Keeping Up with Compliance: Why Training Needs to Evolve with the Law
Ethics and Compliance
Have you ever justified bending the rules? Maybe you skipped a small step in a process to save time or kept quiet about something that felt “not your place” to address. Now imagine how often those moments happen across your workforce.
Most workplace misconduct isn’t about bad intentions — it’s about unconscious justifications. Understanding these psychological traps is key to building a stronger, safer workplace culture. That’s where Code of Conduct training can help.
Code of Conduct violations happen more than you think
In a recent Traliant survey of U.S. employees, 57% of respondents reported they’ve observed behavior that seemed like a potential Code of Conduct violation. Over one in five admitted to unknowing committing a Code violation. Worse yet, 39% of respondents that committed or observed a Code of Conduct violation said they didn’t report it to anyone.
With constant pressure to meet deadlines, employees may feel tempted to cut corners — especially if they believe leadership values results over process. It’s important for employees to see company leaders address unethical behavior — not just reward outcomes.
Cognitive biases that drive misconduct
- The slippery slope: Small compromises can gradually snowball into major ethical violations. Employees may think, “It’s just this once.” Over time, these seemingly harmless decisions can normalize behavior that contradicts company policies. An employee who shortcuts documentation procedures to save time may eventually overlook more critical safety steps, increasing risk without recognizing the escalation.
- The bystander effect: People assume someone else will report a problem, especially when misconduct seems “obvious” to the group. This mindset is especially dangerous in hierarchical environments where employees defer responsibility to more senior staff. The larger the group witnessing an incident, the less likely individuals are to speak up, believing others will act instead.
- Overconfidence bias: High-performing employees may believe their strong track record justifies cutting corners. These individuals may feel immune to oversight or be convinced their expertise allows them to make “exceptional” choices. This misplaced confidence can lead to rationalizing behavior like ignoring safety protocols, fudging numbers to meet goals or disregarding conflict-of-interest policies.
- Moral licensing: Employees may mentally excuse risky behavior by recalling past positive actions: “I’ve worked overtime all month — I deserve to bend this rule.” This self-permission mindset makes employees more vulnerable to ethically questionable behavior, such as skimming time on tasks, ignoring data discrepancies or failing to follow proper reporting channels.
The power of unwritten rules
Invisible workplace norms can quietly undermine your official Code of Conduct and leave employees confused or frustrated. For example, your Code may emphasize fairness, inclusion and respect, but your culture’s unwritten rules may whisper something else:
- “We don’t speak up when leadership makes questionable decisions.”
- “If you leave at 5 PM, people will assume you’re not committed.”
- “Bringing up concerns makes you look like a troublemaker.”
When these silent rules take hold, employees may believe that following social norms is safer than following official policies.
Code of Conduct awareness doesn’t mean ethical preparedness
More than a third (37%) of Traliant survey respondents said they have faced an ethical situation at work where they were unsure how to proceed. This was especially true of Gen Z (49%) and Millennial (41%) respondents. The good news is that most said ethical decision-making at their company could be improved with Code of Conduct training that uses more relatable, real-world examples that are applicable to their daily work.
In addition to Code of Conduct training, HR leaders can expose and address hidden cultural risks with intentional strategies:
- Encourage employees to pause and ask themselves: “If this decision were made public, would I still feel good about it?”
- Host small group sessions where employees can anonymously identify informal workplace norms. Ask questions like: “What behaviors are rewarded here? What behaviors are quietly punished?”
- Talk to managers about reducing undue pressure to achieve results. Employees report feeling the most pressure to compromise workplace standards when their supervisors only care about meeting targets.
- Encourage managers and supervisors to talk about the importance of ethical conduct and regularly remind employees of the existence of your Code of Conduct and the processes in place to receive and respond to reports of suspected wrongdoing.
- Hold employees at all levels accountable to your organization’s values and standards. Reward employees who display conduct that exemplifies core values. Communicate the results of investigations and disciplinary actions when misconduct is substantiated.
By providing employees with effective Code of Conduct training — and making them aware of cognitive biases, you’ll empower them to make better choices — and build a stronger culture of integrity.
