An Ethical Dilemma - Term Paper Example

Case study: An ethical dilemma November 22, Case study: An ethical dilemma Ethics is an instrumental factor in the corporate world that defines morally acceptable practices. It is regulated by professional codes of ethics, and to some degree, the law. Consequently, organizations’ managers must operate ethically or risk either social or legal consequences of their decisions. This paper explores ethics in a case study. Summary of the case The case involves a biopharmaceutical company that has created two new positions for research scientists.

After a research, a minimum pay for each position has been set at $ 135000 with specific provision for employing new graduates. The organization’s hiring process has however been difficult, in the past, because it is not famous in its South Dakota locality. After the first round of interviews, a female candidate who is a local resident and prefers working in the area is identified with acceptable qualifications even though she is not a fresh graduate. She unconditionally accepts a $ 105000 remuneration package.

Another set of interviews identifies a male candidate with all the organization’s requirements but he has other competitive offer. It is however certain that he will accept a $ 135000 dollar package. Identified issues in the case The case identifies a number of ethical issues through different ethical principles and theories. One of the issues in the case is the consequences of the decision to offer higher package to the later employee. This follows the utilitarian theory that advocates to the maximum good to all stakeholders in a decision.

Justice is another ethical issue that is applicable to the case. It defines fairness in dealing with issues to eliminate discrimination. Integrity issue among decision makers is also evident in the case to define the level of honesty in the decisions (Carroll and Buchholtz, 2008). Besides honesty, decisions are supposed to be truthful as provided for by the “principle of personal virtue” (Williams, 2010, p. 130). It is also ethical for an entity to make decisions to safeguard its long-term interest.

This is supported by the both utilitarianism and the “principle of long term self interest” (Williams, 2010, p. 130). Decision I would recruit the later employee at the higher cost of $ 135000 dollar package. A number of the involved ethical issues to the case would support the decision. I would have for example safeguarded the organization’s long-term interest in securing potentials of fresh recruits. The fact that the contract with the first employee was not coerced and that she did not meet all requirements also identifies justice with bargaining power as the basis for the difference.

My decision would further be honest because of lack of conflict of interest (Ivancevich, 2012). Response to the female employee if she found out what happened I would explain to the employee that the difference was majorly caused by the organization’s selection criteria that defined qualifications. I would also explain to her that contractual terms in employments are based on parties’ pre contractual agreements and may vary between contracts. Conclusion Though the decision to pay the later employee a higher package may be detrimental to the first employee, it offers high benefits to the organization’s interest and is therefore consistent with utilitarian ethics.

The first employee’s free consent into the contract together with the organization’s primary interest in fresh graduates also identifies justice and integrity in the packages’ difference. The decision to higher the second employee at a higher payment package is therefore ethical. References Carroll, A. and Buchholtz, A. (2008). Business and society: Ethics and stakeholder management. Mason, OH: Cengage Learning. Ivancevich, J. (2012). Human Resource Management. New York, NY: Irwin/McGraw Hill.

Williams, C. (2010). Management. Mason, OH: Cengage Learning.