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1 The Talmud as a Business Guide Hershey H. Friedman, Ph.D. Professor of Business and Marketing Department of Finance and Business Management School of Business Brooklyn College of the City University of New York E-mail: [email protected]

The Talmud as a Business Guide

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The Talmud as a Business Guide

Hershey H. Friedman, Ph.D. Professor of Business and Marketing

Department of Finance and Business Management School of Business

Brooklyn College of the City University of New York E-mail: [email protected]

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Abstract: There is a great deal of interest in discovering the secrets of business success

according to the Talmud. Some of the Talmudic sages were indeed quite wealthy. This paper

demonstrates that the Talmudic approach to becoming wealthy involves respecting hard work,

leading an ethical life, being charitable, treating employees well, going beyond the strict

requirements of the law, and caring for others.

Keywords: business ethics; Talmud; how to become wealthy; flaunting wealth, employer-employee relations.

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A recent article in Newsweek observed that several books that reveal the secrets of business

success according to the Talmud have been published in China during recent years (Fish, 2010).

Among the titles: Know All of the Money-Making Stories of the Talmud and Crack the Talmud:

101 Jewish Business Rules. Apparently, many Chinese believe that Jewish success in business

derives from the Talmud, and view the Talmud as a how-to manual.

While the Talmud, Judaism’s Oral Law, is primarily a collection of rabbinical discussions and

commentaries on the Torah’s written text, it also contains halachic and aggadic references to

business matters as well as ethics. The written law is contained in the Pentateuch (the Five Books

of Moses, i.e., the Torah). The Talmud, compiled separately in academies in Israel and

Babylonia, explains, expounds, and elaborates on the Hebrew Bible and consists of the Mishna

and Gemara. The Mishna, originally an old oral tradition, was compiled and redacted by Rabbi

Yehuda HaNasi, known as Rebbi, about the year 189 C.E. The canon of the Gemara, which

consists mainly of commentaries and discussions on the Mishna, was put into written form about

1500 years ago. The Talmud, mainly concerned with halacha (Jewish law), also provides a

detailed record of the beliefs of the Jewish people, their philosophy, traditions, culture, and

folklore, i.e., the aggadah (homiletics), and is replete with legal, ethical, and moral questions.

The Midrash, a separate scripture, records the views of the Talmudic sages and is mainly devoted

to the exposition of Biblical verses.

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There are two versions of the Talmud: the Jerusalem Talmud, a product of the academies in

Israel, and the Babylonian Talmud, a product of the academies in Babylon. The Babylonian

Talmud, considerably larger than the Jerusalem Talmud, is more authoritative. Both often use a

case-method type of approach to illustrate a particular problem or a proposed solution.

The Talmud includes extensive discussions of business ethics. This is not surprising given that

more than 100 of the 613 precepts of the Torah deal with business ethics. Numerous books and

papers have been written examining Talmudic business ethics (for example, Friedman and Adler,

2011; Friedman and Klein, 2010; Friedman, 2000; Friedman, 1985; Friedman, 1984; Friedman,

1980; Gellis, Giladi, and Friedman, 2002; Kahaner, 2003; Levine, 2005; Levine, 1987; Tamari,

1995; Tamari, 1991; Tamari, 1987). The ethics of the Talmud is extremely relevant even in

today’s modern society. In fact, Friedman and Friedman (2009) show how the Great Recession

of 2008 which destroyed millions of jobs and trillions in assets would not have occurred had the

financial industry heeded the lessons of the Talmud. This paper will reveal the secrets of

business success as described in the Talmud.

How to Become Wealthy

Unlike the Christian Bible, which largely is dismissive of wealth and the wealthy, the attitude of

the Hebrew Bible and the Talmud towards wealth is quite positive since it enables one to help

others. God blesses those that use their wealth to help the poor (Deuteronomy 15:10; Isaiah 1:17-

19; Proverbs 19:17). Wealth, peace, and/or long life are rewards from God for obeying His laws

(Leviticus 26: 3-13; Deuteronomy 11: 13-16; Deuteronomy 25:15; Proverbs 22:4). According to

the Talmud (Babylonian Talmud, Yuma 53b), the High Priest’s prayer on the Day of Atonement,

the holiest day of the year, when he left the Holy of Holies in the Temple (he was only allowed

to enter the Holy of Holies once a year), was that there should be a great deal of rain. In an

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agrarian society where rain is necessary for the fields, this prayer is tantamount to a prayer for

the community’s financial success (Amsel, 1994: 188).

The Talmud (Babylonian Talmud, Taanis 9a) describes wealth as a reward from God. In

wordplay on the verse (Deuteronomy 14: 22): “You shall surely tithe,” the Talmud advises that

one should tithe in order to become rich (the Hebrew word “to tithe” is very similar to “to

become rich”). The verse (Proverbs 11:24), “There is one who scatters and yet is given more” is

interpreted as referring to one who spends his money on the needy. Wealth is seen as “comely to

the righteous and comely to the world” (Babylonian Talmud, Avos 6:8), and affluent people who

used their possessions to help others were respected by the Talmudic sages (Babylonian Talmud,

Eruvin 86a).

The rabbis of the Talmud made it very clear that the punishment for not helping the poor or

failing to give them their due tithes was poverty (Babylonian Talmud, Temurah 16a; Midrash

Tanchuma, Vayishlach 10; Sifri Deuteronomy 134). This is not surprising given that the horrific

punishments discussed in the Admonition (Leviticus 26; Deuteronomy 28: 15-69), which

describes the punishment for disobeying the laws of the Bible, include drought, pestilence,

famine, and loss of crops to the enemy. Proverbs (3: 9-10) states clearly: “Honor the Lord with

your wealth and with the first of all your produce; then your storehouses will be filled with

plenty, and your vats will be bursting with wine.”

The Talmud (Babylonian Talmud, Kethuboth 66b) relates the story of Rabbi Yochanan ben

Zakkai who was once riding on his donkey and saw a young impoverished girl who was so

hungry that she was picking barely grains from the dung of cattle. It turned out that this girl was

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the daughter of Nakdimon ben Gorion, one of the wealthiest people in Jerusalem. The girl

reminded Rabbi Yohanan that he was present at her wedding and signed her kethubah (a

marriage contract that specifies how much the wife receives in case the husband dies or the

marriage ends in divorce). The girl’s kethubah was for one million gold dinari from her father’s

house besides the amount specified from her father-in-law’s house. Rabbi Yochanan asked her

what happened to the great wealth of her family and was told that it was lost because the family

was not sufficiently charitable. The girl quoted a popular proverb said in Jerusalem: “Salt (i.e.,

preserve) money by diminishing it”; in other words, “the more you give, the more you will have

to give.” The Talmud then says that Nakdimon did give quite a bit to charity but since he was so

wealthy, he should have given more. In the words of the Talmud: “In accordance with the

camel, is the burden” (Babylonian Talmud, Kethuboth 67a). Thus, the secret of preserving

wealth, according to the Talmud, is to be charitable.

The Talmud (Babylonian Talmud, Taanis 8a) states that rain falls for the sake of those of who

our honest in their business dealings. Apparently, if we are all dishonest, the punishment is

drought. The Talmud derives this from a verse in Psalms (85:12): “Truth shall sprout out of the

earth and righteousness shall look down from heaven.”

A story (Babylonian Talmud, Taanis 9b) that provides support for this view is the following.

Ulla was from Israel but traveled to Babylonia quite frequently. Once when he was in Babylonia

he saw that the heavens had become very cloudy. He was certain that it would rain and asked

some people to help bring his belongings inside. When he saw the rain did not come, he said:

“Just as the Babylonians lie, so too do their rains lie.” This statement makes a connection

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between dishonesty in everyday affairs with lack of rain. Needless to say, in an agrarian society,

a drought would have a devastating effect on the economy. The Talmudic solution is honesty in

all dealings.

In the Book of Ruth (Ruth 2:2-9), it is apparent that Boaz, a wealthy landowner, scrupulously

observed the laws dealing with gleanings. Gleanings are one of several entitlements the Hebrew

Bible allows the poor. There is also peah, a corner of the field was not harvested and left for the

poor (Leviticus 19:9). Also, if a bundle of grain was accidentally left in the field during the

harvest, the owner was not permitted to return for it. This sheaf had to be left behind for the

poor: “It shall be for the stranger, the orphan, and the widow.” (Deuteronomy 24:19). Ruth was

one of many poor people who followed the harvesters and collected the gleanings from Boaz’s

fields.

The Book of Ruth begins with Elimelech, a wealthy landowner, leaving his homeland, Israel, for

Moab because of a famine. According to the Midrash (Midrash Ruth Rabbah 1) Elimelech, left

his homeland because he realized that the famine in Israel would result in an increase in the

number of impoverished people and he did not want to have to provide them with assistance.

His lack of compassion for the impoverished, starving people caused him to abandon his

homeland. His punishment, according to the Talmudic sages, was that he lost his life as well as

his wealth. Boaz, his kinsman, stayed behind and apparently prospered.

The Talmud discusses the question of what a person should do to become rich; one answer is to

engage in much business and deal honestly (Babylonian Talmud, Niddah 70b) ― the key to

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becoming wealthy is by being honest in business. This belief is noted in another tractate

(Babylonian Talmud, Shabbos 119a): Heaven rewards people living in Israel who are strict about

giving their tithes with great wealth. The Talmud also asserts that people who honor the Sabbath

properly also are rewarded with great wealth (Babylonian Talmud, Shabbos 119a).

The Talmud (Babylonian Talmud, Avos 2:12) exhorts the public to “Let your fellow’s money be

as precious to you as your own.” This is another way of stressing the importance of integrity in

business and other matters. The Talmud (Babylonian Talmud, Yuma 22b) also believes that one

who becomes a leader/administrator involved in community affairs becomes wealthy as divine

reward for serving the public honestly and dependably.

The Talmud also offers some practical advice on how to become wealthy: “Whoever inspects

his property every day will find an istira (an ancient coin)” (Babylonian Talmud, Chullin 105a).

This means that diligence in inspecting one’s property enables an individual to discover

problems that need to be corrected, and saves lots of money. This is similar to the proverb, “A

stitch in time saves nine.” The Talmud (Babylonian Talmud, Pesachim 113a) notes Rav’s

business advice to his son Aibu, which included the idea to "sell your wares while the sand is

still on your feet" ― do not procrastinate. The idea of diversification ― dividing one’s assets

into thirds: 1/3 in land, 1/3 in business, and 1/3 kept liquid ― is mentioned in the Talmud

(Babylonian Talmud, Baba Metzia 42a). The Talmudists believed that one who obtains wisdom

will also become wealthy (Babylonian Talmud, Baba Bathra 25b). Apparently, they understood

the importance of education and knowledge in becoming wealthy, deriving this principle from

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the verse (Proverbs 3:16): “Long life is in her [i.e., wisdom’s] right hand; in her left hand are

riches and honor.”

The Talmud also advices individuals as well as organizations to be frugal and not to be

extravagant. In the words of the Talmud (Babylonian Talmud, Pesachim 114a): “He who eats

alitha (the fat tail) must hide in the alitha (attic); but he who eats kakule (cress/vegetables) may

lie by the kikle (town circle). This proverb involves wordplays; the lesson, however, is quite

simple. Lead a simple life and you do not have to hide from creditors. You can even lie by the

town circle where everyone congregates. Some executives and businesspeople insist on having

the most ostentatious offices, only traveling first class, and staying in the most expensive star

hotels. The Talmud’s advices against this kind of flamboyant, grandiose lifestyle.

The Talmud stresses the importance of honest work. Rab told Rabbi Kahana: Flay a carcass in

the street and earn a wage and do not say, ‘I am a great person and this job is degrading to me ’”

(Babylonian Talmud, Baba Bathra, 110a). They suggested, “There is no occupation which can

disappear from the world [i.e., all are useful and important] …The world requires both perfumers

and tanners; fortunate is he whose occupation is that of a perfumer, and woe to him who works

as a tanner” (Babylonian Talmud, Kiddushin 82b).

The Talmud recommends various occupations as a means to becoming successful. Rabbi Papa

claimed that he became wealthy by working as a beer brewer and recommended this occupation,

since it allowed one to become affluent and be charitable (Babylonian Talmud, Pesachim 113a).

Rabbi Yochanan’s opinion was that raising small cattle would make one wealthy (Babylonian

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Talmud, Chullin 84a-b). Rabbi Meir said: “one should always teach his son a clean and easy

occupation and pray to Him to whom all wealth and possessions belong” (Babylonian Talmud,

Kiddushin 82a).

Friedman (2001) summarizes the Talmudic view of the ideal occupation ― he concludes that,

according to the Talmud, the ideal occupation has the following characteristics:

(1) It provides an individual with time to pursue spiritual pursuits.

(2) It does not tempt one to become dishonest or sexually immoral.

(3) It allows one to help people and society.

(4) It is profitable and enables one to become wealthy.

(5) It is clean, pleasant, and dignified work.

(6) It is not overly strenuous.

The Talmud also discusses occupations to avoid. These include those that cause one to become

haughty, sexually immoral, dishonest, and/or constantly engaged in strife (Friedman, 2001). One

can safely conclude that companies should also avoid businesses that can lead to dishonesty,

sexual immorality, strife, and arrogance. Desirable businesses help people and society, make a

profit, and allow workers to engage in clean, pleasant, and dignified work. This may be why the

Talmud (Babylonian Talmud, Kiddushin 82a) stated: “The best of doctors are destined for hell.”

The Talmudists were not against the profession per se but wanted to alert members of the

profession how easy it was for physicians to cause harm, which may easily occur if a physician

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becomes too interested in profit and ignores the needs of the poor. Charging too high a fee can

also have adverse effects on society.

It should be noted that the sages of the Talmud worked at many diverse occupations. They spoke

not as theoreticians, but as people who understood what it meant to work for a living. For

instance, Hillel was a woodchopper before he became the Nasi (President of the Sanhedrin) and

Shammai the Elder was a builder. Abba Chilkiyah was a field laborer; Rabbi Yochanan b.

Zakkai was a businessman for forty years; Abba Shaul was a gravedigger; Abba Chilkiyah was a

field worker; Abba Oshiya was a launderer; Rabbi Shimon P’kuli was a cotton dealer; Rabbi

Shmuel b. Shilas was a school teacher, Rabbi Meir and Rabi Chananel were scribes; Rabbi Yosi

b. Chalafta was a tanner; Rabbi Yochanan HaSandlar was a shoemaker; Rabbi Yehoshua b.

Chananiah was a blacksmith; Rabbi Safra and Rabbi Dimi of Nehardea were merchants; Rabbi

Abba b. Zavina was a tailor; Rabbi Yosef b. Chiya and Rabbi Yannai owned vineyards; Rabbi

Huna was a farmer and raised cattle; Rabbi Chisda and Rabbi Papa were beer brewers; Karna

was a wine smeller (he determined which wine could be stored and which had to be sold

immediately); Rabbi Chiya b. Yosef was in the salt business; Abba Bar Abba, (father of Mar

Shmuel) was a silk merchant; and (Mar) Shmuel was a doctor.

Ahead of their time, the Talmudic sages recognized that it was not wealth that brought

happiness. They asserted (Babylonian Talmud, Avos 4:1): “Who is wealthy? He who is happy

with his lot.” The key to happiness is expectations; people with high expectations are almost

never happy. This is consistent with the findings of researchers working in the area of happiness

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(Stutzer, 2004; Senik, 2008).

Importance of Honesty in Business

The following are just a few Talmudic statements that demonstrate the importance of honesty:

"Whoever conducts his business dealings honestly is liked by humankind and it is considered as though he observed the entire Torah." (Mechilta, Exodus 15:26)

"The world endures on three principles: truth, justice, and peace." (Rabbi Shimon b. Gamliel, Babylonian Talmud, Avos 1:18)

"One who wishes to become pious must be scrupulous in observing the laws dealing with damages and torts." (Rabbi Yehuda, Babylonian Talmud, Baba Kama 30a)

"The first question an individual is asked in the afterlife at the final judgment is: 'Were you honest in your business dealings?'" (Babylonian Talmud, Shabbos 31a)

Obeying the strict letter of the law is not enough. Jerusalem was destroyed, according to the

Talmud, for following the strict letter of the law and not doing more than the law required

(Babylonian Talmud, Baba Metzia 30b). The Talmud uses the term “The way of the pious” to

describe the highest form of ethical behavior. A businessperson who leads his or her life

according to this standard will not take advantage of another person’s troubles even if it means a

sacrifice of time and money (Friedman, 1985). This is reminiscent of the system in old English

law known as “equity.” Courts of equity, as compared to courts of common-law, dealt with the

unfairness and injustices that can arise because of the strict application of traditional law.

The Talmud frequently cites ethical principles in order to improve upon the law. For example,

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from the Biblical pronouncement (Deuteronomy 6:18), "Thou shalt to do that which is right and

good in the sight of the Lord,” the Talmud derives the tenet that one must strive to be ethical

even beyond the requirements of the law. One example the Talmud discusses is the right of

pre-emption – adjoining landowners have the first right to buy a neighbor’s plot for sale.

Similarly, (Babylonian Talmud, Baba Metzia 108a) one who takes possession of an (abandoned)

estate by paying the land taxes on it thereon can be forcibly removed if one of the adjoining

neighbors had intended to acquire it.

There is a well-known principle in the Talmud that one may be compelled (legally) not to act "in

the manner of Sodom." Sodom symbolizes an evil place that had to be destroyed by God. A

person who refuses to do a favor for another, even if the favor costs him or her absolutely

nothing, is considered as wicked as an ancient Sodomite. The Talmud condemns this selfish

attitude and would legally force one to act ethically in a case where the plaintiff derives a

concrete benefit from an action which costs him or her nothing. For example, upon dividing an

estate, two pieces of property may be of equal value to one heir, while one property has a definite

advantage to the other (e.g., one heir may own an adjoining property). The former can be forced

to accede to the latter, since the first party is actually indifferent as to which property he receives

(Babylonian Talmud, Baba Bathra 12b).

Not Flaunting Wealth

The Talmud frowns on flaunting wealth. Conspicuous display of excessive wealth can lead one

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to arrogance. The Bible (Deuteronomy 8: 11-18) describes one danger of affluence: A successful

individual might believe that "my power and the might of my hand has made me all this wealth."

The Bible states (Deuteronomy 32: 15) what can happen when the Jewish people overindulge in

the pleasures of this world: "Jeshurun [Israel] became fat and kicked … And he forsook God

who made him." Rather, one should remember that God gives wealth to individuals in order that

they may do His will.

The Bible (Deuteronomy 17:17) states that even a king is not permitted to "greatly increase for

himself silver and gold," and gives a reason (Deuteronomy 17:20): "So that his heart does not

become lifted above his brethren." Ramban, a prominent medieval commentator, observes that if

haughtiness is to be shunned by a king, all the more so should it be shunned by ordinary people.

The king, however, is permitted to increase his wealth to help others (Sefer Hachinuch).

One king who was punished for flaunting his wealth was King Hezekiah. He flaunted the great

wealth in his treasuries to Merodakh-Baladan, son of Baladan, the King of Babylonia. Isaiah said

to Hezekiah (Isaiah 39:6): "Behold, a time is coming when everything in your palace and what

your forefathers have accumulated to this day will be carried off to Babylonia; nothing shall

remain, says the Lord." Hezekiah's sin was in taking too much pride in his worldly possessions

and showing them off.

The Talmud (Babylonian Talmud, Maakos 24a) states that the prophet Micah (6:8) reduced the

Bible to three major principles: "What does the Lord require of you: only to do justice, to love

acts of kindness, and to walk discreetly before your God." The Talmud says that “walking

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discreetly” before God refers to funerals and weddings; "If in matters that are generally not done

in private the Bible says that one should 'walk discreetly,' how much more so in matters that

usually call for modesty should certainly be done so." Clearly, moderation is important not only

when making funerals and weddings, but in all situations. The Talmud urges people including

businesspeople to live frugally. God despises ostentation and living a showy life. This is also

true of corporations. Executives should not flaunt wealth; corporate headquarters do not have to

be gaudy.

Balancing the Needs of Society with the Need to Make a Profit

The prophet Jeremiah asserted (Jeremiah 22: 13, 17): "Woe to him who builds his house with

unrighteousness and his upper stories with injustice ... But your eyes and your heart are only on

your profit."

The sages of the Talmud reacted strongly to those who took unfair advantage of the public.

Price stability was a grave concern then, just as it is today. In contrast to the modern conception

of a shrewd businessman ― one who buys cheap, hoards his merchandise, and then sells it at the

highest possible price ― the Talmud excoriated those who hoarded food in order to resell it at a

higher price, tampered with weights and measures, practices usury, and raised prices unjustly

(Babylonian Talmud, Baba Bathra 90b). The Talmud praised the father of Samuel, an eminent

and wealthy Talmudic sage, who insisted on selling his produce at low prices (the prices

prevailing immediately after the harvest) and thereby kept the market price stable all year long

(Babylonian Talmud, Baba Bathra 90b). Talmudic law concerning price markups for necessities

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is exacting: profit from the sale of necessities was not permitted to exceed one-sixth of the total

cost (Babylonian Talmud, Baba Bathra 90a).

When the price for a pair of doves, a necessity for certain sacrifices, reached a golden dinar,

Rabbi Simeon ben Gamliel swore that he would not rest until the price dropped to a silver dinar.

He even went so far as to revise the law concerning sacrifices in order to reduce demand for

these doves; the prices ultimately sank to one quarter of a silver dinar” (Babylonian Talmud,

Krithos 8a).

Employer-Employee Relations

The sages of the Talmud encouraged people to do their work conscientiously. They taught that

four things have to be done industriously: Torah study, performance of good deeds, prayer, and

performance of one’s occupation (Babylonian Talmud, Berachoth 32b). Whenever he went to

the academy, Rabbi Yehudah would carry a pitcher on his shoulders and say, “Great is labor for

it honors the worker” (Babylonian Talmud, Nedarim 49b). The Psalmist declares (128:2):

“When you eat the labor of your hands, you shall be happy, and it shall be well with you.”

The Talmud exempted laborers from the Biblical obligation of standing up for elderly

individuals and scholars while working (Babylonian Talmud, Kiddushin 33a). The following

law, discussed in the Talmud (Babylonian Talmud, Berachos 16a), further demonstrates the

importance of not wasting time that belongs to one’s employer. Laborers were permitted to

recite various prayers while on top of a tree or on the top of a scaffolding. The worker was not

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permitted to climb down the tree since it would waste time that belonged to the employer. The

employer, on the other hand, was obligated to climb down the tree in order to recite the prayers

with more feeling. One is obligated to perform religious obligations at one’s own expense, not

at the expense of the employer.

The Talmud does not state explicitly how to encourage employees to work hard, but the

Shulchan Aruch, the Talmudic-based code of Jewish law codified by Rabbi Joseph Karo (1488

– 1575), does provide some insights. Rabbi Karo explicitly states (Shulchan Aruch, Choshen

Mishpat 337: 19-20) that employees must work to the best of their abilities and should not

waste time. They are not permitted to afflict themselves, starve themselves, or moonlight on a

second job if it will affect their performance.

The Bible requires that employers treat slaves, the lowliest of employees, humanely. The Bible

(Leviticus 25:43) states regarding a slave: “You shall not rule over him through rigorous labor.”

Furthermore, his family has to be provided for (Leviticus 25:41), and his master is not permitted

to make him perform debasing tasks (Leviticus 25:39). The Midrash (Sifra, Leviticus 25:39;

Midrash Hagadol, Leviticus 25:39) provides examples of demeaning work which would be

prohibited. In ancient times, a slave often followed his master with a chair, carried his master’s

clothing to the bath house, and even put shoes on his master’s feet. These humiliating types of

tasks are forbidden. One is also prohibited from asking his servant to perform unnecessary labor simply

to assert one’s authority. In addition, work given to a slave must have defined limit. Thus, one is not

permitted to order his servant to hoe underneath a grapevine for an indefinite time period, say, until he

returns. Degrading work, labor without a purpose, or a job that seems endless because it has no definite

time limit has the effect of demoralizing a human being and is therefore prohibited for servants and

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certainly for employees.

The Talmud (Babylonian Talmud, Kiddushin 22a) interprets the verse (Deuteronomy 15:16),

“because he fares well with you” to mean that the servant must have the same living standard

as the master. In the words of the Talmud: “He must be equal to you in food and drink. You

should not eat refined bread and he eat coarse bread, you drink old wine and he drink new

wine, you sleep on a mattress and he on straw.” The Talmud concludes that one who procures a

servant acquires a master for himself! As many scholars note: if these rules apply to slaves,

they certainly apply to employees; treating employees poorly would be prohibited.

Stories in the Talmud

As noted above, the Talmud is considerably more than a code of Jewish law. It is replete with

stories and cases that provide insights into proper ethical behavior.

The following story (Babylonian Talmud, Berachos 5b) illustrates the Talmudic view that if

something bad happens to a person, that individual should examine his/her deeds and see if an

injustice was committed.

Rabbi Huna had 400 barrels of wine that mysteriously turned vinegary. Several sages came to

see him and told him to examine his deeds and see if there was a reason for this loss. Rabbi

Huna was taken aback and said: “Do you suspect me of wrongdoing?” The sages told him that

they did not think that God would punish someone without cause. Rabbi Huna accepted the

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sages’ view and asked if anyone had heard of something wrong that he had done. He was told

that he cheated his sharecropper out of the grape vines that were due him. In Talmudic times, the

sharecropper not only had a right to a portion of the grapes but also to the vines. Rabbi Huna

responded that the sharecropper had cheated him by taking more than his due. The sages did not

accept this explanation telling him: “This is an example of the popular saying: ‘Steal from a

thief and you also feel the taste of stealing.’” In other words, Rabbi Huna was wrong in taking

the law into his own hands by “stealing” the vines despite the fact that he actually had a

legitimate claim against the dishonest sharecropper. Rabbi Huna agreed to give the sharecropper

the vines coming to him. The Talmud then states that a miracle happened and the vinegary wine

turned sweet again or the price of vinegar rose and was equivalent to wine. Either way, this

story also demonstrates that one who behaves ethically is successful, and one who commits an

injustice ―even one that can be rationalized― may be punished by God.

The following story (Babylonian Talmud, Shabbos 119a) supporst the opinion that people who

honor the Sabbath merit great wealth.

Rabbi Chiya b. Ashi was once a guest of a person who lived in the town of Laodicea. Servants

brought a table made out of pure gold, which was so heavy that it took 16 people to carry it. The

table also had 16 silver chains fastened to it [possibly handles with which to carry the table]. All

kinds of delicacies and spices were piled on it. When the servants set the table down they recited

the following verse (Psalms 24): “The earth and its fullness belong to the Lord …” The story

concludes with Rabbi Chiya asking his host what he did to merit such great wealth. His answer

was that he was a butcher who, whenever he saw a very beautiful animal, would set it aside for

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the Sabbath meal.

The above story might also hint at another trait of this butcher. Psalm 24 is a verse that describes

a person who led a life of great integrity. It clearly states: “Who shall ascend the Lord’s

mountain? And who shall stand in his holy place? He who has clean hands and a pure heart; he

who has not lifted up his soul after vanity and has not sworn deceitfully.”

The following story (Babylonian Talmud, Baba Metzia 83a) is a good example of how the

Talmudic sages would urge people, especially their peers, to go beyond the requirements of the

law.

Some porters negligently broke a barrel of wine belonging to Rabbah, the son of Rab Huna,

Rabbah seized some of their garments as restitution. They lodged a complaint with Rab, who

instructed Rabbah to return the clothes. Rabbah inquired, "Is that the law?" Rab answered,

somewhat cryptically, with a quotation from Proverbs (2:20), "that thou mayest walk in the way

of good men…" Rabbah promptly returned their clothes. The porters then said, "We are poor

men, have worked all day, and are in need. Are we to get nothing for our labors?" Rab did indeed

tell Rabbah to pay the porters. Rabbah again inquired as to whether the law demanded that he do

so. Rab responded with the conclusion of the previous quotation from Proverbs "…and keep the

path of the righteous." Apparently, on purely legal grounds the workers, being negligent, should

not have been paid and should even have compensated Rabbah for his losses. However, Rab felt

that a good and righteous person often must exceed the absolute boundaries of the law ― into

the realm of ethics, even when dealing with an employee.

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This is a good lesson for all organizations. Sometimes one has to go beyond the requirements of

the law and take a loss if the victim is poor and may be in trouble. Hiring lawyers to protect the

interests of the firm may not be appropriate in all situations.

A Talmudic story illustrates the honesty of someone who worked as a day laborer. This

individual was no ordinary person; he had the preternatural power of being able to pray for rain

during droughts and to be answered immediately by God. What did he do to merit such a unique

gift? Abba Chelkiya was known as a righteous man. A committee sent to implore him to pray to

the Lord for rain during a serious drought, found him hoeing in a field. However, when they

greeted him he did not even turn to face them. Later in the evening when they questioned him

about his strange behavior, he explained that he had been hired for a day's work and did not want

to waste time that was not his own (Babylonian Talmud, Taanis 23a).

The case of Rabbi Safra's negotiation serves illustrates extremely ethical business behavior.

Rabbi Safra is cited in Psalms (15:2) as one who "speaketh truth in his heart.” One day, while

Rabbi Safra was in the midst of prayer, a man offered to buy some merchandise from him. Rabbi

Safra was praying and could not respond. The prospective buyer mistakenly thought that Rabbi

Safra was holding out for more, and kept increasing his bid. When Rabbi Safra finished his

prayer, he told the buyer that he would sell the item at the original price because he had "agreed

in his heart" to this price and his silence was misconstrued (Babylonian Talmud, Maakos 24a).

Rabbi Safra went well beyond the requirements of the law, holding himself to a very high

22

standard of ethics. While ordinary people may not be able to abide by this standard, keeping

one’s word might be a reasonable expectation.

Another Talmudic figure, Rabbi Simeon ben Shetah, was an exemplar of someone who went

beyond the requirements of the law. Rabbi Simeon ben Shetah purchased a donkey from an

Arab. The rabbi’s disciples discovered a valuable jewel was hanging on the donkey's neck,

hidden from view. When they happily informed their teacher of this discovery, Rabbi Simeon ran

back to the marketplace, found the Arab, and returned the jewel to him. The Arab thereupon

blessed the Lord of Rabbi Simeon ben Shetah (Jerusalem Talmud, Baba Mezia 2:5).

Abba was a bloodletter/surgeon held in great esteem by the Talmud for his exemplary business

practices. His patients paid as much of his fee as they could afford, leaving the money in a box in

an outside room so that he could not see who had paid and who had not. He did this so as not to

embarrass the poor. Apparently, his ability to maintain this system of payment indicated that his

patients, for the most part, must have been quite ethical as well. In addition, when it was clear

that a patient was impoverished, not only would Abba refuse payment but he would give the

patient money for food. He did this because he felt that it was important to eat a very substantial

meal after surgery (Babylonian Talmud, Taanis 21b).

Conclusion

The two most famous sayings of Hillel are quintessential Talmudic views on how to live a life

and also to conduct business.

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"If I am not for myself, who will be for me? And if I only care for myself, what am I?" (Hillel,

Babylonian Talmud, Avos 1:14)

"'What is hateful to you, do not do to your fellow human,' that is the whole Torah, the rest is

commentary." (Hillel, Babylonian Talmud, Shabbos 31a)

There is nothing wrong with making a profit; indeed, a company should strive to be efficient and

reward stakeholders. However, business has to be conducted in a way that does not harm others

and makes it apparent that the organization cares about others. In other words, a firm has to be

socially responsible.

The following verse is cited by the Talmud as a guide to conducting one’s life as well as

business. The Psalmist (Psalm 15) declares:

God, Who may sojourn in Your tent? Who may dwell upon Your holy

mountain? One who walks in total integrity, does what is right, and speaks

truth from his heart. One who has no slander on his tongue, who has done

his fellow human no evil nor cast disgrace upon his close one... Whoever

does these things shall never falter.

The philosophy of walking in “total integrity” and not doing evil to one’s fellow human being is

important for both individuals and businesses. Organizations that wish to thrive and not falter

have to be honest and concerned about others.

24

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