Abstract
The primary aim of this study is to investigate the organisational predictors of peer reporting. This study provides evidence from a mediation model linking organisational factors with ethical ambiguity as a hypothesised mediator in willingness to report ethical infractions. The study was conducted with a sample ( n = 302) selected from the organisations in private sector, public sector and select multinational companies in India that have a declared ethical code of conduct. Findings indicate low levels of ethical empowerment and an unwillingness among managers to report peer infractions. The study suggests that organisations may want to educate employees in understanding and implementing ethical codes and empowering them to make ethical decisions when faced with a dilemma and to report unethical behaviour. Top management may also need to reinforce ethical codes by applauding ethical behaviour and by reprimanding unethical conduct, so as to reduce ambiguity and nurture a supportive ethical climate.
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