Bank ethics: An exploratory study of ethical behaviors and perceptions in small,local banks

This article addresses five research questions: What specific behaviors are described in the literature as ethical or unethical? What percentage of business people are believed to be guilty of unethical behavior? What specific unethical behaviors have been observed by bank employees? How serious are the behaviors? Are experiences and attitudes affected by demographics? Conclusions suggest: There are seventeen categories of behavior, and that they are heavily skewed toward internal behaviors. Younger employees have a higher level of ethical consciousness than older employees. The longer one works for a company, the more one may look to job security as a priority; this can lead to rationalizing or overlooking apparently unethical behaviors. More emphasis is needed on internal behaviors with particular attention on the impact that external behaviors have on internal behaviors.     

The Effects of Employee Attitudes on Workplace Charitable Donations

ABSTRACT

The objectives of this paper are to examine the effects of employee attitudes toward the employer on workplace monetary donations at two levels: (1) to see if there is a significant difference between the attitudes of employees who make workplace contributions and those who do not; and (2) to examine whether awareness of employer charitable contributions moderate the relationship between employee attitudes and donating behavior. Employee attitudes include organizational commitment and job satisfaction. The research questions are examined in the context of workplace contributions made to a regional branch of United Way. The results indicate that organizational commitment scores exhibited by employees who made workplace contributions, and who were aware that their employer was also making corporate donations were significantly higher than the commitment for employees who did not make workplace contributions. No significant relationships were found for job satisfaction.     

You May Not Reap What You Sow: How Employees’ Moral Awareness Minimizes Ethical Leadership’s Positive Impact on Workplace Deviance

Although a growing body of research has shown the positive impact of ethical leadership on workplace deviance, questions remain as to whether its benefits are consistent across all situations. In this investigation, we explore an important boundary condition of ethical leadership by exploring how employees’ moral awareness may lessen the need for ethical leadership. Drawing on substitutes for leadership theory, we suggest that when individuals already possess a heightened level of moral awareness, ethical leadership’s role in reducing deviant actions may be reduced. However, when individuals lack this strong moral disposition, ethical leadership may be instrumental in inspiring them to reduce their deviant actions. To enhance the external validity and generalizability of our findings, the current research used two large field samples of working professionals in both Turkey and the USA. Results suggest that ethical leadership’s positive influence on workplace deviance is dependent upon the individual’s moral awareness—helpful for those employees whose moral awareness is low, but not high. Thus, our investigation helps to build theory around the contingencies of ethical leadership and the specific audience for whom it may be more (or less) influential.     

Practicing fairness in the family business workplace

One of the main challenges facing family firms is achieving fairness between family and non-family employees in the workplace. Family and non-family employees have the potential to offer unique and distinct contributions to the firm, which makes the achievement of fairness between them messy and complicated. Hence, two interesting questions are worth exploring: Given the complex nature of the family business human capital, how can family firms achieve fairness between family and non-family employees? Why should family business decision makers and advisors promote fair practices in the family business workplace? We first introduce a fair process model as a possible solution for family businesses to achieve fairness between family and non-family employees. Then, based on several examples and studies, we show that family business owners can benefit significantly from promoting fairness in the workplace both in terms of preserving business reputation and in terms of achieving long-term family business survival and success.     

Gender differences in the work commitment of Chinese workers: An investigation of two alternative explanations

This study explores the differences in work commitment between Chinese male and female employees. We develop a model that specifies the major antecedents of job and organizational commitment in the Chinese workplace. We then examine whether the gender differences can be attributed to factors related to gender role ideology or unfavorable work conditions encountered by women. Several hypotheses are formulated and tested with a data set collected from 582 employees in Beijing. The findings reveal that employee work commitment is related to organizational support, job characteristics, and perceptions of gender discrimination. Further, it is found that the level of job commitment of women is lower than that of men, whereas the level of organizational commitment is the same for both sexes. The lower level of job commitment of women is due largely to their stronger perception of gender discrimination, receiving less challenging job assignments, and engaging in a low level of leader–member exchange. The theoretical and practical implications of these findings are discussed.     

Computer users’ ergonomics and quality of life – evidence from a developing country

This study is aimed at investigating the quality of workplace ergonomics at various Pakistani organizations and quality of life of computer users working in these organizations. Two hundred and thirty-five computer users (only those employees who have to do most of their job tasks on computer or laptop, and at their office) responded by filling the questionnaire covering questions on workplace ergonomics and quality of life. Findings of the study revealed the ergonomics at those organizations was poor and unfavourable. The quality of life (both physical and mental health of the employees) of respondents was poor for employees who had unfavourable ergonomic environment. The findings thus highlight an important issue prevalent at Pakistani work settings.     

Ethical Managerial Behaviour as an Antecedent of Organizational Social Capital

There is a need of further research to understand how social capital in the organization can be fostered. Existing literature focuses on the design of reciprocity norms, procedures and stability employment practices as the main levers of social capital in the workplace. Complementary to these mechanisms, this paper explores the impact of ethical managerial behaviour on the development of social capital. We argue that a managerial behaviour based on the true concern for the well-being of employees, as well as their motivational and ethical development, can be particularly important for the generation of social capital in the organization. It is suggested that manager’s behaviour should be based on three principles: following exemplary behaviour, helping the employees to value the consequences of their actions in other persons, and not betraying employee’s trust. When the manager conforms to those principles, he can ease the process through which employees develop associability and identification-based trust with the firm, the two main components of ?Organizational Social Capital’. Bringing ethics into the debate of social capital creation seems to us fundamental, as social capital in the firm is likely to be influenced by the ethical and motivational development of its members.     

New Insights into Ethical Leadership: A Qualitative Investigation of the Experiences of Executive Ethical Leaders

Ethical leadership has become a thriving research field. However, on reviewing previous research, we argue that several fundamental questions remain unclear and need further investigation. (1) Ethical leaders are defined as behaving ‘normatively appropriate[ly]’ (Brown et al., Organ Behav Hum Decis Process 97(2):117–134, 2005), but it remains unclear what this entails. What specific behaviours does an ethical leader show? (2) To date, ethical leadership has focused primarily on leader behaviour towards employees. Which stakeholders apart from employees are important to the ethical leader, and what kind of ethical behaviour does the ethical leader show towards them? (3) What are further antecedents and consequences of ethical leadership? We addressed these questions by qualitatively analysing interviews with 17, mostly Swiss, executive ethical leaders. The results indicate that executive ethical leaders care not only about employees but also about other stakeholders, such as customers, suppliers, owners of companies, the natural environment and society. Additionally, this study identified a broad range of executive ethical leaders’ behaviours towards these stakeholders, and, therefore, may function as a useful resource for future quantitative studies. Furthermore, we identified several antecedents of executive ethical leadership, for example ethical role models, business strategy and owner’s values, and consequences such as effects on other stakeholders than employees. Finally, our results shed more light on the processes of ethical guidance of employees. Managerial implications and avenues for further research are discussed.     

Erratum to: Ethical Leadership,Organic Organizational Cultures and Corporate Social Responsibility: An Empirical Study in Social Enterprises

Decades of tobacco control initiatives have turned public opinion against cigarette smoking. Smokers, once considered glamorous, are now stigmatized in domains including the workplace. Extant literature lacks scrutiny of smoker stigmatization and devaluation within the job selection process, and mechanisms that lead to such outcomes. Using an experimental design, we empirically examine initial reactions to job applicants’ smoking behaviors within two samples (N = 122 Canadian business students, and N = 143 online U.S. respondents with hiring experience). We show that initial impressions are significantly worse when job applicants smoke versus do not in a store-based context. Moreover, this effect occurs indirectly through perceived likelihood of engaging in counterproductive work behaviors (and to some extent negative emotions experienced), and is conditional upon respondents’ own attitudes towards smoking (particularly within the U.S. sample). These relationships—similar for customer service and inventory management jobs—are indicative of potential biases within the hiring process. Implications of these findings, and the moral dilemmas they raise around the treatment of smokers, are discussed from the ethical perspective of human resource management.     

Workplace gossip and frontline employees’ proactive service performance

Managers are interested in promoting frontline employees’ proactive behavior because proactivity is crucial for organizational success. This study examined the link between perceived workplace gossip and employees’ (targets’) proactive service performance by focusing on the mediating role of employees’ harmonious passion and the moderating role of perceived job social support. Using time-lagged survey data from 218 supervisor-subordinate dyads in a commercial bank in China, we found that perceived workplace gossip negatively influences employees’ proactive service performance, and that this relationship is mediated by reduced harmonious passion. In addition, perceived job social support attenuates the negative relationship between perceived workplace gossip and harmonious passion, with harmonious passion having a mediating effect on the relationship between perceived workplace gossip and proactive service performance. These results provide new directions for understanding workplace gossip, harmonious passion, proactive service performance, and job social support. The theoretical and practical implications of our findings are discussed.     

Anglo-Saxification of Swedish business: working paper within the project 'Scandinavian Heritage'

An increasingly globalised world challenges old orders, structures and arrangements. This becomes especially apparent in the ?eld of international business, where mergers, acquisitions and foreign direct investment can trigger job cuts, divestment and the closing-down of traditional industries. For this reason mergers and acquistions are sensitive issues. When two companies from different countries merge, or when a ?rm is purchased by a foreign actor, a new dimension enters into the life of the companies. This is very likely to cause worry and unrest among employees. In such a situation con?icts and clashes may arise and old values and norms may be challenged by the new order. In this paper we examine that issue. A special focus will be given to the con?icts and clashes that can be the consequence of such an encounter between old and new. We shall exemplify this with a case concerning a Swedish company recently bought by an American competitor. The particular aspect of the problem that we are interested in is the in?uence of the new ownership on the ethical values and virtues of the Swedish company. We look speci?cally at the sense in which the changes in the ethical ?eld are expressions of a new Anglo-Saxon shareholder-oriented model, as opposed to a more traditional Scandinavian stakeholder model.     

HRM Role in EEO: Sheep in Shepherd’s Clothing?

Despite a plethora of laws prohibiting discrimination in employment, supporting and enforcing equal employment opportunity (EEO) principles has proven to be an enormous challenge for those charged with this responsibility. The question often asked is who should exercise this role in organizations. Not surprisingly, there has been a call for HRM to become the guardian of EEO in organizations but should human resource managers be male or female, and/or would line managers be better positioned to assume this responsibility? This paper overviews the literature and then summarizes an empirical study that attempted to address the possible impact of these options as they exist in organizations. One hundred and eighty respondents who met the criterion of having interviewed one or more job applicants in the previous 6 months were systematically selected from business telephone listings. Based on self-reported behaviors, no significant difference was found between the expected and actual distributions of HR and line managers in respect to whether decisions were made on unlawful grounds. The percentage of each respondent category that asked unlawful questions varied from 1% to 36% depending upon the attribute (unlawful ground of discrimination) under consideration. This begs the question as to what value HR managers contribute to EEO in the selection process. The second finding was that significantly less female managers admit to making decisions on the basis of unlawful questions than male managers. Thus, support was found for female line managers as guardians of EEO but no clear justification for HRM in this role.     

Leaders’ Core Self-evaluation,Ethical Leadership,and Employees’ Job Performance: The Moderating Role of Employees’ Exchange Ideology

With the increasing demand for ethical standards in the current business environment, ethical leadership has received particular attention. Drawing on self-verification theory and social exchange theory, this study investigated the effect of leaders’ core self-evaluation on the display of ethical leadership and the moderating role of employees’ exchange ideology in the relationship between ethical leadership and employees’ job performance (i.e., task performance and organizational citizenship behavior). Consistent with the hypotheses, the results from a sample of 225 dyads of employees and their immediate leaders showed a positive relationship between leaders’ core self-evaluation and ethical leadership. Moreover, the results showed that ethical leadership mediates the effects of leaders’ core self-evaluation on employees’ job performance. Furthermore, we found that employees’ exchange ideology moderates the relationship between ethical leadership and job performance. The theoretical and practical implications of these findings are discussed.     

Creating Satisfied Employees Through Workplace Spirituality: A Study of the Private Insurance Sector in Punjab (India)

Spirituality in the workplace is gaining recognition and value among researchers, academicians, and business professionals. The aim of this paper is to examine the impact of spirituality in the workplace on job satisfaction by measuring four dimensions of spirituality in the workplace: meaningful work, sense of community, organizational values, and compassion. The impact of each dimension on job satisfaction is hypothesized. A cross-sectional survey was used to collect data from 100 payroll employees in private insurance companies in Punjab (India). A correlation analysis showed a positive relationship between all the dimensions of spirituality in the workplace and job satisfaction. A regression analysis revealed that although all the dimensions of spirituality in the workplace are important, organizational values and a sense of community are the most important in terms of the job satisfaction level of employees. This work will help insurance companies to better understand the concept of spirituality in the workplace and its importance. Insurance companies can improve their functioning by encouraging employee spirituality in the workplace.     

Ethical Attitudes in Small Businesses and Large Corporations: Theory and Empirical Findings from a Tracking Study Spanning Three Decades

This study offers a theoretical framework of ethical behavior and a comparative analysis of ethical perceptions of managers of large, mostly publicly traded corporations (those with 1,000 or more employees) and the owners and managers of smaller companies (those with fewer than 100 employees) across 17 years. The primary research provides basic data on the changing standards of ethics as perceived by leaders of large and small businesses where the cultures frequently fall into sharp contrast. Our findings reveal the extent to which the message of business integrity is gaining or losing ground within large and small companies. It does this by means of respondents’ judgments of acceptable responses to 16 scenarios profiling common business situations with questionable ethical dimensions. Based on responses from over 5,000 managers and employees (from firms of all sizes) to our scenarios at three points in time (1985, 1993, 2001), we tested two research questions. First, for firms of all sizes, have business ethics improved or declined between the years 1985 and 2001? Second, comparing responses of large and small firm executives across the 1985–2001 time frame, is there a discernible difference in their ethical standards? Our results suggest that business leaders are making somewhat more ethical decisions in recent years. We also found that small business owner–managers offered less ethical responses to scenarios in 1993 but that no significant differences existed with large firm managers in 1985 and 2001. Implications of our findings are discussed.     

Do Employers Comply with Civil/Human Rights Legislation? New Evidence from New Zealand Job Application Forms

This study assesses the extent to which job application forms violate the New Zealand Human Rights Act. The sample for the study includes 229 job application forms, collected from a variety of large and small, public- and private-sector organizations that together employ approximately 200,000 workers. Two hundred and four or 88% of the job application forms contain at least one violation of the Act. One hundred and sixty five or 72% contain two or more and 140 or 61% contain three or more violations. The most common violations concern age, gender, nationality, and disability. The least common concern political opinion, ethical belief, religious belief, and sexual orientation. Despite widespread violations, many forms do have non-discriminatory questions that yield the same kind of useful information as discriminatory questions. Employers could incorporate these into their job application forms to bring themselves into compliance with the law. The same lessons also generally apply to North American employers, given the high degree of comparability between American, Canadian, and New Zealand anti-discrimination laws.     

The Moderated Influence of Ethical Leadership,Via Meaningful Work,on Followers’ Engagement,Organizational Identification,and Envy

This study examines a proposed model whereby ethical leadership positively influences the level of meaning followers experience in their work, which in turn positively impacts followers’ levels of work engagement and organizational identification, as well as reduces their levels of workplace envy. We further hypothesized that cognitive reappraisal strategies for emotional regulation would moderate the ethical leadership–meaningful work relationship. The model was tested in a stratified random field sample of 440 employees and their direct supervisors in the aviation industry in Turkey. Results based on data collected at two points in time showed that ethical leadership has a significant and positive direct effect on engagement and organizational identification, as well as indirect effects on those two outcomes through meaningfulness. Finally, results show that ethical leadership has a significant negative direct effect on workplace envy. Further, results showed that cognitive reappraisal emotion regulation strategy positively moderates, i.e., strengthens, the relationship between ethical leadership and meaningful work.     

Employees’ Reactions to Peers’ Unfair Treatment by Supervisors: The Role of Ethical Leadership

Little is known about employee reactions in the form of un/ethical behavior to perceived acts of unfairness toward their peers perpetrated by the supervisor. Based on prior work suggesting that third parties also make fairness judgments and respond to the way employees are treated, this study first suggests that perceptions of interactional justice for peers (IJP) lead employees to two different responses to injustice at work: deviant workplace behaviors (DWBs) and organizational citizenship behaviors (OCBs). Second, based on prior literature pointing to supervisors as among the most important sources of moral guidance at work, a mediating role is proposed for ethical leadership. The article suggests that supervisors who inflict acts of injustice on staff will be perceived as unethical leaders, and that these perceptions would explain why employees react to IJP in the form of deviance (DWBs) and citizenship (OCBs). Data were collected from 204 hotel employees. Results of structural equation modeling demonstrate that DWBs and OCBs are substantive reactions to IJP, whereas ethical leadership significantly mediates reactions in the form of DWBs and OCBs. Behavioral ethics and managerial implications are discussed.     

Organizational Value for Age Diversity and Potential Applicants’ Organizational Attraction: Individual Attitudes Matter

Using diversity climate theory and research, this paper examines the relationships among an organization’s actions which indicate a value for age diversity and potential applicants’ reactions toward that organization. Specifically, we investigate the interactive effects of an organization’s age diversity, an organization’s age diversity management practices, and potential applicants’ individual attitudes toward age diversity on two outcome variables, organizational attractiveness and expected age discrimination. We conducted an experimental survey study with a sample of 244 German employees likely to be in the job market again in their careers. Organizational age diversity and age diversity management practices were positively related to organizational attractiveness and negatively related to expected age discrimination. Results also support a three-way interaction of an organization’s age diversity, an organization’s age diversity management practices, and potential applicants’ attitudes toward age diversity on both dependent variables. The findings demonstrate the importance of considering individual attitudes toward age diversity in assessing the effectiveness of an organization’s age diversity and age diversity management practices.     

Organizational characteristics and HRM policies on rights: Exploring the patterns of connections

The protection of employee rights in the workplace is one of the fundamental ethical questions facing organizations today. Organizations differ in the extent to which they protect the rights of both employees and themselves as employers, yet little research has examined the types of organizations that have rights protection policies. Instead of the classic normative approach to ethical issues, this study took a contextual approach to the management of rights in the workplace through human resource policies. Associations were found between the organizational characteristics of size, industry, unionization, business condition, and the existence of employee and employer rights policies. Additional analyses revealed underlying dimensions in right policies and the relationship of organizational characteristics to these aspects of rights management were examined. The results are discussed in terms of understanding human resource rights management within an organizational context.Catherine E. Schwoerer is an Assistant Professor in the School of Business at the University of Kansas. Her research interests include work place rights and responsibilities, training and development, self-efficacy, and aging and work.Douglas R. May is an Assistant Professor in the Department of Management at the University of Nebraska. His research interests include social issues management and the impact of the physical environment on employees' attitudes and health.Benson Rosen is Hanes Professor of Management and Chairman of Management Area at the Kenan-Flagler Business School, The University of North Carolina. He is a Fellow of the American Psychological Association and a member of the Academy of Management.