Petty Corruption

Corruption takes place when an individual abuses their entrusted power for individual
gain. When we think about corruption, we may envision illegal backroom deals
between politicians or corporate officers – important decision-makers with large-
scale resources at their disposal. However, much of the corruption that occurs
around the world can be described as petty corruption – small acts of exploitation
undertaken for personal gain by individuals with limited authority.

What is Petty Corruption?

Petty Corruption is the lowest form of corruption, typically involving low-level public
servants, or managers who abuse the limited authority of their positions for personal
gain. Petty corruption frequently involves the abuse of entrusted power in exchange
favors or small sums of money.

Grand Corruption involves major political or executive actors whose illegal activities

subvert the legal, political, and economic aims of entire countries or corporations.
Incidents of grand corruption capture international headlines, but they are less
common than acts of petty corruption which take place on a regular basis.

Systemic Corruption, also called endemic corruption, occurs when a public or

private organization establishes rules or norms of governance that permit or
encourage corruption. Systemic corruption is a characteristic of kleptocratic
governments, unethical corporations, and criminal organizations.

What are Examples of Petty

Corruption?
Petty corruption occurs on a small scale, involving low-level public and private
officials, and the exchange of small sums of cash or favors. It includes illegal acts
such as bribery, nepotism, abuse of discretion, grafting, blackmail, influence
peddling, and other acts. Some examples include:

 A public sector hiring manager helps their family members get government jobs by
rigging the hiring process.
 A manager uses part of his department budget to purchase services from a fake
company set up by his brother.
 A customs official delays travelers for an unreasonable time period under the guise
of inspecting their luggage – unless they pay a bribe.
 A corrupt police officer uncovers a gang of drug dealers, but solicits a bribe or
blackmails the group instead of starting an investigation.
 Petty corruption can take many different forms and varies from place to place. In
some developing countries, public officials (police, customers, etc.) have been
reported to refuse or delay performing their duties to the public unless they are paid
bribes. 

What are the Causes of Petty

Corruption?
Researchers have conducted surveys to identify and understand the causes of petty
corruption in the world’s societies and institutions. Some are:

 Greed – The desire to increase one’s own power and wealth can drive corrupt
behaviors.
 Low Transparency – Individuals who are seldom held accountable to others have
little incentive to follow the rules – they know that they won’t be caught.
 Poverty – If a manager or public servant doesn’t earn enough money, they’re more
likely to justify abusing their office for personal gain.
 In-group Favoritism – An individual may be compelled to abuse their entrusted
power to benefit members of their family, religion, or cultural group – instead of
acting in the interests of shareholders.
 Networking – Individuals may abuse their power to do favors for others, in hopes of
building a network and enhancing their future prospects.

It has been theorized that corruption will occur in an institution if the perceived gain
of committing the illegal act is greater than the anticipated penalty multiplied by the
likelihood of being caught. Therefore, organizations who wish to eliminate petty
corruption should increase penalties for corrupt activity and implement systems for
the prevention and detection of petty corruption.