Ep. 06 - Incentive contracts for whistleblowing intentions

This doctoral dissertation, defended by Arthur do Nascimento Ferreira Barros at the Federal University of Pernambuco in 2024, investigates how incentive contracts influence corporate whistleblowing behavior. The study is structured around a systematic literature review of academic research published between 2006 and 2023, alongside a novel experimental study on the effectiveness of rewards and penalties. The research evaluates whether contract models combining financial incentives increase individuals' willingness to report fraud, while accounting for variables such as the whistleblower's moral identity and their proximity to the wrongdoer. The findings suggest that monetary incentives are significant motivators; however, the effectiveness of mixed contracts did not necessarily outperform individual reward or punishment models. The author concludes by offering practical guidelines to strengthen organizational ethics and governance mechanisms aimed at detecting misconduct.