6. ETHICS AND AWARENESS
 

INTRODUCTION

It cannot be expected of public sector officials or others that they are vigilant in combating corruption unless there is a commonly accepted set of ethics, which serve as the ground rules. All sectors of society have a duty to ensure that children and adults alike know what is right and what is wrong. A national system of ethics must be clear on what constitutes corruption.

An Ethical Framework is essential for social and economic development. It is common knowledge that corruption promotes the wrong developmental and investment choices. It encourages competition in bribery, rather than competition in quality and in the price of goods and services. It inhibits the development of a healthy marketplace and distorts economic and social development. Moreover, evidence shows that if corruption is not contained, it grows exponentially. As soon as a pattern of successful bribery is institutionalised, corrupt officials demand larger bribes resulting in market inefficiency.

Strategic consideration 6 in the Public Sector Anti-Corruption Strategy deals with the management of professional ethics and emphasises that coherent processes and mechanisms to manage professional ethics are essential in the fight against corruption. Specifically, this consideration calls for a renewed emphasis on managing ethics, including the establishment of a generic ethics statement for the Public Service that is supported by extensive and practical explanatory manuals, training and education.

This Chapter provides an overview of the current ethical framework which informs organisational behaviour in South Africa, including the Code of Conduct for the Public Service that is issued by the Minister for the Public Service and Administration. It also assesses the programmes, which have been initiated to improve professional ethics in both the public and private sectors, and highlights some of the challenges which organisations are grappling with.

 

6.1 Ethics Frameworks

In 2001, the Office of the Public Service Commission, in conjunction with KPMG and Transparency South Africa, undertook a national ethics survey, " Ethics in practice". The purpose of the survey was to measure the extent to which South African organisations (public service, private corporations and civil society) have succeeded in establishing certain basic ethics management practices. It was the first survey ever designed to provide a snapshot of current ethics practices in South Africa.

It was not intended to be a comprehensive measurement of either the quality or success of these practices. No judgement can therefore be made about the general "state of ethics" in South Africa since the sample comprised of 166 respondents - 30 respondents representing the public sector, 76 respondents representing the private sector and 60 respondents representing civil society.

The survey focused on assessing:

  • Initiatives in managing for ethical practice such as ethics documents, ethics related evaluations, responsibility for the ethics function in the organisation, resolution of ethics problems, reporting mechanisms, conducting ethics training, performance evaluation and risk assessments;
  • Future ethics management; and
  • Specific public sector issues.

In summary, the survey revealed that although professional ethics are well understood at senior management level, many South African organisations (spanning all sectors) have not been able to integrate ethics management practices into their existing management processes.

The main findings can be summarised as follows:

  • Most respondents stated that they have a basic ethics infrastructure (such as codes of conduct and whistleblower protection) in place in the organisation. 84% reported the existence of written documents that outline the organisation's values and principles. However, it is important to note that several disturbing trends show that this infrastructure is too basic and therefore ineffective;
  • Some 54% of respondents indicated that their organisation has a confidential reporting mechanism; and
  • It appears that many organisations do not acknowledge the importance of assigning a senior level manager to have ethics responsibility for the ethics programme.

More broad-ranging ethics management strategies and procedures are lacking:

  • Ethics training is too brief to be effective and also is not focused on important groups of employees, such as new entrants and managers;
  • Some 27% of the respondents indicated that new employees are trained in the application of the organisation's code of ethics;
  • Some 13% said that new employees are taught ethical decision-making skills;
  • Some 12% indicated that new employees are assisted in integrating ethics into their everyday activities; and
  • Many organisations have not assigned a senior manager to handle the ethics responsibility.

These trends imply that some organisations pay lip service to ethics, since these results reveal little commitment to ethical practice. The existence of a Code of Conduct means very little until employees know how to use it.

  • In most cases, ethics criteria do not form part of performance, reward or promotion criteria;
  • Ethics-related evaluations are present in about 50% of the organisations. One can expect that this will increase when the full implications of both King II (private sector), and the Public Finance Management Act (public service) and the civil society codes of ethics such as the code of ethics of the South African Non-Governmental Organisation Coalition (SANGOCO) become more apparent. The need for meaningful ethics practices, for example, is stressed in the King Report on Corporate Governance. The report's emphasis has shifted from merely requiring a code to clearly communicating how organisational integrity is achieved. While compliance with a code is important, it is only one element of a much bigger process;
  • Ethics was reported to be part of organisational risk assessment in just more than half (56%) of the participating organisations. From the survey, it is clear that financial risks still override reputational risks when it comes to determining ethical priorities;
  • Approximately 50% of the respondents indicated that their organisations have an explicit strategy focused on promoting ethical values and practice in day-to-day activities. This indicates that a lot of work remains to be done in convincing organisations of the importance of integrating ethics management practices as an integral part of all processes within the organisation.
The survey also reveals the issues with which organisations are grappling the most. Fraud and theft, security of information, financial management procedures, racial discrimination and workplace safety are seen as the most critical ethical issues facing organisations.
 

6.2 Codes of Conduct

The White Paper on the transformation of the Public Service (1994) made provision for the development of Codes of Conduct in the workplace in order to uphold the values which had been agreed upon as essential in promoting high standards of professionalism in a free and participatory democracy. Subsequently, the Constitution (1996) endorsed this view by prescribing the values and principles of public administration.

The then Public Service Commission developed a Code of Conduct, which was promulgated in 1997. It was intended that this Code of Conduct would be made known through and intensive workshop programme throughout the public service, and so would be the vehicle to operationalise professional ethics in the public service.

The PSC conducted workshops with national departments and a workshop programme for Provincial Administrations, which involved Premiers, MECs, and Directors- General. The primary purpose of the workshops was to inform managers about the contents of the Code of Conduct and to generate practical ideas for its implementation. The workshops were attended by well over 800 managers, who were responsible for cascading the outcomes to all levels of the departmental administrations. Evaluations of the workshop programme found a high level of satisfaction amongst participants with the quality of the workshops.

At each workshop the Commission also assessed the progress already made by the participating departments in the implementation of the Code of Conduct. In terms of the surveys, some 80% of departments indicated that they had already implemented the Code of Conduct. The majority of departments had implemented the Code by taking the following measures:

  • General discussion sessions, workshops and seminars
  • In-service training;
  • Distribution of brochures, pamphlets, placards and newsletters;
  • Conducting road shows and radio and TV discussions; and
  • Officials sign for the receipt and acceptance of the Code of Conduct. Thereafter, copies are placed on each official's personal file.

The positive way in which the code has been received at both provincial and national levels of governance is indeed indicative of the impact which professional ethics has made generally and in the public sector in particular.

Successful training events and workshops specifically tailored to deal with anti-corruption issues have been conducted throughout the country and the code has been translated into all the official languages, and into Braille. An explanatory manual on the code was produced in 2001.

The training of managers in corruption prevention has taken place at the University of Pretoria. Over 50 managers/trainers participated in the programme devised in collaboration with the OPSC.

 

Explanatory Manual on the Code of Conduct for the Public Service

The Explanatory Manual on the Code of Conduct for the Public Service was produced by the Public Service Commission to explain more fully the contents of the Code of Conduct. It serves as guide to employees to understand and resolve ethical dilemmas in their daily work. It has five focus areas:

  • Serving government;
  • Serving the public;
  • Professionalism and integrity;
  • Conflict of interest; and
  • Working in the service

One million pocket-sized booklets have been produced by the Public Service Commission for distribution to all public servants.

The Explanatory Manual aims to promote practical understanding of the stipulations in the Code of Conduct. The manual will also serve as an aid in the development and teaching of short courses for employees, particularly at the induction stage.

Copies of the Manual have been sent out to all the departments with a directive that they should:

  • Conduct training on the Explanatory Manual to enhance a spirit of ethical awareness;
  • Ensure that each public servant receives his or her individual copy of the Explanatory Manual for which the acceptance and adherence form are signed; and
  • Place completed forms in employees' personal files for record purposes.

6.3 Ethics Framework for Parliament

The South African Parliament has established a Joint Committee on Ethics and Member's Interest, whose functions are to:

  • implement a code of conduct for members;
  • develop standards of ethical conduct;
  • serve as an advisory and consultative body, both generally and to members, and
  • review the code of conduct.
The Joint Committee has issued a Code of Conduct as well as a system for the disclosure of members' interests. The disclosure system provides for public disclosure of shares and other financial interests, remunerated employment outside of Parliament, directorships and partnerships, consultancies and retainerships, sponsorships, travel, land and property, gifts and hospitality, benefits and pensions.
 

6.4 Ethics Training

The South African Management Development Institute (SAMDI) is primarily responsible for public service training. SAMDI has integrated ethics training into all their training programmes, and will present specific ethics training for managers as from 2003 as part of the Presidential Strategic Leadership Development Programme.

The Public Service Commission, in conjunction with the University of Pretoria, has developed a training programme on corruption prevention, with a focus on Ethics. This programme has been presented in 2001 and 2002 respectively. The majority of the employees who attended were senior managers from the South African Public Service, the private sector and civil society.

 

6.5 Conclusions

The Code of Conduct and the Explanatory Manual, the National Ethics Survey which the Public Service Commission undertook in collaboration with KMPG and Transparency South Africa and the research on the existence, functioning and management of hotlines, which was conducted in 2001 and 2002, illustrate the impact of professional ethics awareness on the public service. The development of whistle blowing mechanisms and the management of the asset register are indicative of the meaningful contribution this ethics principle is making to professional integrity and excellence.

However, managing discipline in the public service, reluctance by some senior managers to take disciplinary action against employees who have violated ethical standards, lack of encouragement of employees to blow the whistle on unethical conduct in the workplace, and poor integration of ethics management practices as an integral part of all processes within the public service have become major weaknesses.

Strengths:

  • The National Public Sector Anti-Corruption Strategy emphasises the need for more active ethics management;
  • Most public and private organisations have some form of Ethics Code;
  • A Code of Conduct for the Public Service has been developed and communicated, with training and manuals. Most departments have implemented it;
  • An Ethics System and Code of Conduct for Parliament has been implemented.; and
  • Senior management members in the Public Service are required to disclose their interests.

Weaknesses:

  • Many organisations have not integrated ethics management into their existing business and management processes.
  • Financial risks are still given far more attention than reputational risks.
  • There is a lack of full disclosure of interests both in Parliament and in the public service.
  • Reluctance to enforce ethics codes is a problem in the public service.
  • These measures do not include local government and many organs of state.

6.6 Recommendations

  • Public service unions must be mobilised to advocate professional ethics to members.
  • It is essential that the employer as personified by executing authorities at the political level and public service managers at all levels create an appropriate environment in which values are established and exemplary models set for emulation by all employees.
  • Management support is crucial because management attitudes play a significant part in shaping the organisational ethos of a work environment.