Rewards and Punishment Concerning Ethical Behavior

Business owners are responsible for promoting ethical behavior within their organization.
Motivating moral behavior be difficult, but with a thoughtful combination of discipline and rewards,
companies can encourage their employees to adopt attitude and behaviors that result in a positive
workplace and happy customers.

Reward in Ethical Behavior

Once ethical behavior is defined clearly, use rewards to motivate compliance. An effective
approach is factoring in ethical behavior when evaluating employees for promotion, raises and bonuses.

Some organizations consider the only reward necessary to incentivise ethical behavior in an
organization is to assure employees they are doing the right thing; seeing this as a sufficient reward in
itself. Yet many companies recognise that this still allows ethical lapses to continue, and find a more
active approach is an effective way to sustain high ethical standards, through more tangible incentives.

Are the provision of some form of inductment to behave ethically, be it monetary or non-
financial, that can positively influenced continued ethical behavior. Rewards may be linked to annual
appraisals. Employees need to consider which of these two approaches benifits the employees and the
employees and the organisation the most.

Punishment in Ethical Behavior

Failing to curb unethical behaviour allows offender to prosper. Other employees then might evaluate
the bad behavior to reap similar rewards. To motivate ethical behaviour, a manager always must punish
infraction, which deacreses employees motivation to engage in unethical behavior. Verbal warnings
might be enough at first, but don't hesitate to suspend or fire workers who refuse to comply with your
company's ethical culture of your entire organizational.

References:

https://smallbusiness.chron.com/shapes-companys-ethics-67027.html

https://www.ibe.org.uk/knowledge-hub/pay/incentives.html