Silent Deals, Loud Consequences

By, Amir Hakim Ahmad Tarmizi

Bribery might seem like a quick solution, but its consequences go far beyond the money involved. It has become a growing problem in many organizations, damaging both their reputation and the trust of employees and the public. Bribery happens when personal gains are placed above honesty, fairness, and the well-being of the organization. Fighting bribery is important for achieving Sustainable Development Goal (SDG) 16, which aims to build just, accountable institutions, according to Thakker & Sun in a 2023 journal publication. From an Islamic perspective, bribery is considered a serious sin, as highlighted in Surah al-Baqarah (2:188), warning against gaining wealth through corrupt means. In the end, bribery harms not just organizations, but society by increasing inequality, exploiting the vulnerable, and weakening justice and integrity. 

Bribery can be influenced by various factors, each contributing to its prevalence and persistence within society. These factors include: 

1. Undermining Ethical Standards 

Bribery severely undermines ethical standards within an organization, leading to a significant loss of public trust. Ethical standards are the foundation upon which organizations are built, based on core values such as honesty, fairness, integrity, and accountability. When bribery occurs, it signals that personal or organizational gain is more important than adhering to these principles. This not only encourages dishonesty but also normalizes corruption, creating a toxic environment within the organization. Over time, this erodes the trust of both employees and customers, ultimately damaging the company’s image. In 2015, Volkswagen was involved in a massive bribery scandal known as “Dieselgate,” where the company used illegal software to cheat emissions tests. The scandal not only led to billions of dollars in fines but also caused the company to lose credibility and trust in the global market. Their unethical practices undermined the company’s reputation and exposed deep internal failures in their corporate ethics, reported “The New York Times” in 2015.

Challenges: 

One of the major challenges in tackling bribery is that it often becomes embedded in organizational culture. In some industries, bribery is seen as a necessary evil to get things done, leading to a cycle of corruption that is difficult to break. 

Actionable solutions: 

Organizations need to establish and enforce strong anti-bribery policies. This includes creating clear consequences for corrupt behavior and establishing anonymous whistleblower systems that allow employees to report unethical practices without fear of retaliation. Training employees on ethical decision-making and integrity, backed by clear leadership, can also help reinforce these standards. 

2. Fostering Inequality 

Bribery exacerbates social inequality by giving unfair advantages to those with money or power. It limits access to opportunities, justice, and resources for the less privileged, rewarding unqualified individuals or companies instead of those who deserve it. This promotes a system where success is determined by wealth rather than merit, leading to further divisions within society. As bribery becomes more widespread, it can also reduce public confidence, as people feel that the system is rigged against them, undermining overall societal trust. In some countries, bribery within the healthcare system means that only those who can afford bribes can access critical treatments. For instance, in certain regions of Africa and Asia, patients often have to pay bribes to medical staff in order to receive timely medical care. This practice leaves those without the means to pay at a disadvantage, exacerbating social inequalities reported Transparency International in 2013. 

Challenges: 

One of the difficulties in tackling bribery is that it often becomes a way of life for some individuals and organizations. People may not recognize the broader negative consequences of bribery, particularly in environments where it has been accepted for generations. 

Actionable solutions: 

Government and organizational leaders should work towards providing equal access to opportunities and resources. Strengthening legal frameworks to ensure accountability, promoting merit-based recruitment, and ensuring that all services are accessible without the need for bribes that can significantly reduce inequality. Raising public awareness about the long-term effects of bribery on social justice can also help encourage widespread societal change. 

3. Creating a Perception of Unfairness 

Bribery creates a perception of unfairness, where people believe that decisions and opportunities are based on favoritism and corruption rather than merit and transparency. This perception can cause a chain reaction, leading to reduced customer loyalty, lower investor confidence, and damaged business relationships. When the public feels that opportunities are being manipulated by bribery, they lose trust in the organization, which can harm its bottom line and reputation. In the 2016 Panama Papers leak, many world leaders and wealthy individuals were exposed for hiding assets through secret offshore accounts to evade taxes. This scandal created widespread distrust in the financial industry and public institutions, as people saw how the rich and powerful used their influence and wealth to avoid justice and fairness according to The International Consortium of Investigative Journalists in 2016.***