Factors of Employees’ Effective Voice in Corporate Goverance*

Stephen Clapham () and Robert Cooper

Journal of Management & Governance, 2005, vol. 9, issue 3, 287-313

Abstract: Traditionally, corporate governance has focused on the problem of crafting mechanisms to align the interests of owners and managers. The key characteristic has been to minimize the potential for managers to act in their own self-interest at the expense of shareholders. The purpose of this paper is to focus on employees as stakeholders in the governance process. We argue that creating an environment where employees have help in behaving ethically, in the course of their work, is the first step in encouraging them to voice observations of wrongdoing. Seven groups of professionals in the accounting and insurance fields were surveyed during a 10-year period and asked to indicate the extent to which 14 items were helpful in dealing with ethical challenges. Over 2700 responses were analyzed. The findings indicate that professionals think that their organizational culture and policy for voice was more helpful in dealing with ethical dilemmas than was their professional association. Copyright Springer 2005

Keywords: boards of directors; corporate governance; ethics; employee voice; stakeholders (search for similar items in EconPapers)
Date: 2005
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DOI: 10.1007/s10997-005-7421-3

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