Given the strategic nature of the situation, it is undoubtedly a hard decision to make. Firstly, in order to make an informed decision, it is important to identify and understand the ethical dilemma. Secondly, it is essential to consider the dilemma in the light of various ethical lenses, in order to decide the best approach. The following sections include an explanation of the ethical dilemma and application of three ethical models to the situation.
Ethical Dilemma
On the other hand, if I were honest with the employee, I would be foregoing my professional obligation. As a result, the employee will be able to look for another job before the facility closes down. Although, I will not shoulder the burden of lying to the desperately-in-need-of-the-truth employee, I might certainly lose my job. However, as rumors spread like wildfire, eventually other employees will find out, creating a rebellious work atmosphere. Employees will start leaving as soon as they find other jobs. The facility might close down sooner than expected, leading to loss of revenues.
Ethical Behavioral Models
I will choose the utilitarian perspective to resolve my ethical dilemma because deontology does not provide any moral guidance when there is intersection between one’s rights and duties and egoism does not care for the rights of others at all. Therefore, following the utilitarian path allows me to weigh the pros and cons of my decision objectively.
Being honest with the employee will directly benefit the employee and his family. However, as word will eventually get out, other employees will find out as well. Therefore, they and their families, along with their prospective future employers will also benefit. However, I will suffer the wrath of other company directors and senior management. The company cannot run without employees, so the facility will shut down sooner, leading to loss of income for the management, including me. Moreover, I might not be trusted with confidential information ever again in my professional career, causing severe damage to my goodwill. Given the above analysis, the pros benefit a larger number of people while the cons harm a fewer number of people. Therefore, in order to make an ethically correct decision according to utilitarian perspective, I should tell the truth to the long-term employee.
The deontological perspective offers no clear answer because my duty to the company interferes with the rights of others. Deontology requires making the right decision based on universal principles and treating others, as I want to be treated. Therefore, if I tell the truth to the employee, I will be taking the ethically right decision for the employee while doing ethically wrong with my company, and vice versa. Thus, my professional duty to keep secrecy required by such matters clashes with my employee’s right to know if his employment is short-lived or not. This inherent clash rules out deontological ethical model in this situation.
As per egoism, the ethical decision would be to lie to the employee in order to pursue my personal interest. Lying to the employee will save me from violating my employment contract, while honesty can cost me my reputation as well as my job. Therefore, egoistically speaking, I will want the employee to keep working for me as long as the facility is open, without regard to his rights and problems. Egoism provides no moral basis for the resolution of conflicts of interest. Therefore, to do what is in my best interest can be both wrong and right in ethical terms for any number of the parties involved in a situation.
Conclusion
The above analysis provides a brief explanation of how each ethical model provides a different solution to an ethical dilemma. Keeping in mind that none of the ethical models are flawless it is important to judge a situation and analyze it from each perspective. As deontology presents an inherent conflict in this situation, it cannot be used successfully to reach an ethical decision. On the other hand, egoism and utilitarianism provide contradicting decisions. It seems paradoxical for an ethical theory to give priority to self-interest, therefore, it sounds ethically correct to choose utilitarianism and be honest with the employee.
References
Collin, D. (2009). Essentials of Business Ethics. Wiley.
Duska, R., Duska, B. S., & Ragatz, J. (2011). Accounting Ethics. John Wiley & Sons.
McHone, S. P. (2008). Ethical Systems in the Accounting Profession. Liberty University.
My Portfolio. (2015, March 15). Ethical Theory and Its Application to Contemporary Business Practice. Retrieved from Wordpress: https://ncys82.wordpress.com/2013/03/15/ethical-theory-and-its-application-to-contemporary-business-practice/