisions at work. Journal of Applied Psychology, 95(1): 1-31.

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  • Bushra Tobah

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  • Which of the following is a commonly encountered variety of unethical behavior?
    Which of the following is a commonly encountered variety of unethical behavior?

    Maya Fischhoff

    Maya Fischhoff is the Knowledge Manager for the Network for Business Sustainability. Maya develops and oversees NBS’s knowledge products, and is obsessed with communicating complex things in clear terms (when possible).

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  1. Daivd Protheroe-Beynon September 27, 2020

    So how do you explain what we’re seeing in America? Armaud Arbury, Breonna Taylor & George Floyd are not the only African American victims of state sanctioned genocide but it is state sanctioned. When a police officer can strangle a man in broad daylight knowing he is being filmed and carry on as casually as if he’s drinking a coffee then The rotten barrel is America. Legally a process has been gone through to decide on charging the officers who killed Breonna Taylor and that’s that. Legally but have they behaved ethically? Has the American criminal justice system behaved ethically for Sandra Bland, Philando Castille, Treyvon Martin, Tamir Rice. Emmett Till, George Stinney. How many American enterprises have been built and owe their existence either to slavery or to Jim Crow.?

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  2. Linda Trevino October 6, 2020

    I’ve actually been thinking about this in relation to the police brutality we have witnessed in our country recently and I would agree that we have a “barrel” problem much more than a “bad apple” problem. But, I think it’s a “barrels” problem or more precisely a barrel within a barrel within a barrel problem – kind of like those Russian dolls that fit inside each other. The inside barrel is represented by policing culture within a particular department. Police cultures often have a “warrior” mentality that focuses on fighting the “bad guys” rather than thinking of themselves as “guardians” of public safety. If you’re looking for “bad guys” you’re likely to find them and racial bias certainly rears its ugly head in the process. By contrast, creating a “guardian” culture was the goal of the Camden, NJ police department which dissolved and rebuilt itself with this new vision in mind. We should follow it to see how they’re doing. What about the next larger barrel? Traditionally, police departments and their unions have protected police who engage in misconduct. And, police officers cover for each other and are not inclined to report their peers’ misbehavior. These attributes represent the broader policing culture that extends beyond any one department. Finally, the tendency to be biased against people of color and to treat them more harshly comes from the largest barrel and a long history of racism in our country. So, the problems are multi-layered. To address them successfully, we’ll need to acknowledge the complexity and deal with the multiple layers of barrels affecting the behavior we observe.

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