Category: business ethics

The Power Elite Abandon America

On By southwerkIn business ethics2 Comments

We now live in an age of the billionaire. They are American only by convenience. They are not really comfortable here. They are comfortable only with their own kind. When this nation becomes inconvenient, they will simply leave.

They know no bounds of patriotism, no civic responsibility (beyond a desire to destroy social security and public schools), and vicious antipathy toward taxes of any kind.

They are willing to spend billions to protect their interests which are largely financial.

Their contempt for the American middle class is almost unmeasurable. To them, Americans are overweight, greedy, overpaid, unambitious, a lumpen mass of losers, it is time history abandoned.

Globalization has left them abundant places to go that are not the United States, abundant ways to avoid taxes and an astonishing variety of way to vent their contempt for the unfortunate societies that spawned them.

Frankly, as a defender of the middle class, I feel woefully out gunned.

My strong suspicion is that if I am willing to forego my beliefs and embrace the coming new order, my life will improve materially.

By the standards of the new elite, I don’t even make fool.

I am a patriot. I believe in this nation and its future. I am disgusted by the strange sense of entitlement by those who have mercilessly exploited this nation and seem to intend the destruction of its economic base. So, I am not the right kind of person.

We are not as a nation fully abandoned yet. But the ties that bind the power elite to this country steadily weaken. The destruction of the public institutions of the United States will not end with Social Security but culminate in foreign owned roads, bridges, sewer systems, electricity and oil. This nation is valuable only for the money that can be squeezed out of it. The beliefs that created it and the sacrifices that maintain it are of no consideration.

I do not know if this can be changed. I have doubts that it is possible.

I fear for this nation’s future and not for just this nation but for many others around the globes who will be swept up in these changes.

Business ethics is not possible without law to support it. It is not possible with a sense of morals. It is not possible without consideration of other people and their rights.

So, in my mind, I am looking at the destruction of this field.

In fact, the whole concept of business ethics may become an idea only practiced at the bottom of the economic order.

I will continue to believe in this nation and its future but we are going to be sorely beset in the next decade.

James Pilant

The Average Stock Is Held For 22 Seconds!

On By southwerkIn business ethics

Michael Hudson
From Michael Hudson –

<em>Take any stock in the United States. The average time in which you hold a stock is–it’s gone up from 20 seconds to 22 seconds in the last year. Most trades are computerized. Most trades are short-term. The average foreign currency investment lasts–it’s up now to 30 seconds, up from 28 seconds last month.

Bank Of America Next WikiLeaks Target – Bank Digging For Dirt

On By southwerkIn business ethics1 Comment

The headline to my quoted article says that the bank is digging for dirt on itself. This is just PR. They know exactly what they don’t want people to know. Bank of America wants to give the impression that it’s such a hugh and confusing organization that nobody really had a handle on everything going on. Nonsense.

Frankly, I’m excited. This bank has been a key player in the mortgage foreclosure crisis and has just settled some buyback lawsuits. Let’s see exactly what they thought of the quality of their ownership chain. Let’s see what their internal memos said about the speed of the foreclosures, their refusals to renegotiate mortgages and their thoughts on the President’s plan to help homeowners.

I promise you a careful look at these documents as soon as I can get to them.

From The Lookout from Yahoo News –

WikiLeaks founder Julian Assange recently confirmed that Bank of America will be his next target — so it’s not surprising that the nation’s largest bank is now in damage-control mode. Still, the megabank’s methods are a bit unorthodox. Instead of trying to frantically pin culpability elsewhere in the great chain of financial dealing, BofA executives are actually digging for dirt on the bank’s own operations, the New York Times reports. That way, the reasoning goes, the bank’s messaging team will be better positioned to spin any damaging revelations that surface from WikiLeaks.

Do people believe this stuff? Doesn’t this sound more like the plot for an episode of a television comedy?

James Pilant

Top Business Ethics Posts 1/4/11

On By southwerkIn business ethics

David Gebler on his blog, Business Ethics, calls attention to Johnson & Johnson’s legal problems.

Here’s an excerpt – Today’s business press reports that a lawsuit filed last week on behalf of Johnson & Johnson shareholders accused the company’s directors of ignoring “red flags” foreshadowing product recalls and government probes of manufacturing defects and marketing practices.

The Engineering Ethics Blog has a post about efficiency thusly, “Does Improving Efficiency Really Save Energy?”

Here’s an excerpt – Don’t get the idea I think efficiency is bad. If I did, I couldn’t very well call myself an engineer. However, Jevons reminds us that, like many other things in life, energy efficiency can be helpful in limited circumstances. But expecting it to solve all the world’s energy problems is not only unrealistic, but probably counterproductive as well.

Chris MacDonald writing in his blog, The Business Ethics Blog, discusses the topic, Greenpeace, Tar Sands and “Fighting Fire with Fire.”

Here’s an excerpt – Many people think companies deserve few or no protections against attacks. Some people, for example, think companies should not even be able to sue for slander or libel. Likewise, corporations (and other organizations) do not enjoy the same regulatory protections and ethical standards that protect individual humans when they are the subjects of university-based research.

Jack Marshall writing in Ethics Alarms had an interesting post about when e-mail posts cross the ethical line.

Here’s an excerpt – A lack of civility is considered a breach of professionalism in all jurisdictions, but not an ethical violation calling into question fitness to practice law—the standard for bar discipline—unless it is extreme, and usually not until there have been warnings issued. Apparently this particular spat was just too much for the Bar to take, perhaps because it reflects badly on the entire profession.

Julian Friedland in his blog, Business Ethics Memo, asks an excellent question, “Should American Business Protect American Jobs?”

Here’s an excerpt – Which is what I’ve been saying for sometime myself, arguing that it’s irrational on Rawlsian social-contract grounds for this nation to be shipping so many of its jobs overseas. But it’s not clear what can be done if corporations are unwilling to support regulations that would encourage American companies to keep jobs here.

Bank Of America Pays Two Billion Dollars To Settle Claims

On By southwerkIn business ethics1 Comment

First, let’s be clear. This two billion dollars is a buyback of loans that were sold to other firms as good investments when in fact they were missing paperwork or had more serious problems. This case settles a small portion of the “handful,” the “tiny proportion” of loans in which there were mistakes that everybody was assuring us was the case six months ago. Well, there are hundreds of thousands of these loans. They border on or are loans based on deception and fraud.

This payout doesn’t make much sense. Bank of American shares actually went up after the agreement was announced. So, we have to figure they were expecting it to be much worse or suffered anxiety over the uncertainty.

What really surprises me was that Wikileaks is supposed to dump a ton of Bank of America files on the web and the opposition negotiators didn’t wait for it. I would have thought that the release of the documents would have put Bank of America in a poorer negotiating position while quite possibly providing new insights into the loans themselves.

I hate it when public financial events don’t make any sense. I hate it because it doesn’t make sense only because I don’t know some of the players or the deals. In a year or two, I’ll probably have some insight into what happened but by then it will make no difference in what has become “ancient” history.

James Pilant

From CBS Money Watch –

Bank of America Corp. will take an approximately $2 billion charge in its fourth quarter as it settles buyback claims on home loans sold to Fannie Mae and Freddie Mac.

The bank said Monday that it also expects to take a provision of about $3 billion in the quarter related to repurchase obligations on the home loans.

Bank of America shares jumped 4.4 percent in premarket trading on the news.

On Friday Bank of America, which is based in Charlotte, N.C., paid Fannie Mae $1.34 billion and Freddie Mac $1.28 billion as part of the settlements.

The deals with Fannie Mae and Freddie Mac are tied to Countrywide Financial Corp. residential mortgage loans. Bank of America bought Countrywide in July 2008.

Why Business Is Hollywood’s Go-To Villain, Especially Now (via BNET)

On By southwerkIn business ethics

BNET has an interesting essay complete with clips about the corporation as the villian of choice. It’s a fun read and the film clips alone are enough reason to view the article.

James Pilant

Corporations and their leaders are seldom cast as movie heroes.

But in the movies of 2010, whether you were at the multiplex or the art house, the go-to bad guy was the American corporation.

Even the adorable Despicable Me has super villains who need to finance their nefarious schemes and pay a visit to the Bank of Evil, or, as the posted sign indicates, the former Lehman Brothers. From Tron: Legacy to Inception, the choice of evildoer was so consistent it was a relief …. Read More.

Buying Your Child Into A College!

On By southwerkIn business ethics, Capitalism, ethics, Government Failure, monopoly, Teaching2 Comments

From the Huffington Post –

Dr. Michael Bardwil donated $40,000 to his alma mater, a Jesuit school in Houston, Texas, after a school administrator advised it would guarantee his son admission. So when his son was rejected earlier this year, Bardwil was upset.

ABC reports that a school administrator asked that Bardwil donate $100,000 to the school, and in return the prestigious college preparatory would offer admission to his son. When Bardwil pledged $50,000 over a five year period, he assumed it was a sure thing.

The elite colleges and universities admit about 1/3 of their students based on parental giving, another 1/3 based on legacy enrollments (their parents went there) and the last 1/3 on merit. This is one of the most significant reasons that the upper classes have solidified. It’s very difficult to move up in the world without going to one of these school. With only 1/3 of the enrollment based on merit, your children and mine have little chance of getting in. The open spots are so few, a student can’t get in on high scores but only with almost superhuman scores. That’s not fair.

We like to think this country is a meritocracy where you get ahead becaue you’re smart or hard working. But most of us understand the truth and that truth is that having good contacts, going to good schools and having upper class mannerisms are the basic requirements for success. These people live in a bubble world where no amount of incompetence, poor conduct or even criminal acts can knock them down. Now, I’m sure you can remind me of Madoff or some other corporate malefactor. But let me remind you that the world economy was savaged by the geniuses on Wall Street back in 2007 and not one has paid any penalty for their criminal acts or simple incompetence.

The middle class lives in a world where any failure can doom your career. They live in a world where you can do everything, absolutely everything they taught you in high school or college would gurantee you success and still everything can be taken from them, their jobs, their homes, their insurance, their benefits, their pensions, their investments – everything. The children of the middle class are thrown out into a world of diminishing opportunity and low paying jobs.

Let me repeat, one of the key factors is the difficulty of the children of the middle class to get into prestigious schools.

I see nothing on the horizon that will change those rules.

You see this is the hardcore, the never changing affirmative action, the big quota system. The guaranteed access to the best spots to those who already have money or status is a vicious assault on the concept of merit.

It is astonishing considering the amount of federal aid these institutions gobble up that they are not required to admit based on merit.

James Pilant

Second Chances? Barack Obama to Michael Vick – Have We become a Compassionless Country? (via Motivational Speaker – Chuck Gallagher Business Ethics and Choices Expert)

On By southwerkIn business ethics, ethics, President Obama11 Comments

I don’t follow any sports whatever but I do follow crime stories. Thus, I am aware of Michael Vick. I did not like what he did. Nevertheless, he paid the penalty and should be judged by his actions now. I teach my class that America is the land of the second chance. Apparently Chuck Gallagher shares my opinion. I hope others see the world the way I do in this respect. After all, a nation that imprisons such an enormous part of its population might need to find some mercy and compassion to make these people part of society once again.

James Pilant

Second Chances? Barack Obama to Michael Vick - Have We become a Compassionless Country? Well, for a guy who believes in Second Chances (hence the title of my new book – Second Chances) I was shocked and saddened at the media storm or fire related to Barack Obama's comments praising giving folks – namely Michael Vick – a "Second Chance."  As a nation have we become so full of hate and intolerance that we no longer can tolerate the idea that "Second Chances" are worth aspiring toward? So this past Monday the following was reported by … Read More

via Motivational Speaker – Chuck Gallagher Business Ethics and Choices Expert

Business Ethics Roundup 1/1/11!

On By southwerkIn business ethics, Capitalism, Corporate Social Responsibility, ethics, Government Failure, Philosophy of Business, White Collar Crime1 Comment

Let’s start with a small disclaimer here. I have 42 business ethics web sites (by my definition which is broad) listed on my favorites in that single category. I have 56 business ethics “related” sites on my favorites. So, I ‘m never going to to get more that a partial glimpse at what’s going on. With that out of the way, let’s start the new year rolling!

The Crane and Matten Blog explain why business ethics is more significant culturally than CSR.

Here’s a quote – CSR is also, as might be expected, a lot more business-friendly than business ethics. In fact, people often tend to use CSR when they’re talking about the good things companies are doing, and business ethics (or a lack of them) when talking about the bad things they do.

The Ruder Finn Ethics Blog discusses ethics and giving while providing some fascinating statistics.

Here’s a quote – We give for many different reasons. We may give as an expression of friendship and love or just reciprocate. Retailers, economists and Wall Street eagerly all hope that people will spend much this year are and thus sustain the slow recovery of our economy. The National Retail Federation expects an increase in 2010 Holiday sales of 2.3% to $447.1 billion. (Gifts from the rich to the rich.)

From the web blog, Business Ethics Training, we have a review of the book, Ship of Fools: How Corruption and Stupidity Sank the Celtic Tiger.

Here’s a quote – With all the talk of toxic assets (real estate) and the resulting fallout in the States – its easy to overlook what happened in Ireland. Particularly the situation with NAMA (National Asset Management Agency), that holds the toxic assets.

From the web site, Ethix: Business Technology Ethics, we have a book review of After the Fall: Saving Capitalism From Wall Street—and Washington by Nicole Gelinas

Here’s a quote – Gelinas key message is that capitalism needs clear rules in order to flourish, and that must include allowing bad businesses to fail. Bail outs only encourage further bad behavior, and what we have seen in the recent financial meltdown is simply a lesson forgotten from what happened in the 1920s and ’30s.

David Yamada’s Minding the Workplace has several posts. I recommend you read his year end closing, but the one I discussing is the next to the last. He explains what one should do if bullied at work.

Here’s a quote – There’s a lot of cheap and sometimes dangerous “one size fits all” advice out there on how to handle workplace bullying situations, especially in newspaper work advice columns. These resources are no substitute for understanding the dynamics of workplace bullying and how they relate to one’s specific circumstances.

Good Business Ethics (via Technologies For Business)

On By southwerkIn business ethics, ethics5 Comments

Technologies for Business presents its concept of business ethics, which I am happy to call your attention to. (I ask you to please click on the link and read the whole article.)

James Pilant

Good Business Ethics Business ethics is the behavior that the company complies in their daily relationships with the world. The ethics of a given society may be different. Not only apply to how the company interacts with the world, but also to his head to business with a customer. Many companies have gained a bad reputation just by being in the business. For some people, the companies are interested in making money, and that's the bottom line. It could be called capi … Read More

via Technologies For Business