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Ethical Issues In The Richardson Drilling Case

Decent Essays
Many companies have ethical decisions that need to be and sometimes those decisions can affect many individuals or just a few. Making ethical decisions may be placed solely on one person’s shoulders or it may be a decision that multiple individuals must be involved in. There are several ethical issues in the Richardson Drilling case that should be considered. For instance, bribery, purchasing substandard parts with lack of disclosure that causes injuries, and revealing sensitive information. One potential ethical concern that could arise has to do with ongoing health insurance and the employer’s responsibility. Bribery weakens competition and diminishes free trade which can affect companies, shareholders, and stakeholders. Jacob Franklin knowingly extended bribes to governments and contractors while knowing it was against company policy. Jacob engaged in bribery even though he knew it was wrong because he was advised that it was common practice at Richard Drilling. “In 1977, President Carter signed the Foreign Corrupt Practices Act (FCPA). The law made it illegal to bribe foreign officials. The maximum punishments for violators were set at $100,000 and 5 years in jail. Companies can be fined millions” (Bredeson, 2012, p.301). Not only was extending the bribe against company policy, it was against law and could cost Jacob and Richardson Drilling money and freedom. Both the company and Jacob Franklin know that bribery is unethical and violated all stages of Kohlberg's
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