The legal institute of whistleblowing as a tool for detecting wrong-doing, especially in large corporations, and at the same time as an institute of whistleblower protection is a matter of modern law and its wider use has been registered only in recent decades. However, some aspects of whistleblowing, in particular the protection of the public interest and the possibility for weaker parties to report offences to an official, can already be found in older law in many different countries. Moravian provincial (...) law was the main law on the territory of the Margraviate of Moravia, although there were other legal circuits (with regard to the personality of the law) paying quite a lot of attention to the issue of reporting offences to an official authority. This issue is connected not only with the police regulations for the protection of the country, but is also strongly reflected in the set of provisions concerning the serfs. (shrink)

AbstractIn marketing channels, distributor whistleblowing can deter unethical behaviors, though little academic research investigates this tactic. Drawing on whistleblowing literature in business ethics and organizational theory, as well as field interviews with channel managers, this article identifies and elucidates the notion of distributor whistleblowing in marketing channels. Specifically, this study investigates how a manufacturer’s control modes (monitoring and incentives) encourage or discourage distributor whistleblowing. This study also considers the impact of distributor whistleblowing on relationship quality and the moderating effects of (...) exchange hazards (i.e., transaction-specific investments and market uncertainty). The empirical results from a sample of 211 Chinese distributors indicate that manufacturers’ monitoring inhibits, whereas incentives boost distributor whistleblowing. Further, a positive link arises between distributor whistleblowing and relationship quality, which is weakened by distributor transaction-specific investments and strengthened by market uncertainty. (shrink)

Does speaking up ruin one’s life? Organizational and whistleblowing research largely accept that “whistleblower” is a negative label that effects one’s well-being. Whistleblowing research also emphasizes the drawn-out process of speaking up. The result is a narrative of the whistleblower as someone who suffers indefinitely. In this paper, I draw on theories of stigma, labelling, and identity, specifically stigmatized identity, to provide a more nuanced understanding of whistleblower stigma as relational and temporary. I analyse two cases of whistleblowing, one where (...) the label “whistleblower” was accepted, and one where it was eventually rejected. By comparing how the whistleblower responds to stigmatizing and non-stigmatizing others, I explore how whistleblower stigmatization emerges, or does not, in interactions. This paper makes two important contributions. First, I add to the growing research on whistleblower stigmatization a more nuanced and developed framework: one that sees the interaction between whistleblowers and others as relational. Second, I provide an understanding of the identity “whistleblower” as one that can be temporary and revisable. Research has highlighted how whistleblowing is a process, but little attention has been paid to how one “moves on” from being a whistleblower and the potential stigmatization associated with the role. Rather than assuming a whistleblower is stuck with this identity—and the associated stigma—for life, I provide insight on how “whistleblower” can be a positive label that opens one up to support, and even when it is stigmatized, it does not have to be an end state. (shrink)

Unethical behavior coordinated and concealed by teams continues to represent a troubling and all-too-frequent occurrence in organizations. Unfortunately, those who are most knowledgeable about this behavior and thereby best suited to report it to authorities—the complicit members themselves—are susceptible to unique pressures that often discourage them from blowing the whistle. Team members rely on their teammates for relational and other beneficial resources, making it more difficult to potentially break those ties by snitching. However, we argue that the pressure to stay (...) silent is alleviated for members who are ostracized by their team members. Drawing on social exchange theory, we theorize that ostracism decreases positive affect and increases negative affect, decreasing individuals’ communion striving motivation and, in turn, increasing the propensity to blow the whistle. In Study 1, we examined the link between ostracism and whistleblowing utilizing a field sample of diverse employees surveyed over time. In Study 2, we built upon Study 1 and conducted a lab study to examine affect and communion striving motivation as serial mediators. Results were generally supportive of our arguments, although we did not find support for the mediating effect of negative affect. (shrink)

In view of recent studies that identified certain interest groups as potential whistleblowers, we propose an integrative conceptual framework to examine whistleblower behavior by whistleblower type. The framework, dubbed the whistleblowing triangle, is modeled on the fraud triangle and is comprised of three factors that condition the act of whistleblowing: pressure, opportunity, and rationalization. For a rich examination, we use a qualitative research framework to analyze 11 whistleblowing cases of corporate financial statement fraud in Canada that were publicly denounced between (...) 1995 and 2012. Our analysis indicates that whistleblowers are not only insiders but also outsiders [financial analysts, auditing firms, journalists, politicians, customers, and investors]. It also suggests that a dynamic relation may exist between whistleblowers. In addition, our findings show that most whistleblowers opt for external channels when they fail to receive an adequate response from management, seek media exposure, are interested in financial benefits resulting from the act of whistleblowing, or are interested in protecting their investment. Lastly, we propose categorizing whistleblowers into four conceptual types: protective, skeptical, role-prescribed, and self-interested. (shrink)

Whistleblowing is an effective tool against fraud and corruption in organizations. However, as researchers have struggled to acquire data on actual whistleblowers, research relies on hypothetical intention data and student samples, which is seen as a major limitation. Using a field study of 1,416 employees from China, Germany, and Russia, the purpose of this article is to identify differences and similarities between intention and actual whistleblowing decisions, thus aiding research and interpretation of prior and future studies. I also contribute by (...) analyzing whether findings can be generalized across different cultures and whether status and power influence the whistleblowing process. My results reveal that the key difference between hypothetical and real decisions is not in variables that affect the process, but in effect sizes: Employees underestimate the effect of situational (retaliation) and organizational (compliance measures) variables in hypothetical compared to actual whistleblowing. Thus, reliance on intention research is not inherently problematic, when effect sizes are interpreted with caution. I also find that results are similar across countries and that status and power may not be decisive factors in whistleblowing. My findings should also be of interest to practitioners and policymakers, as they assist in designing effective whistleblowing systems and environments in organizations. (shrink)

Whistleblowing is regularly identified as corporate control mechanism to prevent and uncover fraud. We review and compare the legal situation for whistleblowers in the People’s Republic of China and India. In a survey of 942 employees from private companies in both countries, we take a look at the status quo of whistleblowing system implementation, explore preference of channels to disclose fraud or corruption, and analyze under which conditions and what kind of employees prefer external over internal whistleblowing. We find that (...) provisions for mandatory whistleblowing systems can be found in the law of both countries. In China in particular, protection is scattered across many different laws in the private sector. Indian companies seem to have systems in place more often, although this difference becomes smaller the larger the company. The general preference of internal over external channels is similar across countries. Our regression models suggest that external channels are preferred over internal ones when fear of retaliatory measures is higher, the company is smaller, and the whistleblower is female. In line with prior literature, the effect of fear of retaliation is moderated by gender: women are less influenced by retaliation. All in all, implementation of whistleblowing systems seems ubiquitous in both countries; legal protection and comprehensive measures to decrease retaliation are lacking. Additional implications of findings are discussed. (shrink)

This work empirically tests the concept of the ‘whistleblowing triangle,’ which is modeled on the three factors encapsulated by the fraud triangle, in the Indonesian context. Anchored in the proposition of an original research framework on the whistleblowing triangle and derived hypotheses, this work aims to expand the body of knowledge on this topic by providing empirical evidence. The sample used is taken from audit firms affiliated with both the big 4 and non-big 4 companies operating in Indonesia. The results (...) of analysis using the PLS-PM method found a significant relationship between the components of the whistleblowing triangle and the intention of blowing the whistle. We found that financial incentives are the most significant predictor of auditors’ intention to blow the whistle in Indonesia. Other components, such as opportunity and rationalization, also play an important role in supporting auditors’ intention to blow the whistle. Our findings also suggest that related pressures are the top priority for audit firms in Indonesia to consider in increasing whistleblowing intention. We expand the previous literature on whistleblowing which has been derived from the components of the fraud triangle :28–56, 2016; Smaili and Arroyo in J Bus Ethics, https://doi.org/10.1007/s10551-017-3663-7, 2017) by adding empirical evidence. (shrink)

Whistleblowers have significantly shaped the state of contemporary society; in this context, this research sheds light on a persistently neglected research area: what are the key determinants of whistleblowing within government agencies? Taking a unique methodological approach, we combine evidence from two pieces of fieldwork, conducted using both primary and secondary data from the US and Indonesia. In Study 1, we use a large-scale survey conducted by the US Merit Systems Protection Board (MSPB). Additional tests are conducted in Study 1, (...) making comparisons between those who have and those who do not have whistleblowing experience. In Study 2, we replicate the survey conducted by the MSPB, using empirical data collected in Indonesia. We find a mixture of corroboration of previous results and unexpected findings between the two samples (US and Indonesia). The most relevant result is that perceived organizational protection has a significant positive effect on whistleblowing intention in the US sample, but a similar result was not found in the Indonesian sample. We argue that this difference is potentially due to the weakness of whistleblowing protection in Indonesia, which opens avenues for further understanding the role of societal cultures in protecting whistleblowers around the globe. (shrink)

Whistleblowers who need to decide whether or not they should report wrongdoing usually experience several anxieties and pressures before making a final decision. As whistleblowers continue to attract the attention of a wide range of stakeholders, more research is necessary to understand the effects of the perceived seriousness of threats and perceived seriousness of wrongdoing, as well as the effect of the rationalization process on the intention to blow the whistle. We make the original proposal that the rationalization process can (...) affect how PST and PSW trigger whistleblowing intentions. We tested our model using employees of tax offices operating in an emerging economy. We suggest several research findings, which can be summarized as follows: PST reduces individuals’ intention to blow the whistle. That is, the greater the threat perceived by whistleblowers, the higher the likelihood they will choose to remain silent; we find evidence of a positive relationship between PSW and whistleblowing intention, whereby PSW increases individuals’ intention to blow the whistle. That is, the more serious the wrongdoing perceived by potential whistleblowers, the more likely they are to choose to blow the whistle; and we find evidence of the important role of rationalization in moderating the relationships between PST, PSW, and whistleblowing intention. The implications of these findings for business ethics scholars, managers, and end-users interested in whistleblowing are also presented. (shrink)

This article originally advances the field of organizational whistleblowing by empirically investigating the suitability of the four elements of the fraud diamond as a means to understand the intention to disclose wrongdoing through virtual channels. This article also makes a contribution on the theme of whistleblowing as it relates to customers, an under-studied, however, relevant stakeholder in this field. The main findings of the article are as follows: the four elements of the fraud diamond as they relate to whistleblowing—a combination (...) of pressure, financial incentive, opportunity and rationalization, and capability—can explain the intentions behind customer reports of wrongdoing; online social media channels are customers’ preferred means of whistleblowing; the elements of opportunity and capability are strongly correlated with the use of social media as a method of disclosing wrongdoing; and virtual channels can be useful for whistleblowers in order to avoid potential retaliation. Unique managerial and academic implications of these research findings are also discussed, extending the layers of knowledge on whistleblowing in organizations. (shrink)

This study aims to examine the ethical decision-making model proposed by Schwartz, where we consider the factors of non-rationality and aspects that affect ethical judgments of auditors to make the decision to blow the whistle. In this paper, we argue that the intention of whistleblowing depends on ethical awareness and ethical judgment as well as there is a mediation–moderation due to emotion and perceived moral intensity of auditors. Data were collected using an online survey with 162 external auditors who worked (...) on audit firms in Indonesia as well as 173 internal auditors working in the manufacturing and financial services. The result of multigroup analysis shows that emotion can mediate the relationship between EAW and EJW. The nature of this relationship is more complex and then tested by adding moderating variables using consistent partial least squares approach. We found that EMT and PMI can improve the relationship between ethical judgments and whistleblowing intentions. These findings indicate that internal auditors are more likely to blow the whistle than external auditors; and reporting wrongdoing internally and anonymously are the preferred way of professional accountants to blow the whistle in Indonesia. (shrink)

Whistleblowers are a vital means of protecting society because they provide information about serious wrongdoing. And yet, people who speak up can suffer. Even so, debates on whistleblowing focus on compelling employees to come forward, often overlooking the risk involved. Theoretical understanding of whistleblowers’ post-disclosure experience is weak because tangible and material impacts are poorly understood due partly to a lack of empirical detail on the financial costs of speaking out. To address this, we present findings from a novel empirical (...) study surveying whistleblowers. We demonstrate how whistleblowers who leave their role as a result of speaking out can lose both the financial and temporal resources necessary to redevelop their livelihoods post-disclosure. We also show how associated costs involving significant legal and health expenditure can rise. Based on these insights, our first contribution is to present a new conceptual framing of post-disclosure experiences, drawing on feminist theory, that emphasizes the bodily vulnerability of whistleblowers and their families. Our second contribution repositions whistleblowing as a form of labour defending against precarity, which involves new expenses, takes significant time, and often must be carried out with depleted income. Bringing forth the intersubjective aspect of the whistleblowing experience, our study shows how both the post-disclosure survival of whistleblowers, and their capacity to speak, depend on institutional supports or, in their absence, on personal networks. By reconceptualizing post-disclosure experiences in this way—as material, embodied and intersubjective—practical implications for whistleblower advocacy and policy emerge, alongside contributions to theoretical debates. Reversing typical formulations in business ethics, we turn extant debates on the ethical duty of employees to speak up against wrongdoing on their heads. We argue instead for a responsibility to protect whistleblowers exposed to vulnerability, a duty owed by those upon whose behalf they speak. (shrink)

This article uses a sample of 3076 employees working in the USA to examine the relationship between the frequency of unethical behavior that employees observe in their organization and their intention to whistleblow. The results confirm the expected curvilinear relationship based on the Focus Theory of Normative Conduct. This relationship is a combination of a diminishing negative relationship between the frequency of observed unethical behavior and the intention to whistleblow internally and a linear positive relationship between the frequency of observed (...) unethical behavior and the intention to whistleblow externally. The beliefs of employees about how supportive their management is when handling whistleblowing reports moderates the relationship between the frequency of unethical behavior employees observe and their intention to whistleblow. (shrink)

While attention to research integrity has been growing over the past decades, the processes of signalling and denouncing cases of research misconduct remain largely unstudied. In this article, we develop a theoretically and empirically informed understanding of the causes and consequences of reporting research misconduct in terms of power relations. We study the reporting process based on a multinational survey at eight European universities. Using qualitative data that witnesses of research misconduct or of questionable research practices provided, we aim to (...) examine actors’ rationales for reporting and not reporting misconduct, how they report it and the perceived consequences of reporting. In particular we study how research seniority, the temporality of work appointments, and gender could impact the likelihood of cases being reported and of reporting leading to constructive organisational changes. Our findings suggest that these aspects of power relations play a role in the reporting of research misconduct. Our analysis contributes to a better understanding of research misconduct in an academic context. Specifically, we elucidate the processes that affect researchers’ ability and willingness to report research misconduct, and the likelihood of universities taking action. Based on our findings, we outline specific propositions that future research can test as well as provide recommendations for policy improvement. (shrink)

In this paper, we draw upon Islamic teachings to address two questions. How do Islamic ethics deepen and advance our understanding of the whistleblowing act? To what extent are Islamic ethics of whistleblowing promoted in practice? First, we have undertaken a thematic content analysis of the holy book of Qur’an, supported by the Sunnah (Prophetic Traditions). This has yielded a novel Islamic ethics-based framework of whistleblowing comprising the five aspects of the whistleblowing process: _What_ should one blow the whistle about? (...) _Who_ should blow the whistle? _Why_ should one blow the whistle? _How_ should one blow the whistle? And _to Whom_ should one blow the whistle? Second, using the developed framework, we have analyzed the whistleblowing policies of 20 Islamic banks and financial institutions across 11 countries. This analysis reveals that there exists a narrow view of what ought to be reported as wrongdoings, a confined scope of potential whistleblowers, a lack of connection with Islamic motivations, missing steps in the actual whistleblowing process, and a lack of gradation in relation to rectifying corrupt acts, thus highlighting a framework–policy gap. This is the first study to conceptualize the whistleblowing process from an Islamic perspective. The developed framework offers guiding procedures that individuals can consult to guide whistleblowing reasoning behavior and that organizations can use while developing whistleblowing policies. It also serves as a foundation for the development of organizational whistleblowing policies in different sectors. (shrink)