Ethical dilemma:
Workplace budgets and festive season parties
December 2004
You are the Manager of a branch office which is part of a large multi-national company.
You are responsible for maintaining the various cost centre budgets for your region and these budgets are established at the start of each calendar year. If you do not spend the full amount in your budget areas then the under-spent amount is deducted from the following year's budget allocation.
In mid-December you realise that due to a small error in calculations made months earlier, you have under-spent in your IT cost centre by a considerable sum. You are aware that your office desperately needs an IT upgrade in the new year and there is no time for this to take place beforehand.
Your office is experiencing low morale as it is currently under-staffed and employees have been working additional unpaid hours.
A colleague suggests you spend the money on an extravagant Christmas party for your staff rather than admit the oversight and risk having your budget cut.
Ethical questions:
- What are the issues?
- Who are the stakeholders?
- What should you do?
- What would you do?
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