Dan,(a CPA and a staff accountant)for B&L's(local CPA firm). It's been the policy of the firm to provide a holiday bonus equal to 2weeks salary to all employees. The firm's new management team announced on Nov.25 that a bonus equal to only 1week salary would be made available to employees this year. Dan thought that this policy was unfair because he and his coworkers planned on the full 2week. The 2week bonus had been given for 10straight years, so it seemed as though the firm had breached an implied commitment. Thus, Dan decided that he would make up the lost bonus week by working an extra 6hours of overtime per week over the next 5weeks until the end of the year. B&L's policy is to pay overtime @ 150% of straight time. Dan's supervisor was suprised to see overtime being reported, since there is generally little additional or unusual client service demands at the end of the calender year.
Discuss whether the firm is acting in an ethical manner by changing the bonus.
2007-07-31
19:09:49
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1 answers
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asked by
Anonymous