Corporate Compliance's Achilles Heel
The Business Lawyer, Vol. 78, Summer 2023
31 Pages Posted: 23 Aug 2023 Last revised: 7 Sep 2023
Date Written: August 17, 2023
In the two decades that have elapsed since the enactment of the Sarbanes-Oxley Act, corporate compliance has solidified into an essential, universally respected corporate governance function. And yet, its future may be compromised by a development that compliance scholars have yet to address, namely the political polarization of our society. As the workplace becomes more politically polarized, and government enforcement institutions either become or simply appear more politicized, compliance programs are apt to encounter difficulties in ensuring adequate flows of information and prompt detection and redress of wrongdoing. With Sarbanes-Oxley in its rearview mirror, this article -- written for a UCLA symposium examining Sarbanes-Oxley's impact- contextualizes this problem and with its implications in mind, explores several workplace developments, such as the rise of automation and remote work.
Keywords: compliance, polarization, Sarbanes-Oxley, corporate crime, remote work, automation, DOJ, federal prosecutors, politicization
JEL Classification: K14, K22, K42, M14, J24, G01
Suggested Citation: Suggested Citation