Lesson 2.3 – Ethics in the Workplace Flashcards
Do employees always act ethically?
No, various factors can encourage unethical behavior in the workplace.
What is a Corporate Code of Conduct?
A written document that clearly outlines acceptable and unacceptable employee behavior.
Why do companies need a Corporate Code of Conduct?
It proves that employees were informed of their ethical obligations.
It provides a legal basis for disciplinary action if an employee violates company policy.
How do profit-driven policies encourage unethical behavior?
Employees may feel pressured to meet sales quotas or billable hours, leading to:
Misrepresentation of products/services.
Overcharging clients (inflated hours in professional firms).
Why do employees sometimes engage in unethical behavior?
Fear of losing their job forces them to follow unethical orders from their boss.
Is “just following orders” a valid excuse for unethical behavior?
No, employees are still responsible for their actions.
How do unethical bosses affect workplace ethics?
If managers ignore policies, employees will feel those policies are not important and may also act unethically.
What are some ways to promote ethical behavior at work?
Adopt a written Corporate Code of Conduct.
Apply disciplinary measures for violations.
Create a reporting system for unethical behavior.
Ensure ethical behavior is part of performance reviews and bonuses.
What is whistleblowing?
Reporting unethical or illegal workplace behavior.
What is internal whistleblowing?
Reporting a problem to management within the company.
What is external whistleblowing?
Reporting an issue to government authorities or the media if the company ignores the problem.
What legal protection does Quebec law provide for whistleblowers?
Article 1472 of the Civil Code of Quebec protects whistleblowers from lawsuits if they expose wrongdoing for public health or safety reasons.
Are employees legally required to report unethical behavior?
No, whistleblowing is an ethical choice, not a legal requirement.
What are professional standards?
Ethical codes that apply to regulated professions like doctors, lawyers, and accountants.
What are key principles of professional standards?
Objectivity – Making impartial decisions.
Confidentiality – Keeping client information private.
Fiduciary Duty – Acting in the best interest of clients.
Avoiding conflicts of interest.
What is responsible investing?
An investment strategy that prioritizes social and environmental impact over short-term profits.
What industries do ethical investors avoid?
Tobacco
Weapons & munitions
Gambling & alcohol
Environmental destruction (e.g., strip mining)
How do pension funds influence corporate ethics?
They invest only in socially responsible companies, pushing businesses to adopt ethical practices.
What is corporate governance?
The system that defines who runs a company and how decisions are made.
Who are the three principal corporate stakeholders?
Shareholders – Own the company but do not manage it.
Directors – Run the company and set policies.
Officers – Appointed by directors to manage daily operations.
Why is independent management important for corporate governance?
Good governance ensures that directors and officers act in the best interest of the company, not just shareholders.
