Perceived ethics training and workplace behavior: the mediating role of perceived ethical culture

The purpose of this study is to examine the impact of ethics training (ET) on workplace behaviors. The study also aims to test the mediating effect of ethical culture (EC), on the relationship between ET and workplace behaviors.

An experimental model has been developed to address the problem statement. The success of ET intervention has been measured in terms of workplace behavior, which is evaluated by job satisfaction, employee commitment and intention to stay. The proposed research model is empirically tested by data collected from 175 mid-level managers in 30 Indian construction firms.

The results obtained from process macro showed partial mediation. Stronger perceptions of ET were associated with stronger perceptions of EC. EC is related to positive workplace behavior.

The partial mediation suggests that there is a need for exploring other potential mediating variables through which ET interventions can succeed. Future research can investigate group-level variables such as team psychological safety, which can potentially explain the complete mediation.

The results suggest that ET interventions can be used to strengthen the EC in the firms. If the ET intervention is designed purely on the compliance orientation, it will impede the opportunities for long-term development. The focus should not be with the intent to observe ethical conduct. It should be more inclusive and value-oriented. Firms need to sensitize employees and train them on how to deal with ethical dilemmas. Employees are inclined to study in the firms exhibiting a strong EC. In the construction sector, where multiple projects are handled by employees with unique and niche skill sets, retainment of employees is very important. The human resource departments need to think of introducing ET interventions not only from the study of compliance adherence but also with the motive of retaining employees.

The ET literature seldom discussed long term benefits related to creating an EC. The study critiques the intent of human resource (HR) departments while designing an ET intervention. The ethics intervention is often designed with an intent to fulfill the compliance requirements. This study contrasts this intention and shows the importance of ET intervention to create the EC in the firm, which not only includes compliance requirements like code of conduct but also has a significant focus on sensitizing employees about ethical dilemmas and grey areas.