table of contents · australians have an understanding of ethics and its main definitions, with 96%...
TRANSCRIPT
2
Table of Contents
• Introduction3
• Executive summary4
• Background and framework10
• Governance Institute Ethics Index 201916
• Ethical behaviour by sector20
• Issues and influences37
• Areas of ethical consideration47
• Appendix53
Governance Institute Ethics Index 2019
3
Ethics and ethical behaviour continue to be very important across all sectors of Australian society. Media coverage of controversial
and ethically charged events abounds with debate occurring at the individual, organisational and government level.
The Ethics Index, now in its fourth year, enables us to quantify the Australian adult population’s perception of the overall
importance of ethics and what the actual level of ethical behaviour is within Australian society. The difference between these is
termed the ‘ethical expectation deficit’.
With these benchmarks, we can objectively gauge whether our ethical behaviour and expectation have slipped or improved across
the four surveys.
So, how does 2019 compare to previous Ethics Index results? In short, the overall answer is slightly up on last year with a score of
37 (see slide 17), (on the ethical index scale this means that Australian society as a whole is operating at a ‘somewhat ethical’ level).
This result is a slight increase on the 2018 ethical index score of 35, but it is less than that of 2017 when an ethical index score of 41
was reported.
This study contains considerable detail of different sectors, organisations, occupations, issues and influences, inviting meaningful
comparison between the various components, and consequently, an evaluation of performances. The insights lead the reader to
start asking questions that warrant additional detailed investigation.
We trust that readers will find the research is a good starting point and provides a powerful benchmark to encourage further deep,
objective discussions.
This research has been conceived, designed and commissioned by C3 Content Pty Ltd, conducted by Ipsos and sponsored by
Governance Institute of Australia. This research is Copyright 2019 of C3 Content Pty Limited and cannot be reproduced whole or in
part without the written permission of the owner.
Introduction
Governance Institute Ethics Index 2019
4
The concept of ethics and how it has touched everyday Australians
Australians have an understanding of ethics and its main definitions, with 96% agreeing with the three ethics definitions in the survey. A
large majority (86%) rate ethics as important or very important to a well-functioning society. This is consistent with the 2018 Ethics Index
findings. When a particular ethical scenario was posed, the majority (60%) chose to take the selfless option and safeguard the life of a
child over their own.
Just over half of Australians (54%) have faced a personal ethical dilemma, with family matters rated the most difficult to deal with (39%),
followed by work-related matters (30%), other personal, non-family matters rated at 30% difficult. Financial matters were rated the least
difficult (23%). Just over one in four (27%) would change the decisions they had made in those situations, claiming that hindsight allowed
them to see it was the wrong decision (40%) or that they didn’t have enough information at the time to make an informed decision (29%).
Governance Institute Ethics Index 2019 scores
Overall, Australians continue to consider that Australian society is ‘somewhat ethical‘, with an Ethics Index score of 37, while the ‘overall
importance of ethics index’ is scored at a much higher 82, representing ‘very ethical. This suggests that there is a shortfall in actual
ethical performance (or perception thereof) of some sectors that may be contributing to the ethical deficit — or as we term it the ‘Ethics
expectation deficit’.
While Australian society is seen to be ‘somewhat ethical' at the aggregate level, with an Ethics Index score of 37, across generations
there are differences. Millennials have the lowest ‘ethics expectation deficit’, while Baby Boomers have the highest ‘ethics expectation
deficit’.
The Ethics Index increased slightly in 2019, from 35 to 37. The education, health and charity/not-for-profit (NFP) sectors are perceived as
‘very ethical’. Although they remain as the top scoring sectors, their net scores compared to 2018 were slightly lower. The media,
corporate and banking, and finance and insurance sectors continue to rate the same, with a perception of ‘neither ethical or unethical’.
Similarly, the aged care sector is also perceived as ‘neither ethical or unethical’.
Executive summary (1 of 6)
Governance Institute Ethics Index 2019
5
Ethical behaviour by sector
The study first asks respondents to rate the importance of ethical behaviour of different sectors, as well as rating how ethical they actually
are. Health, education, charities and NFP sectors have the smallest gap between the importance of ethical behaviour and their actual ethical
behaviour scores. In contrast, banking, finance and insurance, media, large corporations and government sectors have the largest gap
between the importance of ethics and how ethical they are perceived to be.
While ethical behaviour is considered important across all sectors, it is most important among health, public service, education and
government. Charities and NFP, banking, finance and insurance and large corporations follow closely behind. In terms of ethical scores,
social sectors (health, education, charities and NFP organisations) continue to have high ethical scores (68% and above), which is in line with
their ethics indices.
Conversely, in 2019 the financial sector continued to have the lowest ethical rating (31%) and the highest unethical rating (49%) indicating
very low trust and perceived behavioural standards.
Respondents were then asked to rate nominated occupations and organisations within each sector.
The education sector continues to hold the highest perceived level of ethical behaviour of all the sectors, with every occupation and
organisation performing at the ‘somewhat ethical’ or ‘very ethical’ level. Primary school teachers continue to have the highest net score.
Ethical behaviour in health sector occupations continues to be perceived as ethical (all above 60%), with the exception of funeral directors,
who dropped from 45% to 36% (net score). For organisations in the sector, pathology services and hospitals continue to be perceived as
ethical, at or above 60%. Opinions on natural health companies, health funds and pharmaceutical companies generally polarise with regards
to the proportion of who consider them ethical versus unethical.
Within the charity and NFP sectors, medical charities and social welfare charities continue to be held in high ethical regard (71% ethical
score). Perceptions of ethical behaviour in RSL/Ex-services clubs and amateur sports clubs also continue to be perceived positively (60%
and above ethical score).
Executive summary (2 of 6)
Governance Institute Ethics Index 2019
6
Ethical behaviour by sector (cont’d)
Ambulance and fire services are rated as the most ethical occupations within the public sector (above 80% ethical score). In contrast,
state and federal politicians continue to be seen as unethical by one in two Australians, the lowest among the occupations. The net ethics
score of state politicians and local council public servants have improved compared to 2018. CSIRO, defence and border forces are rated
as the most ethical organisations within the public sector, (60% or above ethical score). The net ethics score of local councils and shires,
federal and state parliaments has improved since 2018.
Choice, included for the first time in 2019, is seen as the most ethical organisation in the member associations sector. The Australian
Medical Association, National Farmers Federation, Engineers Australia and Certified Practising Accountant Australia follow with ethical
scores of 60% and above. Albeit the Australian Medical Association saw a decrease in its net ethics score (from 62% to 54%). Other
associations that saw an uplift in their net scores this year include HSU, Australian Hotels Association, Business Council of Australia,
AWU, MWU and CFMMEU.
Australians continue to rate the ABC as the most ethical media platform (62% ethical score). Social media platforms, Facebook, Twitter
and Instagram have the lowest ethical scores within the sector (less than 30% ethical score). Perceptions of Facebook, magazines and
journalists have improved compared to 2018.
Within the aged care sector, workers have the highest ethical score of 54%. Aged care organisations are polarising with 36% rating them
as ethical versus 38% as unethical. 42% of Australians perceive aged-care directors, executive and management to be unethical.
Occupations in the corporate sector scored fairly neutral. Consistent with results in 2018, company secretaries scored the highest in
ethical behaviour and directors of foreign companies scored the lowest. Between 30-38% of Australians scored these occupations as
neither unethical nor ethical. Directors of foreign companies continue to have the worst unethical score (45%) aligning with the poor result
seen for the companies they work for with a 43% unethical score.
Executive summary (3 of 6)
Governance Institute Ethics Index 2019
7
Ethical behaviour by sector (cont’d)
Within key business sectors, real estate agents continue to have the lowest ethical score (25%), and the highest unethical score (46%).
Lawyers are perceived as slightly more ethical (36%). By industry, there is high regard for farmers and agricultural businesses who are
perceived as the most ethical (63%). In second place are cafes and restaurants (60% ethical score). Telecommunication companies continue to
be seen as the least ethical among the industries (37% unethical score).
The banking, finance and insurance sector continues to have the lowest Ethics Index score of all sectors. Within the sector, accountants
scored the highest in ethical behaviour (50% ethical score). Industry super funds remains as the most ethical among organisations in the sector.
Pay-day lenders have improved their net score ratings compared to 2018, albeit still seen as unethical by 60% of Australians respectively; while
the net score rating for independent super funds has increased compared to 2018.
Issues and influences
Accountability (61%) continues to be the top element of importance to ensure ethical conduct in society, with no change compared to 2018. This
is followed by transparency (57%), whistle-blower protection (50%), and highly ethical leaders (49%).
The top ethical issues in business continue to follow the same order. Corruption remains in the top position (62%), followed by company tax
avoidance (51%), misleading and deceptive advertising (48%), and executive pay (45%). Environmental responsibility and human rights are
mentioned more often in 2019 (from 36% to 44% and 27% to 32% respectively).
Executive summary (4 of 6)
Governance Institute Ethics Index 2019
8
Issues and influences (cont’d)
Those who work within organisations at the most senior level continue to be seen as having the most influence on the overall ethical
practices and outcomes, with the CEO and board of directors unsurprisingly seen as the most influential (70%+ ‘strong influence‘). With regard
to external influence, government, laws and regulations remain most influential (65% ‘strong influence’). Net scores have decreased for the top
five roles compared to 2018.
Less than one in five Australians expect ‘total improvement’ in ethical behaviour by boards and executives across various institutions to
actually occur.
The top ethically important issues within the banking and finance sector continues to be executive salaries (51%). Bribery and corruption
issues remain in second place (50%), while insufficient regulation rank third (49%) in ethical importance. This is followed by executive bonuses
(48%), lack of government action (48%) and treatment of customers (47%).
For Australians, the more the CEO is paid, the more unethical they think it is. The majority of Australians (74%) perceive that it is unethical if
the CEO of a company with up to 5,000 employees is paid $3 million per annum (i.e. 35 x the average Australian’s yearly income). A similar
situation is seen for the CEO of a company with up to 15,000 employees, with 72% of Australians perceiving it to be unethical.
Nine in ten Australians want the Federal government to take action on climate change and a similar number say organisations must also take
action, even if it impacts profits and job losses. The majority of Australians (60%+) believe that the federal and state governments, international
bodies and multi-national corporations have an urgent ethical obligation to take action on climate change. At least one in two Australians
believe that individuals, local councils and Australian businesses also have an urgent ethical obligation to take on climate change. A similar
proportion (90%) also believe there is an obligation for Australia to fully transition to renewable energy.
Artificial intelligence (AI) based traffic management and public surveillance are seen as the most ethical uses of AI systems (40%+ ethical),
while AI-based social scoring of citizens is seen as the least ethical (60% unethical). Other issues seen as unethical by the majority of
Australians include AI-based hiring using private and public data, AI-based autonomous lethal weapons, and AI systems created in ways that
cannot be understood (all scoring 50%+ unethical).
Executive summary (5 of 6)
Governance Institute Ethics Index 2019
9
Areas of ethical consideration
Almost one in two (49%) of Australians continue to feel that immigration is the most difficult area to navigate ethically, with euthanasia
in second place on 39% (down from 47% in 2018). In 2019, climate change has risen to third position, moving from 23% to 37%.
Australians continue to be most concerned ethically with future developments that involve humans interfering with nature’s natural
course. Examples of this include embryo experimentation, gene manipulation for medical treatments and artificial intelligence (40%+ for
ethical difficulty). In addition, Australians are concerned with the ethics of self-driving cars (43% ethical difficulty). Fewer Australians in
2019 are concerned by the use of big data to target consumers (-16 to -6 net score).
Overall, the ethical behaviour of people we are in personal contact with has remained mostly consistent with 2018, with the
exception of banks, which has improved its net score. Healthcare professionals with whom Australians have had personal contact are
perceived as most ethical (70%+ ethical score). The ethical net scores of local members of state parliament and elected local councillors
have also improved in 2019.
For ethical behaviour in particular situations, the majority of Australians rated each of the situations as more unethical than ethical,
eliciting strong responses for the collection of data by social media companies (64% unethical), ‘win at all costs’ approach to sport (65%
unethical) and not correcting a restaurant bill when it doesn’t include an ordered item (68% unethical).
Executive summary (6 of 6)
Background and framework
10
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement, except Voting Preference)
* The National Party is not shown if respondents are from QLD, NT
50% 50%
FemaleMale
18-25 yrs
16%26-35 yrs
22%36-45 yrs
22%46-55 yrs
22%56-65 yrs
18%
Sydney
21%Adelaide
6%
Other SA
2% Other NSW
11%
Other QLD
10%
(Other WA/NT/TAS/ACT)
7%
Brisbane
10%
Melbourne
19%
Perth 8%
Other VIC
6%
11
BackgroundThe Ethics Index 2019 survey was conducted online across a broad spectrum of Australians (to nationally representative age,
gender and location quotas by ABS census data) between 9-21 October 2019.
29%
25%
2%
13%
5%
7%
20%The Labor Party
The Liberal Party
The National Party*
The Greens
One Nation
Some other party or candidate
Don't know/ Refused
Gender
Age Voting preference
Location
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement, except Voting Preference)
* The National Party is not shown if respondents are from QLD, NT
Student
14%Working
55%Home duties
10%Retired
8%Not employed
10%
Single
38%
Couple or single
parent with
children under 18
25%
Couple or single
parent with
children over 18
8%
Couple or single
parent with
children both over
and under 18
5%
Couple
with no
children
22%
High school year 10/11 12%
HSC 13%
Trade certificate or
diploma
26%
Some university or
currently studying
undergraduate
7%
Bachelors university
degree
28%
Post graduate degree 10%
Other tertiary 3%
Other 1%
12
Other
3%
Less than $25,000 per year 12%
$25,000-$39,999 per year 15%
$40,000-$79,999 per year 27%
$80,000-$119,999 per year 21%
$120,000-$149,999 per year 12%
Over $150,000 per year 13%
Background
Household income
Education
Household status
Work status
The Ethics Index 2019 survey was conducted online across a broad spectrum of Australians (to nationally representative age,
gender and location quotas by ABS census data) between 9-21 October 2019.
Net
Score
2018
10
15
20
10
15
10
30
30
40
20
20
20
30
20
11
Ethical
(Net)Unethical
(Net)
Net
Score
2019
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
Statement 1
Statement 2
Statement 3
20
30
30
50 30 10
40 10 15
30 0 30
5-point scale where 1 = Very unethical and 5 = Very ethical
13
Where figures do not sum
to 100, this is due to the
effects of rounding
Q: Question text
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
How to read the results(Ethics Index: 80)
Question text and Total number of
respondents who answered the question
Colour of text dependent
on ethics index score
Net score = Ethical net (4 + 5 on scale)
minus Unethical net (1 + 2 on scale)
Statements, occupations,
organisations, displayed by
descending order of score or rank
Figures are in % and are
ranked in descending
order by net score
Indicates a significant increase from 2018
net balance @95% confidence level
Indicates a significant decrease from
2018 net balance @95% confidence level
Chart heading (%)
Well-founded standards of right and wrong that
prescribes what humans ought to do, usually in
terms of rights, obligations, benefits to society,
fairness, or specific virtues (Markkula Centre for
Applied Ethics)
41%
Moral principles that govern a person’s behaviour
or the conducting of an activity (Oxford Dictionary) 41%
A set of concepts and principles that guide us in
determining what behaviour helps or harms
sentient creatures (The Thinkers Guide to Ethical
Reasoning, published 2006)
14%
None of the above 4%
Australians have an understanding of ethics and its main definitions, with 96% agreeing with the three ethics definitions in the survey. A large majority (86%) rate ethics as important or very important to a well-functioning society, consistent with 2018. When an ethical scenario was posed, the majority (60%) chose to take the selfless option, and safeguard the life of a child over their own.
QS6: There are many definitions of ethics. Below are several current definitions that may be found. Which of the below most closely matches your
definition of ethics? / QG2: Following is an ethical dilemma scenarios which we would like you to review and consider…what is your opinion on how to
driverless car should react? / QE1: How would you rate the importance of ethics to well-functioning society?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Ethics in general
7 1 7 33 53
Important
(Net)
Unimportant
(Net)
7
Net Score
2019
86 79 78
The car should have been
programmed at the factory…
The occupant should be required
to set their preferences before
using the car…
…The occupant would be killed
…The child would be hit
21%
25%
…Chosen to protect the occupant 15%
39%…Chosen to protect the child
Very Unimportant Unimportant Neutral Important Very Important
You are travelling along a single lane mountain road in a new driverless car that is fast
approaching a narrow tunnel. Just before entering the tunnel, a child attempts to run
across the road but trips in the centre of the lane, effectively blocking the entrance to the
tunnel. The car has only two options: to either hit and unfortunately kill the child, or to
swerve into the wall on either side of the tunnel, thus unfortunately killing you.'
Importance of
ethics
14
(44%)
(41%)
(13%)
(2%)
Net Score
2018
(21%)
(26%)
(16%)
(37%)
(**%) data in 2018
Understanding of ethics Ethical scenario
Ethics in society
40
29
17
10
4
Hindsight allows me to see it was the wrong
decision
I did not have enough information at that point in
time to make an informed decision
My personal beliefs/ values have changed
Society’s beliefs/ values have changed
Other
QP1: Have you had any personal experiences in which you have faced an ethical dilemma?/ QP2:Thinking of the most recent ethical dilemma you have
faced, in which area did it fall, and how difficult was the dilemma?/ QP3:Having faced that dilemma and made a decision, would you now change your
original decision? /QP4: What is the main reason you would change your decision?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Personal ethics
54% said that they had faced an
ethical dilemma personally
10
11
10
17
13
19
21
22
29
30
30
26
19
17
17
15
7
5
5
4
27% said that they would now
change their original decision
Having faced that dilemma and made a
decision…
Difficult (Net) Easy
(Net)
Net Score
2019
Financial
Personal (non-family) matters/
relationships
Work related
Family matters/ relationships
Extremely difficult Very difficult Somewhat difficult Not difficult Very easy
23
30
30
39
26
22
22
19
2
-8
-8
-20
15
Just over half of Australians (54%) have faced an ethical dilemma personally, with family matters being the most difficult to deal with (39% difficult), followed by work related matters (30% difficult) and other personal, non family, matters (30% difficult). Financial matters were rated the least difficult of their experiences (23% difficult). Just over one in four (27%) would change the decisions they had made in those situations, claiming that hindsight allowed them to see it was the wrong decision (40%) or they didn’t have enough information at the time to make an informed decision (29%).
52% (2018)
29% (2018)
Net Score
2018
2018
43
20
24
12
1
1
-8
-12
-15
Incidence of personal ethical dilemma Nature and difficulty of dilemma (%)
Reason for changing decision (%)
Governance Institute Ethics Index 2019
Weighted index calculation
16
Base: Australians 18-65, Ethics Index Oct 2016-2019
Ethics Index 2019(Overall Ethics Index: 37)
Overall, Australians continue to consider that Australian society is 'Somewhat Ethical' (with an Ethics Index score of 37) while the overall
Importance of Ethics Index is scored at a much higher 82 (representing 'Very Ethical’). 2019’s results are most similar to results seen in
2018.
100
80
60
40
20
0
-20
-40
-60
-80
-100
Overall Importance of
Ethics (82)
Ethics Expectation
Deficit (-45)
2019
17
Ethics Index 2019
(37)
2018
Overall Importance of
Ethics (80)
Ethics Expectation
Deficit (-45)
Ethics Index 2018
(35)
Overall Importance of
Ethics (75)
Ethics Expectation
Deficit (-34)
2017
Ethics Index 2017
(41)
2016
Overall Importance of
Ethics (74)
Ethics Expectation
Deficit (-35)
Ethics Index 2016
(39)
TotalMillennials
(18-35 year olds)Gen X
(36-50 year olds)Baby Boomers
(51-65 year olds)100
80
60
40
20
0
-20
-40
-60
-80
-100
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000)
Ver
y Et
hic
alSo
mew
hat
Et
hic
al
Nei
ther
Eth
ical
or
Un
eth
ical
Som
ewh
at
Un
eth
ical
Ver
y U
net
hic
al
Overall Importance of Ethics (82)
Ethics Index 2019 (37)
Ethics Expectation Deficit (-45)
While Australian society is seen to be 'Somewhat Ethical' at the aggregate level (with an Ethics Index score of 37), across the
generations it is evident there are some differences. Millennials have the lowest Ethics Expectation Deficit, while Baby Boomers have
the highest Ethics Expectation Deficit.
Overall Importance of Ethics (86)
Ethics Index 2019 (44)
Ethics Expectation Deficit (-42)
Overall Importance of Ethics (79)
Ethics Expectation Deficit (-44)
Overall Importance of Ethics (79)
Ethics Index 2019 (32)
Ethics Expectation Deficit (-47)
35 43 31 31Overall Ethics
Index 2018
18
Ethics Index 2019(Overall Ethics Index 2019: 37)
Ethics Index 2019 (35)
7466 59
42 42
7 4-1
-11
Education Health Charities Public Service ProfessionalMembership Assoc.
Media Aged Care Corporate Banking
Overall Importance of Ethics (82)
Ethics Index 2019 (37)
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000)
The Ethics Index marginally increased in 2019 (from 35 to 37). The education and health sectors, although scoring lower compared to 2018, continue to be perceived as 'Very ethical’. The charities and NFO sector scored slightly lower in 2019, shifting this sector into the ‘Somewhat ethical’ cohort, alongside public service and government and professional membership associations. The media, corporate and banking, finance and insurance sectors continue to be perceived as 'Neither ethical or unethical’; so too, the aged-care sector in its debut year. The banking, finance and insurance sector continues to be the lowest scoring sector.
100
80
60
40
20
0
-20
-40
-60
-80
-10080 70 61 39 38 1 4 -9 -15
19
Ver
y Et
hic
alSo
mew
hat
Et
hic
al
Nei
ther
Eth
ical
or
Un
eth
ical
Som
ewh
at
Un
eth
ical
Ver
y U
net
hic
al
Ethics Index 2019(Overall Ethics Index 2019: 37)
Ethics Index 2018
Banking, Finance and
Insurance
Corporate Sector
Aged-CareProfessionalMembershipAssociations
Public Service & Govt
Charities and Not-For-Profit Organisations
(NFP)
Health (e.g. hospitals, medical
practitioners, pharma co’s)
Education Media
Ethical behaviour by sector
Unweighted scores/results
20
Health Education GovernmentPublic service
Banking, finance and insurance
Charities and NFP org.
Large corporations
Professional membership associations
Small to medium
enterprisesMedia
Trade or worker
associations
Similar to the Ethics Index, health, education, charities and NFP sectors have the smallest gap between the importance of ethical behaviour and their ethical behaviour scores. In contrast, banking, finance and insurance, media, large corporations and government sectors have the largest ethical gap.
Ethical expectation gap
21Base: Australians 18-65, Ethics Index Oct 2019 (n=1000)
88 87 8588
83 84 8279
8279 81
6761
-2
37
-18
56
-10
48
33
-14
18
-40%
-20%
0%
20%
40%
60%
80%
100%
21 26
87
51
101
28
92
31
49
93
63
Ethical importance(net score)
Ethical behaviour(net score)
Gap
QE1a: How would you rate the importance of ethical behaviour within each of the following broad sectors of society?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
3
3
3
3
3
3
3
3
3
3
4
1
1
1
1
1
1
2
2
2
2
3
5
5
6
6
7
8
10
8
9
12
9
16
28
22
17
25
21
35
28
30
26
27
76
63
69
72
63
67
51
59
56
57
58
Important
(Net)Unimportant
(Net)
Net Score
2019
Health
Public service
Education
Government
Charities and not-for-profit organisations
Banking, finance and insurance
Small to medium enterprises
Large corporations
Trade or worker associations
Professional membership associations
Media
3
3
3
5
4
4
4
5
5
4
6
92 88 89
91 88 85
90 87 87
89 85 85
88 84 83
87 83 84
86 82 81
87 82 81
86 81 78
84 79 81
85 79 79
While ethical behaviour is considered important across different sectors of society (above 80%), it is most important among health, public service and education sectors. Government, charities and not-for profit, banking, finance and insurance and large corporations sectors follow closely behind.
Importance of ethical behaviour of broad sectors
22
Very Unimportant Unimportant Neutral Important Very Important
Sectors (%)Net Score
2018
QE2: How would you rate the actual level of ethical behaviour within each of the following broad sectors of society?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
3
3
3
3
5
3
8
17
15
18
22
7
7
9
8
13
14
20
23
27
26
28
14
19
19
29
27
33
27
22
25
25
20
46
49
47
43
43
40
35
29
24
23
21
31
22
21
16
12
10
11
9
8
8
9
Ethical
(Net)Unethical
(Net)
Net Score
2019
Health
Education
Charities and not-for-profit
organisations
Professional membership associations
Public service
Small to medium enterprises
Trade or worker associations
Government
Large corporations
Media
Banking, finance and insurance
10
10
12
12
18
17
28
40
42
44
49
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
76 67 74
71 61 69
68 56 61
59 48 48
55 37 36
50 33 33
46 18 15
38 -2 -7
32 -10 -15
31 -14 -25
31 -18 -27
Social sectors (health, education, charities and not-for-profit organisations) continue to have high ethical scores, although net scores have significantly declined for health and education compared to 2018. The financial and media sectors continue to score the lowest on being Ethical in 2019, however, net scores for both these sectors have significantly improved compared to results seen in 2018.
Ethical behaviour of broad sectors
23
Net Score
2018Sectors (%)
24QE8: Within the education sectors, how would you rate the level of ethical behaviour of each of the following groups?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
2
3
4
4
5
7
18
19
20
44
48
47
31
26
22
Unethical
(Net)
6
8
11
75 69 76
74 66 71
69 58 64
2
2
1
3
4
5
4
6
6
11
12
16
21
23
25
23
27
28
49
51
47
44
41
38
24
19
21
19
16
13
6
8
7
15
16
21
73 67 71
70 62 66
68 61 62
63 48 51
57 41 47
51 30 32
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
Primary school teachers
Secondary school teachers
Professors/university lecturers
Primary schools
Public secondary schools
TAFEs
Universities
Independent (private) secondary
schools
Privately-run colleges
The education sector continues to hold the highest perceived level of ethical behaviour of all the sectors, with every occupation and organisation performing at the Somewhat Ethical or Very Ethical level. In this sector, primary school teachers have the highest net score while privately-run colleges continue to have the lowest net score.
Education sector ethical behaviour(Ethics Index: 74)
Ethical
(Net)
Net Score
2019
Net Score
2018Occupations (%)
Organisations (%)
1
1
2
2
3
3
4
3
4
5
4
6
5
13
14
17
17
20
22
24
30
35
43
43
40
42
47
35
47
35
34
34
28
22
18
2
3
5
9
11
14
4
7
12
23
24
23
23
21
24
31
28
25
42
44
41
27
28
26
29
25
19
10
9
12
25QE3: Within the health sector, how would you rate the level of ethical behaviour of each of the following groups?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Health sector ethical behaviour
Unethical
(Net)
82 78 84
78 73 77
77 70 77
74 68 74
70 61 66
69 61 62
53 36 45
4
5
7
6
9
8
17
Nurses
GPs
Veterinarians
Pharmacists
Dentists
Ancillary service providers
Funeral directors
Pathology services specialists
Public hospitals
Private hospitals
Natural health companies
Health funds
Pharmaceutical companies
5
10
17
32
35
37
71 66 68
69 59 65
60 43 48
37 5 12
37 2 1
38 1 -10
(Ethics Index: 66)Ethical behaviour in health sector occupations continue to be perceived as ethical (all above 60%), with the exception being funeral directors. The net score for funeral directors has dropped further (from 45% to 36%). Net scores for nurses and veterinarians have also dropped in 2019. For organisations in the sector, pathology services and hospitals continue to be perceived as ethical (at or above 60%). Opinions on natural health companies, health funds and pharmaceutical companies generally polarise with regards to the proportion who consider them unethical versus ethical.
Ethical
(Net)
Net Score
2019
Net Score
2018
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
Occupations (%)
Organisations (%)
3
3
2
2
6
6
10
5
7
8
7
9
20
21
19
19
25
31
27
32
28
44
43
43
44
39
34
31
29
28
22
16
19
9
10
Medical charities (e.g. Cancer Council)
Social welfare charities (e.g. the Smith Family)
RSL/ Ex-services clubs
Amateur sports clubs
Indigenous charities
Professional Sports Clubs (e.g. NRL, AFL, FFA)
Unions
QE10: Within the charity and NFP sector, how would you rate the level of ethical behaviour of each of the following groups?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Unethical
(Net)
8
10
10
9
15
26
31
73 65 68
71 61 67
65 55 54
60 51 52
58 43 39
42 16 13
41 10 7
26
Within the charity and not-for-profit sectors, medical charities and social welfare charities continue to be held in high ethical regard (above 70% ethical score). However, the net score for social welfare charities has dropped in 2019. Perceptions of ethical behaviour in RSL/Ex-services clubs and amateur sports clubs also continue to be perceived positively (60% and above ethical score).
Charity and NFP sectors ethical behaviour(Ethics Index: 59)
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
Ethical
(Net)
Net Score
2019
Net Score
2018Organisations (%)
1
2
3
3
6
6
8
9
9
17
25
19
1
3
7
10
8
11
14
17
18
28
27
33
12
13
23
19
23
20
33
31
31
28
23
24
30
34
39
43
39
35
36
34
34
19
19
18
56
49
27
26
24
23
9
10
8
8
6
6
Ambulance services
Fire services
Defence Force personnel
Police
Border Force personnel
Judges*
State public servants
Federal public servants
Local council public servants
Local politicians
Federal politicians
State politicians
QE9: Within the public service and government sectors, how would you rate the level of ethical behaviour of each of the following groups?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Unethical
(Net)
2
4
10
13
14
17
22
26
27
45
52
52
85 83 88
83 78 85
67 57 62
68 55 59
63 49 49
58 41 -
45 24 18
43 18 16
42 15 1
27 -17 -22
25 -27 -38
24 -28 -34
27
Ambulance and fire services are rated as the most ethical occupations within the public sector (above 80% ethical score). In contrast, state and federal politicians continue to be seen as unethical by one in two Australians, the lowest among the occupations. The net ethics score of federal politicians and local council public servants have improved compared to 2018.
Public service and government sector ethical behaviour (1/2)(Ethics Index: 42)
Ethical
(Net)
Net Score
2019
Net Score
2018Occupations (%)
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
*Judges added in 2019.
2
4
5
3
6
12
17
20
4
8
10
6
13
20
25
24
21
22
26
27
26
30
24
25
35
38
37
35
30
30
26
24
28
28
23
19
14
8
7
8
CSIRO*
Defence Force
Border Force
ACCC*
Financial sector regulators*
Local councils and shires
State Parliament
Federal Parliament
QE9: Within the public service and government sectors, how would you rate the level of ethical behaviour of each of the following groups?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Unethical
(Net)
6
12
15
10
19
32
42
44
63 57 -
66 54 57
60 46 49
54 44 -
45 26 -
38 6 -6
34 -9 -23
32 -12 -23
28
CSIRO, defence and border forces are rated as the most ethical organisations within the public sector (60% or above ethical score). The net ethics score of local councils and shires, federal and state parliaments have improved since 2018.
Public service and government sector ethical behaviour (2/2)(Ethics Index: 42)
Ethical
(Net)
Net Score
2019
Net Score
2018
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
*Note new groups added in 2019
Organisations (%)
3
5
3
4
3
2
5
7
5
6
6
7
7
6
12
9
9
13
7
8
7
6
11
10
11
13
16
12
14
12
18
19
19
21
22
21
24
21
28
30
27
31
32
27
25
32
27
29
28
36
25
27
34
27
38
38
42
45
42
41
34
36
37
38
40
38
36
29
33
33
26
28
28
29
20
16
18
15
18
17
17
13
12
13
11
10
12
10
9
10
QE11: Within the member associations sector, how would you rate the level of ethical behaviour of each of the following groups?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Unethical
(Net)
Choice*
Australian Medical Association
National Farmers Federation
Engineers Australia
Certified Practising Accountant Australia
Institute of Chartered Accountants Australia and
New Zealand
Governance Institute of Australia
Health Services Union (HSU)
Law Society
Australian Hotels Association
Master Builders Australia
Business Council of Australia
Australian Institute of Company Directors
Financial Planning Association
Australian Workers’ Union (AWU)
Australian Manufacturing Workers’ Union (MWU)
Real Estate Institute
Construction Forestry Maritime Mining Energy Union
(CFMMEU)
10
12
11
10
13
12
16
19
21
18
21
19
25
25
31
30
31
35
66 55 -
67 54 62
62 51 49
60 50 54
60 46 44
57 45 44
51 35 32
53 34 13
54 33 37
50 32 24
52 32 34
51 32 24
47 22 9
39 14 18
44 13 3
43 13 3
35 4 4
38 4 -9
29
Choice, included for the first time in 2019, is seen as the most ethical organisation in the member associations sector. The Australian Medical Association, National Farmers Federation, Engineers Australia and Certified Practising Accountant Australia follow with ethical scores of 60% and above; albeit the Australian Medical Association saw a decrease in its net ethics score (from 62% to 54%). Other associations that saw an uplift in their net scores this year include HSU, Australian Hotels Association, Business Council of Australia, AWU, MWU and CFMMEU.
Member associations ethical behaviour(Ethics Index: 42)
Ethical
(Net)
Net Score
2019
Net Score
2018
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
Organisations (%)
*Note new group added in 2019
6
4
5
5
4
7
9
11
12
10
12
15
22
8
13
12
12
11
11
21
17
24
23
24
24
27
24
37
38
39
46
41
32
38
29
37
36
36
26
41
35
36
34
31
29
30
27
29
25
20
18
19
21
10
9
10
8
11
8
7
7
5
7
6
6
Unethical
(Net)
ABC channel
Free TV
Radio
Streaming services
(eg Netflix, Youtube)*
Podcasts*
Newspaper
Pay TV (e.g. Foxtel)
Journalists
Magazine
Instagram**
62 48 46
45 28 23
45 27 24
44 27 -
39 24 -
40 21 13
38 7 7
34 6 5
36 0 -8
30 -3 -13
27 -10 -
24 -15 -22
25 -24 -33
QE12: Within the media sector, how would you rate the level of ethical behaviour of each of the following groups?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
14
17
17
17
15
18
30
28
36
33
36
39
49
30
Australians continue to rate the ABC as the most ethical media platform (62% ethical score). Social media platforms, Facebook, Twitter and Instagram, have the lowest ethical scores within the sector (less than 30%). Perceptions of Facebook, magazines and journalists have improved compared to 2018.
Media sector ethical behaviour(Ethics Index: 7)
Ethical
(Net)
Net Score
2019
Net Score
2018
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
Media platforms (%)
*Note new groups added in 2019. **Changed from online media (blogs, websites)
31QE3a: Within the aged care sector, how would you rate the level of ethical behaviour of each of the following groups?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
6
15
17
16
24
25
24
25
27
39
27
23
15
10
8
Unethical
(Net)
22
38
42
54 32
36 -2
31 -11
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
Aged-care workers
Aged-care organisations
Aged-care Directors/
Executive management
Within the aged care sector, workers have the highest ethical score of 54%. Aged-care organisations are polarising with 36% rating them as ethical versus 38% as unethical. 42% of Australians perceive aged-care Directors/Executive management to be unethical..
Aged care sector ethical behaviour(Ethics Index: 4)
Ethical
(Net)
Net Score
2019Occupations (%)
*Aged-care sector added in 2019.
7
7
15
14
19
27
36
39
34
36
29
19
7
6
4
32QE5: Within the corporate sector, how would you rate the level of ethical behaviour of each of the following groups?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
6
10
10
11
10
11
17
15
21
23
22
24
23
28
38
35
32
32
34
34
30
33
27
27
28
26
25
19
8
8
8
7
6
6
5
Unethical
(Net)
41 20 18
35 5 -5
35 2 -10
35 2 2
32 -1 -6
31 -4 -9
25 -21 -19
21
30
33
33
33
35
45
21
26
43
43 23 15
35 9 6
23 -20 -22
Company Secretaries
Directors of Australian companies
Chief Executive Officers/ Managing
Directors
Chief Financial Officers
Chairmen of companies
Senior executives
Directors of foreign companies
operating in Australia
Australian listed public companies
Australian unlisted and private companies
Foreign companies operating in Australia
Occupations in the corporate sector scored fairly neutral. Consistent with results in 2018, company secretaries scored the highest in ethical behaviour and directors of foreign companies scored the lowest. Between 30-38% of Australians scored these occupations as neither unethical nor ethical. Directors of foreign companies continue to have the worst unethical score (45%), aligning with the poor result seen for the companies they work for (43% unethical score).
Corporate sector ethical behaviour(Ethics Index: -1)
Ethical
(Net)
Net Score
2019Net Score
2018
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
Occupations (%)
Organisations (%)
3
1
3
4
5
7
12
12
12
7
7
11
17
19
22
22
23
25
27
31
38
38
37
34
31
29
30
44
48
39
34
31
30
27
28
25
19
12
8
8
7
7
8
8
7
33
Within key business sectors, real estate agents continue to have the lowest ethical score (25%), and the highest unethical score (46%). Lawyers are perceived as slightly more ethical (36%). By industry, there continues to be high regard for farmers and agricultural businesses who are perceived as the most ethical (63%). In second place are cafes and restaurants (60% ethical score). Telecommunication companies continue to be seen as the least ethical among the industries (37% unethical score).
QE6: Within the business sectors, how would you rate the level of ethical behaviour of each of the following groups?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Business sector ethical behaviour
15
17
23
29
25
29
27
19
9
6
Unethical
(Net)
38
46
10
9
15
21
24
29
34
35
37
36 -2 -9
25 -21 -24
63 53 59
60 51 49
47 32 31
41 20 24
38 14 16
37 8 9
35 1 -1
36 1 -5
32 -5 -13
Farmers and agricultural businesses
Cafes and restaurants
Retailers
Manufacturing companies
Hotels, pubs and nightclubs
Construction companies
Resource companies
Energy and water companies
Telecommunication companies
Lawyers
Real estate agents
Ethical
(Net)
Net Score
2019
Net Score
2018
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
Occupations (%)
Sectors (%)
6
8
10
14
11
12
14
16
24
21
25
26
31
32
29
32
31
33
39
36
29
27
26
23
11
9
7
6
6
6
Accountants
Tax agents
Financial planners
Bank managers
Funds managers
Mortgage brokers
50 30 31
44 20 18
36 2 -5
34 -1 -4
33 -3 -7
29 -9 -12
34QE4: Within the banking, finance and insurance sector, how would you rate the level of ethical behaviour of each of the following groups?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Unethical
(Net)
20
24
35
35
36
38
Banking, finance and insurance sector ethical behaviour(Ethics Index: -11)
6
8
10
13
16
18
19
39
14
17
18
24
24
26
28
21
28
33
38
33
30
28
26
23
40
33
27
26
24
22
20
12
12
9
7
4
6
7
8
5
20
25
28
37
40
44
47
60
52 32 26
42 17 26
34 6 7
30 -7 -6
30 -10 -13
29 -15 -17
28 -19 -26
17 -43 -54
Industry super funds
Independent super funds
Stock exchange
Other insurance companies
Investment banks
Retail banks
Life insurance companies
Pay day lenders
The banking, finance and insurance sector continues to have the lowest Ethics Index score of all sectors. Within the sector, accountants scored the highest in ethical behaviour (50% ethical score). Industry super funds remains as the most ethical among organisations in the sector. Pay-day lenders have improved their net score ratings compared to 2018, albeit still seen as unethical by 60% of Australians; while the net score rating for independent super funds has declined compared to 2018.
Ethical
(Net)
Net Score
2019
Net Score
2018
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
Occupations (%)
Organisations (%)
83 88
78 84
78 85
73 77
70 77
69 76
68 74
66 71
61 66
61 62
-2 -9
-3 -7
-4 -9
-9 -12
-11 -
-17 -22
-21 -19
-21 -24
-28 -34
-27 -38
1
1
2
1
2
2
2
3
3
3
15
11
11
12
17
17
17
17
19
25
1
3
3
4
5
4
4
5
6
5
23
25
23
26
25
28
28
29
33
27
12
14
13
17
17
18
20
19
22
24
25
31
34
33
27
28
30
29
24
23
30
35
34
43
43
44
40
48
42
47
27
26
25
23
23
19
19
19
18
19
56
47
49
35
34
31
34
26
28
22
9
6
6
6
8
8
5
6
6
6
Ambulance services
Nurses
Fire services
GPs
Veterinarians
Primary school teachers
Pharmacists
Secondary school teachers
Dentists
Ancillary service providers
Lawyers
Funds managers
Senior executives
Mortgage brokers
Aged-care Directors/Executive
management
Local politicians
Directors of foreign companies operating
in Australia
Real estate agents
State politicians
Federal politicians
Net Score 2019
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
35
Net Score 2018Occupations (%)
Top 10
Bottom 10
Occupations — ethical behaviour
67 71
66 68
65 68
62 66
61 62
61 67
59 65
57 -
55 54
55 -
-9 -23
-10 -
-10 -13
-12 -23
-15 -22
-15 -17
-19 -26
-20 -22
-24 -33
-43 -54
2
2
3
2
1
3
3
2
2
3
17
12
16
20
15
18
19
15
22
39
4
4
5
6
6
7
7
4
8
7
25
24
24
24
24
26
28
27
27
21
21
23
19
23
25
19
21
21
25
24
24
36
30
25
36
28
26
34
26
23
49
42
44
51
47
43
44
35
43
38
26
20
24
24
18
22
20
19
19
12
24
29
29
19
21
28
25
28
22
28
7
7
6
8
6
7
8
4
6
5
Primary schools
Pathology services specialists
Medical charities (e.g. Cancer Council)
Public secondary schools
TAFEs
Social welfare charities (e.g. the Smith Family)
Public hospitals
CSIRO*
RSL/ Ex-services clubs
Choice*
State Parliament
Instagram**
Investment banks
Federal Parliament
Retail banks
Life insurance companies
Foreign companies operating in Australia
Pay day lenders
Net Score 2019
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
36
Net Score 2018Organisations (%)
*Note new groups added in 2019. **Changed from online media (blogs, websites)
Top 10
Bottom 10
Organisations — ethical behaviour
Issues and influences
Unweighted scores/results
37
QC3: From the list below, please nominate your top 5 elements for ensuring ethical conduct in society.
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes Not sure / Don’t know)
Ethical conduct in society
61
57
50
49
42
39
39
36
27
19
15
Accountability
Transparency
Whistle-blower protection
Highly ethical leaders
A strong legal framework
Strong, inquisitive media to expose unethical behaviour
Ethics education in schools
Financial penalties
Oversight by regulators
Oversight by member associations with disciplinary actions
Designated senior executive for ethics e.g. Chief Ethics Officer*
38
Other = 1%
Accountability (61%) continues to be the top element of importance to ensure ethical conduct in society, with no change compared to 2018. This is followed by transparency (57%), whistle-blower protection (50%), and highly ethical leaders (49%).
2018
61
57
49
53
48
37
42
37
27
21
NA
*Note new statement added in 2019
Top elements ensuring ethical conduct (%)
QE7: In business, what are the top issues relating to unethical behaviour? Please nominate up to 5 answers
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes Not sure / Don’t know)
Ethical issues in business
62
51
48
45
44
42
41
34
32
29
21
Corruption
Company tax avoidance
Misleading and deceptive advertising
Executive pay
Environmental responsibility
Discrimination
Bullying in the workplace
Workplace health and safety
Human rights
Company tax minimisation
Treatment of suppliersOther = 1%
39
The top issues relating to unethical behaviour in business continue to follow the same order. Corruption remains in the top position (62%), followed by company tax avoidance (51%), misleading and deceptive advertising (48%), executive pay (45%), and bullying in the workplace (41%). Environmental responsibility and human rights are mentioned more often in 2019 (from 36% to 44% and 27% to 32% respectively).
2018
60
55
52
48
36
42
44
31
27
33
22
Top issues relating to unethical behaviour (%)
Influence of roles on organisational ethics
3
4
4
4
4
4
8
10
7
10
15
5
4
5
5
9
10
14
16
18
19
23
18
19
21
25
22
27
27
27
35
30
29
34
35
42
39
38
36
33
32
30
30
24
39
38
29
27
27
24
17
15
10
11
9
Weak
(Net)
CEO
Board of Directors
Senior management
Chairman
Government/ Laws/
Regulations
Shareholders/ Owners
Customers
The public
Suppliers
General workforce
Activist groups
74 66 76
73 65 72
71 62 71
66 57 70
65 52 61
60 47 49
50 28 33
47 22 24
40 15 13
41 12 14
33 -5 12
QE13: Thinking about organisations generally, how much influence do you feel the following groups have on the overall ethical
practices and outcomes of the organisation?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
8
8
9
9
13
13
22
26
25
29
38
Very weak influence Somewhat weak influence Neither weak nor strong influence Somewhat strong influence Very strong influence
40
Those who work within organisations at the most senior level continue to be seen as having the most influence on the overall ethical practices and outcomes, with the CEO, board of directors, and senior management unsurprisingly seen as the most influential (70%+ 'Strong influence'). With regard to external influence, government/ laws/ regulations remain most influential (65% 'Strong influence’). Net scores have decreased for the top five roles compared to 2018.
Strong
(Net)
Net Score
2019
Net Score
2018Influence on ethics (%)
Topical Questions
Industry Super funds
Retail super funds
Financial Planners and advisors
Banks
Bank senior executives
Insurance company directors
Insurance Companies
Bank directors
Mortgage Brokers
Insurance company senior executives
QT3: The recent financial services royal commission revealed poor behaviour by many institutions and their boards and executives.
As a result of the findings, how much positive improvement in ethical behaviour do you expect to actually occur of the following…?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
No Improvement Slight Improvement Total Improvement
41
Expected improvement in ethical behaviour (%)
Less than one in five Australians expect ‘total improvement’ in ethical behaviour by boards and executives across various financial services institutions to actually occur.
34
37
40
44
52
49
45
51
43
51
49
48
46
42
35
37
42
35
43
36
17
15
14
14
14
14
13
13
13
13
QT1: Please nominate the top 5 issues of importance, in your opinion, relating to unethical behaviour in the banking and finance sector
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes Not sure / Don’t know)
51
50
49
48
48
47
38
36
22
21
20
18
17
17
14
42
Executive salaries
Bribery and corruption
Insufficient regulation
Executive bonuses
Lack of government action
Treatment of customers
Poor corporate culture
Poor corporate governance
Financial planner commissions
Lack of leadership from bank chief executives
Lack of competition
Lack of leadership from bank boards
Lack of leadership from bank management
Market trader bonuses
Financial market trader salaries
Issues and influences in banking and finance sector
Other = 3%
The top ethically important issue within the banking and finance sector continues to be executive salaries (51%). Bribery and corruption issues remain in second place (50%), while insufficient regulation ranks third (49%) in ethical importance. This is followed by executive bonuses (48%), lack of government action (48%) and treatment of customers (47%). Lack of government action is mentioned more often in 2019 (from 42% to 48%).
2018
52
50
48
50
42
47
38
37
26
20
20
18
18
15
16
Top issues and influences relating to unethical behaviour in banking and finance sector (%)
21
34
58
17
24
17
28
22
15
23
15
7
12
6
4
QT8: For companies up to 5,000 employees, how ethical are each of the following possible pay levels for the CEO? / T8a: For companies up to 15,000
employees, how ethical are each of the following possible pay levels for the CEO?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Ethical
(Net)
Unethical
(Net)
37
58
74
Net
Score
35 -2
20 -37
11 -63
43
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
$300,000 per annum
$600,000 per annum
$3 million per annum
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
20
33
53
18
21
19
28
22
14
22
15
9
13
8
5
$300,000 per annum
$600,000 per annum
$3 million per annum
38
54
72
34 -4
23 -31
14 -58
Topical questionsFor Australians, the more the CEO is paid, the more unethical they think it is. The majority of Australians (74%) perceive that it is unethical if the CEO of a company with up to 5,000 employees is paid $3 million per annum (i.e. 35x the average Australian’s yearly income); a similar situation is seen for the CEO of company with up to 15,000 employees (72% of Australians perceiving it to be unethical).
Ethicality of CEO pay levels (%), companies up to 5,000 employees
Companies up to 15,000 employees
Topical Questions
Federal Government
International Bodies (eg UN, APEC)
Multi-national Corporations
State Government
Australian businesses
Local Councils
Individuals
QT4: To what extent do you think there is an ethical obligation to take action on climate change for each of the following?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
No Ethical Obligation Slight Ethical Obligation Urgent Ethical Obligation
44
Ethical obligation to take on climate change(%)
The majority of Australians (60%+) believe that the federal and state governments, international bodies and multi-national corporations have an urgent ethical obligation to take action on climate change. At least one in two Australians believe that individuals, local councils and Australian businesses also have an urgent ethical obligation to take on climate change.
10
11
10
10
10
11
11
24
26
27
29
36
36
38
66
63
63
61
55
54
50
QT5: To what extent is there an ethical obligation for organisations to take action on climate change, even if it impacts their profits and costs workers’ jobs? /
QT6: To what extent is there an ethical obligation for Australia to fully transition to renewable energy such as hydro, wind and solar power?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Topical questions
45
Nine in ten Australians purport there is at least some obligation for organisations to take action on climate change, even if it impacts on profits and job losses. A similar proportion (90%) also believe there is an obligation for Australia to fully transition to renewable energy.
10
4347
No ethical obligation
Slight ethical obligation
Urgent ethical obligation
Ethical obligation for Organisations to take action on climate change (%)
Ethical obligation for Australia to fully transition to renewable energy (%)
11
3753
No ethical obligation
Slight ethical obligation
Urgent ethical obligation
Topical Questions
8
8
10
12
11
21
26
35
31
36
10
15
14
18
17
25
30
22
25
24
40
33
38
34
48
32
25
25
26
24
29
28
28
27
18
16
13
13
12
11
13
15
10
9
6
6
6
5
5
5
Unethical
(Net)
AI Based traffic management systems
(traffic lights, train signals, air traffic
controllers)
Surveillance systems in main public
areas e.g. CCTV
AI managing power grid/water/utilities
AI Based medical diagnosis
Robots
AI Based Governance at Board Level
(i.e. assisting with decision making)
AI Based HR/hiring that goes through
all the data publicly & privately
available on you
AI based autonomous lethal weapons
[such as tanks or missiles]
AI based systems that are created in a
way that cannot be understood
AI based social scoring of citizens by
governments
43 25
44 20
38 14
36 6
24 -3
22 -23
19 -37
18 -39
17 -39
16 -43
QT2: The development of artificial intelligence (AI) is raising many serious ethical questions throughout the world. On balance, how
would you rate the ethical nature of the following systems that will use AI?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
18
23
24
30
27
45
56
57
57
60
46
Ethical
(Net)
Net Score
2019Artificial Intelligence (%)
AI based traffic management and public surveillance are seen as the most ethical uses of AI systems (40%+ ethical), while AI based social scoring of citizens are seen as the least ethical (60% unethical). Other issues seen as unethical by the majority of Australians include AI based hiring using private and public data, AI based autonomous lethal weapons, and AI systems created in ways that cannot be understood (50%+ unethical).
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
Areas of ethical consideration
Unweighted scores/results
47
QC1: Given that making good ethical decisions requires a good understanding of both sides of a subject and access to unbiased
information, which of the following areas do you feel are ethically difficult to navigate? Please nominate up to 5.
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes Not sure / Don’t know)
Navigating ethics in specific areas
49
39
37
34
32
31
30
29
27
25
24
21
19
Immigration
Euthanasia
Climate change
Indigenous affairs
Government policies
Foreign investment in Australia
Business practices of foreign companies operating in
Australia
Terrorism
Social security
Environment
Foreign investment
Renewable energy
Business practices of Australian companies
48
One in two Australians continue to feel that immigration is the most difficult area to navigate ethically (49%), followed by euthanasia (39%, down from 47% in 2018). In 2019, climate change has moved to third position (23% to 37%).
2018
54
47
23
38
31
34
33
30
31
19
24
17
19
Top areas of difficulty for ethical navigation (%)
QC2: How would you rate the level of difficulty in navigating the ethical issues that may arise from the following likely future developments?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes Not sure / Don’t know)
Ethical difficulty of future developments
5
9
12
14
16
13
19
23
20
30
13
17
18
18
20
22
24
24
23
23
35
33
38
40
33
35
32
29
33
26
34
27
24
20
23
21
18
16
17
14
13
14
8
8
8
9
7
8
7
6
Difficult
(Net)
Extremely difficult Very difficult Somewhat difficult Not difficult Very easy
Crowdsourcing apps e.g. Uber, Airbnb
Increased connectedness to the internet
Drones
Robots in the workplace*
Genetically modified food
Use of big data analysis to target
consumers**
Self-driving cars*
Gene manipulation for medical treatments
Artificial intelligence
Embryo experimentation
18
26
30
32
36
36
43
47
43
53
47 29 24
41 15 16
32 2 5
28 -4
31 -5 -7
30 -6 -16
25 -18
24 -23 -24
24 -18 -22
20 -33 -34
49
Australians continue to be most concerned ethically with future developments that involve humans interfering with nature’s natural course, from embryo experimentation, to gene manipulation for medical treatments and artificial intelligence (40%+ for ethical difficulty). In addition, Australians are concerned with the ethics of self-driving cars (43% ethical difficulty). Fewer Australians in 2019 are concerned by the use of big data to target consumers.(-16 to -6).
Easy
(Net)
Net Score
2019
Net Score
2018Future developments (%)
*Note new groups added in 2019. **Question wording slightly changed in 2019
QC4: How would you rate the level of ethical behaviour of the following people that you may have contact with? Please rate only
those that you do have personal contacts with.
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Ethical behaviour of people in personal contact with
2
2
3
5
3
6
8
10
12
12
12
3
3
4
9
6
11
12
14
19
20
20
13
15
16
17
27
33
29
27
30
29
29
33
38
45
42
38
33
33
35
30
29
29
49
42
32
27
26
17
19
15
9
10
10
Unethical
(Net)
Your doctor (GP)
Your pharmacist
Nearest local hospital
Police*
Your accountant
Your financial planner
Your lawyer
Your bank
Your elected local councillors
Your local member of State Parliament
Your local member of Federal Parliament
5
5
7
14
9
17
19
24
31
32
32
82 78 80
80 75 76
77 70 72
69 54
63 54 52
50 33 27
52 33 34
50 26 18
39 9 -1
39 7 -1
39 7 2
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
50
Overall, the ethical behaviour of people we are in personal contact with has remained mostly consistent with 2018, with the exception of banks, which has improved its net score. Healthcare professionals with whom Australians have had personal contact are perceived as most ethical (70%+ ethical score). The ethical net scores of local members of state parliament and elected local councillors have also improved in 2019.
Ethical
(Net)
Net Score
2019
Net Score
2018
*Note Police was added in 2019
People in personal contact (%)
QC5: How would you rate the level of ethical behaviour of each of the following situations?
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000) (excludes No Opinion and DK for each statement)
Ethical behaviour in particular situations
21
36
31
18
20
17
22
46
30
32
35
29
33
29
20
20
22
33
37
35
31
9
10
9
9
10
11
13
4
4
5
5
4
4
6
Unethical
(Net)
Not correcting a restaurant bill when it does not
include an item that you have ordered and
consumed
A 'win at all costs' approach to sport
Collection of data by social media companies
Taking a sick day when not actually sick
Job losses resulting from gains in artificial
intelligence
Categorising someone who offers an opposing
view (e.g. calling them greenie or climate-
denier)
Opposition political parties and independents
blocking legislation of a party which has won
government
68
65
64
53
49
50
50
13 -55 -54
14 -51 -54
14 -49 -53
14 -39 -42
14 -35 -32
15 -35 -37
19 -32 -26
51
The majority of Australians rate each of the situations as more unethical versus ethical, eliciting strong responses for the collection of data by social media companies (64%), ‘win at all costs’ approach to sport (65%) and not correcting a restaurant bill when it doesn’t include an ordered item (68%).
Ethical
(Net)
Net Score
2019
Net Score
2018
Very unethical Somewhat unethical Neither unethical nor ethical Somewhat ethical Very ethical
*Note the following responses were removed in 2019 ‘Personal verbal attacks ('sledging') against sporting opponents’.
Particular situations (%)
QC6: If you have any other ethical dilemmas or issues that you are concerned about, please provide a short description here below.
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000). Full list of verbatim comments provided in Excel. 52
'
'
Politicians are view as leaders in our society but yet a large number
of them behave like little children and do unethical actions… They
should work together for the benefit of the nation and society.
Those decision makers for policies/laws being made by people that
have never worked in the area or had any personal experience in
the area
…disparity of wealth within the community… the politicians aren't
listening
… raising Newstart…
e.g.
'
'
Why should taxpayers fund illegal immigrants who came here
by boat to stay while legitimate requests for legal immigration
are denied
Government reducing the number of seats for immigrants. Point
system is sucking
Seeking refuge is a human right, especially when there is no
safe option to remain in their own countries due to war, human
rights violations and/or famine.
' …Allowing the extinction of the environment, animals &
people because 'it's all about the money (economy)'
being more important than actual be able to live safely…
…Climate change deniers…
…Maintaining our standard of living while destroying the
environment…'
'Mainstream media not being straight up or forming a
false narrative to advance their ideological agenda or
make money…
Media/educators espousing their personal beliefs as
facts to public/students…
…Fake or real news…. '
Some key ethical concerns facing Australians include (but are not limited to)…
Other ethical concerns
Highlights of some key ethical concerns expressed
Misuse of power and inequality
Distrust of media and experts
Immigration and refugee treatment e.g.
e.g.Action on climate change e.g.
Appendix
53
-28 -24-17
-9
22
49 50
67 71 75 79
Banking Media Large Corp Govern't Trader Assoc. Public Service Small-MediumEnterprises
ProfessionalMembership
Assoc.
Charities Education Health
Ethics Index 2019 (37)
Overall Importance of Ethics (82)
100
80
60
40
20
0
-20
-40
-60
-80
-100
Base: Australians 18-65, Ethics Index Oct 2019 (n=1000)
Ethics Index 2019(Overall Ethics Index 2019: 37)
-41 -38 -27 -15 15 50 52 65 75 84 86Ethics Index
2018
Ver
y Et
hic
alSo
mew
hat
Et
hic
al
Nei
ther
Eth
ical
or
Un
eth
ical
Som
ewh
at
Un
eth
ical
Ver
y U
net
hic
alWhilst the Ethics Index comprise ethics scores of key sectors in society, taking into account organisations and professions within them, this chart plots the scores that Australians nominated for each sector at an overall level. Health, education, charities / NFP and professional membership associations are perceived as 'Very Ethical', while Government is seen as neither ethical nor unethical. Media, and banking, finance & insurance are still regarded as 'Somewhat unethical', however large corporations saw an increase in its ethic score, from -27 to -17.
54
Banking, Finance & Insurance
Media Large Corporations
Government Trade or Worker
Associations
Small to Medium
Enterprises
Public Service
ProfessionalMembershipAssociations
Charities & Not-For-Profit Organisations
(NFP)
Education Health (e.g. hospitals,
medical practitioners, pharma co’s)
Governance InstituteEthics Index 2019
END