Unethical Behaviour in the Workplace: Examples & Ways Handle Them

A workplace is your professional haven where ideas are born, goals are chased, and teamwork turns even the most complex plans into progress. However, this haven isn’t immune to cracks. One of the most damaging cracks is Unethical Behaviour in the Workplace. From dishonesty and harassment to misuse of company time, these actions can snowball into serious issues that damage trust, morale, and overall business success. 

In this blog, we will explore real-world examples of Unethical Behaviour in the Workplace and share proven strategies to address these issues effectively. So read on and transform your workplace into a culture of honesty, respect and, of course, accountability! 

Table of Contents 

1. What is Unethical Behaviour at the Workplace? 

2. Causes of Unethical Behaviour 

3. 10 Unethical Behaviour Examples 

4. 11 Ways to Prevent Unethical Behaviour in Your Workplace 

5. Conclusion 
    

What is Unethical Behaviour at the Workplace? 

Unethical Behaviour in the Workplace refers to those actions that violate moral principles, company policies and professional standards. These behaviours can harm individuals, teams, or the organisation as a whole. While the specifics vary depending on industry and company culture, all unethical behaviours undermine trust, productivity, and the overall well-being of the work environment. 

This can take many forms, such as fraud, misrepresentation, discrimination, harassment, conflicts of interest, and misuse of company resources. These actions not only violate ethical standards but also undermine trust and productivity within the organisation. 

Causes of Unethical Behaviour 

The first step to combating unethical behaviour in an organisation is understanding what causes it. While some unethical behaviour is too complex to quantify completely, here are some common causes: 

Unclear Policies 

1. Unethical behaviour sometimes happens due to confusion or a lack of understanding. 

2. Employees may not fully know the organisation’s rules or norms. 

3. Some may be unaware of what constitutes acceptable behaviour. 

4. Unclear company values make it hard for employees to act as expected. 

5. Without clear policies, even well-intentioned staff may unknowingly cross ethical lines. 

Pressure 

1. High-pressure environments can lead to unethical behaviour, especially when rewards are tied to outcomes. 

2. Employees under stress when meeting Key Performance Indicators (KPIs) may feel forced to ignore ethical standards. 

3. Leadership misalignment occurs when leaders value profits over ethics or fail to lead by example. 

4. Misaligned KPIs focus on results without considering how they are achieved. 

5. Toxic workplace cultures promote extreme competition and reward success at any cost. 

6. In such settings, unethical actions can start to seem like the only option. 

Poor Leadership 

1. Poor leadership often leads to unethical behaviour throughout the company. 

2. Many major ethical scandals have started with bad practices at the top. 

3. Leaders who are abusive and lack ethical knowledge or emotional intelligence can set a harmful example. 

4. Even with risk systems in place, people follow their leaders’ behaviour. 

5. If leaders don’t value ethics, employees are unlikely to prioritise them either. 

Disengagement 

1. Employee disengagement is a major cause of Unethical Behaviour in the Workplace. 

2. When employees feel undervalued or disconnected, they may become apathetic. 

3. Disengaged workers often see their roles as meaningless and lose interest in ethical standards. 

4. A weakened connection to company values can make ethics seem unimportant. 

5. Studies show that feeling valued is key to Employee Engagement. 

6. When there's a lack of appreciation, commitment to company values fades, increasing the risk of unethical behaviour. 

10 Unethical Behaviour Examples 

Small, unethical actions often get overlooked, reinforcing worse behaviour over time. Believing misconduct only comes from a few bad apples ignores the truth that anyone can be influenced by their environment. Below are some prevalent examples of Unethical Behaviour in the Workplace. 

1. Sexual Harassment 

Sexual harassment is any unwanted behaviour that’s sexual in nature, like comments, jokes, or actions that make the workplace uncomfortable or unsafe. It can seriously affect a person’s emotions, confidence and career. 

Examples include: 

1. A Manager often comments on how an employee looks, saying things like, “You look amazing in that dress.” 

2. A coworker tells rude sexual jokes and touches others in ways they don’t like, claiming it was by mistake. 

3. Someone sends a colleague a sexual message and hints they’ll send more if they get a response. 

2. Fraud 

Fraud means lying or cheating on purpose to benefit yourself, usually with money. It damages the company, affects others, and breaks trust at work. 

Examples can include: 

1. Taking company money and using it for yourself. 

2. Using secret company info to make money from stocks. 

3. Getting paid for hours you didn’t work or covering for someone else. 

3. Violating Company Cyber Policies 

Cyber slackers and Cyberstalkers are responsible for violating company cyber policies. Here are the key points to remember: 

1. Cyber slackers are employees who browse the internet for personal use during work hours. 

2. Cyberstalkers misuse online access for inappropriate monitoring or tracking of others at work. 

3. This behaviour reduces productivity and can cost companies billions. 

4. Regularly checking social media like Instagram, Facebook, or Twitter at work is considered unethical. 

5. Using company time and resources for personal browsing violates professional conduct. 

4. Abusive Behaviour 

Many workplaces still have Managers who misuse their power to mistreat others. Remember these points: 

1. This behaviour can include bullying, intimidation, or verbal abuse. 

2. Unless it involves discrimination based on gender, race, or ethnicity, there’s often no legal protection. 

3. Such abusive conduct is considered unethical, even if it’s not illegal. 

4. A toxic environment created by abusive leadership can harm morale and productivity. 

Set your team up for long-lasting triumphs! Our CIPD Level 5 Associate Diploma in People Management will help you - Sign up now! 

5. Conflicts of Interest 

A conflict of interest occurs when someone’s personal interests or relationships affect their ability to do their job fairly. It’s an unethical act that can break trust, harm reputations, and lead to bad choices. Examples include: 

1. Giving a job to a relative who isn’t qualified. 

2. Running a business that competes with your employer. 

3. Taking costly gifts from vendors may influence decisions. 

6. Workforce Manipulation 

Workforce manipulation refers to those unethical behaviours that advance personal agendas at the expense of colleagues. While Managers often perpetuate it, it may also involve employees. Here are prevalent examples: 

1. Undermining coworkers by spreading false information or rumours. 

2. Promoting individuals based on personal alliances instead of merit. 

3. Sabotaging colleagues to gain favour or secure promotions. 

7. Knowledge Hoarding 

Knowledge hoarding is when someone purposely keeps important information to themselves, slowing down teamwork and progress. It might seem harmless, but it can seriously hurt organisational productivity and collaboration. Examples include: 

1. Not sharing crucial project updates with team members. 

2. Skipping the documentation process to stay irreplaceable. 

8. Misleading Communication 

Misleading communication means being dishonest or stretching the truth in work conversations, slowly breaking trust and damaging relationships. It can happen both inside the company and in customer interactions. Prominent examples include: 

1. Promising things a product can’t actually do. 

2. Saying the company can deliver something it can’t. 

3. Employees hide the truth about their work, or a Manager lies to stay in control. 

9. Misuse of Company Time 

Misusing company time is a major example of Unethical Behaviour in the Workplace. Consider these key points: 

1. It includes covering for someone who arrived late or altering attendance records. 

2. Allowing a colleague to manage their personal business during work hours is also unethical. 

3. Examples include making sales calls for a side business or discussing personal matters during company hours. 

4. These actions reduce productivity and show a lack of respect for company policies and resources. 

10. Withdrawal 

Withdrawal happens when an employee mentally or physically disconnects from their work, gradually decreasing productivity. While occasional breaks are normal, ongoing withdrawal is more serious and often signals deeper issues within the organisation. Examples include: 

1. Taking long, frequent breaks unrelated to work. 

2. Wasting hours browsing the web instead of focusing on tasks. 

11 Ways to Prevent Unethical Behaviour in Your Workplace 

Creating an ethical workplace starts with clear values and open communication. Here are some proven ways to prevent unethical behaviour and build a culture of integrity and trust. 

1. Create a Code of Conduct  

1. Expecting ethical behaviour isn’t enough because ethics can vary from person to person. 

2. Relying solely on individual judgment can lead to confusion and inconsistency. 

3. Creating a clear code of conduct helps set consistent expectations for all employees. 

4. A Code of Conduct outlines what is and isn’t acceptable in different workplace situations. 

5. It should also mention the consequences of breaking the rules or acting unethically. 

6. For example, it can clarify proper expense claims to stop the misuse of company funds. 

2. Continuously Review the Code 

1. Your Code of Conduct must be a flexible document that evolves with the workplace. 

2. To reflect changes, update it in the employee handbook whenever necessary. 

3. Review the code annually with employees to assess what’s working and needs improvement. 

4. Make sure it covers new workplace expectations. 

5. Ask the employees to read the updated version and confirm their understanding of it with a signed acknowledgement. 

6. Involving employees in updating the code encourages better commitment. 

Strike the perfect balance between people practices and organisational goals! Register for our CIPD Level 3 Certificate in People Practice now! 

3. Reinforce Consequences for Unethical Behaviour 

1. You must clearly communicate how employees are expected to behave per your code of conduct. 

2. Do emphasise that any ethical violation will have serious consequences. Take prompt action when someone breaks the code. 

3. Depending on the severity, disciplinary measures can include warnings or termination. 

4. Remember that failing to act on misconduct weakens the code’s authority and encourages more unethical behaviour. 

4. Hire the Right People 

1. Building an ethical workplace starts with hiring the right people. 

2. Boost your interview process by including questions that assess ethical judgment. 

3. Incorporate ethics into candidate evaluations to ensure alignment with company values. 

4. Always check references. Don’t just collect them and ignore their insights. 

5. Watch out for any red flags indicating any past unethical behaviour. 

6. Positive remarks about a candidate’s integrity must be a strong reason to move them forward. 

5. Work on Building a Loyal Community 

1. Employees who are valued are more likely to act ethically and support the business. 

2. Loyalty plays a key role in reducing unethical behaviour at work. 

3. Employees who feel disconnected may find it easier to justify unethical actions. 

4. You can increase the employees' sense of ownership by involving them in shaping the code of conduct. 

5. Encourage open communication and give them space to voice concerns. 

6. Listen actively, provide reassurance and maintain clear two-way communication. 

6. Implement Monitoring and Reporting Systems 

1. Numerous laws and regulations must always be followed in the workplace. 

2. Violating these laws can lead to severe financial penalties for individuals as well as organisations. 

3. Implementing proper monitoring and reporting systems is crucial for ongoing compliance. 

4. These systems allow early detection of unethical or non-compliant behaviour. 

5. Regular oversight builds accountability and reduces the risk of legal issues. 

7. Promote Your Values and Lead by Example 

1. You must clearly include values like ethics, integrity and honesty in your corporate documents. 

2. Go beyond words because leaders must actively demonstrate these values in daily actions. 

3. Ethical leadership sets the tone for the entire organisation. 

4. When leaders consistently make ethical decisions, employees are more likely to follow suit. 

8. Show Employees Appreciation 

1. Rewarding employees helps build loyalty and keeps them engaged with the company. 

2. Employees who feel appreciated are less likely to engage in unethical behaviour. 

3. Recognising hard work encourages a positive and honest workplace culture. 

4. You can offer incentives like bonuses, early finishes, or other perks for good performance. 

Give your HR career the boost it deserves! Sign up for our comprehensive CIPD Qualification and level up the right way! 

9. Invite Motivational Speakers 

1. Demotivated employees are more likely to engage in unethical behaviour. 

2. Inviting motivational speakers can uplift and re-energise the workforce. 

3. These sessions can reignite passion and commitment to the job. 

4. Speakers can also address ethics to reinforce the importance of ethical conduct. 

5. Promoting motivation and ethics together helps create a more positive and principled workplace. 

10. Provide Ethical Training 

1. Build on the effort made by the motivational speakers by adding ethics training. 

2. The training must cover the importance of whistleblowing and its role in protecting society. 

3. Explain to your employees how to report unethical behaviour and the steps the organisation will take after receiving a report. 

4. You must discuss how whistleblowers are protected, especially if their identity becomes known. 

5. This encourages employees to speak up and reassures them they will be supported and heard. 

11. Implement a System for Reporting Unethical Behaviour 

1. A whistleblowing policy gives clear guidance on how employees can report unethical behaviour. 

2. It outlines the steps to make a report and what to expect next. 

3. The policy must reassure employees that their concerns will be taken seriously. 

4. It must ensure confidentiality and protect the identity of the reporting person. 

5. The company must commit to keeping whistleblowers informed about the progress and outcome of investigations. 

Conclusion 

Unethical Behaviour in the Workplace can quietly unravel and dampen the work culture if left unchecked. You can build a culture rooted in integrity by recognising the warning signs, setting clear expectations, and encouraging open dialogue. Remember that consistent action is key, whether it’s addressing misconduct or reinforcing ethical values. 

Become a seasoned expert in creating tomorrow’s leaders! Sign up for our CIPD Level 7 Advanced Diploma in Strategic People Management now!