One in Three Workers Witness Ethical Misconduct Despite Clearly Communicated Guidelines

NEW YORK, Oct. 19 /PRNewswire-FirstCall/ -- Nearly a third (31 percent) of U.S. workers have witnessed co-workers engage in ethical misconduct, according to a Hudson survey on workplace ethics. However, only half (52 percent) of those witnessing unethical or illegal acts reported it to anyone in authority. Despite these figures, nearly eight in ten U.S. workers (78 percent) state that their companies clearly communicate what they consider unethical and ethical behavior in the workplace.

When it comes to their own day-to-day jobs, half (53 percent) say they rarely or never encounter ethical gray areas, although 14 percent of workers do at least once a month and 28 percent do occasionally. When workers have witnessed colleagues engaging in unethical behavior, they are more likely to experience gray areas themselves (25 percent say that occurs at least once a month). Witnesses also give lower ratings to their companies for communicating ethical standards.

On the positive side, three in four workers (74 percent) express confidence in their leadership, indicating that senior leaders of their company generally behave with honesty and integrity. However, among those who have witnessed their colleagues' transgressions, the percentage of those believing that their leaders are honest drops to 61 percent.

"Workplace ethics is not an abstract concept, but a critical part of a healthy company," said David Rhind, general counsel North America, Hudson Highland Group. "Even with clear ethics policies in place, companies must create a culture of integrity throughout the organization by providing both the means and the mandate to report concerns. When senior executives lead by example, employees are more likely to follow suit."

  Other key findings include:

   * Government workers are more likely than their entrepreneurial and
     private enterprise counterparts to report that they have seen coworkers
     engage in unethical or illegal behavior (38 percent compared to 29
     percent and 31 percent, respectively).

   * On average, those making less than $40,000 annually are less likely to
     feel their company's leadership behaves with honesty and integrity --
     65 percent compared to 74 percent nationally.

   * Men under the age of 40 and African-American workers have witnessed
     significantly more ethical misconduct by co-workers (42 percent and 36
     percent respectively).

   * Only a quarter (26 percent) workers over age 50 have witnessed
     unethical behavior, and nearly eight in ten (77 percent) believe that
     their leaders behave with honesty and integrity.


                          All Workers   Workers who have    Workers who have
                                        witnessed illegal   NOT witnessed
                                        or unethical        illegal or
                                        behavior            unethical
                                                            behavior

  Company clearly
   communicates what is
   ethical or unethical
   behavior                   78%           68%                85%

  Company does NOT clearly
   communicate what is
   ethical or unethical
   behavior                   15%           27%                10%

  Senior managers act with
   honesty and integrity      74%           61%                82%

  Encounter ethical gray
   areas at least once
   a month                    14%           25%                10%

The Hudson ethics in the workplace survey is based on a national poll of 2,099 U.S. workers and was compiled by Rasmussen Reports, LLC, an independent research firm (RasmussenReports.com). A more detailed data report is available at http://www.hudson-index.com/.

Hudson, one of the world's leading professional staffing, outsourcing and human capital solution providers, also publishes the Hudson Employment Index(SM), a monthly measure of the U.S. workforce's confidence in the employment market. Next month's Hudson Employment Index(SM) will be released on November 2, 2005.

Hudson

Hudson delivers specialized professional staffing, outsourcing, and human capital solutions worldwide. From single placements to total solutions, the firm helps clients achieve greater organizational performance by assessing, recruiting, developing and engaging the best and brightest people for their businesses.

Hudson is a division of Hudson Highland Group, Inc. one of the world's leading professional staffing, retained executive search and human capital solution providers. The company employs more than 3,800 professionals serving clients and candidates in more than 20 countries through its Hudson and Highland Partners businesses. More information is available at http://www.hudson.com/.