The article discusses the ethical misconduct observed by employees at the workplaces in the U.S. According to the National Business Ethics Survey (NBSE) of 2005 released by the Ethics Resource Center, there is an increase in the number of employees observing misconduct at workplaces. About 52 percent American workers have seen a misconduct at least once at the work place. Also the reporting of these misconducts has decreased almost by 10 percent. The findings of NBSE for 2005 also highlights the importance of an ethical culture. In the companies with weak ethical culture the employees reporting for observing at least one type of misconduct was more than that of reporting in companies with strong ethical culture.