CE Topic 5 - Whistle Blowing July Sem 2008

8/13/2019 CE Topic 5 - Whistle Blowing July Sem 2008

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Whistle Blowing

Topic 5



Learning Outcomes:

At the end of the lecture, students will be able to :

1. Explain what whistle blowing is.

2. Recognize and elaborate on the conditions underwhich whistle-blowing is acceptable or otherwise.

3. Analyze on the steps taken to prevent whistle blowing.



Freedom of speech versus loyalty

One of the rights people have especially in countries like US

is the freedom of speech.

But how far does this right extend into corporations,

especially if an employee observes an employer committing

an illegal or immoral activity that could harm others?

What are the obligations and limits of employee loyalty to

the employer?

Under what circumstances if any, should employees blow

the whistle on their supervisors, managers or firms?



What is Whistle Blowing?

The attempt of an employee or former employee of an

organization to disclose what he or she believes to be

wrongdoing in or by the organization.

Internal - reported to authority within the firm.

External- report to external public interest groups i.e.

the media, enforcement agencies, etc.

Personal - harm reportedly done only to the blower

Impersonal - harm observed as done to another



What is a whistle blower?

A whistle blower is an employee or officer in any institution, profit or non profit, private or public, whobelieves either that he or she has been ordered to

perform some act or he /she has obtained knowledge that the institution is engaged in activities which (a) arebelieved to cause unneccessary harm to third parties,(b) are in violation to human rights, or (c) run counterto the defined purpose of the institution and who

informs the public of the fact.

( Norman Bowie, Professor of Philosophy)



Whistle Blowing versus Culture

Whistle blowing goes against some cultural

norms of showing loyalty towards employer and

colleagues.

However, strong cultural norms regarding

fairness, justice, a sense of duty, and obedienceto the law and to one’s conscience also exist.



Risks that one has to take for

Whistle - Blowing

Whistle blowers may not only lose their job but alsoexperience negative and damaging repercussions.

Retaliation by employers taking different forms such as poor performance evaluation, demotion to outrightdismissal.

Some employers seek to blacklist whistle blowers so thatthey cannot obtain jobs in the same industry.



Conditions for Whistle Blowing to be

morally justified

DeGeorge:

When the firm, through a product or policy, will commit

serious and considerable harm to the public, the employee

should report the firm.

When the employee identifies a serious threat or harm, they

should report it and state their moral concern.

When employee’s immediate supervisor does not act, the

employee should exhaust the internal procedures and chain

of command to the Board of Directors.



Continue ...

The employee must have substantial documented

evidence to an impartial observer that their view of

the situation is accurate and evidence that the firm’s

practice, product or policy seriously threatens publicor product user.

The employee must have valid reasons to believe

that revealing the wrongdoing to the public will

result in the changes necessary to remedy the

situation. The succeeding must be equal to the risk

and danger the employee takes to blow the whistle.



When Whistle Blowers Should Not

be Protected

When their accusations are false and their motivation is

not justifiable or accurate.

When divulging information about legal and ethical plans,practices, operations, inventions, and other matters that

should remain confidential and that are necessary for the

organization to perform its work efficiently.

When an employee’s personal accusations or slurs are

irrelevant to questions about policies and practices i.e. that

appear illegal or irresponsible.



Continue ...

When an employee’s accusations do not show a

conviction that a wrongdoing is being committed and

when such accusations disrupt or damage the

organization’s morale.

When employees complain against a manager’s

competence to make daily work decisions that are

irrelevant to the legality, morality or responsibility of

management actions.

When employees object to their discharge, transfer, or

demotion if management can show that unsatisfactory

performance or violation of a code of conduct was

reason for the decision.



Summary of conditions for whistle

blowing

Must be done by a member of the organization.

Adequate information.

Adequate evidence.

External and internal whistle blowing – outsidenormal channels.

Release of information done voluntarily by thewhistle blower.

Whistle blow as a moral protest- motive to correctsome wrong doing which will cause harm, not toseek revenge or personal advancement.



Steps to Prevent External Whistle Blowing

Develop effective internal grievance procedures and

processes that employees can use to report wrongdoing.

Reward people for using these demands.

Appoint senior executives and others whose primary

responsibilities are to investigate and report

wrongdoing.

Assess large fines for illegal actions. Include executives

and professionals who file false or illegal reports, who

knowingly market dangerous products, or who offer

bribes.

Hire, train and promote morally and legally sensitive

and responsive managers who communicate with and

work for the welfare of all stakeholders.

Documents

CE Topic 5 - Whistle Blowing July Sem 2008