Governance Institute Ethics Index 2016 - Industry … Institute Ethics Index 2016 7 Issues and influences (cont’d) The top 5 ethical issues in business are perceived in the following

GovernanceInstituteEthicsIndex2016

2

Thereisconsiderablediscussionandacademicstudyofethicswhichreflectsitsimportanceinthesocietyinwhichwelive.Ethicsisregardedbymanyasadeterminanttothewayallindividualscan“livetheirlife”andwhetherthatlifewillineffectbe “welllived”asopposedtooneofself-centrednessanddisregardforothers.Andultimatelythesummationofalltheselivesyieldstheevaluationofthesuccess,compassion,reasonableness,strengthandultimatelysustainabilityofsociety.

Muchnegativemediaexpoundstheon-goingerosionofhighlyethicalbehaviourasthecauseofthefailureofsocietalstructuresandpersonalresponsibilities.Perhapsthisistrue.Perhapsnot.

ThisstudyenablesustoactuallyquantifytheperceptionoftheAustralianadultpopulationastowhattheybelievetobetheactuallevelofethicalbehaviourwithinAustraliansociety.Onlywithsuchabenchmarkcanweobjectivelygaugewhetherourethicalbehaviourhasslippedorimproved.

Inshorttheoverallansweris39– whichonourscalemeanssocietyisoperatingen-masseatthe“SomewhatEthical”level.

Thedifficultywithbeingthefirstofsuchstudiesiswedon’thaveyearsofresultstobeabletorefertoandthusbeable to statedefinitivelywhetherwehaveimprovedorslumped.

However,ourstudycontainssomeconsiderabledetailofdifferentsectors,organisations,occupations,issuesandinfluences. Andthesedetailsallowcomparisonbetweenthevariouscomponentsandthusallowanevaluationofperformances.Itoffersquiteafewinsightsandlikemostgoodresearchleadsthereadertostarttoaskquestionsthatprobablydeserveadditionaldetailedresearch.

Wetrusthoweverthatuserswillfindtheresearchagoodstartingpointandprovideapowerfulbenchmarkasthestartingpointoffurtherdeep,objectivediscussions.

Thisresearchhasbeenconceived,designedandcommissionedbyC3ContentPtyLtd,conductedbyIpsos andsponsoredbytheGovernanceInstituteofAustralia.ThisresearchisCopyright2016ofC3ContentPtyLimitedandcannotbereproducedwholeorinpartwithoutthewrittenpermissionoftheowner.

Introduction


3

TheconceptofethicsandhowithastouchedeverydayAustralians

Australianshaveanunderstandingofethicsanditsmaindefinitions,with97%agreeingwiththethreeethicsdefinitionsinthesurvey.84%rateethicsasimportantorveryimportanttoawell-functioningsociety.Whenanethicalscenariowasposed,themajority(60%)chosetotaketheselflessoption,andsafeguardthelifeofachildovertheirown.

ThemajorityofAustralians(56%)havefacedanethicaldilemmapersonally,withfamilymattersbeingthemostdifficulttodeal with(42%difficult),followedbyotherpersonal(31%difficult)andwork-relatedmatters(30%difficult),withfinancialmattersbeingtheleastdifficultoftheirexperiences(23%difficult).Justover1in4wouldchangethedecisionstheyhadmadeinthosesituations,claimingthathindsightallowedthemtoseeitwasthewrongdecision(41%)orthattheydidn’thaveenoughinformationtomakeaninformeddecisionatthetime(32%).

TheinauguralAustralianEthicsIndex2016scores

Overall,AustraliansconsiderthatAustraliansocietyis“SomewhatEthical”(withanEthicsIndexscoreof39)whiletheOverallImportanceofEthicsIndexisscoredatamuchhigher74(representing“VeryEthical”).Thissuggeststhatthereisashortfallinactualethicalperformance(oraperceptionthereof)ofsomesectorsthatmaybecontributingtotheethicaldeficit.TheEducation, HealthandCharity/Not-for-Profitsectorsareperceivedas“VeryEthical”,whilsttheFinancialandCorporatesectorsarethelowestscoringandperceivedas“NeitherEthicalorUnethical”(eachsector’sscoresrepresentthenetofthescoresoftheorganisationsandprofessionswithinthem).

Theindexiscalculatedbyapplyingvariedweightingstooverallresponses.

ExecutiveSummary(1of6)


4

Ethicalbehaviourbysector

Overall,Socialsectors(Health,Education,Charities/Not-for-ProfitOrganisations)havehighEthicalscores(above70%),indicatinghightrustandperceivedbehaviouralstandards,inlinewiththeirEthicsIndices.Conversely,theMediasectorandLargeCorporationsscorelowonbeingEthical(under30%)andhighestonbeingUnethical(56%and49%respectively),indicatingverylowtrustandlowperceivedbehaviouralstandards.

Theeducation sectorhasthehighestperceivedlevelofethicalbehaviourofallthesectors,witheveryorganisationandoccupationperformingattheSomewhatEthicalorVeryEthicallevel.Privately-runcollegeshoweverlowertheoverallsectorEthicalIndexscore,whichmayreflectrecentethicalscandalsengulfingthatsector.

Ethicalbehaviourinhealth sectoroccupationsisperceivedtobeVeryEthicalorSomewhatEthical(allabove60%).Fororganisationsinthesector,whilstHospitalsandPathologyServicesaresimilarlyperceivedasEthical(allabove60%),opinionsarepolarisingforPharmaceuticalCompanies,HealthFunds,andNaturalHealthCompanies,wheretheyareequallyseenasEthical(between32-37%)aswellasUnethical(between33-43%).This,inasectorratedoneofthemostethical(EthicalIndexscore69),theperformance ofpharmaceuticalcompaniesisincongruous.

WithinthecharityandNot-for-Profitsectors,MedicalCharities,SocialWelfareCharitiesandRSLsareheldinhighethicalregard(70%andaboveEthicalscore)whilstTradeUnionsandProfessionalSportsClubsarebothhighlypolarising,with1in3perceivingthemtobeNeitherUnethicalnorEthical,andopinionsamongsttheothertwothirdsdividedbetweenEthicalandUnethical.

FireandAmbulanceservicesareratedasthemostethicaloccupationswithinthepublicsector(86%and87%Ethicalscore),whilstthereisalargegapbetweenthemandthePoliceforce,whotrailbehindwitha66%Ethicalrating.StateandFederalParliamentsareseenasUnethicalby1in2,whilstStateandFederalPoliticiansarealsoseenassimilarlyunethical,notablytheworstratedoccupations.



5

Ethicalbehaviourbysector(cont’d)

Ethicalbehaviourinmembershipassociationsismixed.TherespectseenfortheMedicalsectorresultsintheAustralianMedicalAssociationbeingscoredthemostEthicaloftheassociations(68%Ethicalscore),whilstNationalFarmersFederationandEngineersAustraliacomeinsecondandthird(62%and58%Ethicalscorerespectively).Itisworthnotingthatmemberassociationsareratedonlybythoseawareoftherespectiveassociations.

AustraliansratetheABCasthemostEthicalmediaplatform(61%Ethicalscore).Free-to-airTVandRadiocomeinbehindwithanEthicalscoreof39%and38%respectively,whilstscoresforothertraditionalmediaNewspapersandMagazinesaremoredivided(Ethicalscoresbetween25-32%contrastedwithUnethicalscoresbetween33-36%).JournalistshoweverhavearelativelyhighUnethicalscoreof40%,slightlyworsethanthemediaplatformstheywritefor.SocialmediaplatformsFacebookandTwitterhavelowEthicalscores(22%and19%respectively)andhigherUnethicalscores(both39%),thoughLinkedInisseenasmoreEthicaloverall(32%Ethicalvs.18%Unethical)inthatspace.

Occupationsinthecorporatesectorscoredfairlyneutral,withEthicalscoresrangingbetween36%and26%(CompanySecretariesbeingthehighestscoringandDirectorsofforeigncompaniesbeingthelowest),and1in3ormorescoringthemasNeitherUnethicalnorEthical.ThemostseniorcorporateexecutivesdohoweverhavehighUnethicalscores(between30-37%Unethical),whilstDirectorsofForeignCompanieshavetheworstUnethicalscoreof43%,mirroringthepoorresultofthecompaniesthey workforwhichhavea47%Unethicalscore.

Withinkeybusinesssectors,RealEstateagentshavethelowestEthicalscore(23%)with1in2perceivingthemtobeUnethical,withLawyersbeingperceivedasslightlymoreEthical(32%Ethicalscore).Byindustry,thereisahighregardforFarmersandAgriculturalbusinesseswhoareperceivedasthemostEthical(witha67%Ethicalscore),followedbyCafesandrestaurants(56%Ethicalscore).TelecommunicationscompaniesareseenastheleastEthicalofthesectors(26%Ethicalscoreand42%Unethicalscore).



6

Ethicalbehaviourbysector(cont’d)

Thebanking,financeandinsurancesectorhasthelowestEthicsIndexscoreamongstallsectors(-5),thoughtheoccupationswithinitarenotnecessarilyratedaspoorly.AccountantsleadthesectorbybeingseenasEthicalby1in2respondents,whilstthelowestratedinthesector,MortgageBrokersareseenasEthicalby1in3.Byorganisationshowever,SuperFundsareseenasthemostEthical(41-47%Ethicalscore),RetailBanksandLifeInsurancecompaniesscorepoorly(29%and26%Ethicalscorerespectively), andPayDaylenderstheworstofallsectorssurveyed(63%Unethicalscore).

Relativeimportanceofethicalbehaviourbysector

TherankedimportanceofethicalbehaviourbysectorsconfirmsthestrengthofperceivedethicalstandardsofthesocialprofessionsofHealth,Education,andCharities/Not-for-Profitorganisations,indicatingahightrustandrespectforthesectors.Conversely,whilsttheGovernmentisheldtothehighestexpectationofethicalbehaviour(rankedasthenumber1sectorwhereethicalbehaviour isthemostimportant),itsperceivedethicalityisinsharpcontrasttoexpectations(Unethicalscoresbetween49%and55%forStateandFederalPoliticiansandParliaments),demonstratingamajorgapbetweenAustralians’expectationsoftheirGovernmentasopposedtotheiractualperceivedbehaviour,thisprovesagreatandimportantchallengetobeovercome.

Issuesandinfluences

Accountability(68%)andtransparency(63%)areseenbythemajorityasthetop2mostimportantelementstoensureethicalconductinsociety,followedbyhighlyethicalleaders(58%),whistle-blowerprotection(54%)andastronglegalframework(54%).Almost1in3feltthatoversightbyregulatorswaskey



7

Issuesandinfluences(cont’d)

Thetop5ethicalissuesinbusinessareperceivedinthefollowingorder– corruptionatnumber1(69%),followedbycompanytaxavoidance(61%),misleadinganddeceptiveadvertising(59%),bullyingintheworkplace(50%),anddiscriminationandexecutivepay(equallyat49%).

Thosewhoworkwithinorganisationsatthemostseniorlevelareseentohavethemostinfluence ontheiroverallethicalpracticesandoutcomes,withtheCEOandBoardofDirectorsunsurprisinglyseenasthemostinfluential(79%and77%“StrongInfluence”scorerespectively).Government/Laws/Regulationsareseenasbeingabletoexertthemostexternalinfluence(70%“StrongInfluence”score).

Australiansevidentlyexpectthehigheststandardsoftheirfinancialinstitutions,withthemajorityagreeingthatgoodcorporateandgovernancepractices(85%importancescore)andgoodcorporateculture(80%importancescore)areimportanttoensuringethicalbehaviourinthesector.Seniorleadershiparealsoexpectedtoensuregoodcorporateculture,whilstprotectionforwhistleblowers isseenasequallyimportant.

ThemajorityofAustraliansfeelthatexecutivesalariesandbonuses(60%and56%respectively)arethetopissuesofethicalimportancewithintheBankingandFinancesector,followedbybriberyandcorruption(48%)andtreatmentofcustomersandinsufficientregulation(45%and44%respectively).



8

Areasofethicalconsideration

1in2Australiansfeelthatimmigrationandeuthanasiaarethemostdifficultareastoethicallynavigate,followedbyindigenousaffairs.Theyarelessconflictedaboutenvironmentalcauses,potentiallyindicatingthatthoseareasareseenasmorestraightforwardtobedealtwith(viaavailabilityofunbiasedinformationandgoodunderstandingofallsidesofthestory).

Australiansaremostconcernedwithfuturedevelopmentsthatinvolvehumansinterferingwithnature’snaturalcourse,fromembryoexperimentation,togenemanipulationformedicaltreatments,artificialintelligenceandgeneticallymodifiedfood,40%andabovefeelthesearethemostdifficultchallengesofourtime.Issuesrelatingtotechnologyandtheinternetareseenassignificantlyeasiertotackle.

Australiansperceptionoftheethicsofindividualswhomthey'vehadpersonalcontactwith improvesonwhattheythinkoftheprofessionasawhole.Whilethemostethical(GP,Pharmacists)rateslightlyhigheronthepersonalcontact,thebestimprovementisforlawyers,banksandpoliticians.Lawyersandbanksmovetosomewhatethicalfromsomewhatunethical.

Australiansfrownupongambling sponsorshipandadvertisingduringevents(61%Unethicalscore),andequallyonstategovernments’relianceonbenefitingfromthegamblingsectorwhilstalsobeingtheregulator(bothalsowitha61%Unethicalscore).


BackgroundandFramework

Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

50% 50%

FemaleMale

18-25yrs16%

Gender

Age

WorkStatus

Student15%

Working59%

HomeDuties9%

Retired9%

NotEmployed6%

26-35yrs22%

36-45yrs22%

46-55yrs22%

56-65yrs18%

Householdstatus

Single

35%Coupleorsingleparentwith

childrenUnder18

25%

Coupleorsingleparentwith

childrenover18

7%

Coupleorsingleparentwith

childrenbothoverandunder18

6%

Couplewithnochildren

25%

Highschoolyear10/11 14%

HSC 12%

Tradecertificateordiploma 28%

Some universityorcurrentlystudyingundergraduate

9%

Bachelorsuniversitydegree 23%

Postgraduatedegree 11%

Othertertiary 3%

Other 1%

EducationSydney21%

Adelaide6%

OtherSA2% OtherNSW

11%

OtherQLD10%

(OtherWA/NT/TAS/ACT)7%

Brisbane10%

Melbourne19%

Perth8%

OtherVIC6%

Location

10

Other

2%

Background

Lessthan$25,000peryear 9%

$25,000-$39,999 peryear 14%

$40,000-$79,999 peryear 31%

$80,000-$119,999peryear 24%

$120,000-$149,999 peryear 12%

Over $150,000peryear 10%

HouseholdIncome

TheinauguralGovernanceInstituteEthicsIndexsurveywasconductedonlineamongstabroadspectrumofAustralians(tonationallyrepresentativeage,genderandlocationquotasbyABScensusdata)between16th Mayand5th June2016

10

15

20

10

15

10

30

30

40

20

20

20

30

20

11

Ethical(Net)

Unethical(Net)

NetScore

VeryunethicalSomewhatunethicalNeitherunethicalnorethicalSomewhatethical Veryethical

Statement1

Statement2

Statement3

20

30

30

50 30

40 10

30 0

5-pointscalewhere1=Very unethicaland5=Very ethical

11

Wherefiguresdonotsumto100,thisisduetotheeffectsofrounding

ChartHeading(%)

Q:QuestiontextBase:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

Summaryheadlinesummaryheadlinesummaryheadlinesummaryheadlinesummaryheadlinesummaryheadlinesummaryheadlinesummaryheadlinesummaryheadlinesummaryheadlinesummaryheadlinesummaryheadline

HowtoReadtheResults(ETHICSINDEX:80)

QuestiontextandTotalnumber ofrespondentswhoansweredthequestion

Colouroftextdependentonethicsindexscore

Netscore=Ethicalnet(4+5onscale)minusUnethicalnet(1+2onscale)

Statements,occupations,organisations,displayedby

descendingorderofscoreorrank

Figuresarein%andarerankedindescendingorderbynetscore

§ Moralprinciplesthatgovernaperson’sbehaviourortheconductingofanactivity(Oxforddictionary)

45%

§ Well-foundedstandardsofrightandwrongthatprescribeswhathumansoughttodo,usuallyintermsofrights,obligations,benefitstosociety,fairness,orspecificvirtues(Markkula CentreforAppliedEthics)

40%

§ Asetofconceptsandprinciplesthatguideusindeterminingwhatbehaviourhelpsorharmssentientcreatures(The ThinkersGuidetoEthicalReasoning,published2006)

12%

§ Noneoftheabove 3%

Q:Therearemanydefinitionsofethics.Belowareseveralcurrentdefinitionsthatmaybefound.Whichofthebelowmostcloselymatchesyourdefinitionofethics?/Q:Followingisanethicaldilemmascenarioswhichwewouldlikeyoutoreviewandconsider…whatisyouropiniononhowtodriverlesscarshouldreact?/Q:Howwouldyouratetheimportanceofethicstowell-functioningsociety?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

EthicsinGeneral

10 15 30 54

Important(Net)

Unimportant(Net)

10

EthicsinSociety(%)Net

Balance

84 74

UnderstandingOfEthics

Thecarshouldhavebeenprogrammedatthefactory…

Theoccupantshouldberequiredtosettheirpreferencesbeforeusingthecar…

…Theoccupantwouldbekilled

…Thechildwouldbehit

17%

25%

…Chosentoprotecttheoccupant 15%

43%…Chosentoprotectthechild

EthicalScenario

VeryUnimportantUnimportant NeutralImportantVeryImportant

“Youaretravellingalongasinglelanemountainroadinanewdriverlesscarthatisfastapproachinganarrowtunnel.Justbeforeenteringthetunnel,achildattemptstorunacrosstheroadbuttripsinthecentreofthelane,effectivelyblockingtheentrancetothetunnel.Thecarhasonlytwooptions:toeitherhitandunfortunatelykillthechild,ortoswerveintothewalloneithersideofthetunnel thusunfortunatelykillingyou.”

Importanceofethics

12

Australianshaveanunderstandingofethicsanditsmaindefinitions,with97%agreeingwiththethreeethicsdefinitionsinthe survey.84%rateethicsasimportantorveryimportanttoawell-functioningsociety.Whenanethicalscenariowasposed,themajority(60%)chosetotaketheselflessoption,andsafeguardthelifeofachildovertheirown.

41

32

17

8

Q:Haveyouhadanypersonalexperiencesinwhichyouhavefacedanethicaldilemma?/Q:Thinkingofthemostrecentethicaldilemmayouhavefaced,inwhichareadiditfall,andhowdifficultwasthedilemma?/Q:Havingfacedthatdilemmaandmadeadecision,wouldyounowchangeyouroriginaldecision?/Q:Whatisthemainreasonyouwouldchangeyourdecision?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

PersonalEthics

IncidenceofPersonalEthicalDilemma

56% saidthattheyhadfacedanethicaldilemmapersonally

7

9

11

18

16

21

21

23

30

31

28

27

20

18

15

20

4

4

5

4

NatureandDifficultyofDilemma(%)

27% saidthattheywouldnowchangetheiroriginaldecision

Havingfacedthatdilemmaandmadeadecision…

ReasonforChangingDecision(%)

Difficult(Net)

Easy(Net)

NetBalance

Financial

Work-related

Personal(non-family)matters/relationships

Familymatters/relationships

ExtremelydifficultVerydifficultSomewhatdifficultNotdifficultVeryeasy

Hindsightallowsmetoseeitwasthewrongdecision

Ididnothaveenoughinformationatthatpointintimetomakeaninformeddecision

Mypersonalbeliefs/valueshavechanged

Society’sbeliefs/valueshavechanged

23

30

31

42

24

23

19

15

1

-7

-12

-27

Other=3%

13

ThemajorityofAustralians(56%)havefacedanethicaldilemmapersonally,withfamilymattersbeingthemostdifficulttodeal with(42%difficult),followedbyotherpersonal(31%difficult)andwork-relatedmatters(30%difficult),withfinancialmattersbeingtheleastdifficultoftheirexperiences(23%difficult).Justover1in4wouldchangethedecisionstheyhadmadeinthosesituations,claimingthathindsightallowedthemtoseeitwasthewrongdecision(41%)orthattheydidn’thaveenoughinformationtomakeaninformeddecisionatthetime(32%)


WeightedIndexCalculation

Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)

GovernanceInstituteEthicsIndex2016Ve

ryEthical

Somew

hat

Ethical

Neither

Ethicalor

Unethical

Somew

hat

Unethical

Very

Unethical

100

80

60

40

20

0

-20

-40

-60

-80

-100

(OVERALLGOVERNANCE INSTITUTEETHICSINDEX2016:39)

OverallImportanceofEthics(74)

GovernanceInstitute EthicsIndex2016(39)

EthicsExpectationDeficit(-35)

Overall,AustraliansconsiderthatAustraliansocietyis“SomewhatEthical”(withanEthicsIndexscoreof39)whiletheOverallImportanceofEthicsIndexisscoredatamuchhigher74(representing“VeryEthical”).Thissuggeststhatthereisashortfallinactualethicalperformance(oraperceptionthereof)ofsomesectorsthatmaybecontributingtotheethicaldeficit.

OverallImportanceofEthics(74)

8069

60

37 35

1 -3 -5

Education Health Charities PublicService ProfessionalMembershipAssoc.

Media Corporate Banking


Overall,AustraliansconsiderthatAustraliansocietyis“SomewhatEthical”(withanEthicsIndexscoreof39)whiletheOverall ImportanceofEthicsIndexisscoredatamuchhigher74(representing“VeryEthical”).Thissuggeststhatthereisashortfallinactualethicalperformance(oraperceptionthereof)ofsomesectorsthatmaybecontributingtotheethicaldeficit.TheEducation,HealthandCharity/Not-for-Profitsectorsareperceivedas“VeryEthical”,whilsttheFinancialandCorporatesectorsarethelowestscoringandperceivedas“NeitherEthical orUnethical”(eachsector’sscoresrepresentthenetofthescoresoftheorganisationsandprofessionswithinthem)

GovernanceInstituteEthicsIndex2016Ve

ryEthical

Somew

hat

Ethical

Neither

Ethicalor

Unethical

Somew

hat

Unethical

Very

Unethical

100

80

60

40

20

0

-20

-40

-60

-80

-100Banking,

FinanceandInsurance

CorporateSector

MediaProfessionalMembershipAssociations

PublicService&Govt

Charities&Not-For-ProfitOrganisations

Health(e.g.hospitals,medicalpractitioners,pharmaco’s)

Education

(OVERALLGOVERNANCEINSTITUTEETHICSINDEX2016:39)

GovernanceInstitute EthicsIndex2016(39)

EthicalBehaviourbySector

UnweightedScores/Results

Q:Howwouldyouratethegenerallevelofethicalbehaviourwithineachofthefollowingbroadsectorsofsociety?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

2

2

2

2

4

2

7

16

17

17

19

5

6

8

8

13

15

20

26

28

32

36

15

19

18

31

33

39

29

25

22

25

23

40

48

42

41

38

35

33

25

24

19

16

38

25

31

17

12

9

10

8

9

6

5

Ethical(Net)

Unethical(Net)

NetScore

Sectors(%)Health

Education

Charities,Not-for-profitorganisations

Professionalmembershipassociations

PublicService

Smalltomediumenterprises

Tradeorworkerassociations

Government

Banking,Financeandinsurance

Largecorporations

Media

7

8

10

10

17

18

27

43

45

49

56


78 71

73 65

72 62

59 49

51 34

43 25

44 17

33 -10

33 -12

26 -23

22 -34

EthicalBehaviourofBroadSectors

18

Socialsectors(Health,Education,Charities/Not-for-ProfitOrganisations)havehighEthicalscores(above70%),indicatinghightrustandperceivedbehaviouralstandards,inlinewiththeirEthicsIndices.Conversely,theMediasectorandLargeCorporationsscorelowonbeing Ethical(under30%)andhighestonbeingUnethical(56%and49%respectively),indicatingverylowtrustandlowperceivedbehaviouralstandards

19Q:Withintheeducationsectors,howwouldyouratethelevelofethicalbehaviourofeachofthefollowinggroups?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

1

1

2

3

3

5

18

21

23

44

48

46

33

27

24

Ethical(Net)

Unethical(Net)

4

4

7

Organisations(%)

Occupations(%)

NetScore

77 73

75 71

70 63

1

1

2

2

3

5

3

5

3

8

12

16

21

24

27

24

26

28

48

50

49

48

43

38

26

20

20

18

17

12

5

6

5

10

15

21

74 69

70 64

68 63

66 56

59 44

50 29

Veryunethical SomewhatunethicalNeitherunethical norethical Somewhat ethical Veryethical

PrimarySchoolteachers

Secondaryschoolteachers

Professors/universitylecturers

Primaryschools

Publicsecondaryschools

TAFEs

Universities

Independent(private)secondaryschools

Privately-runcolleges

TheEducationsectorhasthehighestperceivedlevelofethicalbehaviourofallthesectors,witheveryorganisationandoccupationperformingattheSomewhatEthicalorVeryEthicallevel.Privately-runcollegeshoweverlowertheoverallsectorEthicalIndexscore,whichmayreflectrecentethicalscandalsengulfingthatsector

EducationSectorEthicalBehaviour(ETHICSINDEX:80)

1

2

2

2

2

1

3

2

3

3

4

6

7

9

12

16

16

17

20

25

25

34

39

42

41

43

46

41

51

40

37

36

28

22

22

2

2

3

9

10

15

5

5

10

23

24

27

23

22

26

30

29

25

41

46

39

28

29

23

30

25

22

9

8

8

20Q:Withinthehealthsector,howwouldyouratethelevelofethicalbehaviourofeachofthefollowinggroups?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

HealthSectorEthicalBehaviour

Ethical(Net)

Unethical(Net)

85 82

79 74

79 74

77 71

72 64

68 60

63 51

3

5

5

6

8

8

12

Organisations(%)

NetScore

Nurses

Veterinarians

Pharmacists

GPs

Dentists

Ancillaryserviceproviders

Funeraldirectors

Pathologyservicesspecialists

Publichospitals

Privatehospitals

Naturalhealthcompanies

Healthfunds

Pharmaceuticalcompanies

6

7

14

33

35

43

70 64

71 64

61 47

37 4

37 2

32 -11


Occupations(%)

(ETHICSINDEX:69)EthicalbehaviourinHealthsectoroccupationsisperceivedtobeVeryEthicalorSomewhatEthical(allabove60%).Fororganisationsinthesector,whilstHospitalsandPathologyServicesaresimilarlyperceivedasEthical(allabove60%),opinionsarepolarisingforPharmaceuticalCompanies,HealthFunds,andNaturalHealthCompanies,wheretheyareequallyseenasEthical(between32-37%)aswellasUnethical(between33-43%).This,inasectorratedoneofthemostethical(EthicalIndexscore69),theperformanceofpharmaceuticalcompaniesisincongruous

2

2

1

1

6

8

13

5

5

5

6

11

21

21

18

17

24

32

26

34

32

42

41

40

45

38

29

27

33

34

29

16

19

8

8

Medicalcharities(e.g.CancerCouncil)

Socialwelfarecharities(e.g.theSmithFamily)

RSL/Ex-servicesclubs

Amateursportsclubs

Indigenouscharities

ProfessionalSportsClubs(e.g.NRL,AFL,FFA)

Unions

Q:Withinthecharityandnot-for-profitsector,howwouldyouratethelevelofethicalbehaviourofeachofthefollowinggroups?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

Ethical(Net)

Unethical(Net)

NetScore


7

8

7

7

17

29

34

75 68

75 67

70 63

61 54

57 40

37 8

34 0

21

WithintheCharityandNot-for-Profitsectors,MedicalCharities,SocialWelfareCharitiesandRSLsareheldinhighethicalregard(70%andaboveEthicalscore)whilstTradeUnionsandProfessionalSportsClubsarebothhighlypolarising,with1in3perceivingthemtobeNeitherUnethicalnorEthical,andopinionsamongsttheothertwothirdsdividedbetweenEthicalandUnethical

CharityandNot-for-ProfitSectorEthicalBehaviour(ETHICSINDEX:60)

Organisations(%)

1

1

3

6

6

9

17

22

25

2

2

9

16

21

21

30

33

30

10

11

22

38

37

34

26

25

23

30

35

42

32

29

32

21

17

17

57

51

24

7

6

5

6

4

5

Fireservices

Ambulanceservices

Police

Statepublicservants

Federalpublicservants

Localcouncilpublicservants

Localpoliticians

Statepoliticians

Federalpoliticians

16

20

23

24

29

28

28

27

25

26

20

19

6

4

5

Q:Withinthepublicserviceandgovernmentsectors,howwouldyouratethelevelofethicalbehaviourofeachofthefollowinggroups?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

Ethical(Net)

Unethical(Net)

40

49

51

Organisations(%)

Occupations(%)

NetScore

32 -8

25 -24

24 -27


Local councilsandshires

State Parliament

FederalParliament

3

3

12

23

27

30

47

54

55

87 84

86 83

66 54

39 16

35 8

37 7

27 -20

21 -33

22 -33

22

FireandAmbulanceservicesareratedasthemostethicaloccupationswithinthePublicSector(86%and87%Ethicalscore),whilstthereisalargegapbetweenthemandthePoliceforce,whotrailbehindwitha66%Ethicalrating.StateandFederalParliamentsareseenasUnethicalby1in2,whilstStateandFederalPoliticiansarealsoseenassimilarlyunethical,notablytheworstratedoccupations,loweringthe EthicalIndexscoreofthissectorsignificantly

PublicServiceandGovernmentSectorEthicalBehaviour(ETHICSINDEX:37)

333

23

73

25

56

61111129

18

755

9912

1216

121516

221919202424

2231343334283935434138373839353433

37424140

3435

313533

302726242428

2418

311918

1520

1714127

1012

10875

87

Q:Withinthememberassociationssector,howwouldyouratethelevelofethicalbehaviourofeachofthefollowinggroups?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

Ethical(Net)

Unethical(Net)

NetScore


AustralianMedicalAssociation

NationalFarmersFederation

EngineersAustralia

InstituteofCharteredAccountantsAustraliaandNewZealand

CPAAustralia

LawSociety

GovernanceInstituteofAustralia

MasterBuildersAustralia

AustralianHotelsAssociation

BusinessCouncilofAustralia

FinancialPlanningAssociation

AustralianInstituteofCompanyDirectors

MWU

HSU

AWU

RealEstateInstitute

CFMEU

10

7

8

12

11

19

15

18

17

19

22

28

30

30

32

34

42

68 58

62 55

58 50

55 43

54 43

52 33

45 30

47 29

39 22

40 21

40 18

35 7

32 2

31 1

33 1

32 -2

25 -17

23

Ethicalbehaviourinmembershipassociationsismixed.TherespectseenfortheMedicalsectorresultsintheAustralianMedical AssociationbeingscoredthemostEthicaloftheassociations(68%Ethicalscore),whilstNationalFarmersFederationandEngineersAustraliacome insecondandthird(62%and58%Ethicalscorerespectively).Itisworthnotingthatmemberassociationsareratedonlybythoseawareoftherespectiveassociations

MemberAssociationsEthicalBehaviour(ETHICSINDEX:35)

Organisations(%)

3

5

4

5

8

8

9

10

9

13

12

9

16

16

13

20

25

28

30

26

26

27

27

41

42

50

43

35

39

32

44

39

42

42

31

32

25

23

26

21

23

17

18

15

19

8

6

7

6

6

4

5

3

4

4

Ethical(Net)

Unethical(Net)

NetScore

MediaPlatforms(%)

ABCchannel

Free-to-airTV

Radio

LinkedIn

PayTV(e.g.Foxtel)

Newspaper

Magazine

Journalists

Onlinemedia(blogs,websites,etc.)

Facebook

Twitter

61 49

39 19

38 18

32 14

29 1

32 -1

25 -11

28 -12

21 -14

22 -17

19 -20


Q:Withinthemediasector,howwouldyouratethelevelofethicalbehaviourofeachofthefollowinggroups?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

12

20

20

18

28

33

36

40

35

39

39

24

AustraliansratetheABCasthemostEthicalmediaplatform(61%Ethicalscore).Free-to-airTVandRadiocomeinbehindwithan Ethicalscoreof39%and38%respectively,whilstscoresforothertraditionalmediaNewspapersandMagazinesaremoredivided(Ethicalscores between25-32%contrastedwithUnethicalscoresbetween33-36%).JournalistshoweverhavearelativelyhighUnethicalscoreof40%,slightlyworsethanthemediaplatformstheywritefor.SocialmediaplatformsFacebookandTwitterhavelowEthicalscores(22%and19%respectively)andhigherUnethicalscores(both39%),thoughLinkedInisseenasmoreEthicaloverall(32%Ethicalvs.18%Unethical)inthatspace

MediaSectorEthicalBehaviour(ETHICSINDEX:-5)

5

8

17

17

21

30

39

41

32

31

26

17

7

4

4

25Q:Withinthecorporatesector,howwouldyouratethelevelofethicalbehaviourofeachofthefollowinggroups?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

5

7

7

9

9

10

15

17

22

26

26

27

28

28

42

35

32

34

35

33

31

29

28

26

26

23

22

21

7

8

8

5

7

7

5

Ethical(Net)

Unethical(Net)

36 14

36 6

34 -

31 -4

29 -7

29 -8

26 -17

22

30

34

35

36

37

43

23

29

47

Organisations(%)

Occupations(%)

NetScore

38 15

30 1

21 -26


Companysecretaries

DirectorsofAustraliancompanies

CFO

CEO/ManagingDirectors

Chairmanofcompanies

Seniorexecutives

Directorsofforeigncompanies

Australianlistedpubliccompanies

Australianunlistedandprivatecompanies

ForeigncompaniesoperatinginAustralia

OccupationsintheCorporatesectorscoredfairlyneutral,withEthicalscoresrangingbetween36%and26%(CompanySecretariesbeingthehighestscoringandDirectorsofforeigncompaniesbeingthelowest),and1in3ormorescoringthemasNeitherUnethicalnorEthical.ThemostseniorcorporateexecutivesdohoweverhavehighUnethicalscores(between30-37%Unethical),whilstDirectorsofForeignCompanieshavetheworstUnethicalscoreof43%,mirroringthepoorresultofthecompaniestheyworkforwhichhavea47%Unethicalscore

CorporateSectorEthicalBehaviour(ETHICSINDEX:-3)

2

1

3

3

7

6

9

13

13

6

6

16

17

20

21

24

23

30

24

36

41

42

40

40

35

37

31

44

45

34

31

27

28

26

22

21

23

12

8

7

6

6

6

5

5

26Q:Withinthebusinesssectors,howwouldyouratethelevelofethicalbehaviourofeachofthefollowinggroups?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

BusinessSectorEthicalBehaviour

14

20

25

31

29

27

23

18

8

4

Ethical(Net)

Unethical(Net)

40

50

8

7

18

21

27

27

34

36

42

Sectors(%)

Occupations(%)

NetScore

32 -8

23 -27

67 59

56 49

41 23

38 17

33 6

33 6

32 -2

28 -8

26 -16


Farmersandagriculturalbusinesses

Cafesandrestaurants

Retailers

Manufacturingcompanies

Constructioncompanies

Hotels,pubsandnightclubs

Energyandwatercompanies

Resourcecompanies

Telecommunicationcompanies

Lawyers

Realestate agents

Withinkeybusinesssectors,RealEstateagentshavethelowestEthicalscore(23%)with1in2perceivingthemtobeUnethical, withLawyersbeingperceivedasslightlymoreEthical(32%Ethicalscore).Byindustry,thereisahighregardforFarmersandAgriculturalbusinesseswhoareperceivedasthemostEthical(witha67%Ethicalscore),followedbyCafesandrestaurants(56%Ethicalscore).TelecommunicationscompaniesareseenastheleastEthicalofthesectors(26%Ethicalscoreand42%Unethicalscore)

3

6

8

9

8

8

14

18

19

21

23

24

36

36

34

33

36

37

36

32

30

30

26

25

11

9

8

7

6

6

Accountants

Taxagents

Bankmanagers

Financialplanners

Fundsmanagers

Mortgagebrokers

47 30

40 16

38 10

37 7

32 1

31 -1

27Q:Withinthebanking,financeandinsurancesector,howwouldyouratethelevelofethicalbehaviourofeachofthefollowinggroups?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

Ethical(Net)

Unethical(Net)

Organisations(%)

Occupations(%)

NetScore

17

24

28

30

31

32


Banking,FinanceandInsuranceSectorEthicalBehaviour(ETHICSINDEX:-5)

65

111212

1015

36

1214

2320232827

27

3539364036333221

3431

23202323

2013

1210

8866

53

18

20

33

31

35

38

42

63

47 29

41 21

30 -3

28 -3

29 -6

29 -9

26 -16

16 -47

Industrysuperfunds

Independentsuperfunds

Otherinsurancecompanies

Stockexchange

Investmentbanks

Retailbanks

Lifeinsurancecompanies

Paydaylenders

TheBanking,FinanceandInsurancesectorhasthelowestEthicsIndexscoreamongstallsectors(-5),thoughtheoccupationswithinitarenotnecessarilyratedaspoorly.AccountantsleadthesectorbybeingseenasEthicalby1in2,whilstthelowestratedinthesector,MortgageBrokersareseenasEthicalby1in3.Byorganisationshowever,whilstSuperFundsareseenasthemostEthical(41-47%Ethicalscore),RetailBanksandLifeInsurancecompaniesscorepoorly(29%and26%Ethicalscorerespectively),andPayDaylenderstheworstofallsectorssurveyed (63%Unethicalscore)

RelativeImportanceofEthicalBehaviourbySector


29

3

7

3

5

12

15

6

5

13

16

14

7

26

11

13

17

18

19

19

31

32

26

32

23

49

54

48

48

54

55

44

41

50

33

27

27

21

15

15

17

18

9

7

9

26

37

8

8

6

4

4

2

2

2

1

ImportanceRankingofEthicalBehaviourbySector

ImportanceRankingofEthicalBehaviour(%)

Q:Pleaseranktheimportanceofethicalbehaviourwithinthefollowingbroadsectorsofsociety,where1isforthesectorwhereethicalbehaviourismostimportant,and11isforthesectorwhereethicalbehaviourisleastimportantBase:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=239– questioninsertedattailendoffieldwork)(excludesNoOpinionandDKforeachstatement)

Health

Government

Education

Banking,financeandinsurance

Charitiesandnot-for-profitorganisations

Media

Largecorporations

Publicservice




MostimportantLeastimportant

12-34-89-1011

TherankedimportanceofethicalbehaviourbysectorsconfirmsthestrengthofperceivedethicalstandardsofthesocialprofessionsofHealth,Education,andCharities/Not-for-Profitorganisations,indicatingahightrustandrespectforthesectors.Conversely,whilsttheGovernmentisheldtothehighestexpectationofethicalbehaviour(rankedasthenumber1sectorwhereethicalbehaviouristhemostimportant),itsperceivedethicalityisinsharpcontrasttoexpectations(Unethicalscoresbetween49%and55%forStateandFederalPoliticiansandParliaments),demonstratingamajorgapbetweenAustralians’expectationsoftheirGovernmentasopposedtotheiractualperceivedbehaviour,thisprovesagreatandimportantchallengetobeovercome

IssuesandInfluences


Q:Fromthelistbelow,pleasenominateyourtop5elementsforensuringethicalconductinsociety.Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNotsure/Don’tknow)

EthicalConductinSociety

24

30

40

45

54

54

58

63

68Accountability

Transparency

Highlyethicalleaders

Whistle-blowerprotection

Astronglegalframework

Strong,inquisitivemediatoexposeunethicalbehaviour

Financialpenalties

Oversightbyregulators

Oversightbymemberassociationswithdisciplinaryactions

Top5elementsensuringethicalconduct(%)

31

Other=2%

Accountability(68%)andtransparency(63%)areseenbythemajorityasthetop2mostimportantelementstoensureethicalconductinsociety,followedbyhighlyethicalleaders(58%),whistle-blowerprotection(54%)andastronglegalframework(54%).Almost1in3felt thatoversightbyregulatorswaskey

Q:Inbusiness,whatarethetop5issuesrelatingtounethicalbehaviour?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNotsure/Don’tknow)

EthicalIssuesinBusiness

25

31

32

35

40

49

49

50

59

61

69Corruption

Companytaxavoidance

Misleadinganddeceptiveadvertising

Bullyingintheworkplace

Discrimination

Executivepay

Environmentalresponsibility

Humanrights

Workplacehealthandsafety

Companytaxminimisation

Treatmentofsuppliers

Top 5IssuesRelatingtoUnethicalBehaviour (%)

Other=1%

32

Thetop5ethicalissuesinbusinessareperceivedinthefollowingorder– corruptionatnumber1(69%),followedbycompanytaxavoidance(61%),misleadinganddeceptiveadvertising(59%),bullyingintheworkplace(50%),anddiscriminationandexecutivepay(equallyat49%)

InfluenceofRolesonOrganisationalEthics

2

2

1

2

3

2

5

8

9

9

7

5

4

4

5

6

11

15

17

19

20

21

15

18

20

19

21

26

27

28

31

33

36

34

38

45

39

40

38

35

32

31

30

27

45

39

29

35

30

23

17

15

10

9

8

Strong(Net)

Weak(Net)

NetScore

Influence onEthics(%)CEO

BoardofDirectors

Seniormanagement

Chairman

Government/Laws/Regulations

Shareholders/Owners

Customers

Thepublic

Generalworkforce

Activistgroups

Suppliers

79 73

77 72

74 68

74 67

70 61

61 48

52 31

47 22

41 13

38 9

35 7

Q:Thinkingaboutorganisationsgenerally,howmuchinfluencedoyoufeelthefollowinggroupshaveontheoverallethicalpracticesandoutcomesoftheorganisation?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

6

5

6

7

9

13

21

25

28

29

28

Veryweakinfluence SomewhatweakinfluenceNeitherweaknorstrong influence SomewhatstronginfluenceVerystronginfluence

33

Thosewhoworkwithinorganisationsatthemostseniorlevelareseentohavethemostinfluenceontheiroverallethicalpracticesandoutcomes,withtheCEOandBoardofDirectorsunsurprisinglyseenasthemostinfluential(79%and77%“StrongInfluence”scorerespectively).Government/Laws/Regulationsareseenasbeingabletoexertthemostexternalinfluence(70%“StrongInfluence”score)

5

9

1

1

9

10

28

25

56

55

Q:Howimportantisgoodcorporateculturetoensuringethicalbehaviourwithinthebankingandfinancesector?/Q:Howimportantisgoodcorporategovernancepracticesandstructurestoensuringethicalbehaviourwithinthebankingandfinancesector?/Q:Howimportantisleadershipfromtheboardandseniormanagementtoensuringthatagoodcorporatecultureisinplaceinthebusinesssector?/Q:Howimportantistohave in placeprotectionfor“whistleblowers”?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

TopicalQuestions

Importance(Net)

Unimportance(Net)

6

10

BankingandFinanceSector(%)NetScore

85 79

80 70Importanceofgoodcorporateculture

Importanceofgoodcorporateandgovernance practicesandstructure

BusinessSector(%) Whistleblowers (%)

4 29 29 56

Unimportance(Net)

Importance(Net)

NetScore

Importanceofleadershipfromtheboardandseniormanagementtoensuringgoodcorporateculture

42 1124 60

Unimportance(Net)

Importance(Net)

NetScore

Importanceofprotectionfor‘whistleblowers’

VeryUnimportantUnimportant Neutral Important VeryImportant

VeryUnimportantUnimportant NeutralImportantVeryimportant VeryUnimportantUnimportant NeutralImportantVeryimportant

6 85 79 5 83 78

34

Australiansevidentlyexpectthehigheststandardsoftheirfinancialinstitutions,withthemajorityagreeingthatgoodcorporateandgovernancepractices(85%importancescore)andgoodcorporateculture(80%importancescore)areimportanttoensuringethicalbehaviourinthesector.Seniorleadershiparealsoexpectedtoensuregoodcorporateculture,whilstprotectionforwhistleblowers isseenasequallyimportant

Q:Pleasenominatethetop5issuesofimportance,inyouropinion,relatingtounethicalbehaviourinthebankingandfinancesectorBase:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNotsure/Don’tknow)

15

17

18

19

19

24

26

32

34

40

44

45

48

56

60

Top5Issues andInfluencesRelatingtoUnethical

Behaviour inBanking &FinanceSector (%)

35

Executivesalaries

Executivebonuses

Briberyandcorruption

Treatmentofcustomers

Insufficientregulation

Lackofgovernmentaction

Poorcorporategovernance

Poorcorporateculture

Financialplannercommissions

Lackofcompetition

Markettraderbonuses

Financialmarkettradersalaries

Lackofleadershipfrombankchiefexecutives

Lackofleadershipfrombankmanagement

Lackofleadershipfrombankboards

IssuesandInfluencesinBankingandFinanceSector

Other=2%

ThemajorityofAustraliansfeelthatexecutivesalariesandbonuses(60%and56%respectively)arethetopissuesofethical importancewithintheBankingandFinancesector,followedbybriberyandcorruption(48%)andtreatmentofcustomersandinsufficientregulation(45% and44%respectively)

AreasofEthicalConsideration


Q:Giventhatmakinggoodethicaldecisionsrequiresagoodunderstandingofbothsidesofasubjectandaccesstounbiasedinformation,whichofthefollowingareasdoyoufeelareethicallydifficulttonavigate?Pleasenominateupto5.Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNotsure/Don’tknow)

NavigatingEthicsinSpecificAreas

17

20

22

24

25

29

34

35

36

37

40

49

52Immigration

Euthanasia

Indigenousaffairs

Governmentpolicies

BusinesspracticesofforeigncompaniesoperatinginAustralia

Terrorism

ForeigninvestmentinAustralia

Socialsecurity

Foreigninvestment

ClimateChange

Environment

BusinesspracticesofAustraliancompanies

Renewableenergy

Top5AreasofDifficultyforEthicalNavigation(%)

37

1in2Australiansfeelthatimmigrationandeuthanasiaarethemostdifficultareastoethicallynavigate,followedbyindigenousaffairs.Theyarelessconflictedaboutenvironmentalcauses,potentiallyindicatingthatthoseareasareseenasmorestraightforwardtobedealt with(viaavailabilityofunbiasedinformationandgoodunderstandingofallsidesofthestory)

Q:Howwouldyouratethelevelofethicaldifficultyofthefollowinglikelyfuturedevelopments?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNotsure/Don’tknow)

EthicalDifficultyofFutureDevelopments

5

6

9

11

14

18

19

21

28

11

15

12

18

18

22

23

25

28

38

32

35

42

39

34

35

32

28

34

31

33

22

21

19

17

16

11

13

16

11

8

7

7

6

6

5

Easy(Net)

Difficult(Net)

NetScore

FutureDevelopments(%)

ExtremelydifficultVerydifficultSomewhatdifficultNotdifficultVeryeasy

Crowdsourcingappse.g.Uber,Airbnb

Increasedconnctednesstotheinternet

Virtualreality

Useofbigdatatotargetconsumers

Drones

Geneticallymodifiedfood

Artificialintelligence

Genemanipulationformedicaltreatments

Embryoexperimentation

15

21

21

29

33

40

42

46

56

47 32

47 26

44 23

30 1

29 -4

26 -14

23 -19

23 -23

16 -40

38

Australiansaremostconcernedwithfuturedevelopmentsthatinvolvehumansinterferingwithnature’snaturalcourse,fromembryoexperimentation,togenemanipulationformedicaltreatments,artificialintelligenceandgeneticallymodifiedfood,40%andabovefeelthesearethemostdifficultchallengesofourtime.Issuesrelatingtotechnologyandtheinternetareseenassignificantlyeasierto tackle

Q:Howwouldyouratethelevelofethicalbehaviourofthefollowingpeoplethatyoumayhavecontactwith?Pleaserateonlythosethatyoudohavepersonalcontactswith.Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

1

2

2

2

4

5

5

11

13

11

3

2

4

4

11

12

9

20

19

22

11

16

16

28

30

29

35

33

33

32

33

35

43

38

32

38

31

28

27

27

52

46

35

27

23

16

20

9

8

7

Ethical(Net)

Unethical(Net)

NetScore

PeopleinPersonalContact(%)Yourdoctor(GP)

Yourpharmacist

Nearestlocalhospital

Youraccountant

Yourlawyer

Yourbank

Yourfinancialplanner

YourlocalmemberofStateParliament

YourlocalmemberofFederalParliament

Yourelectedlocalcouncillors

4

4

6

6

15

17

14

31

32

34

84 80

80 76

78 72

65 59

55 40

55 38

51 37

36 5

35 3

34 -


39

EthicalBehaviourofPeopleinPersonalContactWithAustralians’perceptionoftheethicsofindividualswhomthey’vehadpersonalcontactwithdoesnotvarywildlyfromwhattheythinkoftheirsector/professionasawhole,doestheirpersonalexperiencecolourtheirperception,ordotheirpre-conceivednotionscolourtheirperceptionofpersonalexperiences?

Q:Howwouldyouratethelevelofethicalbehaviourofeachofthefollowingsituations?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

EthicalBehaviourinParticularSituations

23

19

20

19

51

20

28

31

39

23

27

34

36

30

16

24

12

9

9

7

6

7

4

4

3

Ethical(Net)

Unethical(Net)

NetScore

ParticularSituations(%)

Selling uranium to a country that has signed the Nuclear Non-Proliferation Treaty

Opposition political parties and independents blocking legislation of a party which has won

government

Categorising someone who offers an opposing view (e.g. calling them greenie or climate-denier)

Taking a sick day when not actually sick

Selling uranium to a country that has not signed the Nuclear Non-Proliferation Treaty


43

46

50

58

74

30 -13

20 -26

14 -36

12 -46

10 -64

40

Australiansgenerallyrateeachofthesituationsasmoreunethicalthanethical,thoughtheyhaveastrongerresponsetoanissuethatisclosertotheireverydaylife,suchastakingasickdaywhennotactuallysick,58%perceivedthisbehaviourtobeunethical

SomekeyethicalconcernsfacingAustraliansinclude(butarenotlimitedto)…

Q:Ifyouhaveanyotherethicaldilemmasorissuesthatyouareconcernedabout,pleaseprovideashortdescriptionherebelow.Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)

OtherEthicalConcerns

HighlightsofSomeKeyEthicalConcernsExpressed

AbigethicaldilemmaIhaveissellingourlandtooverseasbuyers,othercountriestheUK&Canadaespeciallyhavenowstoppedor

slowedthispractice,whyarewesoslowtoreact?

Thesamesexmarriageissue:people’sreligiousbeliefsand

freedomofreligionarethreatenedwithoutanyprotectionsandthis

willreflectinotherissues

Ongoingethicaldilemmasatwork,manypracticesbyothermembersofstaffare

unethical.Iamtryingtogainmoreconfidencetospeakup,asjustbyactingethicalwithinmyworkplaceisnotenoughtoencourageothers

toworkethically

Thegovernmentexistsformostparttobenefititselfandthemembersofthe

parliament.Itisgreatlyunbalancedandmanyofitspoliciesarenotonlyunfairbutoutrightridiculous.Ethicswithinthistypeoforganisedenvironmentare

purelyforshow

41

Housing

Discrimination

Workplace

Politics e.g.

e.g.

e.g.

e.g.

““

“

“

”

”

”

”

27

30

33

34

27

31

28

28

29

24

24

25

13

13

11

10

3

3

4

4

Sponsorshipofprofessionalsportingevents(e.g.AustralianOpentennis)

bygamblingcompanies

Stategovernmentsbeingboththeregulatorofgamblingand

beneficiaryofgamblingtaxes

RelianceofStateGovernmentbudgetsongambling

Advertisingofgamblingservicesduringasportingeventormatch

Australiansfrownupongamblingsponsorshipandadvertisingduringevents(61%Unethicalscore),andequallyonstategovernments’relianceonbenefitingfromthegamblingsectorwhilstalsobeingtheregulator(bothalsowitha61%Unethicalscore)

Q:Thinkingaboutthegamblingsector,howwouldyouratetheethicalityofeachofthefollowing?Base:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=1001)(excludesNoOpinionandDKforeachstatement)

EthicalityofIssueswithinGamblingSector

Ethical(Net)

Unethical(Net)Ethicality Ratings(%)

NetScore


54

61

61

61

17 -37

16 -45

15 -46

14 -47

42

Appendix

AustralianEthicsIndex2016(39)

OverallImportanceofEthicsIndex(74)



-48-36

-19 -17

22

47 49

72 79

82 86

Media LargeCorp Banking Govern't TraderAssoc. Small-MediumEnterprises

PublicService ProfessionalMembership

Assoc.

Charities Education Health

VeryEthical

Somew

hat

Ethical

Neither

Ethicalor

Unethical

Somew

hat

Unethical

Very

Unethical

100

80

60

40

20

0

-20

-40

-60

-80

-100Media Large

CorporationsBanking,Finance&Insurance

Government TradeorWorker

Associations

SmalltoMedium

Enterprises

PublicService

ProfessionalMembershipAssociations

Charities&Not-For-ProfitOrganisations

Education Health(e.g.hospitals,medical

practitioners,pharmaco’s)

WhilsttheGovernance InstituteEthicsIndexismadeupoftheEthicsscoresofkeysectorsinsociety,andeachofthosesectors’scoresrepresentthenetscoresoftheorganisationsandprofessionswithinthem,thischartplotsthescoresthatAustraliansnominatedforeachofthese detailedsectorsatanoveralllevel.Atanoveralllevel,Health,EducationandCharities/Not-for-ProfitandProfessionalMembershipAssociationsareperceivedas“VeryEthical”,whilstMediaandLargeCorporationsare“SomewhatUnethical”.TheGovernmentisrankedas“NeitherEthicalorUnethical”,whichismarkedlylower thanits“SomewhatEthical”scorewhencombinedwiththePublicServicesectorandrankedthroughtheorganisationandoccupationsthatmakethemup.

(OVERALLAUSTRALIANETHICSINDEX2016:39)

45

1

1

2

2

1

3

10

17

17

21

25

2

3

7

9

10

10

24

22

42

37

33

16

31

34

66

67

70

52

53

37

38

35

30

52

38

18

17

15

11

7

3

4

5

51

13

18

5

4

2

3

1

1

1

1

Health

Education

Charities,Not-for-profitorganisations



Publicservice

Banking,financeandinsurance


Media

Largecorporations

Government

Q:Forthefollowingbroadsectorsofsociety,pleaseranktheirlevelofethicalbehaviour,where1displaysthemostethicalbehaviourand11displaystheleastethicalbehaviourBase:Australians18-65,GovernanceInstituteEthicsIndexJuly2016(n=762– questionreplacedattailendoffieldwork)(excludesNoOpinionandDKforeachstatement)

EthicalBehaviourRankingofSectors

DisplayofEthicalbehaviour(%) Leastethical Mostethical12-34-89-1011

HealthandCharities/Not-for-profitorganisationsareseentoadheretohighestethicalstandardofbehaviours,with1in2AustraliansratingtheHealthsectorasmostethicalandanother30%ratingitasEthical,and56%ratingCharities/Not-for-profitorganisationsasEthical.TheMedia(59%Unethicalscore),GovernmentandLargeCorporations(bothhavea58%Unethicalscore)areseentohavethelowestethicalstandardsandbehaviouroverall


END

Governance Institute Ethics Index 2016 - Industry … Institute Ethics Index 2016 7 Issues and influences (cont’d) The top 5 ethical issues in business are perceived in the following

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