Case 31: The Case of the Fired Waitress
1. What are the ethical issues in this case from an employee’s point of view? From
management’s point of view? From a consumer’s point of view?
Management must consider whether or not they are justified in terminating a 19-year employee
for one infraction. Consumers have an interest in having the confidentiality of their comments
2. Who are the stakeholders, and what are their stakes?
Ms. Hatton, the Red Lobster management, and the disgruntled customer are all stakeholders. Ms.
Hatton has a stake in keeping the job she has held for 19 years (starting a new career at age 53
surely is not a welcome prospect).
3. As a peer review panel member, how would you judge this case? Do you think that Hatton
stole company property or inadvertently threw it away? Do you think the discharge should be
upheld?
Ms. Hatton, whether intentionally or not, stole company property. She also was in clear violation
of company policy by opening the comments box. It will not be easy to decide the proper course
of action in this case. Termination after 19 years of service seems extreme in this situation.
4. Do you think the peer review method of resolving work complaints is a desirable substitute for
lawsuits? What are its strengths and weaknesses?
Yes, if both parties are willing to utilize a peer review process it would save money and time,
and it is a less combative environment than a courtroom. The weakness of the peer review
system is that, unlike arbitration or court trials, the decision of the peer group is not binding. If
5. If you had been Hatton, would you be willing to turn your case over to a peer review panel
such as this and then be willing to live with the results?