Deloitte's 2009 Ethics & Workplace Survey Examines the Reputational Risk Implications...

Deloitte's 2009 Ethics & Workplace Survey Examines the Reputational Risk
Implications of Social Networks

Results of Third Annual Study Reveal Tension between Employers and Employees
around the Use of Social Media

NEW YORK, May 18 /PRNewswire/ -- According to the third annual Deloitte LLP
Ethics & Workplace survey, 60 percent of business executives believe they have
a right to know how employees portray themselves and their organizations in
online social networks. However, employees disagree, as more than half (53
percent) say their social networking pages are not an employer's concern. This
fact is especially true among younger workers, with 63 percent of 18-34 year
old respondents stating employers have no business monitoring their online
activity.

That said, employees appear to have a clear understanding of the risks
involved in using online social networks, as 74 percent of respondents believe
they make it easier to damage a company's reputation.

"With the explosive growth of online social networks, such as Facebook and
Twitter, rapidly blurring the lines between professional and private lives,
these virtual communities have increased the potential of reputational risk
for many organizations and their brands," said Sharon Allen, chairman of the
board, Deloitte LLP. "While the decision to post videos, pictures, thoughts,
experiences and observations is personal, a single act can create far reaching
ethical consequences for individuals as well as employers. Therefore, it is
important for executives to be mindful of the implications of this connected
world and to elevate the discussion about the risks associated with it to the
highest levels of leadership."

A mere 17 percent of executives surveyed say they have programs in place to
monitor and mitigate the possible reputational risks related to the use of
social networks. Additionally, while less than a quarter have formal policies
on the medium's use among their people, nearly half (49 percent) of employees
indicate defined guidelines will not change their behavior online.

"One-third of employees surveyed never consider what their boss or customers
might think before posting material online," Allen continued. "This fact alone
reinforces how vulnerable brands are as a result of the increased use of
social networks. As business leaders, it is critical that we continue to
foster solid values-based cultures that encourage employees to behave
ethically regardless of the venue."

The complete results of the 2009 Ethics & Workplace survey reflect opinions of
employees and business executives on questions on ethics, work-life balance,
reputational risk and the prevalence of boardroom participation as it relates
to increased employee social networking.

Methodology
Opinion Research conducted a telephone survey on behalf of Deloitte LLP among
a national probability sample of 2,008 employed adults comprising 1,000 men
and 1,008 women 18 years of age and older, living in private households in the
continental United States. Interviewing for these CARAVAN(R) Surveys was
completed during the period April 9-13 and 16-19, 2009. Sampling error is +/-
2.5 percent.

Opinion Research also conducted an online survey of 500 business executives.
The sample for the study came from a panel of executives across the United
States, including company owners, directors, CEOs, controllers, EVPs, CIOs,
VPs and board members. Invitations to participate in the study were sent
beginning on April 10, 2009 and data collection continued through April 17,
2009.

About the Deloitte Chairman's Survey
The Deloitte LLP Chairman's survey is designed to measure workplace behavior
and the impact leadership has on the workplace environment. Following up on
last year's survey, which uncovered a link between transparency of leadership
and employee productivity, this year's survey studied the impact of use of
social networking on reputational risk, workplace ethics, and career-life fit.
Sharon Allen, Chairman of the Board, Deloitte LLP, is the sponsor of the
annual survey.

About Deloitte
As used in this document, "Deloitte" means Deloitte LLP and Deloitte Services
LP, a subsidiary of Deloitte LLP. Please see www.deloitte.com/us/about for a
detailed description of the legal structure of Deloitte LLP and its
subsidiaries.

SOURCE Deloitte

Dana Fields Muldrow, Public Relations, Deloitte, +1-212-492-3875,
dmuldrow@deloitte.com; or Sanuber Bilguvar, Public Relations, MWW Group for
Deloitte, +1-212-827-3764, sbilguvar@mww.com