CCI staff share recent surveys, reports and analysis on risk, compliance, governance, infosec and leadership issues. Share details of your survey with us: editor@corporatecomplianceinsights.com.
Institute of Business Ethics: 43% of workers fear reprisals if they speak up
Nearly one-third of American employees who were aware of workplace misconduct did not report it, according to a new survey by the Institute of Business Ethics, while a large portion (43%) worried that speaking up would imperil their employment.
The U.S. survey, which included responses from 750 workers, also found that nearly one-quarter (23%) of employees said they were aware of illegal or unethical conduct at their workplace in the past year. In addition to the more than two in five who feared saying something would get them fired, 35% said they doubted any corrective action would be taken if they did speak up. Worse, among the 67% who did raise concerns, about half reported facing personal disadvantage or retaliation as a result.
“If we’re serious about preventing the harmful workplace behaviors that we see constantly hitting the headlines, like sexual harassment and bullying, a safe speak-up culture is crucial,” said Lauren Branston, CEO of the institute. “When employees are afraid of retaliation or believe their concerns won’t be acted upon, serious issues can persist unchecked.”
The U.S. findings were part of a global survey of about 10,000 workers, and internationally, the results indicate a generational divide in willingness to report misconduct. Employees between 18 and 34 years old were more likely to raise concerns than their older colleagues: 70% vs. 61% for 35- to 54-year-olds and 54% for those 55 and older. Younger workers were also more likely to report experiencing retaliation compared to their older colleagues: 70% for 18-34, 43% for 35-54 and 33% for 55 and older.
Survey: Few companies expect to spend more to comply with CSDDD — so far
As European companies prepare for the phased implementation of the EU’s Corporate Sustainability Due Diligence Directive (CSDDD), a new survey indicates that while most companies are becoming familiar with the new obligations, few are planning to spend more money to meet the demands.
According to a survey of 400 European companies conducted by EQS Group and the University of Applies Sciences Ansbach, 86% of respondents had begun to familiarize themselves with the text, though the directive had not been completely finalized at the time of the survey. The CSDDD, which will come into effect in 2027 for companies based in the European Union and some outside of the EU that meet certain factors, requires companies to manage human rights and environmental risks throughout their supply chain.
While familiarity with the requirements was high, few companies were planning to allocate additional resources, whether budget, staff or IT investment, in order to meet CSDDD’s requirements, the survey found.
A few other key findings:
- The level of perceived risk escalates further along the supply chain. For indirect suppliers, more than half of respondents (55%) rate the risk of human rights and environmental violations as high or very high, while 41% rate it as medium.
- 94% of organizations have established a whistleblowing channel in accordance with the EU Whistleblowing Directive or national whistleblowing legislation.
- 68% have integrated human rights and environmental issues into their risk management processes, ensuring that these criteria are considered in the selection of suppliers.
Price adjustments most likely to cause M&A disputes over next year
Purchase price adjustments (PPAs) are most likely to cause mergers and acquisitions disputes over the coming years, according to a survey conducted by consulting firm BRG, which found that 58% of respondents expect PPAs to be the biggest issue in the coming year.
BRG’s survey of about two-dozen M&A dispute research contributors also found that private equity involvement adds complexity to deals, with 83% reporting PE involvement increases the likelihood of post-closing disputes.
Additionally, over 80% of respondents expect deal volumes to rise in the coming year — the largest share in survey history — and 70% expect disputes to increase.
