THE CASE OF THE WILLFUL

WHISTLEBLOWER

Presented By:Group 9

WHO ARE WHISTLEBLOWERS?A whistleblower is defined as someone who

exposes wrongdoing, fraud, corruption or

mismanagement.

ETHICAL ISSUES(1/2)

Clients were kept in the dark about the structural flaw even when Fairway became aware of it

The additional costs resulting from the flaw would be borne by the company customers and the rate payers

Ken’s reaction to Jim’s discovery was to hush up the entire matter as soon as possible

ETHICAL ISSUES(2/2)

Ken’s priorities seemed to be focused on avoiding any short term losses and not on company values

The identity of the whistle-blower was not kept confidential and became common knowledge to everyone in the company

No attempt was made to make the situation easier for Jim, instead Ken directs Bob to transfer Jim to another division to avoid any problems

Companies with Sound

Whistle-blowing Policy

Responsible Organization

Unethical practices can be

caught

Enhances Customers Trust

Employees prefer using

internal channels

Increases Employee

Satisfaction

HOW WHISTLE-BLOWING CAN BE PREVENTEDA clear and well-communicated anti-retribution policy

Establish staff confidence

Staff involvement in the development of related policies

Prompt and continuous responses to internal complaints

Promote organization's code of conduct

ETHICAL THEORIES

Jim Bover

“Virtues take a lead over company’s and colleagues interests”“Public interest over and above colleagues and clients”

Virtue ethics

Bob and Ken

“Best interest of the company”“Not really illegal (no safety hazard)”It is “safe” and will not be caught

Teleological (Utilitarian) approach

MORAL CONFLICTS

Whether Speaking out is in Public interest or not!!

Weighing responsibility to serve public against responsibility to serve colleagues and company

Fear of retaliation leading to downgrading their carriers and hence impact on family

THE 3 ELEMENTS

Dissent

Breach of LoyaltyAccusation

WHISTLE BLOWER PROTECTION ACT The Whistleblowers Protection Act, 2011,

provides a mechanism for protecting the identity of whistleblowers — a term given to people who expose corruption.

The Act also provides for a system to encourage people to disclose information about corruption or the wilful misuse of power by public servants, including ministers.

The Act, however, lays down punishment of up to two years in prison and a fine of up to Rs 30,000 for false or frivolous complaints.

TIMELINE

August 26, 2010 • Introduction

September 16, 2010• Referred to

Parliamentary Standing Committee

Dec 11, 2011• Passed by Lok

Sabha

February 21,2014• Passed by Rajya

Sabha

May 2014• Assent of

President Mr. Pranab Mukherjee

THANK YOU