13 Aug 2022

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Business Ethical Issue: Utilitarianism

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Academic level: College

Paper type: Essay (Any Type)

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Organizations have a responsibility to come up with codes of conduct and ethics that all members should follow and put into action and failure to abide they might face disciplinary. Encouraging conduct focused on integrity and trust are some of the essential ethics issues in an organization. There are more complicated issues such as accepting diversity, empathic decision making, agreement, and domination, according to organizations basic values. Some of the ethical issues are discussed in the following essay. 

In a situation where an organization is downsizing, and the manager is required to choose between two employees to let go. Both employees have similar performance records; Jill is 30 years while jack is 42 years old. If Jack is fired the organization might face litigation because he is in a protected class, but the manager believes that Jill has more potential than jack. The vice president advised the manager not to fire jack because the company might get litigated (Davies, 2016). By the guidance of utilitarianism, the manager should fire Jill. In doing so, the manager will be able to preserve a professional relationship and also save the organization from facing legal charges. 

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Utilitarianism theory of ethics is concerned about determining right from wrong based on the outcome of a situation. Utilitarianism implies that the most ethical choice is the one that will be beneficial to the greatest number of people. By using this theory to determine the most ethical thing to do can be risky in a business because the future is not known, and the expected outcome will be good or bad (Lyons, 2015). This theory conflicts with justice and individual rights. This is because it does not focus on one person; it focuses on several people and how an action can be for the greater good. 

Jill and Jack have the same performance record; they are both at the same level, so by firing Jill, the organization performance will not be affected because Jack has the same performance. Jill might have more potential than Jack because he is younger, but it is not guaranteed that if he stays in the organization, his performance will boost the organization productivity. If the manager decides to fire jack, more things could go wrong. This is because by firing jack, the professional relationship between the manager and the vice president of the organization will be affected. The vice president of the organization tells the manager not to fire jack because the company might get litigated. Their relationship will be affected because the manager did not listen to his senior. If Jack gets fired, the company might get litigated since he is in the protected class. If Jack decides to take legal action, the company can be adversely affected (Lyons, 2015). This is because if jacks win in court, the company will have to pay a settlement to jack, the company’s reputation will also be affected and hence affect its productivity. If the company mainly sells products, their sales will be affected as a result of its bad reputation. By firing jack, the company will face many undesired outcomes. 

In conclusion, the utilitarianism theory of ethics focuses on the outcomes. The choice that will produce the greater good. The manager should fire Jill because he is the better choice compared to Jack. By firing Jill, the consequences will not be serious, and it will enable the organization to cut down on its expenses as intended. If the manager were to fire jack, the outcome would be bad, and many individual and factors will be affected. 

Reference 

Lyons, D. (2015). Utilitarianism. Wiley Encyclopedia of Management, 1-4. 

Davies, P. W. (2016). Current issues in business ethics. Routledge. 

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StudyBounty. (2023, September 17). Business Ethical Issue: Utilitarianism.
https://studybounty.com/business-ethical-issue-utilitarianism-essay

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