National Survey Signals Workplace Ethics Are Near an Inflection Point

One-Third of American Workers Fear Negative Consequences of Reporting Misconduct

Over One-Fifth of Employees Feel Pressure to Compromise Ethics

NEW YORK, May 12, 2026 /PRNewswire/ -- A nationwide survey commissioned by the law firm Outten & Golden LLP reveals troubling warning signs about the state of workplace ethics in America, including employees' widespread fear of retaliation and persistent pressure to compromise ethical standards.

The inaugural report, Trust @Work: Is the American Workplace Facing an Ethical Crisis?, draws on responses from more than 1,000 Americans and highlights a growing disconnect between employee values and workplace realities. 

Among the most concerning findings: 22% of respondents report witnessing unethical or illegal conduct at work, yet one-third say fear of negative consequences would stop them from reporting it.

"When one-third of American workers fear reporting misconduct, that's not just a red flag—it's a systemic failure," said Tammy Marzigliano, Partner and Co-Chair of the firm's Whistleblower & Retaliation Practice. "If employees believe that speaking up at work comes with a personal cost, employers should be worried. Companies that fail to build cultures of trust and accountability are not only risking legal exposure—they are undermining their own long-term success." 

Key Findings

• Fear of Retaliation: One in three employees would not report misconduct due to fear of negative consequences.
  
  
• Ethical Pressure: More than one in five respondents (21%) report feeling pressure to compromise their ethical standards.
  
  
• Diversity Disconnect: While 73% of Americans believe diversity, equity, and inclusion should be a workplace priority, 28% say their employer does not treat it as one.
  
  
• Communication Gaps: Thirteen percent of respondents do not believe their employer communicates honestly and openly, with skepticism rising among older employees.

Across topics, a notable share of respondents express uncertainty about workplace ethics, communication, and reporting safety.

What Matters to Employees Isn't Always Reflected at Work

The report underscores a meaningful disconnect between employee values and employer practices. More than one-fifth of respondents say they have felt pressure to compromise their ethics—a figure that rises to 26% among male respondents.

The findings also point to a gap in how employers approach diversity, equity and inclusion. While a strong majority of employees—especially younger workers and Black and Hispanic workers—view inclusive practices as central to integrity and trust, more than a quarter say their employers fall short.

Whistleblowers: A Critical Line of Defense

The survey highlights whistleblowers as essential to organizational accountability—yet awareness of available protections remains limited. More than 40% of respondents say they are unaware of government whistleblower programs that offer confidentiality, legal protection, and financial incentives.

"Government whistleblower programs give employees something many workplaces still fail to provide: a safe path to speak the truth," said Dave Jochnowitz, Co-Chair of the Whistleblower & Retaliation Practice. "Internal systems often fail. When they do, these programs help restore balance and ensure misconduct does not go unchecked. When employees know they can report fraud confidentially and with legal protections behind them, they become an essential first line of defense against corporate wrongdoing."

Closing the Gap

The findings suggest the American workplace may be at an ethical inflection point. Bridging the gap between awareness and action will require stronger leadership accountability, transparent communication, and cultures where employees feel safe to speak up.

"We must do better," said Marzigliano. "Until we do, whistleblowers will remain one of the most powerful forces for accountability."

About Outten & Golden LLP

For nearly three decades, Outten & Golden has tirelessly advocated for workplace justice and equity under the law. Taking on many of the country's largest and most powerful employers, collectively the firm has recovered more than $1.3 billion for employees from all walks of life. Attorneys in the Whistleblower & Retaliation Practice combine decades of experience defending employees from retaliation and pursuing claims under the U.S. Securities and Exchange Commission whistleblower program, including precedent-setting matters that have resulted in significant whistleblower awards.

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SOURCE Outten & Golden LLP