EDITORIAL4. : EDITORIAL1. Editorials. Name:. Institutio
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EDITORIAL21. Editorial to the AustralianIntroductionEvery business has a unique set code of ethics that govern the activities of its employees.Any action by the employee that is out of line with the business is highly condoned and may leadto withdrawal of some benefits enjoyed by the employee. A perfect paragon of this situation canbe related to a recent pay cut experienced by John Neal for breaking the code of conduct. JohnNeal, who is the CEO of QBE, is allegedly reported to have been involved in a relationship withhis personal assistant without notifying the board. As a result, the board imposed a penalty of$550,000 on his income from his unethical misconduct(Jonathan Pearlman. (2017)).DiscussionIt is an obligation duty for any employee to perform under the stipulated code of ethicsthat govern the businesses. Any bleach of these rules results to an ethical fault that can bepenalized. The board took an appropriate action by penalizing the CEO for performing outsidethe expectations of the QBEs code of ethics. Regardless of his high ranks within the company,John should have observed the companies rules and report his decision to the board earlierenough. Instead, he highly concealed the issue by making sure that the affair runs privatelywithout the knowledge of the board. When the issue was discovered, John consented that he hadperformed in an unacceptable way but it was too late to turn the situation around. It would havebeen fair if John had taken a prior action to inform the board of his personal decision before thesituation got out of hand. For him, he expected that the matter would remain undisclosed andpersonal and would not be publicly known. However, the financial reports of disclosed hissituation putting his reputation as well as the reputation of the company at stake. The code of
EDITORIAL3ethics required John to report the existence of their relationship with his personal assistance tothe board in considerably good time. However, by him acting to the contrary of the code ofethics, he suffered the income cut offs. This situation shows the importance of observing thegoverning rules of any business regardless of the position that a personal holds in the business.Every member of in the business should be aware of the code of ethics that govern hisperformance and should be willing to observe them at all times. In addition, it shows us howgreatly rules can impact an employee who fails to observe them. A simple rule may hold withinit very great power. We learn how failing to take a simple action had resulted to very greatrepercussions that coasted John a considerable amount of his income as well as greatly tarnishhis entire reputation. In most cases, people fail to take the appropriate steps hoping that theiractions would not be known to their fellow workmates or other employees. Unfortunately, theoutcome is far beyond their expectations and may be known to the entire world like in the case ofJohn.ConclusionIn conclusion, the codes of conduct govern the activities of the employees to make surethey remain productive and obliged to their duties. It is the responsibility of every employee toobserve the code of conduct regardless of their positions and ranking on the business. Anyperson who acts negligently by failing to observe the code of conduct is liable for his action andmust be ready for the consequences of their unethical acts. The case of John Neil suffering greatpenalties of income cut is a lesson that any employee should learn. By observing the simplerules, we avoid other great consequences.