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When bankers feel guilty–Employees’ vicarious guilt and the support of moral business practices

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  • Bernhard, Fabian

Abstract

Media regularly report on misconduct and ethical transgression in a variety of professions, including banking. This research investigates the conditions under which individual employees experience guilt for wrongdoings on behalf of their profession. In a sample of 295 bankers, I find an inverted u-shaped relationship between professional identification and collective guilt. Furthermore, the data indicates a positive relationship between levels of experienced guilt and degree of moral intentions, such as supporting stricter regulations that aim to prevent future professional malpractice. The study's results present guilt as a central factor related to professional identification and intentions towards improving ethical business practices.

Suggested Citation

  • Bernhard, Fabian, 2022. "When bankers feel guilty–Employees’ vicarious guilt and the support of moral business practices," European Management Journal, Elsevier, vol. 40(3), pages 419-428.
    • Handle: RePEc:eee:eurman:v:40:y:2022:i:3:p:419-428
    DOI: 10.1016/j.emj.2021.08.001
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