Cost of Living pressures dominate Ethical Concerns for 2024 

Welcome to the Governance Institute of Australia’s 2024 Ethics Index 

We're excited to share the findings of our 2024 Ethics Index, a unique study that measures how society views key ethical issues and the perceived ethics of institutions, organisations and professions that are essential to a democratic society. 

This year, the ethical landscape continues to evolve, reflecting new challenges and priorities. The overall Ethics Index score has seen a slight decrease from 45 to 43, indicating that there's still work to be done in improving ethical standards across various sectors. 

One of the standout findings this year is the unprecedented importance placed on ethics, which has reached an all-time high of 85. This surge is driven by Baby Boomers and Gen X, who are increasingly vocal about their ethical expectations. It's clear that the demand for transparency, accountability, and ethical conduct is stronger than ever. 

Cost of living pressures have emerged as the top ethical challenge for 2024. With rising prices in housing, healthcare, and everyday essentials, many Australians are feeling the pinch. This issue underscores the urgent need for policies and actions that address these economic hardships. 

As we look ahead to the 2025 Federal Election, ethical considerations around housing, renewable energy, and economic management are set to be key campaign issues. Voters are scrutinising the ethical implications of campaign promises more closely than ever, particularly around affordable housing and renewable energy. 

When it comes to professions, Fire Services, Nurses, and Ambulance Services are viewed as the most ethical, scoring 76, 75, and 74 respectively. On the other hand, Real Estate agents, federal politicians, and state politicians face significant scrutiny, with scores of -18, -15, and -6. 

The ethical obligation for organisations to tackle climate change, even if it results in reduced profits or job losses, has increased significantly over the past year. This highlights a growing recognition of the importance of sustainable practices. 

Trade Unions and associations have seen substantial declines in their ethical ratings, while the Health sector remains the most ethical, despite some negative perceptions of GPs who don’t bulk-bill. The Education sector has also seen declines, driven by negative perceptions of universities, university lecturers, and private schools. 

The Media sector is rated as the least ethical, with significant falls in the ethical perceptions of mainstream broadcast media. This reflects ongoing concerns about the role of media in society and the need for greater accountability. 

Our CEO, Megan Motto 😊 FGIA FCG, highlighted a growing divide between society's expectations and perceptions of ethical conduct, noting that the "Ethical Expectation Deficit" has reached its highest level since 2019. This calls for a renewed commitment from leaders and organisations to bridge this gap and foster a culture of integrity and ethical behaviour. 

On the global stage, recent elections in the United States and other countries have influenced the ethical climate, highlighting the interconnectedness of ethical standards across borders. 

This year, Governance Institute of Australia has produced a supplementary report with the support of the National Artificial Intelligence Centre. It provides more qualitative data, exploring the ethical perceptions around artificial intelligence and its use in society and by organisations.  

The rapid growth of Artificial Intelligence (AI) continues to be a double-edged sword. While AI offers significant advancements, it also raises ethical concerns. Our findings show that 68% of respondents believe there is an urgent ethical obligation for AI not to be used to mislead or deceive, reflecting the critical need for robust ethical guidelines in AI development and deployment. 

We were honoured to launch the 2024 Ethics Index at Parliament House in Canberra with our Parliamentary Friends of Governance and Ethics group. Co-chair Bridget Archer MP Federal Member for Bass, joined us, along with EU Ambassador to Australia, Gabriele Visentin, who shared his reflections on the role of ethics in politics and diplomacy. 

As we reflect on these findings, it's clear that the ethical expectations of Australians are higher than ever. The gap between the importance placed on ethics and the perceived ethical performance of institutions continues to widen. This calls for a renewed commitment from leaders and organisations to bridge this gap and foster a culture of integrity and ethical behaviour. 

We hope this Index serves as a valuable tool for understanding and addressing the ethical concerns of our society. By prioritising ethical conduct, we can build a more trustworthy and resilient future for all Australians.