What are four common causes of unethical behavior?

What is unethical behavior, exactly? Unethical behavior is an action that falls outside of what is considered right or proper for a person, a profession or an industry. Individuals can behave unethically, as can businesses, professionals and politicians. However, one's definition of "unethical" depends on their own ethical standards and the standards of their society. Take a look at different unethical behavior examples that are generally agreed upon as unacceptable.

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What Causes Employees to Make Unethical Decisions
1. Pressure to Succeed
2. Employees Are Afraid to Speak Up
3. Lack of Training
4. There’s No Policy for Reporting
5. Managers Setting Bad Examples

Man taking money from another's pocket as example of unethical behavior

To people with high ethical standards, the question of right vs. wrong is clear. Societies reinforce the accepted ethics of individuals with laws and consequences. While some situations may be defined as ethical dilemmas, most people would agree that the following behaviors are not acceptable in individual relationships.

Someone lies to their spouse about how much money they spent.
A teenager lies to their parents about where they were for the evening.
An employee steals money from the petty cash drawer at work.
You lie on your resume in order to get a job.
Friends talk about another friend behind his back.
A student takes credit for work they did not do.
A college student cheats on a school paper by copying it off the Internet.
Someone takes $20.00 out of their friend's wallet when she is sleeping.
You sell a house and don't disclose known defects to the buyers.
A person sells a car and lies about the vehicle's accident history.

Business ethics are so important that most companies have formal codes of ethics to make their expectations clear. Some unethical behaviors in the workplace are illegal as well as unethical. Take a look at the different unethical behaviors one may see businesses commit.

A chemical company dumps pollutants into the water supply rather than cleaning up the pollution properly.
A factory releases toxins into the air at levels above what is permitted by the Environmental Protection Agency.
An employer coerces an injured worker not to report a work injury to workers' compensation by threatening him with the loss of a job or benefits.
A supervisor refuses to give an employee a final paycheck for hours worked before the employee left the company.
Someone in power uses their position to sexually harass a subordinate.
A company incorrectly classifies an employee as an independent contractor in order to reduce payroll taxes and avoid providing benefits.
Large companies engage in price-fixing to force smaller competitors out of business.
Businesses use bait and switch or false advertising tactics to lure customers in or convince them to buy a product.
A car salesman rolls back the odometer on a vehicle that is for sale.
A company refuses to honor a warranty claim on a defective product.

Doctors and lawyers are bound by a stricter code of ethics because they are taking care of and representing people who trust them. These professionals risk malpractice accusations if they act in an unethical manner. Read a sample list of unethical behaviors by these professionals.

A doctor dates a patient in their care.
A physician doesn't tell a patient his true diagnosis because it may reveal that there was a mistake in his care.
A dentist performs unnecessary procedures on a patient in order to receive the insurance payment.
A doctor uses a patient as a teaching tool for students for long periods of time without the permission of the patient or patient's family.
A lawyer will not return money or provide a settlement that was being held for a client.
A lawyer represents parties on both sides of a legal transaction.

You may also see examples of unethical behavior in the political world. Some politicians walk a fine line between getting elected and remaining ethical, and many governments struggle with upholding rights-based ethics for both their citizens and citizens in other countries.

A politician uses the Internal Revenue Service (IRS) to target groups that they do not like by auditing those groups or refusing to give them tax-exempt status.
Someone running for office obtains private tax information about their political opponents and uses that information in a campaign.
A person running for office knowingly tells lies about their own political position or about the political position of their opponent just to get elected.
A politician accepts excess campaign contributions that violate campaign finance laws.
Someone running for office uses money that was donated to their campaign for personal, non-approved expenses.
An elected official uses their position of power to coerce lobbyists into buying expensive gifts for them and for their spouse.
The government secretly spies on U.S. citizens in violation of the Fourth Amendment and lies about it.
A person in a position of power closes traffic lanes to intentionally create a traffic jam because residents in that city are not likely to vote for them in an election.

These are just some of the many different examples of unethical behavior that could occur. But what makes these behaviors unethical rather than immoral? Learn more about the differences between ethics, morals and values, and see how they're treated differently in society. You can also take a look at examples of admirable virtues that many societies value in their citizens.

Staff Writer

Code of Ethics Examples: From Personal to Professional
A code of ethics is a set of principles and rules used by individuals and organizations to govern their decision-making process, as well as to distinguish right from wrong. They provide a general idea of the ethical standards of a business or organization. However, people can have their own personal code of ethics as well. Keep reading for a more thorough explanation of a code of ethics, as well as several code of ethics examples.
What's the Difference Between Ethics, Morals and Values?
Have you ever deemed someone’s behavior to be unethical? Have you ever questioned their moral code or the values upon which they base their decisions? When our minds wander to these places, the terms ethics, morals and values tend to feel very similar, but they are not quite the same. Keep reading for explanations and values, ethics and morals examples to learn how they are different.

Almost every day, there is a story in the news about an employee acting unethically. Whether it’s an executive or frontline employee, it seems that it is within human nature to act unethically. And as the recent example from Wells Fargo scandal shows, management plays a key part in setting the example for ethical behavior.

In fact, the most recent National Business Ethics Survey states that 41 percent of employees reported seeing misconduct in the office. From this statistic, we can see that many of these incidents go undocumented. But why do these behaviors happen in the first place? Sure there is always the occasional bad apple but is there more at play here? Let’s review some of the reasons why your employees might make unethical decisions.

What Causes Employees to Make Unethical Decisions

1. Pressure to Succeed

Employees may choose to act unethically based on unrealistic expectations to succeed. For example, a salesperson may make false claims to secure a deal to meet their quota. With Wells Fargo, employees opened up fake accounts and credit cards in their client’s name to make quota. The quota, however, was unrealistic and almost impossible to make without cutting corners. In order to keep in good standing with their managers and keep their jobs, employees may make unethical decisions.

To help combat this notion, managers should discuss their job performance expectations with employees and any specific challenges employees face meeting these goals. They might discover that they need to change the quotas or provide the employee with additional resources-but they won’t know until they ask.

Businesses need to leverage and incorporate different elements to achieve a culture of compliance. This guide explores what it means to have a compliance culture, and how you can build up a compliance culture in your workplace.

2. Employees Are Afraid to Speak Up

Another reason employees don’t report unethical behavior is that they are fearful of the consequences. For one, employees may fear retaliation from their coworker who they are reporting. The employee might also fear getting a bad reputation among his or her coworkers. On top of this, many employees are don’t know how their supervisor will react. They fear they may get demoted or fired if their supervisor doesn’t believe their claim.

To relieve their fears, consistently reassure your employees that retaliation for speaking up is against company policies. Encourage managers to communicate with their employees about potential violations.

3. Lack of Training

Many organizations make the mistake of assuming their employees understand which behaviors are unethical. Employees may not know an activity they see on a daily basis is unethical or illegal. For example, a employee may not know that giving a potential client tickets to a sporting event could constitute a bribe.

Training employees on what behaviors are unethical can help lower your organization’s risk. Moreover, training can also help employees determine what actions to take if they witness unethical behavior.

4. There’s No Policy for Reporting

Employees also need to know how to report potential ethics violations. Having a policy in place helps keep the information from falling into the wrong hands. For instance, if your organization’s process is to go straight to HR, this prevents the employee from first going to his boss. Also, some employees may wish to stay anonymous. An anonymous drop off or hotline for employees to call and report violations or suspicions can ensure you discover most violations.

5. Managers Setting Bad Examples

Many instances of unethical behavior stem from the examples set by the employee’s manager. Managers should always be conscious of their actions and how employees view them. For example, a manager may lie to a customer about a contract. If the employee witnesses this, they may assume they are free to do the same. Employees may also become scared to defy their manager in fear of losing their job. They may also avoid reporting unethical behaviors in fear of repercussion.

Make sure your managers are aware of their responsibilities for preventing unethical behavior. It’s also important to ensure you hold them accountable for violations.

Conclusion

Unethical decision making is something many employees falls victim to. Whether it’s to make more money or keep their jobs, employees will sometimes break the rules. Having a clear policy, like a code of conduct, in place that explains your expectations, along with training is a great way to counter unethical behavior.

Also, don’t forget to hold managers accountable for their actions and communicate the process for employees to report potential violation. With these efforts combined, you’re well on your way to ensuring your employees act in an ethical fashion.

Evidence-based learning aligned to the Department of Justice’s guidelines for ethical workplaces. Learn more about our global ethics and compliance training packages today.