ETHICS
Disclaimer: This training is a product of the Governor’s Office of Administration. Individual stories of employees throughout this training are entirely fictional and are not based on actual employees or events.
We’re going to cover the topic of Ethics for Commonwealth employees…both from a practical standpoint, and from a policy standpoint. By the time you’ve completed this training, you’ll be able to distinguish between what actions you should and shouldn’t take as a Commonwealth employee, you’ll know where to access more specific information such as policies, and you’ll know who to ask if you have a question.
Before we begin, let’s talk about what Ethics actually means. We certainly hear the word in the news a lot. We hear about corporations and politicians who get mixed up in scandals, with consequences ranging from resignations to multi-million dollar fines and years in jail. We hear about the lives of those affected by the unethical decisions of others, such as the employees of Enron who – by no fault of their own – were suddenly left with no jobs and a pile of shares worth pennies. We also hear about the high-profile court cases and hearings of those involved in private sector, non-profit, and government corruption. And all of this makes us realize that Ethics is a very big topic.
When we talk about Ethics, we can talk about what you might call “Schoolyard Ethics”, or the basic do’s and don’ts of interacting with the world. These are often thought of as common sense rules, such as telling the truth and respecting other people’s property. You may have also heard of the classic Golden Rule of treating others as you would like to be treated. Following these rules – or behaving ethically – sets a foundation for smooth relationships, secure personal boundaries, and systems that work well.
The same can be applied to any organization. The Commonwealth is no different. Because of this, we have policies in place that outline rules for our ethical behavior, as employees. Depending on your position, you might not have the influence to start front page scandals, but you might have the ability to use your work computer to send a few emails for your side business. You might also be in a position to accept a freebie from a contractor. These, and many other actions, are all violations of our Commonwealth policies that we’re going to learn about today.
Today we’ll be looking at the following seven topics:
· Conflicts of Interest
· Gifts, Favors, and Honoraria
· Misuse of Information, Facilities, and Equipment
· Supplementary Employment
· Political Activity
· Financial Disclosure
· Criminal Conduct
These topics are drawn collectively from the following five policies:
· The Governor’s Code of Conduct (Executive Order 1980-18)
· The Public Official and Employee Ethics Act, which is called the Ethics Act
· The Civil Service Act
· The State Adverse Interest Act of 1982 (Act 245)
· The Hatch Act
In place of reading those 100 pages of policy, we’ll cover each of the seven topics at a broad level, giving some examples and outlining the guidelines. Please be aware that while this training draws from these policies, it is not a complete review of any of them. We encourage you to review the specific directives through the links that are provided throughout the course to more thoroughly review each topic. Also if you still have questions for more specific information speak with someone in your Human Resources Office or your agency’s Chief Counsel. You should also know that your agency may have specific guidelines in addition to those we’ll talk about today.
The first topic we’ll look at is Conflicts of Interest. This topic is especially important because it can take many different forms and apply to many different situations.
At the most basic level, any situation in which your personal interests influence – or may be expected to influence – your position as a Commonwealth employee is likely a conflict of interest. This broad definition leaves room for a lot of examples of different ways this can occur.
For example, it could mean using your position to influence a contract being awarded to your brother’s business. It could also mean leaving Commonwealth service to work for a company that grew or expanded because of your influence as a Commonwealth employee.
Which of the following is a Conflict of Interest?
The correct answer is “C. Accepting a gift from an outside contractor with the Commonwealth.” Though the other choices all have issues of which to be aware, the only one that is actually a conflict of interest is accepting a gift from an outside contractor with the Commonwealth.
This is just one example of an issue surrounding Conflicts of Interest. The Offices of Administration and General Counsel recently issued guidance on this topic. Because everyone’s factual situation is different, you should contact your Office of Chief Counsel to discuss your particular situation.
The second topic is accepting gifts, favors, and honoraria.
To outline it simply, except for a few exceptions – such as objects of nominal value – we as Commonwealth employees cannot accept gifts, gratuities, favors, entertainment, loans, or anything else of monetary value from anyone who falls into the following categories:
Seeking to obtain business from or having financial relations with the Commonwealth
Conducting operations or activities that are regulated by the Commonwealth
Engaged – either as principal or attorney – in proceedings before the Commonwealth OR in court proceedings in which the Commonwealth is an adverse party
Having interests that may be significantly affected by how the employee performs their official duties.
In addition, we cannot accept speaking fees, honoraria, or consultation fees that draw upon ideas or information that we possess because of our Commonwealth duties. However, if you speak at a conference on a completely unrelated topic – perhaps your hobby of bird-watching – and that has no connection to your job duties, then you can accept a gift or payment that does not exceed the value of your services. A gift or payment exceeding the value of the services would be a prohibited honorarium even if your topic was unrelated to your Commonwealth duties.
Let’s look at another example. You are working as an auditor for the Department of Banking. While visiting a bank on a recent audit, the bank manager mentions that she can give you a great interest rate on a loan for the new car you have been talking about purchasing. According to her, the rate is “not something we offer the general public,” but she assures you that you won’t find something better elsewhere.
What would you do? Would you:
The correct answer is “C. Politely decline, and explain that it might look like a conflict of interest.” The most appropriate way to handle an advance like this – especially if it’s the first time it happened – is to explain why you can’t accept the offer and politely decline. To learn more about the specific rules for accepting gifts, as well as to access links to the policies, click here.
The next topic is a relatively straightforward one. We as Commonwealth employees cannot use Commonwealth property (such as equipment, facilities, or information) for our personal gain.
Take a look at the following three employees and select the one you think violated this rule:
Which of these employees are guilty of breaking this rule?
The correct answer is “D. All three.” All three of these situations are considered a misuse of Commonwealth information, facilities, or equipment.
It may be easy to remember that the Commonwealth property you use throughout the day, such as your Commonwealth-issued laptop or the heavy duty square point shovel in the shop, are property of the Commonwealth. But it’s important to also remember that the information that you use throughout the day is the Commonwealth’s property as well. Any information that you gain as a result of your Commonwealth employment cannot be used for personal gain. In addition, any information that you have because of your Commonwealth job may not be divulged to the public before its authorized release.
To sum it up, you can’t use Commonwealth equipment, supplies, property, or information for your own personal gain, or for any purpose other than their officially designated purposes.
The next topic is Supplementary Employment. Your Commonwealth job is considered your primary employment, and any other employment, including self-employment, is considered Supplementary Employment.
Our Supplementary Employment can’t cause a conflict of interest with our Commonwealth job. Let’s look at an example of what this might look like:
If you are considering taking on any Supplementary Employment, you must submit a Supplementary Employment Form and it must be approved by your Agency Head before starting your new position or business. You can obtain a form from your Human Resources Office.
Let’s review with a short knowledge check. Supplementary Employment may not be approved if:
The correct answer is “A. The duties of your Supplementary Employment cause a conflict of interest with your Commonwealth position”. It does not matter how much money you earn in your second job, or who else works there; however, your second job cannot cause a conflict of interest with your Commonwealth job.
Let’s try one more. Before starting your Supplementary Employment you must:
The correct answer is “B. Complete a Supplementary Employment Form and have it approved by your Agency Head.”. Though it’s nice to communicate with your coworkers, the only thing you have to do is complete a Supplementary Employment form and have it approved by your Agency Head prior to beginning your Supplementary Employment.
Again, this is just one example of how Supplementary Employment can play out. Because each situation is different, contact your Office of Chief Counsel to discuss your particular situation.
There are certain aspects of our policy that are in place because we work for the government, which is a political entity. One of these is the restriction on political activity that is outlined in our policies.
These policies are in place for several important reasons, and outline what we can and cannot do as Commonwealth employees. In its most basic form, if you are a civil service employee, you cannot take an active part in political management or a political campaign. If you are a non-civil service employee, you can’t do any of this during your work hours. And no Commonwealth employee can use his or her position to influence or interfere with a political campaign.
Based on this, is the following true or false?
True or False: A civil service employee may participate in as much political activity as they please; however it must not be done on work hours.
The answer is False. Outside of a few exceptions, a civil service employee may not participate in political activity.
Let’s take a few minutes to talk about Financial Disclosure. Financial Disclosure is a way of outlining your investments and financial interests to make sure there is no conflict of interest between your personal finances and your Commonwealth duties. There are two separate forms to file annually:
Most employees who are required to file Financial Disclosure statements must file both statements. On these statements, employees list all of their sources of income, including their Commonwealth employment income, investments, business interests, gifts, and loans they have been issued. The requirements for the two forms differ slightly, and are outlined in detail in their respective policies.
Commonwealth officials and employees who fall into the following categories are required to file two forms with their Human Resources Office: both the Governor’s Code of Conduct Financial Disclosure Form and the Ethics Commission’s Statement of Financial Interests:
· Governor
· Lieutenant Governor
· Heads of Agencies and Departments
· Deputy Secretaries
· Commonwealth Officials or Employees at or above a Division Chief
· Attorneys
· Press Secretaries
· Legislative Liaisons
· Executive and Special Assistants
· Chairpersons, Executive Directors, Counsel, Administrative Secretaries, and member of compensated boards and commissions under the Governor’s jurisdiction
· Candidates and Nominees for public office
· Members of boards and commissions that are not purely advisory must file the Ethics Commission's Statement of Financial Interests, even if such members receive no compensation.
In addition to those listed above, individuals who fall into the following categories must file both forms as well:
Public officials; and employees who are responsible for taking or recommending official action of a nonministerial nature with regard to:
· Contracting or procurement
· Administering or monitoring grants or subsidies
· Planning or zoning
· Inspecting, licensing, regulating, or auditing any person
· Any other activity where the official action has an economic impact of greater than a de minimis nature on the interests of any person.
Both completed forms should be submitted to your Human Resources Office. If you are a public official, you must submit the original Ethics Statement of Financial Interests form to the Ethics Commission, and a copy to your Human Resources Office. If you have any questions about which forms you should file, ask your Human Resources Office. The Ethics Commission is also available to answer questions, and you can visit their website at www.ethics.state.pa.us.
The last topic is Criminal Conduct. If you are convicted with criminal conduct related to your Commonwealth job, or if you are convicted of any felony, you will be terminated.
If your charge is not related to your Commonwealth job, and if your criminal conduct is not a felony, then your agency will investigate and make a decision about whether or not you may continue your Commonwealth employment.
To access links to the policies, click here.
If you are ready to continue on to the Summary, click Next.
Let’s review the main points that we covered today.
· A Conflict of Interest is a situation in which your personal interests influence – or may be expected to influence – your position as a Commonwealth employee.
· Accepting gifts or anything of monetary value from anyone who does business with the Commonwealth violates the policy.
· Be sure to fill out a Supplementary Employment form before starting any employment in addition to your Commonwealth employment.
· You cannot use Commonwealth supplies, property, equipment, or information for your own personal gain.
· Be aware of what political activity in which you can and cannot participate, based on your Civil Service status. If you have any questions, talk to your Human Resources Office.
· Many Commonwealth officials and employees must file Financial Disclosure forms annually. Your Human Resources Office provides these forms.
· If you are convicted of Criminal Conduct related to your Commonwealth job, or any felony, you will be terminated.
If you have any questions about any of the information we covered today, you can talk to your Human Resources Office.
This version of the course is intended for individuals who require an accommodation for a disability. Once you have fully reviewed the information in this training, contact your Human Resources Office to request credit for completing this course.
You will not receive credit for completing this course until you do so.