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Corporate psychopath employees a heavy toll on New Zealand businesses

22 September 2009
Up to one-in-ten New Zealand workplaces harbour a psychopathically-oriented worker who functions within normal society yet victimises fellow colleagues and harms businesses with their “dark side,” new University of Auckland research shows.

Researchers from the Business School’s Department of Management and International Business say dysfunctional personalities in the workplace inflict “concerning and disruptive consequences” for New Zealand business by creating ‘toxic workplaces’, and can seriously traumatise workmates to the point of suicide.

Dr Giles Burch – a psychologist and senior lecturer in management – says most people with personalities generally fitting under the ‘psychopathic umbrella’ do not commit obvious crime and are not imprisoned or hospitalised, but function within normal society – often with apparent success and the respect of their bosses.

However, psychopaths are generally highly destructive and manipulative individuals with “dark sides” who have no remorse for their actions, which can result in a range of serious issues for organisations and the people within them, Dr Burch says.

“We all come across people at work from time to time who are difficult, devious and troublesome,” Dr Burch says. 

“They are typically only interested in power, control, domination and subjugation, and it is believed that female psychopaths are more dangerous than males as they are more socially skilful in their manipulation.

“Victims of corporate psychopaths can experience intense and sometimes prolonged symptoms as a result of the glib deception.  Insomnia, intense self-doubt and mild depression are very common, and in more severe cases chronic anxiety, depression, despair and even suicidal ideation can result from the destruction of jobs, careers, joint ventures or businesses.

“Unrelenting stress from a toxic workplace causes anxiety and clinical depression in 30% of female and 20% of male targets, according to international research.  The risk of cardiovascular disease is 30% more likely when workers believe their workplace is unjust.

“However, the damage done by a corporate psychopath is not only limited to the primary victims of manipulation, but also the colleagues, families and friends of these unfortunate individuals.”

Dr Burch says one of the complexities of dealing with corporate psychopathic behaviour at work is to understand that it is not a simple single entity. 

Psychopathic behaviour covers a wide spectrum, from the devious manipulative bullying behaviour of an employee who is a high achiever and very sought-after by management, to the compulsively violent behaviour of a hardened criminal.
 
“Psychopaths are increasingly common in business – they are attracted to, and retained in, highly competitive workplaces by unwitting companies who reinforce their behaviours by promoting them,” Dr Burch says.

“The damage caused by the presence of psychopaths in the workplace is potentially huge and impacts the business as a whole, as well as individual staff members and the organisation’s customers, suppliers and joint venture partners.

“Psychopaths exist in all facets of business, albeit with varying degrees of psychopathic traits.”

Genetic tendencies of a psychopath – such as glibness or superficial charm, a grandiose sense of self-worth, pathological lying, being cunning and manipulative, lacking remorse, guilt or empathy, a sense of impulsive non-conformism, sensation-seeking, egocentrism, disloyalty and narcissism – have a huge toll on other employees, Dr Burch says.

Workplace psychopaths have the same psychological make-up as their criminal counterparts, but have the ability to hide their tendencies and are often promoted to senior positions with power, the research shows. 
 
The “superficial charm and apparent decisiveness” of the psychopath is easily mistaken for leadership, and managers can be flattered or manipulated into seeing the psychopath in a good light. 

However psychopaths – once recruited – can be very difficult to remove from businesses and are likely to become highly abusive and litigious when threatened with job termination.