What action you should take to limit liability


Imagine you are a recently-hired Chief Operating Officer (COO) in a midsize company preparing for an Initial Public Offering (IPO). You quickly discover multiple personnel problems that require your immediate attention.

  • John posted a rant on his Facebook page in which he criticized the company's most important customer.
  • Jim sent an email to other salespeople protesting a change in commission schedules and bonuses and suggesting everyone boycott the next sales meeting. 
  • Ellen started a blog to protest the CEO's bonus, noting that no one below director has gotten a raise in two years and portraying her bosses as "know-nothings" and "out-of-touch"
  • Bill has been using his company-issued BlackBerry to run his own business on the side.
  • The secretaries in the accounting department decided to dress in black-and-white stripes to protest a memo announcing that the company has installed keylogger software on all company computers. 
  • After being disciplined for criticizing a customer in an email , Joe threatens to sue the company for invasion of privacy.
  • One of the department supervisors requests your approval to fire his secretary for insubordination. Since the secretary has always received glowing reviews, you call her into your office and determine that she has refused to prepare false expense reports for her boss.
  • Anna's boss refused to sign her leave request for jury duty and now wants to fire her for being absent without permission. 

As an astute manager, you will need to analyze the employment-at-will doctrine and determine what, if any, exceptions and liabilities exist before taking any action. As you proceed with your investigation, you discover the company has no whistleblower policy.

Write a four to five  page paper in which you:

  • Summarize the employment-at-will doctrine and evaluate each of the eight scenarios described by determining:
    • Whether you can legally fire the employee; include an assessment of any pertinent exceptions to the employment-at-will doctrine.
    • What action you should take to limit liability and impact on operations; specify which ethical theory best supports your decision. 
  • Take a position on whether or not you would recommend to the Chief Executive Officer (CEO) that the company adopt a whistleblower policy. Support the position.
  • Justify at least three fundamental items that should be included in a whistleblower policy. Provide a rationale for your selection of each of the three recommended items.
  • Use at least three quality resources in this assignment Websites do not qualify as academic resources.

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Business Law and Ethics: What action you should take to limit liability
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