An insurance company faces an ethical dilemma. A faulty computer program designed to evaluate insurance claims has been denying a high number of valid claims. A meeting has been arranged where senior management would decide how to handle the situation. The people at the table have varying views of what action to take and why.Chang wants to report the error and reimburse the affected customers immediately because he believes he could end up being fired if the company's reputation suffers because of the issue.Bailey wants to report the error because it is the honest thing to do, and therefore necessary.After hearing his colleagues' opinions, Ryan says he is willing to do whatever the more experienced managers in the group recommend.Several other managers believe the company should correct the problem going forward but not do anything about the customers who lost out on past payments.Assume the meeting ends with the managers deciding not to do anything about the customers who are owed money for past claims. Gracie, an employee who was present in the meeting, disagrees with the decision and gives an anonymous tip to a newspaper reporter about the unethical behavior. ________ is the term that best describes the action taken by Gracie.

Question

Quizplus · Accepted Answer

Gracie's action of giving an anonymous tip to a newspaper reporter about the unethical behavior is an act of whistleblowing. Whistleblowing is the act of exposing unethical or illegal behavior within an organization to outside parties, often as a last resort when internal procedures have failed. Gracie disagrees with the decision made by the managers and feels that it is her responsibility to report the wrongdoing to the public.

An Insurance Company Faces an Ethical Dilemma