Question

If a company doesn't have a policy or handbook clearly outlining all of the prohibited employee conduct, should an employee be disciplined or terminated for making an unethical decision in the workplace? Why or why not?

Answer 1

When a company does not have a policy or a handbook that explicitly outlines all of the prohibited employee conduct then the company should take steps to implicitly inform employees with regards to decisions and behaviors that will be considered ethical and acceptable and decisions and behaviors that will be considered unethical and hence unacceptable. A company can inform its employees about such behaviors through orientation and training, seminars etc. Employees are also expected to implicitly determine which behaviors are acceptable and which behaviors are not. Employees can observe the conduct of senior managers like CEO, CFO, and Vice Presidents to implicitly gain knowledge in this regard.

Employees should ensure that their actions do not consist of neglect of duty, immoral or indecent conduct, and abusive or threatening conduct.

When employees are found guilty of making an unethical decision they should be warned and reprimanded. They should also be told what their mistake was and how they can avoid making such decisions in the future. If, in the future, the concerned employee takes the same unethical decision then the company should terminate the services of that employee. Hence the organization, that does not have a policy or a handbook that explicitly outlines all of the prohibited employee conduct, should discipline its employees using a reformation approach. This is a positive approach that is based on instilling progressive discipline among the employees.