The presence of a code of ethics appears to have a positive impact on perceptions of ethical behavior in organizations and auditors. Key aspects of the organizational climate, such as supportiveness for ethical behavior, freedom to act ethically, and satisfaction with the outcome of ethical problems were impacted by the presence of an ethics code.

Public sector auditors play a very crucial role in ensuring the credibility of financial and non-financial performance of government entities by providing quality auditing which ultimately improve the level of accountability and integrity of the government to the public at large.

This is in line with the urge by the former Auditor General of Malaysia, Tan Sri Dato' Seri Hj. Ambrin Bin Buang who claims that "Through quality auditing, the Government and citizens will obtain an objective and without prejudice, information on the weaknesses in managing public service". In Malaysia, the National Audit Department (NAD) is an independent executive authority that manages audit activities for government entities. According to the Audit Act 1957, NAD is authorised to perform the auditing of accounts of the central government and state governments (Malaysian Government, 2000, p. 180).

Besides being knowledgeable about auditing, accounting and other work-related matters, it is equally important for auditors to remain ethical in their daily actions at work. Ethics is an essential professional of all professions, including accounting and auditing. It is even more important for public sector auditors to behave ethically in their day-to-day delivery of work as their role is important in safeguarding the interest of the society.

You are required to write a report and discuss on the following areas relating to ethical work behavior of public sector auditors:

The current issues and developments under ethics and transformations to happen surrounding ethical work behavior of public sector auditors