ACCA Applied Knowledge · Business and Technology · Corporate codes of ethics
Which of the following is most likely to be included as a stated aim in a corporate code of ethics dealing with whistleblowing?
A code's whistleblowing section would typically provide a procedure for employees to report concerns confidentially, with protection against retaliation. This encourages early disclosure of wrongdoing internally. Requiring press reports, banning discussion or promising automatic dismissal would be inappropriate and unfair.
- AA procedure allowing employees to report concerns confidentially without fear of retaliationCorrect
- BA requirement that employees must report concerns only to the press
- CA ban on employees discussing concerns with anyone in the company
- DA guarantee that all reports will result in dismissal of the person named
Explanation
Whistleblowing provisions give staff a safe, confidential route to raise concerns and promise protection from retaliation. The other options would discourage reporting, bypass internal channels or prejudge outcomes unfairly.
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