Final answer:
The statement is false. High employee engagement could result in a higher likelihood of employees reporting unethical behavior to protect their organization's interests and performance. Employee engagement is linked to job satisfaction, which correlates positively with organizational citizenship and overall organizational performance.
Step-by-step explanation:
The statement 'one benefit of high employee engagement is that, due to their high level of job satisfaction, employees are less likely to report unethical behavior' is false. High levels of employee engagement often result in many positive outcomes for both the employees and the organization. For instance, high employee engagement leads to greater job satisfaction as employees feel they have control over their work, part of the decision-making processes, freedom from excessive oversight, and feel integral to the work's outcome. This is in line with the principles of Theory Y, which suggests people are more satisfied when given responsibility and want to take part in setting their own work goals.
However, implying that high job satisfaction would reduce the likelihood of reporting unethical behavior is incorrect. Engaged employees, because they care more about their organization, may be more inclined to report unethical behavior to prevent harm to the organization’s reputation and performance. Job satisfaction can lead to organizational citizenship, where employees go beyond their job requirements to further organizational goals, which could include reporting unethical actions. High job satisfaction has been correlated with positive organizational outcomes such as better performance, higher organizational commitment, and even general life satisfaction.
Lastly, it is essential to note that employee engagement and job satisfaction can be influenced by the level of stress and perceived risk in the work environment. A work environment that exposes employees to high stress and risk can lead to lower job satisfaction. Moreover, mentoring and inclusive decision-making practices are positively related to job satisfaction and could contribute to an ethical company culture where issues like unethical behavior are addressed proactively.