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A Better Statutory Approach to Whistle-blowing

Author

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  • Dworkin, Terry Morehead
  • Near, Janet P.

Abstract

Statutory approaches toward whistle-blowing currently appear to be based on the assumption that most observers of wrongdoing will report it unless deterred from doing so by fear of retaliation. Yet our review of research from studies of whistle-blowing behavior suggests that this assumption is unwarranted. We propose that an alternative legislative approach would prove more successful in encouraging valid whistle-blowing and describe a model for such legislation that would increase self-monitoring of ethical behavior by organizations, with obvious benefits to society at large. A defense contractor’s inspectors used improper calibration standards when inspecting missile parts and other military products, used noncertified inspectors when inspecting such products, and used employees without top-secret clearance to work on classified projects. This created potentially life-threatening products as well as potential compromises of military secrets. Quality-control officials on the Trans Alaska Pipeline were threatened with physical harm, demoted, and spied on in an effort to force them not to turn in negative reports or report problems. As a result, the likelihood of damaging oil spills due to improperly built and maintained equipment is heightened. A major corporation allegedly initiated an analysis of the cost savings that would result from circumventing or reducing compliance with health, safety and environmental standards. Two officers who objected to this noncompliance cost/benefit analysis were subsequently fired.

Suggested Citation

  • Dworkin, Terry Morehead & Near, Janet P., 1997. "A Better Statutory Approach to Whistle-blowing," Business Ethics Quarterly, Cambridge University Press, vol. 7(1), pages 1-16, January.
  • Handle: RePEc:cup:buetqu:v:7:y:1997:i:01:p:1-16_00
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    Citations

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    Cited by:

    1. Steven Kaplan & Joseph Schultz, 2007. "Intentions to Report Questionable Acts: An Examination of the Influence of Anonymous Reporting Channel, Internal Audit Quality, and Setting," Journal of Business Ethics, Springer, vol. 71(2), pages 109-124, March.
    2. Esther Pittroff, 2016. "Whistle-blowing regulation in different corporate governance systems: an analysis of the regulation approaches from the view of path dependence theory," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 20(4), pages 703-727, December.
    3. Awosusi, Charles Temitope & Ayemidotun Damola. & Ajayi, Olorunfemi Samuel, 2023. "Gender, Religiosity and Internal Whistle blowing Intentions in the Nigeria Banking Industry," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 7(9), pages 195-204, September.
    4. Sanjay Dhamija, 2014. "Whistleblower Policy— Time to Make it Mandatory," Global Business Review, International Management Institute, vol. 15(4), pages 833-846, December.
    5. Thomas Carson & Mary Verdu & Richard Wokutch, 2008. "Whistle-Blowing for Profit: An Ethical Analysis of the Federal False Claims Act," Journal of Business Ethics, Springer, vol. 77(3), pages 361-376, February.
    6. Schmidt, Matthias, 2005. ""Whistle Blowing" Regulation and Accounting Standards Enforcement in Germany and Europe--An Economic Perspective," International Review of Law and Economics, Elsevier, vol. 25(2), pages 143-168, June.
    7. Dilek Zamantılı Nayır & Michael T. Rehg & Yurdanur Asa, 2018. "Influence of Ethical Position on Whistleblowing Behaviour: Do Preferred Channels in Private and Public Sectors Differ?," Journal of Business Ethics, Springer, vol. 149(1), pages 147-167, April.
    8. Jacob M. Rose & Alisa G. Brink & Carolyn Strand Norman, 2018. "The Effects of Compensation Structures and Monetary Rewards on Managers’ Decisions to Blow the Whistle," Journal of Business Ethics, Springer, vol. 150(3), pages 853-862, July.
    9. Barbara Culiberg & Katarina Katja Mihelič, 2017. "The Evolution of Whistleblowing Studies: A Critical Review and Research Agenda," Journal of Business Ethics, Springer, vol. 146(4), pages 787-803, December.
    10. Valentine, Sean & Godkin, Lynn, 2019. "Moral intensity, ethical decision making, and whistleblowing intention," Journal of Business Research, Elsevier, vol. 98(C), pages 277-288.
    11. Dilek Nayir & Christian Herzig, 2012. "Value Orientations as Determinants of Preference for External and Anonymous Whistleblowing," Journal of Business Ethics, Springer, vol. 107(2), pages 197-213, May.

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