This website uses cookies to ensure you have the best experience. Learn more

Bus Eth 501 Essay

1729 words - 7 pages

Of Banks and Bonuses
Business Ethics/ETH 501
Trident University International
February 28, 2011

A question is presented, “should top bank executives that received bailout money get big bonuses?” Plain and simple, “no.” Over the past year or two there have been numerous articles about large executive compensation packages and in particular about compensation packages to executives in companies that received bail out money from the government at the taxpayers’ expense. These same companies were laying off a massive amount of their lower level employees all for the sake of their bottom line. The gap between top and lower level employees is huge which causes anger among the ranks. Top ...view middle of the document...

248). What leads to this discussion is that most individuals and to include corporations have their own ideas of good, bad, right, and wrong. And corporate culture is also guided by perspectives that rise out the member’s patterns of beliefs, orientations, values, and aspirations (Morgan, 1997).
Deontology is the perspective of doing what is morally right, regardless of the amount of good or evil that results from the right action (Frankena, 1973). The behavior is the important thing, not the outcome. Behavior is determined by moral obligation. Moral obligation is not determined by what the outcome of the behavior is, but is determined by rules or norms that compliance to achieve ethical actions. I feel the TARP payout had good intentions and that was to bring vitality back in the economy. I have to be careful not to assume that the pursuit of profit is unethical. Milton Friedman, the world famous economist, makes a convincing case that the social responsibility of business is simply to abide by legal regulations and pursue profit because such pursuit results in the most efficient allocation of resources and the greatest maximization of social good. Yet for many companies, bad practices are ok if they are legal. Because maximizing return to shareholders is legally required of corporate officers, profit must be the ultimate measure of all corporate decisions. But many argue that there should be more to a corporate balance sheet than profit. Profit should not necessarily take precedence over community well-being, worker safety, public health, peace, environmental preservation, and national security. However, once the banks/bankers received their portion of payout, their intentions did not line up with the governments and they took precedence over everything else. How could it possibly be morally right to “give” the executives millions of dollars as rewards? Understandably it takes knowledge, experience to run a company successfully. Unfortunately that is not the situation with the major companies that took the handout. The taxpayers put out $350 billion and didn’t even get the right to find out what the money was being spent on, let alone have a say in what the banks did with it. TARP’s failure comes as no surprise: incentives matter. Bankers won’t restart lending unless they have a reason to do so or are forced. Receiving billions of dollars in bonus pay for racking up record losses is a peculiar “incentive” structure. Bankers have been accused of unbounded greed using hard-earned taxpayer dollars for bonuses and dividends. I feel that leaders can and should plan for possible challenges that my accompany crises and avoid some of the uncertainty associated with unanticipated events. If uneasiness and doubt are reduced, perhaps there will be sufficient time for careful thought in selecting the best ethical steps and determining the best solution to resolve the current crises.
Utilitarian ethics is founded on two principles:...

Other Papers Like Bus Eth 501

Freedom And Responsibility Essay

2141 words - 9 pages Built within the Constitution of the United States are specifically defined freedoms that are guaranteed to all citizens. Conversely, with every constitutional freedom there comes a corresponding responsibility. On September 25, 1789, the state legislature’s twelve proposed amendments were transmitted by congress, the first two dealing with congressional representation and congressional pay. The following numbers three through twelve were

Hate Crime Laws Essay

2348 words - 10 pages On June 7, 1998, 49-year-old James Byrd Jr. of Texas accepted a ride from three white men, who then beat him severely, urinated on him, chained him by his ankles to the back of their pick-up truck, dragged him for three miles into the countryside, and dumped his corpse in front of an African-American cemetery (Graczyk). A little over a year later, a jury sentenced ring leader John King to death by lethal injection (“Man Executed for Dragging

Rational Emotional Behavior Therapy Case Study Conceptualization And Treatment Plan

2140 words - 9 pages Rational Emotional Behavior Therapy Case Study of Sarah: A Conceptualization and Treatment Plan Rational emotive behavior therapy, REBT, was developed by Albert Ellis and holds the central belief that the events in our lives do not cause our disturbances but that they are instead caused by our view of the events (Murdock, 2009). Murdock (2009) states that “people are seen as responsible for their behavior” (p. 279) but, because they are

Holidays In Albania

1636 words - 7 pages Have you ever thought about having exciting and incredibly cheap vacations? Albania might be the right choice. According to My Travel Guide, Albania is ranked the fourth among ten places worth visiting in Eastern Europe (“Top 10 Eastern European Destinations”). One can encounter three kinds of vacations in this Mediterranean country: winter, summer, and cultural. The ideal places to spend your winter vacations are the Albanian Alps. They are

A Heart Of Darkness

1748 words - 7 pages In this short story, there are frequent significant subject and ideas that make the story, "A Heart of Darkness," by Joseph Conrad, and haunting novel. The main theme is absolute white power over the natives. The theme validates the corruption, and the dependence caused by the white people as they took over the Congo. White men were giving all the power; they had no self-control, and in the end they did not use wisely. The white men became

The Aspects Of Vulnerability Among The Exploited In Medical Research

2287 words - 10 pages Essentially, everyone is in some state of vulnerability. However, some of us are more susceptible to harm due to our vulnerabilities. The susceptible are the individuals with the greatest risk. These individuals risk the loss of their autonomy, and maybe even their lives. Vulnerable populations can be found in every subset of society. However, as previously mentioned, there are some vulnerable populations that are at an even greater risk than

The Hitchhiker’S Guide To The Galaxy

1171 words - 5 pages The Hitchhiker’s Guide to the Galaxy As the human race makes life-changing discoveries, it is made apparent that there is always more to learn as the universe, instead of becoming familiar, is becoming absurd. The Hitchhiker’s Guide to the Galaxy, written by Douglas Adams, as well as the 2005 film adaption, portrays absurdity to be an all-encompassing system in the universe. Through the introduction and attempt to understand lack of reason, the

The Ford Motor Company Wage Increase Of 1914 And The Theory Of Incentives And Efficiency Wages

1252 words - 6 pages ‘It’s not the employer who pays the wages. Employers only handle the money. It is the customer who pays the wages’ (Henry Ford, cited in Johnson and Weinstein 2004, p. 2). When the Ford Motor Company announced that it would more than double the wages of its workers in January 1914 to a ‘five-dollar day’ minimum, was this a contradiction to Henry Ford’s statement? If customers are actually the ultimate payers of wages, then more than

Historical Analysis Of The Economical Breakthroughs Of The Industrial Revolution

1396 words - 6 pages A Historical Analysis of the Economical Breakthroughs of the Industrial Revolution During the Industrial Revolution, many elements of society experienced huge breakthroughs that would change the way they functioned forever. Economics were definitely one of them. With many new inventions and many factories appearing, many, many, more resources were being created than ever before. Also, all of the revenue from these resources was being given to

Leadership Portrayed in Monologue from Shakespeare’s Henry V

1214 words - 5 pages Leadership is defined as a socially constructed process and which also affect organizational future outcomes. Leader is someone at high position who have overall duty for an organization, she or he decide what to do and the way how to achieve it. (Carter and Greer, 2013)The role of leader is extremely important for an organization, leader use their own power to influence the followers though many different ways such as motivation in order to

Cuba Civil Rights

1906 words - 8 pages Picture a country that has limits on how much you can make random government imprisonments and more what do you do. That is the situation for the eleven million seventy-five thousand two hundred forty-four people of Cuba since the takeover of Fidel Castro. The US is opposed to Castro taking control of Cuba. Castro managed to ease the United States nerves when he said that Cuba was against all forms of communism. According to Lana Wylie the Union

Related Essays

Mat 540 Quiz 4 Essay

1901 words - 8 pages Strayer MAT 540 Week 6, Quiz 4 Page 1 of 3 Final Exam Guide less stress, more success Home EXAM Sign In Register Contact Us Quick Search EXAMS >> MAT 540 Week 6, Quiz 4 MAT 540 Week 6, Quiz 4 GO! Related Items MAT 540 Week 1, Quiz 1 MAT 540 Week 3, Quiz 2 MAT 540 Week 5, Quiz 3 MAT 540 Week 9, Quiz 5 $15.00 Be the first to write a review Advanced Search SUBJECTS Qty* ACC BCOM BIS BUS ECO ETH 316 FIN

Principles Of Information Security Essay

3291 words - 14 pages . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Consultants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Business Partners . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 499 499 500 500 501 Internal Control Strategies

Principles Of Information Security Essay

3241 words - 13 pages . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Consultants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Business Partners . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 499 499 500 500 501 Internal Control Strategies

Computer System Security Essay

3291 words - 14 pages . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Consultants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Business Partners . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 499 499 500 500 501 Internal Control Strategies