earch, and assess the costs involved. He concludes that it will be necessary to increase staff costs, but believes these will be offset by the efficiencies brought about by recruiting and retaining high-quality staff. The repor
Ray is a finance director in a public sector organization that has experienced difficulty attracting and retaining skilled staff. To assist in overcoming this problem, the board has engaged a consultant to recommend an improved benefits structure, to apply to all staff. The consultant has produced his report, and Ray has been asked to consider the proposed staff benefits structure, and make appropriate recommendations to the board. He study the report, conduct appropriate research, and assess the costs involved. He concludes that it will be necessary to increase staff costs, but believes these will be offset by the efficiencies brought about by recruiting and retaining high-quality staff. The report contains the following recommendations: Benefits should be related to the length of service of members of staff.
After one year of continuous employment, a member of staff will qualify for private health insurance.
Private health insurance should cover the member of staff and his or her spouse, but no other members of the employee’s family.
Enhanced pension benefits will accrue to all staff after one year of service.
Ray decided to advise the board that the consultant’s recommendations should be adopted in full. He is pleased with his work on this assignment, and feel confident that the proposed package of benefits should serve as a strong motivator to all staff. His personal circumstances mean that he will benefit greatly if the board accepts the consultant’s report. He has been with the organization for eleven months. He has recently become engaged to your girlfriend, who works in a different department. She has handed in her notice, as they both decided that it was inadvisable to work so closely together after they are married. Her new job will provide a slightly lower salary, and both are saving hard to buy their first home. The date of their wedding is only two months away, but they do not intend to start a family in the near future. Ray has been concerned about starting to provide for his pension, and neither he nor his fiancée has been able to afford health insurance.
A. Identify the ethical issues that are present in the scenario.
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