Netherlands

Ethics at Work Index: 80.6

This year, the IBE surveyed Dutch employees for the first time and the results show some positive indicators of an ethical culture at work. For instance, a very low percentage of employees report feeling pressured to compromise their organisation’s standards of behaviour and they are less likely than average to think that their line manager rewards good results even when they are achieved through practices that are ethically questionable. In terms of the ethics programme, a notable proportion of employees are aware of written standards of ethical behaviour, such as a code of ethics, or a means of reporting misconduct confidentially in their organisation.

However, ethics training seems to be relatively rare, especially if compared with some other countries. Perhaps more investments in dedicated ethics training might help improve employees’ views on some indicators about the ability of their manager to demonstrate their commitment to ethics, which are currently relatively low compared to some other countries. Dutch employees are also among the least likely to agree that their organisation disciplines those who breach its ethical standards, which might indicate another area of focus for Dutch organisations going forward.

Organisational culture

In 2021, the vast majority (80%) of Dutch employees say that honesty is practised always or frequently in their organisation. However, this figure is one of the lowest among all countries surveyed, alongside South Africa.
The percentage of Dutch employees who have felt pressured to compromise their organisation’s standards of behaviour is the second lowest of all countries surveyed, alongside Germany (6%). The only country where it is lower is Switzerland (3%). The main sources of pressure for employees in the Netherlands come from being asked to take shortcuts and time pressures/unrealistic deadlines (both at 34%).
18% of employees in the Netherlands say that they have been aware of misconduct during the past year at work, which is in line with the global average (18%).

Speaking Up

In the Netherlands, 53% of employees that have been aware of misconduct at work have spoken up about it with management, another appropriate person, or through any other mechanism.
The main reasons why employees do not raise their concerns are that they did not want to be seen as a troublemaker by management and that they felt it might alienate them from their colleagues (both at 21%).
About two fifths (41%) of Dutch employees who raised their concerns about misconduct they had been aware of, say that they have experienced retaliation for doing so. The global average is 43%.
Dutch employees who have spoken up about the misconduct they have been aware of are among the most likely to say that they are satisfied with the outcome (65%), alongside the UK (65%), the US (75%) and Spain (73%).

The ethics programme

Employees in the Netherlands are less likely than average to say that they are aware of two of the four building blocks of an ethics programme considered, namely of written standards of ethical business conduct and ethics training. The only exceptions are the provision of a means to report misconduct confidentially (60%), which is higher than the global average (57%), and an information helpline to get advice on ethics, which is in line with the global average.
Only 29% of Dutch employees say that they are aware of ethics training provided by their organisation, which is significantly lower than the global average (52%).

Embedding ethics through a supportive environment

In the Netherlands, 67% of employees say that their line manager sets a good example of ethical business behaviour (the global average is 71%), 54% say that their line manager explains the importance of honesty and ethics in the work they do (the global average is 65%), 61% say that their line manager supports them in following their organisation’s standards of ethical behaviour (the global average is 68%), and 69% say that senior management takes ethics seriously in their organisation (the global average is 70%). 28% also say that their line manager rewards employees who get good results, even if they use practices that are ethically questionable (the global average is 32%).
75% of Dutch employees say that their organisation acts responsibly in all its business dealings and 71% that it lives up to its stated policy of social responsibility (the global average is 76% and 71% respectively).
In the Netherlands, 76% of respondents say that people in their organisation know what is expected of them in terms of ethical behaviour (78% global average), 68% say that in their organisation decisions about people are made fairly (65% global average) and 57% say that issues of right and wrong are discussed in staff meetings (58% global average).
57% say that their organisation disciplines employees who violate its ethical standards (compared to a global average of 63%). This is one of the lowest percentages across all countries surveyed, alongside Portugal (56%).

Current and future issues

23% of employees in the Netherlands say that, considering their organisation’s response to the Covid-19 pandemic, their opinion on how ethically their organisation behaves has improved. This figure is lower than the global average (37%). Only 5% say that it has worsened, while 71% say that it has stayed the same.
With regards to the future of the workplace, loss of interpersonal interactions due to the effects of the Covid-19 lockdown is the issue that Dutch employees are more likely to be concerned about (30%), followed by the loss of interpersonal interactions due to new technologies and automated machines or AI replacing humans in the workplace (both 24%).

National Partner

Rotterdam School of Management, Erasmus University (RSM)

RSM is one of Europe’s top-ranked business schools. RSM provides ground-breaking research and education furthering excellence in all aspects of management and is based in the international port city of Rotterdam – a vital nexus of business, logistics and trade. RSM’s primary focus is on developing business leaders with international careers who can become a force for positive change by carrying their innovative mindset into a sustainable future. Its first-class range of bachelor, master, MBA, PhD and executive programs encourage students to become critical, creative, caring and collaborative thinkers and doers.

Business ethics is one of the drivers of RSM’s mission to be a force for positive change and a thread in RSM’s education and research. Since 1989 business ethics is a core course in RSM’s curriculum and since 2002 RSM has a full chair in business ethics. The Ethics at Work project fits well in RSM aims to contribute to get a better understanding of the ethics of organisations, the ethical challenges organisations face and the way the ethics of organisation can be managed. For more information, visit RSM’s website or contact RSM’s business ethics professor, Muel Kaptein.