Communication Ethics: Notes | Corporate & Other Laws for CA Intermediate PDF Download

 Page 1


16 
Communication Ethics 
Learning Objectives 
After reading this chapter, you will be able to understand - 
? Significance of ethical communication 
? Characteristics of ethical communication 
? Factors influencing ethical communication 
? Ethical dilemmas in communication 
? Guidelines to handle communication dilemma 
“Because instant information has to be given, it becomes necessary to resort to guesswork, 
rumours, and suppositions to fill in the voids, and none of them will ever be rectified, they will stay 
on the readers' memory. How many hasty, immature, superficial, and misleading judgments are 
expressed every day, confusing readers, without any verification? The press can both stimulate 
public opinion and miseducate it. Thus, we may see terrorists turned into heroes, or secret matters 
pertaining to one's nation's defence publicly revealed, or we may witness shameless intrusions on 
the privacy of well-known people under the slogan: "Everyone is entitled to know everything.” 
Alexander Solzhenitsyn  
16.1 Significance of Ethical Communication 
Ethics are those moral principles, which guide the conduct of individuals’ and ethical 
behaviour in the context of an organization implies such decisions which are taken after giving 
due thought to their impact on the stakeholder and society as a whole:  
When an organization communicates internally, it shapes the values of its employees; when it 
communicates externally, it influences the perception of the external public. Ethics plays a 
crucial role in communication. The word ethics encompasses the entire spectrum of human 
conduct viz.  
1. Colleagues,  
2. Staff and workers,  
3. Shareholders,  
Page 2


16 
Communication Ethics 
Learning Objectives 
After reading this chapter, you will be able to understand - 
? Significance of ethical communication 
? Characteristics of ethical communication 
? Factors influencing ethical communication 
? Ethical dilemmas in communication 
? Guidelines to handle communication dilemma 
“Because instant information has to be given, it becomes necessary to resort to guesswork, 
rumours, and suppositions to fill in the voids, and none of them will ever be rectified, they will stay 
on the readers' memory. How many hasty, immature, superficial, and misleading judgments are 
expressed every day, confusing readers, without any verification? The press can both stimulate 
public opinion and miseducate it. Thus, we may see terrorists turned into heroes, or secret matters 
pertaining to one's nation's defence publicly revealed, or we may witness shameless intrusions on 
the privacy of well-known people under the slogan: "Everyone is entitled to know everything.” 
Alexander Solzhenitsyn  
16.1 Significance of Ethical Communication 
Ethics are those moral principles, which guide the conduct of individuals’ and ethical 
behaviour in the context of an organization implies such decisions which are taken after giving 
due thought to their impact on the stakeholder and society as a whole:  
When an organization communicates internally, it shapes the values of its employees; when it 
communicates externally, it influences the perception of the external public. Ethics plays a 
crucial role in communication. The word ethics encompasses the entire spectrum of human 
conduct viz.  
1. Colleagues,  
2. Staff and workers,  
3. Shareholders,  
 Communication Ethics 16.2 
 
4. Customers,  
5. The community,  
6. The government,  
7. The environment and even,  
8. The nation, and its interest. 
Communication has always been of critical importance to the success of companies and corporate 
reputation is one of a company's most valuable and enduring assets. It plays a central role in the 
achievement of key business objectives such as creating shareholder value, attracting, retaining 
and motivating high-quality people, enhancing reputation with all audiences, marshaling 
stakeholder support on public policy issues, creating consumer preference for products and 
services, and minimizing the impact a crisis can have on a company's financial position and 
business prospects. Ethical communication is fundamental to responsible thinking, decision 
making, and the development of relationships and communities within and across contexts, 
cultures, channels, and media. Ethical communication enhances human worth and respect for self 
and others. Ethical communication is fundamental to responsible thinking, decision making, and 
the development of relationships and communities within and across contexts, cultures, channels, 
and media.  Ethical communication enhances human worth and dignity by fostering truthfulness, 
fairness, responsibility, personal integrity, and respect for self and others.
1
 while unethical 
communication threatens the quality of all communication and consequently the well-being of 
individuals and the society in which we live.  
An ethical communication: 
• includes  all relevant information,
 
 
• is true in every sense and is not deceptive in any way.  
• accurate and sincere. Avoids language that manipulates,, discriminates or exaggerates.   
• does not hide negative information behind an optimistic attitude .  
• does not  state opinions as facts,  
• portrays graphic data fairly.  
In a nutshell ethical communicators have a "well developed sense of social responsibility. 
"One is honest with employers, co-workers, and clients, never seeking personal gain by 
making others look better or worse than they are, don't allow personal preferences to 
Influence your perception or the perception of others, and act in good faith.   
Organizations, like people, should strive for ethical behavior. No one can completely 
guarantee that a corporation or its employees will behave ethically; yet acknowledgement of 
occasional failures does not reduce the fundamental ethical responsibility. This philosophical 
                                                           
1
 The National Communication Association 
Page 3


16 
Communication Ethics 
Learning Objectives 
After reading this chapter, you will be able to understand - 
? Significance of ethical communication 
? Characteristics of ethical communication 
? Factors influencing ethical communication 
? Ethical dilemmas in communication 
? Guidelines to handle communication dilemma 
“Because instant information has to be given, it becomes necessary to resort to guesswork, 
rumours, and suppositions to fill in the voids, and none of them will ever be rectified, they will stay 
on the readers' memory. How many hasty, immature, superficial, and misleading judgments are 
expressed every day, confusing readers, without any verification? The press can both stimulate 
public opinion and miseducate it. Thus, we may see terrorists turned into heroes, or secret matters 
pertaining to one's nation's defence publicly revealed, or we may witness shameless intrusions on 
the privacy of well-known people under the slogan: "Everyone is entitled to know everything.” 
Alexander Solzhenitsyn  
16.1 Significance of Ethical Communication 
Ethics are those moral principles, which guide the conduct of individuals’ and ethical 
behaviour in the context of an organization implies such decisions which are taken after giving 
due thought to their impact on the stakeholder and society as a whole:  
When an organization communicates internally, it shapes the values of its employees; when it 
communicates externally, it influences the perception of the external public. Ethics plays a 
crucial role in communication. The word ethics encompasses the entire spectrum of human 
conduct viz.  
1. Colleagues,  
2. Staff and workers,  
3. Shareholders,  
 Communication Ethics 16.2 
 
4. Customers,  
5. The community,  
6. The government,  
7. The environment and even,  
8. The nation, and its interest. 
Communication has always been of critical importance to the success of companies and corporate 
reputation is one of a company's most valuable and enduring assets. It plays a central role in the 
achievement of key business objectives such as creating shareholder value, attracting, retaining 
and motivating high-quality people, enhancing reputation with all audiences, marshaling 
stakeholder support on public policy issues, creating consumer preference for products and 
services, and minimizing the impact a crisis can have on a company's financial position and 
business prospects. Ethical communication is fundamental to responsible thinking, decision 
making, and the development of relationships and communities within and across contexts, 
cultures, channels, and media. Ethical communication enhances human worth and respect for self 
and others. Ethical communication is fundamental to responsible thinking, decision making, and 
the development of relationships and communities within and across contexts, cultures, channels, 
and media.  Ethical communication enhances human worth and dignity by fostering truthfulness, 
fairness, responsibility, personal integrity, and respect for self and others.
1
 while unethical 
communication threatens the quality of all communication and consequently the well-being of 
individuals and the society in which we live.  
An ethical communication: 
• includes  all relevant information,
 
 
• is true in every sense and is not deceptive in any way.  
• accurate and sincere. Avoids language that manipulates,, discriminates or exaggerates.   
• does not hide negative information behind an optimistic attitude .  
• does not  state opinions as facts,  
• portrays graphic data fairly.  
In a nutshell ethical communicators have a "well developed sense of social responsibility. 
"One is honest with employers, co-workers, and clients, never seeking personal gain by 
making others look better or worse than they are, don't allow personal preferences to 
Influence your perception or the perception of others, and act in good faith.   
Organizations, like people, should strive for ethical behavior. No one can completely 
guarantee that a corporation or its employees will behave ethically; yet acknowledgement of 
occasional failures does not reduce the fundamental ethical responsibility. This philosophical 
                                                           
1
 The National Communication Association 
16.3  Business Law, Ethics and Communication 
 
position implies certain actions in three basic areas: cultural, policy, and personal. Ethical 
organizations are created and sustained by individuals of personal integrity, operating in a 
culture of principle, and governed by conscientious policies. 
16.2 Factors Influencing Ethical Communication: 
1. Every Communication Decision has some Ethical Aspect to it, Acknowledged or Not. 
There are countless complexities involved in the communication process, but communicators 
initially face three simple choices: to speak, to listen, or to remain silent. Each choice implies 
an ethical decision. 
In a message the sender chooses to disclose information, motives, or feelings to others. That 
choice inevitably involves an ethical element. Clearly, some messages should not be sent, 
such as those involving "insider information." To do so gives certain people an unfair 
advantage in the marketplace. But should one share a rumour about an organizational change 
with a colleague? Such actions are commonplace and appear to be less objectionable than 
insider trading.  
The timing and mode of communication add another layer of complexity to the ethical dimension.  
Remaining silent might seem like the safest way to avoid ethical dilemmas. But even here 
there is no safe haven. Remaining silent in the face of unlawful behavior or a potentially 
harmful situation presents a serious ethical decision. Silence signals consent or perhaps tacit 
agreement, 
2. The Ethical Nature of Communication must be Considered within the Context of Who, What, 
When, and Where. 
Suppose fellow employees discussed a project they were working on. This may seem perfectly 
ethical on the surface. After all, such discussions actually foster effective interdepartmental 
relationships; a worthy goal indeed. The problem may be that the discussion took place in a 
crowded restaurant and a competitor overheard the conversation. When the employees are 
confronted, they may reply, "What did we say that was wrong? We were not talking to a 
competitor." But this is, of course, the wrong question. The issue does not concern what was 
said or even who they were talking to. The ethical issue revolves around where the 
conversation took place. Herein lies the complexity of ethical issues-evaluations must be 
made on more than one dimension. Ethical communicators are not concerned with just who or 
what or where or when, but with all four dimensions simultaneously. 
16.3 Organization Values and Communication Ethics 
A key element in any communication activity is the values of the organization. Values are the 
principles and ideas that people or organizations strongly believe in and consider important. 
When people are in doubt about decisions, they frequently rely on deep-seated values to help 
them make the right choice. In organizations, reliance on shared values makes setting goals 
Page 4


16 
Communication Ethics 
Learning Objectives 
After reading this chapter, you will be able to understand - 
? Significance of ethical communication 
? Characteristics of ethical communication 
? Factors influencing ethical communication 
? Ethical dilemmas in communication 
? Guidelines to handle communication dilemma 
“Because instant information has to be given, it becomes necessary to resort to guesswork, 
rumours, and suppositions to fill in the voids, and none of them will ever be rectified, they will stay 
on the readers' memory. How many hasty, immature, superficial, and misleading judgments are 
expressed every day, confusing readers, without any verification? The press can both stimulate 
public opinion and miseducate it. Thus, we may see terrorists turned into heroes, or secret matters 
pertaining to one's nation's defence publicly revealed, or we may witness shameless intrusions on 
the privacy of well-known people under the slogan: "Everyone is entitled to know everything.” 
Alexander Solzhenitsyn  
16.1 Significance of Ethical Communication 
Ethics are those moral principles, which guide the conduct of individuals’ and ethical 
behaviour in the context of an organization implies such decisions which are taken after giving 
due thought to their impact on the stakeholder and society as a whole:  
When an organization communicates internally, it shapes the values of its employees; when it 
communicates externally, it influences the perception of the external public. Ethics plays a 
crucial role in communication. The word ethics encompasses the entire spectrum of human 
conduct viz.  
1. Colleagues,  
2. Staff and workers,  
3. Shareholders,  
 Communication Ethics 16.2 
 
4. Customers,  
5. The community,  
6. The government,  
7. The environment and even,  
8. The nation, and its interest. 
Communication has always been of critical importance to the success of companies and corporate 
reputation is one of a company's most valuable and enduring assets. It plays a central role in the 
achievement of key business objectives such as creating shareholder value, attracting, retaining 
and motivating high-quality people, enhancing reputation with all audiences, marshaling 
stakeholder support on public policy issues, creating consumer preference for products and 
services, and minimizing the impact a crisis can have on a company's financial position and 
business prospects. Ethical communication is fundamental to responsible thinking, decision 
making, and the development of relationships and communities within and across contexts, 
cultures, channels, and media. Ethical communication enhances human worth and respect for self 
and others. Ethical communication is fundamental to responsible thinking, decision making, and 
the development of relationships and communities within and across contexts, cultures, channels, 
and media.  Ethical communication enhances human worth and dignity by fostering truthfulness, 
fairness, responsibility, personal integrity, and respect for self and others.
1
 while unethical 
communication threatens the quality of all communication and consequently the well-being of 
individuals and the society in which we live.  
An ethical communication: 
• includes  all relevant information,
 
 
• is true in every sense and is not deceptive in any way.  
• accurate and sincere. Avoids language that manipulates,, discriminates or exaggerates.   
• does not hide negative information behind an optimistic attitude .  
• does not  state opinions as facts,  
• portrays graphic data fairly.  
In a nutshell ethical communicators have a "well developed sense of social responsibility. 
"One is honest with employers, co-workers, and clients, never seeking personal gain by 
making others look better or worse than they are, don't allow personal preferences to 
Influence your perception or the perception of others, and act in good faith.   
Organizations, like people, should strive for ethical behavior. No one can completely 
guarantee that a corporation or its employees will behave ethically; yet acknowledgement of 
occasional failures does not reduce the fundamental ethical responsibility. This philosophical 
                                                           
1
 The National Communication Association 
16.3  Business Law, Ethics and Communication 
 
position implies certain actions in three basic areas: cultural, policy, and personal. Ethical 
organizations are created and sustained by individuals of personal integrity, operating in a 
culture of principle, and governed by conscientious policies. 
16.2 Factors Influencing Ethical Communication: 
1. Every Communication Decision has some Ethical Aspect to it, Acknowledged or Not. 
There are countless complexities involved in the communication process, but communicators 
initially face three simple choices: to speak, to listen, or to remain silent. Each choice implies 
an ethical decision. 
In a message the sender chooses to disclose information, motives, or feelings to others. That 
choice inevitably involves an ethical element. Clearly, some messages should not be sent, 
such as those involving "insider information." To do so gives certain people an unfair 
advantage in the marketplace. But should one share a rumour about an organizational change 
with a colleague? Such actions are commonplace and appear to be less objectionable than 
insider trading.  
The timing and mode of communication add another layer of complexity to the ethical dimension.  
Remaining silent might seem like the safest way to avoid ethical dilemmas. But even here 
there is no safe haven. Remaining silent in the face of unlawful behavior or a potentially 
harmful situation presents a serious ethical decision. Silence signals consent or perhaps tacit 
agreement, 
2. The Ethical Nature of Communication must be Considered within the Context of Who, What, 
When, and Where. 
Suppose fellow employees discussed a project they were working on. This may seem perfectly 
ethical on the surface. After all, such discussions actually foster effective interdepartmental 
relationships; a worthy goal indeed. The problem may be that the discussion took place in a 
crowded restaurant and a competitor overheard the conversation. When the employees are 
confronted, they may reply, "What did we say that was wrong? We were not talking to a 
competitor." But this is, of course, the wrong question. The issue does not concern what was 
said or even who they were talking to. The ethical issue revolves around where the 
conversation took place. Herein lies the complexity of ethical issues-evaluations must be 
made on more than one dimension. Ethical communicators are not concerned with just who or 
what or where or when, but with all four dimensions simultaneously. 
16.3 Organization Values and Communication Ethics 
A key element in any communication activity is the values of the organization. Values are the 
principles and ideas that people or organizations strongly believe in and consider important. 
When people are in doubt about decisions, they frequently rely on deep-seated values to help 
them make the right choice. In organizations, reliance on shared values makes setting goals 
 Communication Ethics 16.4 
 
easier in the face of the competing ideas, desires, and objectives of individual employees. 
One can get a good idea about the values of an organization by examining its vision and 
mission statement. These statements are short descriptions of the purpose of organizations 
and the directions they try to take to achieve success. Many organizations post their vision 
and mission statements in several places so that employees know what the organization 
values 
On the surface, ethical practices appear fairly easy to recognize. But deciding what is ethical, 
can be quite complex. Under the influence of competition, job pressure, peer pressure, 
ambition, financial gain (both personal and corporate), business people sometimes make 
unethical choices. For example, a recent survey revealed that 20-30% of middle managers 
had written deceptive internal reports.  We are also aware of many companies selling products 
without disclosure of side effects.  An ethical dilemma involves choosing among alternatives 
that aren't clear-cut (sometimes conflicting alternatives are both ethical and valid, or perhaps 
your alternatives lie somewhere in the vast gray area between right and wrong). Suppose you 
are   president of a company that's losing money. You have a duty to your shareholders to try 
to cut your losses and to your employees to be fair and honest. After looking at various 
options, you conclude that you'll have to layoff 300 people immediately. You suspect you may 
have to layoff another 100 people later on, but right now you need those 100 workers to finish 
a project.  What do you tell them? If you confess that their jobs are shaky, many of them may 
quit just when you need them most. However, if you tell them that the future is rosy, you'll be 
stretching the truth. 
16.4 Ethical Dilemmas In Communication  
Some of the ethical dilemmas faced while communicating are:  
• Secrecy: Secrets are kept for both honourable and dishonourable reasons; may be used 
to guard intimacy or to invade it. Here then lies the challenge for the manager: to 
determine when secrets are justifiable and when they are not. When the clamp of se-
crecy tightens too much, the result is lack of innovation.  
 On the other hand, organizations have a legitimate need to protect certain information. If 
competitors, for example, gain access to proprietary research and development, they can 
produce that product for a much lower net cost because they do not have to pay the 
research and development expenses.  
• Whistle-blowing: Any employee who goes public with information about corporate abuses 
or negligence is known as a whistle-blower. Corporations and managers legitimately 
expect employee loyalty. Greed, jealousy, and revenge motivate some whistle-blowers. 
Some are simply misinformed. Some confuse public interest with private interest. 
Certainly the community has a right to know about corporate practices that are potentially 
hazardous, yet courting the whistle-blower too aggressively can be problematic.. 
Page 5


16 
Communication Ethics 
Learning Objectives 
After reading this chapter, you will be able to understand - 
? Significance of ethical communication 
? Characteristics of ethical communication 
? Factors influencing ethical communication 
? Ethical dilemmas in communication 
? Guidelines to handle communication dilemma 
“Because instant information has to be given, it becomes necessary to resort to guesswork, 
rumours, and suppositions to fill in the voids, and none of them will ever be rectified, they will stay 
on the readers' memory. How many hasty, immature, superficial, and misleading judgments are 
expressed every day, confusing readers, without any verification? The press can both stimulate 
public opinion and miseducate it. Thus, we may see terrorists turned into heroes, or secret matters 
pertaining to one's nation's defence publicly revealed, or we may witness shameless intrusions on 
the privacy of well-known people under the slogan: "Everyone is entitled to know everything.” 
Alexander Solzhenitsyn  
16.1 Significance of Ethical Communication 
Ethics are those moral principles, which guide the conduct of individuals’ and ethical 
behaviour in the context of an organization implies such decisions which are taken after giving 
due thought to their impact on the stakeholder and society as a whole:  
When an organization communicates internally, it shapes the values of its employees; when it 
communicates externally, it influences the perception of the external public. Ethics plays a 
crucial role in communication. The word ethics encompasses the entire spectrum of human 
conduct viz.  
1. Colleagues,  
2. Staff and workers,  
3. Shareholders,  
 Communication Ethics 16.2 
 
4. Customers,  
5. The community,  
6. The government,  
7. The environment and even,  
8. The nation, and its interest. 
Communication has always been of critical importance to the success of companies and corporate 
reputation is one of a company's most valuable and enduring assets. It plays a central role in the 
achievement of key business objectives such as creating shareholder value, attracting, retaining 
and motivating high-quality people, enhancing reputation with all audiences, marshaling 
stakeholder support on public policy issues, creating consumer preference for products and 
services, and minimizing the impact a crisis can have on a company's financial position and 
business prospects. Ethical communication is fundamental to responsible thinking, decision 
making, and the development of relationships and communities within and across contexts, 
cultures, channels, and media. Ethical communication enhances human worth and respect for self 
and others. Ethical communication is fundamental to responsible thinking, decision making, and 
the development of relationships and communities within and across contexts, cultures, channels, 
and media.  Ethical communication enhances human worth and dignity by fostering truthfulness, 
fairness, responsibility, personal integrity, and respect for self and others.
1
 while unethical 
communication threatens the quality of all communication and consequently the well-being of 
individuals and the society in which we live.  
An ethical communication: 
• includes  all relevant information,
 
 
• is true in every sense and is not deceptive in any way.  
• accurate and sincere. Avoids language that manipulates,, discriminates or exaggerates.   
• does not hide negative information behind an optimistic attitude .  
• does not  state opinions as facts,  
• portrays graphic data fairly.  
In a nutshell ethical communicators have a "well developed sense of social responsibility. 
"One is honest with employers, co-workers, and clients, never seeking personal gain by 
making others look better or worse than they are, don't allow personal preferences to 
Influence your perception or the perception of others, and act in good faith.   
Organizations, like people, should strive for ethical behavior. No one can completely 
guarantee that a corporation or its employees will behave ethically; yet acknowledgement of 
occasional failures does not reduce the fundamental ethical responsibility. This philosophical 
                                                           
1
 The National Communication Association 
16.3  Business Law, Ethics and Communication 
 
position implies certain actions in three basic areas: cultural, policy, and personal. Ethical 
organizations are created and sustained by individuals of personal integrity, operating in a 
culture of principle, and governed by conscientious policies. 
16.2 Factors Influencing Ethical Communication: 
1. Every Communication Decision has some Ethical Aspect to it, Acknowledged or Not. 
There are countless complexities involved in the communication process, but communicators 
initially face three simple choices: to speak, to listen, or to remain silent. Each choice implies 
an ethical decision. 
In a message the sender chooses to disclose information, motives, or feelings to others. That 
choice inevitably involves an ethical element. Clearly, some messages should not be sent, 
such as those involving "insider information." To do so gives certain people an unfair 
advantage in the marketplace. But should one share a rumour about an organizational change 
with a colleague? Such actions are commonplace and appear to be less objectionable than 
insider trading.  
The timing and mode of communication add another layer of complexity to the ethical dimension.  
Remaining silent might seem like the safest way to avoid ethical dilemmas. But even here 
there is no safe haven. Remaining silent in the face of unlawful behavior or a potentially 
harmful situation presents a serious ethical decision. Silence signals consent or perhaps tacit 
agreement, 
2. The Ethical Nature of Communication must be Considered within the Context of Who, What, 
When, and Where. 
Suppose fellow employees discussed a project they were working on. This may seem perfectly 
ethical on the surface. After all, such discussions actually foster effective interdepartmental 
relationships; a worthy goal indeed. The problem may be that the discussion took place in a 
crowded restaurant and a competitor overheard the conversation. When the employees are 
confronted, they may reply, "What did we say that was wrong? We were not talking to a 
competitor." But this is, of course, the wrong question. The issue does not concern what was 
said or even who they were talking to. The ethical issue revolves around where the 
conversation took place. Herein lies the complexity of ethical issues-evaluations must be 
made on more than one dimension. Ethical communicators are not concerned with just who or 
what or where or when, but with all four dimensions simultaneously. 
16.3 Organization Values and Communication Ethics 
A key element in any communication activity is the values of the organization. Values are the 
principles and ideas that people or organizations strongly believe in and consider important. 
When people are in doubt about decisions, they frequently rely on deep-seated values to help 
them make the right choice. In organizations, reliance on shared values makes setting goals 
 Communication Ethics 16.4 
 
easier in the face of the competing ideas, desires, and objectives of individual employees. 
One can get a good idea about the values of an organization by examining its vision and 
mission statement. These statements are short descriptions of the purpose of organizations 
and the directions they try to take to achieve success. Many organizations post their vision 
and mission statements in several places so that employees know what the organization 
values 
On the surface, ethical practices appear fairly easy to recognize. But deciding what is ethical, 
can be quite complex. Under the influence of competition, job pressure, peer pressure, 
ambition, financial gain (both personal and corporate), business people sometimes make 
unethical choices. For example, a recent survey revealed that 20-30% of middle managers 
had written deceptive internal reports.  We are also aware of many companies selling products 
without disclosure of side effects.  An ethical dilemma involves choosing among alternatives 
that aren't clear-cut (sometimes conflicting alternatives are both ethical and valid, or perhaps 
your alternatives lie somewhere in the vast gray area between right and wrong). Suppose you 
are   president of a company that's losing money. You have a duty to your shareholders to try 
to cut your losses and to your employees to be fair and honest. After looking at various 
options, you conclude that you'll have to layoff 300 people immediately. You suspect you may 
have to layoff another 100 people later on, but right now you need those 100 workers to finish 
a project.  What do you tell them? If you confess that their jobs are shaky, many of them may 
quit just when you need them most. However, if you tell them that the future is rosy, you'll be 
stretching the truth. 
16.4 Ethical Dilemmas In Communication  
Some of the ethical dilemmas faced while communicating are:  
• Secrecy: Secrets are kept for both honourable and dishonourable reasons; may be used 
to guard intimacy or to invade it. Here then lies the challenge for the manager: to 
determine when secrets are justifiable and when they are not. When the clamp of se-
crecy tightens too much, the result is lack of innovation.  
 On the other hand, organizations have a legitimate need to protect certain information. If 
competitors, for example, gain access to proprietary research and development, they can 
produce that product for a much lower net cost because they do not have to pay the 
research and development expenses.  
• Whistle-blowing: Any employee who goes public with information about corporate abuses 
or negligence is known as a whistle-blower. Corporations and managers legitimately 
expect employee loyalty. Greed, jealousy, and revenge motivate some whistle-blowers. 
Some are simply misinformed. Some confuse public interest with private interest. 
Certainly the community has a right to know about corporate practices that are potentially 
hazardous, yet courting the whistle-blower too aggressively can be problematic.. 
16.5  Business Law, Ethics and Communication 
 
• Leaks: A leak is like anonymous whistle- blowing; one distinction being the propriety of 
the leak; namely, that the person who leaks information cannot be cross-examined. This 
often casts doubt on the credibility of the claim. The accused does not know who or why 
a person has chosen to release certain information. Politicians have used leaks for years 
to, stall a plan, or defame an opponent. Employees may also leak information to the 
press for honourable or dishonourable reasons. Leaks may cause organizational plans to 
be altered or forgone altogether. Leaks can be a form of political manoeuvring in the 
organization or a way to sabotage the career of a colleague competing for a job. 
• Rumour  and gossip: Rumours and gossip seem to be an inevitable part of everyday 
corporate life. Even though rumours and gossip often travel through the same networks, 
there is a distinction between the terms. Rumours tend to focus on events and 
information, whereas gossip focuses on people. Even though managers usually treat the 
information as "yet to be confirmed," it may cloud judgments about that employee. The 
information has a way of creeping into performance evaluations and promotion decisions, 
even if unintended.  
• Lying: A lie is a false statement intended to deceive. Of all the ethical dilemmas 
discussed thus far, lying would appear to be the least morally perplexing. Most would 
agree that "one ought not to lie." Yet lies in business are more common than many would 
care to admit. Lying breaks down the trust between individuals, shaking the foundation of 
ethical communication. 
• Euphemisms: By definition, a euphemism is using a less offensive expression instead of 
one that might cause distress. For example using the expression "passed away" instead 
"died" is one of the more common examples. This usage is understandable. However, 
people frequently use these terms to obscure the truth.  For example a purchasing agent 
has a far easier time accepting a "consideration fee" than a "bribe." Petty office theft gets 
passed off as merely "permanently borrowing" the item instead of "stealing."  
• Ambiguity: Ambiguity, like secrecy, can be used for ethical or unethical purposes 
Language itself is made up of various words that carry values. So by using words in 
certain ways ,one can influence others behaviour and expectations .Because all 
language contains some degree of vagueness,. Communicators are to some extent held 
responsible for possible misinterpretations. This means that one must be aware of the 
probabilistic nature of communication, and need to consider not only their intentions, but 
also how their messages might be misunderstood.