Volkswagen, the renowned automobile industry based in Germany was recently caught in a scandal where the engineers created and installed a device that would make their cars pass a gas emission test. As a result, the cars from model years 2009 to 2015 were confirmed fit for the market and distributed even in the United States. According to the United States Environmental Protection Agency, the software known as “defeat device” allowed for the introduction of below average cars that produce up to forty times more than the required emissions according to the Act. (Learn About Volkswagen Violation | US EPA, 2017) Other popular car-manufacturing companies for instance, Audi and Porsche were found in violation of the clean air act using similar technology to that of the defeat device. It is necessary to review the ethical standards of the personnel in the corporate sector to minimize such occurrences.
Volkswagen’s actions were in breach of the Clean Air Act which was established in 1990 that requires all cars sold to the United States to meet the stipulated emission standards. The faulty automobiles released pollutants, especially oxides of nitrogen that are very injurious. This made the company liable to lawsuits and criminal charges. In a case filed by the United States on behalf of the Environment Protection Agency, they were accused of, apart from violating the Clean Air Act, illegal importation of approximately 600, 000 cars of inferior grade, obstruction of justice and conspiracy. The United States Customs and Border protection also made fraudulent claims against Volkswagen. (Volkswagen Clean Air Act Civil Settlement | US EPA, 2017)
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If I were a member of the legal team in Volkswagen, I would advise the company on the stipulated repercussions and the influence such a dishonorable move would have on the company. The corporate responsibility procedures provide clear guidelines against unprincipled decisions that have the potential of damaging the consumer trust, violation of state law or hazard to the immediate environment. Due to the strict laws by the USA and other European countries against vehicles that use diesel, it is understandable why the company would resort to such unscrupulous acts in order to meet the sale regulations and increase profitability. This, however, is not a valid reason to produce sub-standard goods, and it would cost the company billions to resolve when discovered.
When questioned about the incidence, the then Chief Executive Officer of Volkswagen stated that he was not conscious of the operations until they came to light from the investigations. The workers who knew such dealings ought to have spoken up to the managers, chief executive officer or the board about it. This would have ensured that decision, if it was the malicious act from some of the employees was remedied before further damage caused. Silence, whether intentional or unintentional, made the vice continue while endangering the company’s position and the environment. As a member of the legal team, I would have made the administration and engineering team aware of the device and the possible legal implications of using such technology.
If I were a member of the engineering department, I would have been obliged to observe the legal and ethical grounds in my field of work. Enhancing communication and transparency in work environments is key in preventing such scandals. If it were within my power, I would see to it that the illegal means was not used. Before this, I would confirm with the legal department and management since I would need clarification as acting alone might have implicated me. One might argue that such openness might lead to the dissemination of confidential information about the business that might be used by the company’s competitors. Using non-disclosure agreements would ensure that the data discovered in the process is not conveyed to any other source.
In a world filled with many men willing to turn a blind eye to the truth, it is essential that we hold on to our moral and spiritual compasses. In most instances, going to those in charge might not be fruitful, especially when the whole company is comfortable with the action. Most religions champion for speaking the truth in all circumstances, whether beneficial to one’s course or not. The Bible in Ephesians 4:25 English Standard Version (ESV) states that “Therefore, having put away falsehood, let each one of you speak the truth with his neighbor, for we are members one of another.” Keeping silent can cost the lives of many innocent persons for instance in the case of faulty switches in the General Motors cars that led to the death of over one hundred people. The government also has provisions for the protection of secret informants who reveal such acts.
As the CEO of the company, I would have a meeting with the managers and engineers to find the root of the incidence and why those who had knowledge of it let it take place. Often, such actions are generated from unrealistic expectations and pressure from senior managers. (Argenti, 2015 ) Fostering the formation of smart goals will improve the quality of work and reduce the need to depend on fraud to realize profits. Liaison with the legal department will help minimize the amount of damage that the company is subject to by discussing the right way of addressing the situation. I would have the employees to start working on a remedy, either remodeling the cars without the device or recalling those sold for correction. By creating an open environment where employees can identify issues without being reprimanded for it, I will be preventing such occurrences from happening in the future. Employing an independent organization to provide tests for the quality of cars produced would avert fraud by eliminating inherent bias. Most managers would push for unfeasible goals and force themselves to adopt unethical means to reach them. This is often tied to huge bonuses and raise. Having a separate body for analysis ensures practicality and transparency of the process.
References
Argenti, P. (2015). The Biggest Culprit in VW’s Emissions Scandal. Fortune . Retrieved from http://fortune.com/2015/10/13/biggest-culprit-in-volkswagen-emissions-scandal/
Learn About Volkswagen Violations | USA EPA. (2017). Retrieved from https://www.epa.gov/vw/learn-about-volkswagen-violations
Volkswagen Clean Air Act Civil Settlement | USA EPA. (2017). Retrieved from https://www.epa.gov/enforcement/volkswagen-clean-air-act-civil-settlement
