Ethics Scenario #4: State Track and Field Championship, Inc.

4. Bill is the executive director of a statewide association that administers an annual Olympic-style track meet. He has served in this position for almost three decades, and is considering retirement in the near future. His youngest son, Bill Jr., was recently laid off from his job at the local meat packing plant. Bill has always dreamed that one of his sons would follow in his footsteps, and he sees an opportunity to turn this vision into a reality. He offers his son a newly created position of assistant executive director, with the intent of teaching him everything he knows so that when he retires, Junior will carry on the organization’s mission. Although some members of Bill’s board of directors voice some opposition, over the years, Bill has selected many of the board members who serve on the board, and he is able to convince a majority of the board to fund this new position, and authorize him to recruit and hire whomever he wants. Junior is delighted to work for his Dad, although he knows virtually nothing about the duties he will be required to do in the new position, and certainly has no experience in managing a nonprofit organization should his father retire.

a. Is Bill acting ethically in hiring his son for this position?

b. Was Bill acting ethically when he selected board members to serve on his board?