Since no comparable data exists for prior years, trends aren't discernible. But the study doesn't float in a vacuum. Employees in smaller firms also felt more comfortable reporting misconduct, and felt more strongly that management helped interpret and apply values. An ethical climate breeds workforce loyalty. Workforce loyalty translates into retention.
Retention means significant bottom-line savings.
For benchmarks, look at small firms in places like the United States, Mexico, and France. For caveats, look at large firms in the United Kingdom, Japan, and Singapore. Related Newsline commentary , June 19, 2000. Related Newsline commentary , Mar. 1, 1999. This commentary originally appeared in the Institute's Business Ethics Newsline , October 9, 2000.