Business ethics

Employees take a lead from their senior managers on ethics of the business and what is acceptable and what is not. The Federation urges all employers to adopt a policy of ‘zero tolerance’ of corrupt or suspect behaviour. The Federation promotes only the highest standards of Corporate Governance in all respects.

  1. Employers must ensure good corporate governance if they are to manage their people effectively. They must establish clear methods of control which must be understood by employees. They must develop levels of authority and responsibility so that staff are clear about their role and relationships to others. They must clarify how decisions are to be made and must communicate those decisions where relevant.
  2. Employers should draw up and publish a code of conduct covering policies on corruption. This involves explaining what it is, how it should be handled and what actions will be taken in the event of corruption being proved. Employers should encourage their employees to report corrupt practices if they suspect they exist – if necessary by by-passing the chain of command.
  3. Management should be open and honest to employees about how results are obtained. They should expect and require their employees at all levels to record all transactions accurately in their books and records and to be honest and forthcoming with the business’s internal and external auditors.
  4. In the event that corruption or dubious practice is suspected, employers should refer the situation to the ICAC and not attempt to deal with it internally.