Corporate cultures that discourage employees from reporting wrongdoing are ticking time bombs. Situations like the Volkswagen scandal should be keeping senior executives up at night – what if there are legal and ethical breaches in their organizations that they’re not aware of? What if the employees in the know are too afraid to bring issues to their attention for fear of retaliation? Questions like these prove that creating a psychologically healthy workplace isn’t just in the best interest of employees – it’s another form of risk-management for CEOs who want to avoid becoming the next VW. Whistle blowers will only feel comfortable coming forward with essential information if the workplace culture is based on trust and encouragement. Here are two great reads on the VW scandal: Volkswagen says Whistle-Blower Pushed It to Admit Broader Cheating and VW Lost its Moral Compass in the Quest for Growth.