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Survey Data Reveals Little Connection between Executive Compensation, Employee Bonuses and Business Ethics and Compliance
Date:5/28/2009

Survey conducted by the Society of Corporate Compliance and Ethics and Health Care Compliance Association

MINNEAPOLIS, May 28 /PRNewswire-USNewswire/ -- At this critical time when the public, government leaders and others are calling for executive compensation and employee bonus reforms, it appears that there is relatively little connection between business ethics and corporate compensation, according to a recent survey conducted by the Society of Corporate Compliance and Ethics (SCCE) and its sister organization, the Health Care Compliance Association (HCCA). This new research among compliance and ethics professionals reveals that when it comes to compliance and ethics metrics, very little has been done to incent ethical behavior.

"The survey found that only a minority of companies have made ethics and compliance a process for determining how employees are compensated and only about one company in six ties employee bonuses and incentives to ethical performance," said Roy Snell, Chief Executive Officer, SCCE.

The majority of survey respondents indicated that compliance and ethics are not strongly tied to how executives and line employees are compensated. When it comes to bonuses, ethics and compliance plays an even smaller role. According to the survey numbers, only 34% of survey respondents reported that compliance and ethics had some impact on the compensation process for executives and in the highly sensitive area of bonuses, compliance and ethics does not appear to be a factor for 76% of companies.

"The net result is that there is more work to be done in aligning business practices with stated commitment to compliant, ethical behavior," said Snell.

To review the complete survey results, please click here: '/>"/>

SOURCE Society of Corporate Compliance and Ethics; Health Care Compliance Association
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