Question: this question in human recourse, can you help please ,but the answers should be in detail Ethics and Social Responsibility Case A New Concern for
this question in human recourse,
can you help please ,but the answers should be in detail
Ethics and Social Responsibility Case
A New Concern for Human Resource Managers: Whistle-Blowing
Each year Time dedicates a front cover of its magazine to a Person of the Year. Lastyear, for example, New York City Mayor Rudolph Giuilani was given such an honor for his handling of New Yorks 9/11 terrorist crisis. This year Time expanded its version ofthe person of the year. It dedicated its cover to Persons of the Year. The magazineidentified three women working in unrelated fields who had at least one common
characteristicthey were all Whistle-Blowers.
The term whistle-blower is defined by the third edition of The American Heritage
College Dictionary as One who brings wrong doing within an organization to light.
The etymology of the term whistle-blower is quite interesting and can be attributed to several sources: the police used whistles in early times as a communication signal and
trains used their whistles to communicate warning signals. Today, the term whistleblower
has a mixed meaning: it can have a negative connation in certain sectors with whistle-blowers being called, among other words, traitor, turncoat, and rat. Or, it can have a positive connation with whistle-blowers being called heroes.
The three women profiled as Times Persons of the Year fall into that latter category.
They did the right thing by informing their respective bosses of wrongdoings such as
mismanagement, law breaking, and fraud. In essence, these brave women refused to keep their eyes and mouths closed.
Persons of the Year
Coleen Rowley (FBI); Sherron Watkins (Enron); and Cynthia Cooper (WorldCom)
three career womenall worked for very high profile organizations and all were whistleblowers.
Rowley, an FBI staff attorney, after keeping quiet about the agencys
failure to take seriously a situation regarding French Moroccan Zacarias Moussaoui, the
so-called 19th terrorist involved in the destruction of the World Trade Centers in New
York, drafted a memo about the situation and gave copies to FBI Director Robert Mueller
and two members of the Senate Intelligence Committee. Cooper, a WorldCom vice
president, informed the board of WorldCom about inflated profit of nearly $4 billion
through its accounting practices; and finally Watkins, an Enron vice president, informed
Enron Chairman Kenneth Lay about improper accounting methods used by the company.
Like all whistle blowers, these three women placed themselves in very precarious positions with regard to physical and emotional health, privacy, and especiallyemployment, since these women were the main financial supporters of their
Householdstwo of them had stay at home husbands.
Rowley who had spent nearly 23 years at the FBI and was some two years away from
Retirement was subjected to verbal backlashes and criticism from co-workers. Some of
her colleagues compared her to recently convicted FBI agent and spy Robert Hanson.
Fallout from Watkinss letter to Enrons Chairman Lay eventually led her to resign from
her $165,000 job last November. As a result of Coopers revelation, nearly 20,000
WorldCom employees lost their jobs and shareholders lost some $3 billion.
Whistle-blowing has resulted in terrible and even fatal endings. Two examples: in 1976,
Karen Silkwood, a chemical technician at Keer-McGee plutonium fuels production plant
in Crestcent, Oklahoma, paid with her life. She died mysteriously in a one-car automobile
crash after bringing to light problems about falsifying quality control reports on nuclear
fuel rods. More recently, in 1995, Dr. Jeffery Wigand, vice president of research and
development at Brown & Williams Tobacco Corporation, revealed what most people
thought they already knewthere is a causal relationship between tobacco and cancer
and tobacco is addictive; his company fired him summarily. However, he was been
publicly vindicated when his story was aired on CBSs 60 Minutes on February 4, 1996.
For Silkwood, Wigand, and others who willingly tell on the bosses it still means career
suicidewith no applause. As recently as August 2002, a survey conducted by the
National Whistle-Blowing Center in Washington, DC found that 200 employees were
fired after reporting misconduct; others who remained in their companies faced internal
demotions; while others whistle-blowers were blackballed in their industry, unable to find
any work in that sector. Experts have offered four simple questions for anyone thinking
about whistle-blowing. First, the whistle-blower should ask the question: Is this the
only way? Second, do I have the goods? Third, why am I doing this? And finally,
am I ready (for the consequences)?
Just recently the federal government has gone to some lengths to protect whistle-blowers
with the enactment of the Sarbanes-Oxley Act 2002. This act provides whistle-blowers
with legal protection:
An executive who retaliates against a whistle-blower can be criminally
liable and imprisoned for up to 10 years. The Labor Department can order
a company to rehire an employee without going to court. And fired workers
who feel their cases are moving too slowly can request a federal jury trialafter six months.
In addition, under a federal whistle-blowing statute, whistle-blowers are entitled to 14
percent of corporate-government settlements. Douglas Durand, vice president for sales at
TAP Pharmaceutical Products Inc., uncovered a conspiracy to bribe doctors who agreed
to prescribe Lupron, a TAP drug product for prostate cancer. Based on information
provided by Durand about the company and medical doctors conspiring to cheat the
government out of millions of dollars, TAP settled with federal prosecutors for $875
million in fines. Durand won a $77 million settlement as allowed under the federal
whistle-blower statute. Perhaps whistle-blowers now have some rights as a result of the
federal governments actions.
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