Unethical demands by boss

[Beachguy3b]

What is the name of your state? California

I'm asking this for a friend. She works VERY long hours for her company, as a controller. She is very concerned about some actions by her employer that are not ethical- charges she is asked to approve, for example, that are not business related- and some of these actions could jeopardize her professional license as a CPA. She is looking for a new position, but it takes some time and wonders if it is possible for her to resign over such things and be eligible for unemployment compensation? If not, what would be her best options? It is truly a bad environment.

 

[CraigFL]

Of course if what you say is exactly true she should quit. It's been my experience though, that some people analyze this differently than others and therefore disagreements like this occur. Another thing to consider is if she was hired to be the "guard at the gate". In any case, if she feels uncomfortable with what is going on she needs to find another job....

 

[eerelations]

What did the UI people tell her when she asked them if she'd get benefits in this kind of situation?

 

[VeronicaLodge]

I'm just curious so I'm posing this to the experts on the board. What if she just continued in her job, refusing to do anything illegal and/or unethical, and thus causing her employer to fire her (or not, at his choosing), could she then get unemployment?

 

[Beachguy3b]

What did the UI people tell her when she asked them if she'd get benefits in this kind of situation?

She got a response from EDD that was basically a non-answer. They said they couldn't make a determination of eligibility without a full review. While I can understand their giving that answer, in her case it didn't provide much guidance.

She is looking for a job, but lives in a small town, so she is handicapped in some ways.


An example of the kinds of things she is being told to let the company pay for is the CEO's son's graduation party (over 4 grand), and his personal vacation trip to Europe. She has not been able to elicit the CFO's nor the President's help with this issue. The CEO is also the Chairman of the Board.


Thanks a lot for any input... she's very troubled by this as she is a very consientious and honest person, and she is quite worried she could get caught in the middle by signing off on this, or by NOT signing off on those kinds of things.

 

[eerelations]

An example of the kinds of things she is being told to let the company pay for is the CEO's son's graduation party (over 4 grand), and his personal vacation trip to Europe. She has not been able to elicit the CFO's nor the President's help with this issue. The CEO is also the Chairman of the Board.

This isn't illegal, and it's not necessarily unethical. If the Chairman of the Board approves these payments, and the Board is aware of these payments, and if she's not being made to hide these payments from shareholders, then it's not unethical either!

Your friend should consult with the local chapter of her CPA association. They'll be able to advise her on whether signing off on her company's practices will cause her to lose her CPA license.

 

[mitousmom]

I would think that an answer would also depend upon how the documents she must approve are used and the laws and regulations to which her employer is subject.

 

[Beth3]

Beachguy, your friend may be troubled over nothing. If these personal expenses paid by the company are being computed as taxable income to the CEO at year-end, then nothing inappropriate is taking place. If your friend doesn't handle payroll for the executive group, then she simply doesn't have the whole picture.

 

[Beachguy3b]

Excellent information...

Thanks, all! More examples of why I love this site- no BS, great info, and good leads on where to get official, definitive feedback if needed...