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John is a director of the ABC Engineering Consulting firm in Kuala Lumpur. Recently, the firm has opened up a few posts for new recruitment. John recommends the name of his nephew to the selection board. Nevertheless, the selection board members all feel under pressure and influenced by John because of his status in the company. Which of the following ethical issues is related to John's behaviour in this matter.A.Conflict of authorityB.Conflict of competenceC.EmbezzlementD.NepotismE.Conflict of interest

Question

John is a director of the ABC Engineering Consulting firm in Kuala Lumpur. Recently, the firm has opened up a few posts for new recruitment. John recommends the name of his nephew to the selection board. Nevertheless, the selection board members all feel under pressure and influenced by John because of his status in the company. Which of the following ethical issues is related to John's behaviour in this matter.A.Conflict of authorityB.Conflict of competenceC.EmbezzlementD.NepotismE.Conflict of interest

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Solution

The ethical issue related to John's behaviour in this matter is D. Nepotism. Nepotism is the practice among those with power or influence of favoring relatives or friends, especially by giving them jobs. In this case, John is using his position as a director to influence the selection board to consider his nephew for a job.

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