Ethical Issues at Union Carbide

This report showcases the impact of negligence of ethical norms by US Union Carbide Company during the Bhopal gas disaster. It discusses the ethical position of the company, the causes of the disaster, and the consequences faced by the company and the people of Bhopal. The report highlights the ethical issues related to poor quality instruments, inability to cope with the situation, lack of skilled human resources, deceptive acts, ignorance of worker appeals, unethical behavior, and non-payment of compensation. It also discusses the legal actions taken against the company and the importance of working ethically in business.

ETHICAL ISSUES AT UNION
CARBIDE

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 2............................................................................................................................................3
Brief explanation regarding ethical position of the parent US Union Carbide Company at the
time of Bhopal gas disaster........................................................................................................3
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Ethics is the field of study which help in determine what is right and wrong for
organization. It is the branch which help in learning person how to behave within or outside
organization. This report has been formulated to showcase the impact of negligence of ethical
norms. For this purpose US Union Carbide Company has been taken. This report showcase brief
scenario of the impact of negligence of ethical norms face by the company and people of Bhopal
due to happening of Bhopal Gas Tragedy incident.
TASK 2
Brief explanation regarding ethical position of the parent US Union Carbide Company at the
time of Bhopal gas disaster.
Bhopal Gas Disaster case : This incident was consider as the worst industrial accident in Indian
history. It was happened at Union Carbide Company which is subsidiary of US Union Carbide
Company. Here the plant was established in 1969 for the purpose of spread market of company
in India. But on 2nd of December more then of 40 tonnes of methyl isocyanate gas related from
the plant. This toxic gas spread all the area. It is hazardous for heath and it directly impact on the
local people and employee who work in the plant. The poisons gas flooded the whole city
(David, Mayes and Coppola, 2020).
Due to the explosion of poison gas people suffer from eye irritation, they aren't able to
take breath they feel suffocated, stomach pain, breathlessness. Moire then of 3700 people died
immediately. And after than of 15000 people died due to the impact of this tragedy. More then of
500000 person effected from this explosion as they face problem related with ASTHMA,
pulmonary oedema, autopsies, choking, degeneration on liver, diseases related with eye, kidney .
The explosion of MIC gas is so hazardous then even after 37 years impact of this MIC poison
gas is still passed on the third generations of victims. People still suffers due to many diseases It
was the worst uncertain disaster ever happen in Indian history. They face permanent or
temporary disability. Which totally impacted on the economy structure of Bhopal. Local public
suffers from many issue due to this tragedy.
Role of US Union Carbide Company in this tragedy
Every business organization need to follow rules and ethical business norms in order to
systematic run their operations. Ethical norms useful in define what is right ad wrong act in

regarding with public welfare. In this case Union Carbide Company of Indian as well as US both
break ethical codes related with safety, welfare and public health.
US Union Carbide Company is also responsible for this tragedy also as they are not cope up
with government before and after this incident. They are not compensate amount to Indian
government and victims of Bhopal Gas Tragedy (de Miguel Beriain and O’Mathúna, 2019).
Following are the ethical issue which are the reason behind this tragedy:
Use of poor quality of instruments: It is the main cause of behind this accident is that
company not use or measure safety systems. The cooling tank, pipes, aren't work and this
become the reason that the poison gas mixed with the other gas and water which is the reason of
exposion of MIC. According to the business ethical it is responsibility of management
department of organization that they need to supervise and evaluate every equipment and safety
measurement system-based As employee heath and safety is the first priority of organization.
Unable to cope up with situations: Management department of US Union Carbide
Company not able to deal with this situation which also the reason that they aren't able top pay
compensate amount to workers. President of the company at that time not properly gave their
support during the timer of investigation which also negativity impacted on the goodwill of this
company.
Lack of skilled human resource: This reason also find after the tragedy is that workers
hire for the maintenance of this plant are not capable and have skilled regarding with
maintenance and running the plant. Management staff of this organization responsible for it as
they are not able to hire skilled personal for their work.
Avoid deceptive act: US Union Carbide Company not work ethically which will also
the reason behind this tragedy as the location of this plant is near by the cut and they are not take
permission to established this plant. As per ethical norms it is duty of every corporation to take
prior permission for the local government regarding incorporation of any plant. Manager of US
Union Carbide Company not provide support during the time of investigation. The company
mainly focus on cutting cost and save money thus even after the query and suggestion of workers
they are not take any step regarding with measurement of safety (Hargrave and et.al., 2020).
Ignorance of appeal of workers: As per legal standard it is essentially required that
every organization need to hear appeal or their worker. The main reason behind this tragedy is
that US Union Carbide Company ignore the appeal of workers and staff of Indian plant regarding

with safety measurement. As before this tragedy even since its incorporation their would be
many times when gas expose from plant. In 1976 trade union filed complain regarding the
pollution level of plant. Many of workers died due to the negligence of safety measurement and
leakage of gas and polluted water. Even after these incident management department of US
Union Carbide Company not take any step.
Unethical behaviour: US Union Carbide Company not work in ethical manner and after
this incident they are not supported to Indian government. Even they are not pay the overall
claim of victims and died people as well ass their worker ad employee who died in this tragedy.
They are even supported to the present director of their company Anderson. Their non profession
behaviour directly impacted goodwill of the organization. As this organization not able to raise
profit after this incident.
Non payment of compensation: The US Union Carbide Company not give the whole
amount of compensation to the victims of Bhopal Gas Tragedy. They also reduce to hear court
decision. They are support during the time of investigation. Thus Indian government face many
issue during the time of providing compensate amount to the victim of this tragedy.
US Union Carbide Company completely ignore law and norms which specifically mention under
The Corporate Negligence Argument they are also break rules related with safety
measurement of employ, rule of Employee insurance act as well as compensation act.
Bhopal Gas Tragedy is directly impacted to the whole economy of India as well as tit directly
affect the relation between America a and India. After this accident new act has been
incorporation din order to provide benefits to victims of this tragedy. This act is known as
Bhopal Gas Leak Act 1985 (Robinson, 2018).
It is essentially require that each and every business corporation need to work in ethical
manner in order to maintain legal sustainability with the organization. Thus on the basis of that
ethical and legal norms has between incorporated. Every organization need to work in such
manner which will maintain dignity within the business environment. However this tragedy
showcase a scenario and many of acts and rules formulated after this incident.
Indian government as well as victims files many of case of the US Union Carbide
Company. They filed case against negligence of safety, and suit filed related with environment
contamination. Penalties as well as fine charged against this organization regarding with
negligence of ethical and environment norms. Criminal case also charged against US Union

Carbide Company as more then of 15000 people died in Bhopal gas tragedy.
Organizations face problems due to negligence of all the norms which mention in environment as
well as business law. This indecent directly impact on the overall industrial area. And after that
many of act related with environment safety and measurement has been formulated. Theses act
essential in order to control these types of incident again in future time period. US Union
Carbide Company is also responsible for this tragedy as if they are give order regarding with
regularly basis of inspection as well as provides proper finance for safety measurement then
people not face the situation they face during the time of Bhopal
Victim fight for their compensation as it took long time period in order to take the one of
compensate. US Union Carbide Company face ethical issue as it is essential for every business
entity whether they are large or small to work in ethical manner only then they are able to
maintain their existence within the market (Schonberg, Dittmer and Skibiski, 2019).
CONCLUSION
From the above analysis it has been concluded that ethical is play vital role for business
environment. Thus it is essential for every business corporation to work in ethical manner as with
the changes of time scenario, customers get attracted toward those organization which run their
business in ethical manner. Bhopal Gas Tragedy is one of the biggest industrial disaster. The
main cause behind this accident due to negligence of ethical as well as environment norms by
US Union Carbide Company. Management department of this company not fulfill any kind of
rules related with ethical, environment, legal, their unethical behaviour become the reason of
spoiling life of generation of Bhopal.

REFERENCES
Books and Journals:
David, A., Mayes, A. S. and Coppola, E. C., 2020. The Effect of Live Theatre on Business
Ethics. Humanistic Management Journal. 5(2). pp.215-230.
de Miguel Beriain, I. and O’Mathúna, D. P., 2019. Introduction to Ethical and Legal Issues in
CBRNE Crises. In Ethics and Law for Chemical, Biological, Radiological, Nuclear &
Explosive Crises (pp. 7-13). Springer, Cham.
Hargrave, T. J. and et.al., 2020. Making sense of changing ethical expectations: The role of
moral imagination. Business and Society Review. 125(2). pp.183-201.
Robinson, S., 2018. The ethical environment: corporate responsibility. The Business
Environment: Themes and Issues in a Globalizing World. p.184.
Schonberg, W. P., Dittmer, J. P. and Skibiski, K. C., 2019. Enhancing Ethical Awareness in
Future Generations of Engineers. Emerging Frontiers in Industrial and Systems
Engineering: Success Through Collaboration. p.35.

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