Building an Ethical Workplace Culture

'Ethics Fatigue' Can Negatively Impact Corporate Culture

Are You Suffering from Job Burnout?

I have been blogging about workplace culture for some time. Recently, I discussed the issue of ‘quiet cracking,’ which has been defined as a persistent feeling of workplace unhappiness that leads to disengagement, poor performance, and an increased desire to quit. Of course, there is more to it than that.

Quiet Quitting

I have examined the better-known concept of quiet quitting It does not mean that employees outright quit their job. While employees do not stop performing their duties, they quit the idea of going above and beyond. They no longer subscribe to the hustle culture mentality that work must be first in our lives. Millennial and Generation Z workers are at the forefront of the movement. Baby Boomers and Generation X workers are older and less likely to leave their jobs. Gen Z is driving the trend with a higher percentage leaving jobs without another to go to. 

According to a study by Gallup, quiet quitters make up at least 50% of the U.S. workforce. Many quiet quitters fit its definition of being “not engaged” at work -- people who do the minimum required and are psychologically detached from their job. Gallup found a decline in engagement and employee satisfaction among remote Gen Z and younger millennials – those below age 35. 

In my research for these blogs, I came across the concept of ‘ethics fatigue.’ It seems to fit into my research and relevance of the aforementioned blogs. I didn’t know much about the concept, so I did some research to explain it in this blog. Here is what I found.

The Concept of Ethics Fatigue

Nick Gallo writes for Corporate Compliance Insights that: “Ethics fatigue is what happens when you’ve had to deal with one too many gray areas, internal investigations or policy rewrites. It creeps up on you. One day you’re passionate about building a culture of integrity. The next, you’re exhausted, cynical, maybe even numb to it all. He provides signs that might implicate ethics fatigue:

  • You’re tired of talking about “values” because no one seems to follow them.
  • You feel like a broken record, repeating the same messages with little impact.
  • You’ve started avoiding tough conversations because they just lead nowhere.
  • You catch yourself thinking, “What’s the point?”

Gallo rightly points out that ethics fatigue can be dangerous. “When the people responsible for holding the ethical line start to check out, the whole culture can slide fast.” It can lead to widespread job burnout that compromises ethics in the organization.

Ethics culture

Characteristics of Ethics Fatigue

Behavioral science addresses ethics fatigue by characterizing the effects on organizational culture, ethical leadership and decision making.

  • Decision fatigue wears you down. Every ethical dilemma costs you energy. Multiply that by your workload.
  • Moral disengagement can creep in. When people stop seeing the point, they start making excuses.
  • Cognitive overload makes it harder to see the big picture. You’re so busy trying to stay compliant that you forget why the rules matter in the first place.

If your organization doesn’t reward ethical behavior, you may start to question why bother.

Business Risk

Ethics Fatigue can exist in one’s personal life or create business risk.  This isn’t just about how you’re feeling. It can lead to job burnout and when others in the organization feel the same way, red flags may be ignored and the organization might start to miss its goals.

Writing for Corporate Compliance Insights, Vera Cherepanova, identifies why employees should speak up when employees start to disconnect from the organization. She points to the following effects on stakeholders:  

  • Legal trouble. The less people care, the more likely they are to ignore the rules.
  • Employee turnover. People won’t stick around in a place where ethics feel optional.
  • Loss of trust. If customers or partners smell hypocrisy, they walk.
  • Reputation damage. One viral story can undo years of brand building.

She concludes that “letting ethics fatigue go unchecked isn’t just bad for morale. It’s a direct threat to your bottom line.”

Compliance Issues

Compliance professionals should identify regulatory risks and help prioritize issues and develop materials for staff meetings to reinforce the need for adequate rest. If necessary, Dr. Denise Atwood suggests that Human Resources should create and offer support such as include peer support programs, supporting mental health, and referrals to the organization’s employee assistance (EAP) program.  Ethical leadership should strive to create a values-based compliance program that emphasizes why compliance matters for the organization’s goals and mission.

There is a lot more to say about ‘ethics fatigue,’ some of which I will address in subsequent blogs. When ethics fatigue is present there may be a decline in the quality of work. Moreover, ethics fatigue can lead to a decline in moral judgment. When ethics fatigue is present in employees or the organization there are negative effects on ethics.  The key issue is one of trust. Employees will lose trust if the environment of the organization creates burnout. There needs to be careful oversight from top management to ensure such conditions do not exist. In the end, it’s all about creating a culture of respect for employees, recognition of their needs, acting in ways that put the organization in the best light, and considering the consequences of decisions on all stakeholders.

Posted by Dr. Steven Mintz, aka Ethics Sage, on June 23, 2025. Steve is the author of Beyond Happiness and Meaning: Transforming Your Life Through Ethical Behavior, which is available on Amazon. Learn more about his activities at: https://www.stevenmintzethics.com/ and signing up for the newsletter. 

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