Ethics Case Study- 15

Case Study 15: 

Anshuman is a brilliant Science Teacher in a private English medium school in Lucknow and gets yearly package of Rs.4 lakhs. Another school at Ghaziabad offers him package of Rs.4.5 lakhs. Anshuman makes a verbal commitment to the Ghaziabad school principle, “Sure,I’ll join your school from next month.“

But when Anshuman submits his resignation to Lucknow school, its Principle Mr.Pushp Raj requests him to stay and offers new package of Rs.3.8 lakhs. Should Anshuman take back his resignation? yes/no/why?

 

Answer: 

  • From ethical perspective, even verbal acceptance = contract. And contract must be honored.
  • Even if Pushp Raj’s counteroffer is higher, Anshuman has a moral obligation to remain consistent with his original intention (of joining Ghaziabad school).

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Introduction

Ethics is a branch of philosophy that deals with morality and the principles of right and wrong. It is concerned with the study of moral values and how they are applied to human behavior. Ethics can be applied to a wide range of issues, including business, medicine, law, and personal relationships.

In the field of business, ethics is often concerned with issues such as corporate social responsibility, employee rights, and environmental protection. Business ethics is important because it helps to ensure that businesses operate in a fair and responsible manner. It also helps to protect the interests of stakeholders, such as employees, customers, and shareholders.

The Case

The case of the Ford Pinto is a well-known example of an ethical dilemma in business. In the early 1970s, Ford Motor Company was developing a new subcompact car, the Pinto. The Pinto was designed to be a fuel-efficient car that would appeal to consumers who were concerned about the rising cost of gasoline.

However, during the development process, Ford engineers discovered that the Pinto was prone to fires in rear-end collisions. The fires were caused by the placement of the fuel tank, which was located behind the rear axle. In a rear-end collision, the fuel tank could be ruptured, causing gasoline to leak and ignite.

Ford was aware of the fire hazard, but decided to go ahead with production of the Pinto. The company calculated that it would be cheaper to pay out damages in lawsuits from Pinto fires than it would be to redesign the car.

The Pinto case raises a number of ethical issues. First, it is clear that Ford put profits ahead of safety. The company knew that the Pinto was dangerous, but decided to produce it anyway. This decision put the lives of Pinto drivers and passengers at risk.

Second, Ford’s decision to produce the Pinto was based on a utilitarian calculus. The company calculated that the benefits of producing the Pinto (increased profits) outweighed the costs (deaths and injuries). However, this calculus ignores the fact that human life is not a commodity that can be bought and sold.

Third, Ford’s decision to produce the Pinto was a breach of trust. The company had a responsibility to protect the safety of its customers, but it failed to do so. This breach of trust led to a loss of confidence in Ford and its products.

Analysis

The Ford Pinto case is a complex ethical dilemma. There are no easy answers, and any decision would have had negative consequences. However, it is clear that Ford made a number of ethical missteps in this case.

First, Ford should have redesigned the Pinto to address the fire hazard. This would have been the most ethical course of action, as it would have protected the safety of Pinto drivers and passengers.

Second, Ford should have been more transparent about the fire hazard. The company should have informed Pinto owners of the risk and provided them with information on how to reduce the risk of fire.

Third, Ford should have compensated Pinto victims fairly. The company should have paid out damages that were sufficient to cover the costs of medical care, lost wages, and pain and suffering.

Conclusion

The Ford Pinto case is a cautionary tale about the importance of ethics in business. When companies put profits ahead of safety, they put the lives of their customers at risk. They also damage their reputation and lose the trust of their customers. Businesses must always act ethically, even when it is difficult or costly to do so.

Here are some frequently asked questions about ethics in the workplace, with short answers:

  1. What is ethics in the workplace?
    Ethics in the workplace refers to the principles that guide our behavior in the workplace. It is about doing the right thing, even when it is difficult.

  2. Why is ethics important in the workplace?
    Ethics is important in the workplace because it helps to create a positive and productive work Environment. It also helps to protect employees and customers from harm.

  3. What are some examples of ethical behavior in the workplace?
    Some examples of ethical behavior in the workplace include:

  4. Being honest and truthful

  5. Respecting others
  6. Being fair and impartial
  7. Acting with Integrity
  8. Taking responsibility for your actions

  9. What are some examples of unethical behavior in the workplace?
    Some examples of unethical behavior in the workplace include:

  10. Lying

  11. Cheating
  12. Stealing
  13. Harassment
  14. Discrimination
  15. Bullying

  16. What can you do if you see unethical behavior in the workplace?
    If you see unethical behavior in the workplace, you should speak up to your supervisor or another trusted colleague. You can also report the behavior to the human Resources department.

  17. What are the consequences of unethical behavior in the workplace?
    The consequences of unethical behavior in the workplace can be severe. Employees who engage in unethical behavior may be fired, demoted, or suspended. They may also be sued by their employer or customers.

  18. How can you avoid unethical behavior in the workplace?
    You can avoid unethical behavior in the workplace by following these tips:

  19. Be honest and truthful.

  20. Respect others.
  21. Be fair and impartial.
  22. Act with integrity.
  23. Take responsibility for your actions.
  24. If you are unsure about whether something is ethical, ask a trusted colleague or supervisor.

  25. What are the benefits of ethical behavior in the workplace?
    The benefits of ethical behavior in the workplace include:

  26. A positive and productive work environment

  27. Reduced Stress and anxiety
  28. Increased job satisfaction
  29. Improved morale
  30. Increased productivity
  31. Reduced turnover
  32. Improved customer satisfaction
  33. Improved brand reputation

  34. What are the costs of unethical behavior in the workplace?
    The costs of unethical behavior in the workplace include:

  35. A negative and unproductive work environment

  36. Increased stress and anxiety
  37. Decreased job satisfaction
  38. Reduced morale
  39. Decreased productivity
  40. Increased turnover
  41. Damaged customer satisfaction
  42. Damaged brand reputation

  43. How can you promote ethical behavior in the workplace?
    You can promote ethical behavior in the workplace by following these tips:

  44. Set a good example.

  45. Create a Code of ethics.
  46. Provide training on ethics.
  47. Encourage employees to report unethical behavior.
  48. Take disciplinary action against employees who engage in unethical behavior.
  49. Reward employees who engage in ethical behavior.

I hope this helps!

Question 1

A company is developing a new product that has the potential to save lives. However, the product is also very expensive and may not be affordable for everyone. The company is considering whether to make the product available to everyone, even if it means that some people will not be able to afford it.

What is the most ethical thing for the company to do?

(A) Make the product available to everyone, even if it means that some people will not be able to afford it.
(B) Make the product available only to those who can afford it.
(C) Conduct further research to see if the product can be made more affordable.
(D) Discontinue development of the product.

Question 2

A company is considering whether to lay off some of its employees. The company is doing well financially, but it believes that it can be more efficient by reducing its workforce. The employees who would be laid off are all good workers, and they have been with the company for many years.

What is the most ethical thing for the company to do?

(A) Lay off the employees.
(B) Offer the employees severance packages.
(C) Try to find other jobs for the employees within the company.
(D) Do nothing.

Question 3

A company is considering whether to outsource some of its work to a foreign country. The company would save Money by Outsourcing, but it would also mean that some of its employees would lose their jobs. The employees who would be laid off are all good workers, and they have been with the company for many years.

What is the most ethical thing for the company to do?

(A) Outsource the work.
(B) Offer the employees severance packages.
(C) Try to find other jobs for the employees within the company.
(D) Do nothing.

Question 4

A company is considering whether to use a new technology that has the potential to harm the environment. The technology is very efficient, but it produces a lot of pollution. The company is concerned about the environmental impact of the technology, but it also wants to be competitive.

What is the most ethical thing for the company to do?

(A) Use the technology.
(B) Not use the technology.
(C) Use the technology, but only if it can be made more environmentally friendly.
(D) Do nothing.

Question 5

A company is considering whether to invest in a project that has the potential to harm the environment. The project would create jobs and generate revenue for the company, but it would also produce a lot of pollution. The company is concerned about the environmental impact of the project, but it also wants to be profitable.

What is the most ethical thing for the company to do?

(A) Invest in the project.
(B) Not invest in the project.
(C) Invest in the project, but only if it can be made more environmentally friendly.
(D) Do nothing.

Question 6

A company is considering whether to use a new chemical that has the potential to harm the Health of its employees. The chemical is very effective, but it is also known to be carcinogenic. The company is concerned about the health of its employees, but it also wants to be competitive.

What is the most ethical thing for the company to do?

(A) Use the chemical.
(B) Not use the chemical.
(C) Use the chemical, but only if it can be made safer.
(D) Do nothing.

Question 7

A company is considering whether to sell a product that has the potential to harm the health of its customers. The product is very popular, but it is also known to be addictive. The company is concerned about the health of its customers, but it also wants to be profitable.

What is the most ethical thing for the company to do?

(A) Sell the product.
(B) Not sell the product.
(C) Sell the product, but only if it can be made safer.
(D) Do nothing.

Question 8

A company is considering whether to donate money to a political campaign. The company believes that the candidate is the best person for the job, but it is also concerned about the appearance of impropriety.

What is the most ethical thing for the company to do?

(A) Donate the money.
(B) Not donate the money.
(C) Donate the money, but only anonymously.
(D) Do nothing.

Question 9

A company is considering whether to give its employees bonuses that are based on their performance. The company believes that