Whistleblowing Essay

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BUS670 W5 WHISTLEBLOWING AND PRINCIPALS LIABILITY AGENT TORT. 1. 1st Posting Due by Day 3. Whistleblowing. Respond to the Chapter 5, p. 158 “Ethics in Action” insert questions referencing Enron employee Sherron Watkins: A whistleblower is someone who tells the public or an authority figure about someone who is dishonest regarding illegal activities. Once the whistle is blown employers tend to try to cover up or deny any allegations. Employers also tend to make it seem like it is not their fault but he fault of the company in how they do business any way. Watkins decided to inform Lay regarding these scandals in the accounting firm she also sent him information on how to clean it up. She did not know that Lay was part of the scandal within the company. Watkins also met with Lay to discuss these issues she also devised a plan on how to fix the problems regarding the issues with the firm and other employers. Lay on the other had been scamming the business by taking money out of the company’s account 1. When an employee learns of apparently unlawful behavior on the part of his or her employer, does the employee have an ethical duty to blow the whistle on the employer? Yes, because if the employee sees something that will hurt the business then it is their duty to inform upper management. Sherron Watkins has some concerns regarding the accounting department and other unethical business practices from her employer. At the same time According to Boatright (2009). it is not called whistleblowing when someone witnesses a crime and called the police and testifies in the court-of-law. 2. Do any ethical duties or obligations of the employee come into conflict in such a situation? If so, what are they, and how does the employee balance them? Watkins is a mother and provider for her family. She was later promoted to the Vic President of Enron Corp. (Nance &

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