This
article was published in the Electronic Journal of Business Ethics and
Organization Studies,
Vol. 8 (1), April 2003.
by
Hershey
H. Friedman, Ph.D.
Professor
of Business and Marketing
Department
of Economics
Brooklyn
College of the City University of New York
E-mail: x.friedman@att.net
© 2002 Dr. H. H. Friedman
Abstract
The
Bible has had a profound effect on billions of people, both believers and
non-believers. This paper shows how it
can be used to develop a code of ethics for a firm. Some ethical principles that can be derived from the Bible
include the importance of caring for the stranger, the poor, employees, the environment,
and animals. In addition, a firm
interested in following the values of the Bible will not give bad advice to
others, will be extremely honest, will not attempt to hurt competitors, and
will behave in an aboveboard manner.
Finally, its code of ethics will recognize the importance of going
beyond the requirements of the law.
Introduction
Every organization has a purpose, a reason for
being, described in its mission statement.
It is becoming increasingly important for organizations to also have a
code of ethics — a set of rules that define what behaviors are acceptable and
those that are unacceptable — since shareholders, clients, and employees prefer
dealing with establishments that uphold high levels of ethical and moral
standards of practice. As the Enron,
Arthur Andersen, and Global Crossing debacles demonstrated, firms that wish to
succeed in the long run had better take a long hard look at their ethics.
The Bible has had a profound
effect on a countless number of people.
To the believer, it is the word of God and provides a blueprint for how
individuals should lead their lives.
The religion of approximately two-thirds of humanity has its roots in
the Hebrew Bible. Even non-believers
recognize the Bible as one of the most important works of literature and a
valuable tool for teaching timeless lessons to humankind. The Bible is the most popular book of all
time — it is estimated that as many as 6 billion copies have been sold — and is
the source of many metaphors and scenarios that can be very helpful to those
interested in developing a belief system to guide their organization.
The Hebrew Bible,
particularly the Pentateuch (i.e.,
the Torah), is replete with precepts that deal with business ethics and can
therefore be used as a starting point for those interested in developing higher
moral standards for business. This
paper will describe some principles that can be derived from the Hebrew
Bible. Although the Bible was given at
a time when individuals mainly lived in an agricultural society, many of its
ideas can be easily extended to a modern industrial society.
The Talmud, which is the
compilation of Jewish oral law, expounds on the Hebrew Bible and consists of
the Mishna and Gemara. The Mishna, originally an ancient oral
tradition, was compiled and edited in written form about 1800 years ago by
Rabbi Judah the Nasi (President of
the Sanhedrin). The Gemara, which was completed about 1500
years ago, consists mainly of commentaries on the Mishna. There were two academies, in Israel and Babylon,
independently studying the Mishna. Thus, there are two versions of the Talmud:
the Jerusalem Talmud, a product of the academies in Israel, and the Babylonian
Talmud, a product of the academies in Babylon.
The Babylonian Talmud is considerably larger than that of the Jerusalem
Talmud, and it is more authoritative.
The Talmud is primarily
concerned with halacha (Jewish law)
but also provides a detailed record of the beliefs of the Jewish people, their
philosophy, traditions, culture, and folklore, i.e., the aggadah (homiletics). The Midrash, a separate scripture that
records the views of the Talmudic sages, is mainly devoted to the exposition of
Biblical verses but is also rich in philosophy, folklore, and legends.
Tamari (undated) uses the
Bible to help develop what he refers to as a “Jewish business strategy.” This paper seeks to use the Bible to develop
a code of ethics that can be used by any firm.
There are twelve important
principles derived from the Bible that can be used to establish the moral
justification of a corporate code of ethics.
“You shall not maltreat or
oppress a stranger, for you were strangers in the land of Egypt.” (Exodus
22:20)
“Do not oppress a stranger; you
know the feelings of the stranger, for you were strangers in the land of
Egypt.” (Exodus 23:9)
“When a stranger dwells
among in your land, you are not to maltreat him; the stranger who dwells with
you shall be like a native among you; you shall love him like yourself.”
(Leviticus 19:34)
"One law and one
ordinance shall be both for you and for the stranger who sojourns with
you." (Numbers 15: 16)
“You shall love the stranger
for you were strangers in the land of Egypt.” (Deuteronomy 10:19)
“Thus said the Lord: Perform justice and righteousness and rescue
the robbed from the hand of the oppressor; and to a stranger, orphan, and
widow, do not maltreat, do not cheat; and do not shed innocent blood in this
place.” (Jeremiah 22: 3)
“Do not oppress the widow,
the orphan, the stranger, or the poor, and do not think in your hearts of doing
evil to another.” (Zechariah 7:10)
“Have we not all one Father?
Has not one G-d created us?” (Malachi 2: 10)
“God protects strangers, the
orphan and the widow He upholds, but the way of the wicked He makes tortuous.”
(Psalms 146: 9)
The principle of not
maltreating, taunting, or oppressing the stranger is mentioned 36 different
times in the Pentateuch (Babylonian Talmud, Bava Metzia 59b) and many times in
the Prophets and Writings. There is a
natural tendency for individuals to taunt those that are different. Diversity is a value that an organization
must cherish and employees who disrespect those that are different should not
be tolerated. Moreover, firms have a responsibility
to help individuals of different backgrounds, race, or religion and
“strengthen” them by providing them with meaningful work. Discrimination on the basis of sex, race,
religion, background, physical handicaps, etc. is wrong. It is more than just immoral, Friedman and
Amoo (2002) assert that workforce diversity is necessary if a firm wants fresh ideas, solid growth, a positive image, and an
enhanced ability to hire quality employees.
Principle 2: Helping the Needy and the Powerless
“When you
harvest the harvest of your land, you shall not complete your reaping to the
corner of your field, and the gleanings of your harvest you are not to
gather. You shall not glean your
vineyard; and the fallen fruit of your vineyard you are not to gather; for the
poor and the stranger you are to leave them.” (Leviticus 19: 9-10)
“If your
brother becomes impoverished and his hand falters beside you, you shall
strengthen him, whether he is a stranger or a native, so that he can live with
you.” (Leviticus 25: 35)
“You shall
tithe the entire yield of your sowing that is brought from the field, year
after year. Then the Levite, who has no
portion or inheritance with you, and the stranger, the orphan, and the widow,
who are within your gates shall eat and be satisfied, so that the Lord your God
will bless you in all the enterprises you undertake.” (Deuteronomy 14: 22, 29)
“…you shall
not harden your heart or shut your hand from your needy brother. But you shall surely open your hand to
him…” (Deuteronomy 15: 7-8)
“When
you reap the harvest in your field and overlook a sheaf in the field, do not
turn back to get it; for the stranger, the orphan, and the widow it shall be –
in order that the Lord your God may bless you in all your undertakings.”
(Deuteronomy 24: 19)
“When
you beat down the fruit of your olive trees, do not go over them again; for the
stranger, the orphan, and the widow it shall be. When you gather the grapes of your vineyard, do not pick it over
again; for the stranger, the orphan, and the widow it shall be.” (Deuteronomy 24: 20-21)
“Behold,
this was the sin of your sister Sodom:
She and her daughters had pride, plenty of bread, and untroubled
tranquility; yet she did not strengthen the hand of the poor and the needy.” (Ezekiel 16: 49)
“The
people of the land have perpetrated fraud and committed robbery; they have
wronged the poor and needy and defrauded the stranger without redress…I have
therefore poured out My wrath over them and consumed them with My fire of
fury.” (Ezekiel 22: 29, 31)
“Because I
rescued the poor that cried, and an orphan, and him who had no one to help
him. The blessings of the forlorn came
upon me, and I caused the widow’s heart to sing with joy.” (Job 29: 12-13)
“She [the accomplished
woman] stretches out her palm to the poor; her hands are extended to the
needy.” (Proverbs 31: 20)
“Do justice to the needy and
the orphan; deal righteously with the poor and the impoverished; rescue the
needy and the destitute and save them from the hand of the wicked.” (Psalms 82:3)
In Biblical times, farms
were the equivalent of big business.
The Bible has numerous laws describing what farmers must do to help the
poor. For instance, the corners of the
field were not harvested by the owner but were left for the poor. Individual stalks that fell from the sickle
during the harvest had to be left for the poor. In addition, if a bundle of grain was accidentally left in the
field during the harvest, it too had to be left for the indigent. In a similar vein, the farmer was not
permitted to pick all the fruits off the vine or tree and leave it bare. He was obligated to leave the gleanings of
the vine and the olive tree for the poor.
Organizations that wish to
follow the spirit of these laws may recognize that there is a moral obligation
to help the poor by setting aside a portion of a company’s profits for the
needy. In fact, according to Maimonides
(Mishna Torah, Laws of Gifts to the Poor, 10:7), the highest form of charity is
providing one with the ability to earn a living so that the individual does not
become poor. He derives this from the
verse in Leviticus (25: 35) that talks about “strengthening” the destitute
individual. This may be accomplished
by providing a gift or loan enabling one to start a business, taking the
destitute person in as a partner, or helping the individual find
employment. Ideally, an individual or
corporation should “strengthen” those in economic jeopardy by providing
individuals with training and employment. If a firm finds that it has to close
down a plant because of economic conditions, management should do everything
possible to find employment for the affected employees in other parts of the
company.
In ancient times, the
powerless were the orphans, widows, and strangers. Today, a firm has to help the poor, the elderly, and the
handicapped. Employing the unfortunates of society is precisely what the Bible
demands of humankind. Indeed, there is
a special law in the Bible regarding the elderly. The verse (Leviticus 19: 32) states: “In the presence of an aged person you should rise, and show
honor to the old.” This means that
elderly people have to be treated with dignity and this includes in the workplace.
Individuals were not only
obligated to help the destitute, they also had to give numerous gifts and
tithes for the priests and Levites (see Numbers 18: 8-32). In ancient times, the Levites and priests
were the teachers (Leviticus 10: 11); helping them resulted in the spread of
knowledge and morality. Today, this
would be comparable to helping religious organizations and educational
institutions.
Principle 3: Fair Treatment of
One’s Employees
“You shall not
cheat your fellow and you shall not rob; the wages of a worker shall not remain
with you overnight until morning.”
(Leviticus 19: 13)
“You shall not
rule over him [the servant] through rigorous labor – you shall fear your God.”
(Leviticus 25: 43)
“Do not send
him [the servant] away empty-handed.
You shall give him a severance gift from your flocks, from your threshing
floor, and from your wine cellar...” (Deuteronomy 15: 13 –14)
“When you come
[as a worker] into your neighbor’s vineyard, you may eat as many grapes as is
your desire, to your fill, but you may not put any into a receptacle. When you come into your neighbor’s standing
corn, you may pluck ears with your hand, but you should not lift a sickle on
your neighbor’s standing corn.”
(Deuteronomy 23: 25-26)
“You shall not
cheat a needy or destitute laborer, whether from your brethren or a stranger
who is in your land or within your gates.
On the same day you shall pay his wages; the sun shall not set upon him,
for he is needy and his life depends on it; let him not call out against you to
God, and there be a sin upon you.”
(Deuteronomy 24: 14-15)
“He [King
Solomon] sent them to Lebanon, ten thousand a month in shifts; for one month
they would be in Lebanon and two months at home.” (I Kings 5: 28)
Tamari (1996, pp. 87-91)
makes it clear that treating employees well is an integral part of Jewish
law. The Bible states over and over
that one should not mistreat the orphan, widow, or stranger. Tamari makes the point that “employees stand
in relationship to their superiors in exactly the same social and psychological
status as the widow and orphan.”
Even slaves have rights in
the Bible. The Bible (Leviticus 25: 43) states: “You shall not rule over him through rigorous labor.” The Midrashic (Sifra, Leviticus 86; Midrash
Hagadol, Leviticus 25: 39) explanation of this verse is that one should not ask
his servant to perform unnecessary labor simply to assert one’s authority. In addition, work given to a slave must have
defined limit. Thus, one is not
permitted to order his servant to hoe underneath a grapevine for an indefinite
time period, say, until he returns. Also, the servant should not be told to
remove his master’s shoes or carry his master’s clothing to the bathhouse or
perform any such demeaning work.
Degrading work, labor without a purpose, or a job that seems endless
because it has no definite time limit has the effect of demoralizing a human
being and is therefore prohibited for servants and certainly for
employees.
When King Solomon built the
Temple, he used a large number of workers. Even though the laborers were
performing the most sacred of jobs, Solomon did not want to keep them away from
their families for more than one month out of three. Employers must pay employees on time. Withholding payment due workers, or even paying late, is a
violation of Biblical law. The Talmud
(Babylonian Talmud, Bava Metzia 111b) extends this law to all kinds of payments
owed including various types of rental fees.
Firms that are late in paying their landlords or suppliers have also
violated this law.
Fringe benefits for
employees are also alluded to in the Bible.
Masters are required to give their servants a severance gift known as hanakah. The Bible states (Deuteronomy 15: 13-14): “Do not send him away empty-handed. You shall give him a severance gift from
your flocks, from your threshing floor, and from your wine cellar...” An
ethical employer should realize that if the Bible demands that a slave be given
a severance bonus after six years of labor, it is certainly appropriate for
employers to reward loyal workers who have been with a firm for numerous
years.
The Bible also gives a field
worker the right to eat of the produce he works. Grape-pickers, for example, can eat some of the grapes they are
harvesting but they are not allowed to place them into a vessel (to take home
with them). These laws ensure that a
field worker has a right to eat the crop he or she is working on while
harvesting. However, they also protect
the field owner from a rapacious worker who will take too much. Surely, an
ethical employer, especially one in the food business, should allow workers to
take a reasonable amount of food for themselves. Interestingly, many hotels allow employees to get all their meals
free while working but do not allow them to pack up food to bring home.
“However, flesh with its
life-blood in it, you are not to eat.” (Genesis 9: 4)
“And Jacob journeyed to
Succoth and built a house for himself and made booths for his cattle; that is why
the place was called Succoth [meaning booths or stalls].” (Genesis 33: 17)
“And whether it be an ox or
sheep, you shall not kill it and its young both in one day.” (Leviticus 22: 28)
“If you encounter a bird’s
nest before you on the road, in any tree or on the ground — fledglings or eggs
— and the mother crouching on the fledglings or upon the eggs, you shall not
take away the mother with her young.
You shall surely send away the mother and take the children for
yourself, in order that it may go well with you and you may prolong your days.”
(Deuteronomy 22: 6-7)
“You shall not plow with an
ox and donkey together.” (Deuteronomy 22: 10)
“You are not
to muzzle an ox while it is threshing.” (Deuteronomy 25:4)
The Bible requires the humane treatment of animals
and contains several laws dealing with the minimization or avoidance of animal
suffering. The Biblical prohibition against eating flesh (or blood) taken from
a living creature (Genesis 9: 4) is listed by the Talmud as one of the seven
Noachide laws (Babylonian Talmud, Sanhedrin 56a-b). These seven laws are the basic laws of civilization that all
humankind is obligated to obey. The
Patriarch Jacob built special booths (succoth in Hebrew) for his cattle
to ensure their comfort in the brutal desert sun. Apparently, this was so unusual that the town was called Succoth
because of this.
The Bible contains several additional laws dealing
with the minimization or avoidance of animal suffering. The Bible states
(Deuteronomy 11: 15): “And I will give
grass in your fields for your cattle, and you shall eat and be satisfied.” Using this verse, the Talmud derives the law
that one is prohibited from eating before providing food for his or her animal
(Babylonian Talmud, Berachos 40a). The
Bible forbids the muzzling of an ox [or any animal] when it is working the
field (Deuteronomy 25: 4) because this causes the animal to suffer. The animal
sees the grain but cannot eat it.
Similarly, the Bible prohibits one from plowing a field with different
species (Deuteronomy 22: 10). The reason is that different kinds of animals
(The Bible’s example is an ox and a donkey) do not work as a team since one is
bigger and stronger than the other and this causes undue suffering for them
(see commentary of Ibn Ezra on this verse).
Sending away the mother bird before taking its fledglings or eggs is a
way of minimizing the pain of the mother bird (Deuteronomy 22:6). In the same way, slaughtering an animal and
its offspring on the same day is cruel and is therefore prohibited (Leviticus
22: 28). It is not too difficult to
imagine the pain the mother feels watching its young being slaughtered. Animals owned by Jews were supposed to rest
on the Sabbath (Exodus 20:10).
Pollan (2002) describes the entire procedure for
raising calves for meat. The foremost
item in the feedlot diet is corn and this results in many serious problems for
the animals. Nature intended cows to
eat grass and feeding them corn can produce feedlot bloat and acidosis. According to Pollan, it is quite unlikely that
a cow would survive for more than 6 months on such a diet. This diet wreaks havoc on their rumen walls
and livers and the only thing that keeps the animals from dying of liver
disease or bloat is the huge amount of antibiotics mixed into their feed. Firms have an obligation to determine whether
the feedlot diet should be modified in a way so that the pain of cattle is
minimized.
A more serious problem than the way cattle are fed
is the way they used to be slaughtered.
In the past, there were complaints that the conveyor system used was not
efficient and the animals sometimes woke up after being stunned and were then
skinned alive. McDonald’s did take the
lead in ensuring that the system for slaughtering was improved by auditing
suppliers and checking whether the conveyor system used was humane. Today, thanks to McDonald’s, there has been
a major improvement in the way cattle are slaughtered and the likelihood of an
animal being tortured to death while being slaughtered is quite remote (Pollan,
2002).
Principle 5: Caring for the Environment
“And God saw all that He made, and behold it was
very good.” (Genesis 1: 31)
“And the Lord God took the man [Adam] and placed him into the
Garden of Eden, to work it and to protect it.” (Genesis 2: 15)
“And Abraham planted a tamarisk tree in Beer Sheba
and called there in the name of the Lord, the Everlasting God.” (Genesis 21:33)
“For six years you are to
sow your field and for six years you are to prune your vineyard, and you are to
gather in its produce. But the seventh year
there shall be a complete rest for the land a Sabbath to the Lord: your field you are not to sow and your
vineyard you are not to prune.” (Leviticus 25:3-4)
“And the land shall not be
sold in perpetuity for the land is Mine; for you are sojourners and residents
with Me.” (Leviticus 25:23)
“The open spaces of the towns that you shall give to
the Levites, from the wall of the town and outward, a thousand cubits all
around.” (Numbers 35: 4)
“When you
besiege a city a long time, in making war against it to take it, do not destroy
its trees by swinging an axe against them.” (Deuteronomy 20: 19)
“There shall be an area for you outside the camp [to
relieve yourself], and to it you shall go out.
A spade you shall have along with your weapon; and it shall be when you
sit outside [to relieve yourself], you shall dig with it, and when you go back,
you are to cover your excrement.” (Deuteronomy 23: 13-14)
“He
sends the springs into the streams; they flow between the mountains. They water all the beasts of the field; they
quench the wild creatures’ thirst. Over them dwell the birds of the sky; from
among the branches they give forth song.
He waters the mountains from His upper chambers; from the fruit of Your
works the earth is sated. You cause
grass to sprout for the cattle, and vegetation for the labor of man, to bring
forth bread from the earth… How manifold are your works O God! All were made with wisdom; the earth is full
of Your possessions.” (Psalms 104: 10-14, 24)
In Biblical times, pollution may not have
been as serious a problem as today, but the Bible does contain laws that
exhibit a great deal of concern for the land. For instance, the Bible
(Deuteronomy 20: 19) does not allow soldiers to cut down fruit trees even when
conducting a siege of an enemy’s city.
The Talmud extends the prohibition of not destroying fruit trees to any
type of wasteful destruction (Babylonian Talmud, Shabbos 129a, Bava Kama
91b). The Talmud considers wasteful
destruction of any kind a violation of Torah law. Even soldiers had to relieve themselves in specially designated
areas outside the camp. The purpose of
these laws was not solely for hygienic reasons (although this may have also
been a reason). The reason given is
(Deuteronomy 23: 15): “Therefore shall your camp be holy; so that He see no
unseemly thing in you.” Polluting the
land with bodily wastes is an improper way to behave and is offensive to the
Lord.
Adam and Eve were caretakers and their job was to protect the land. The Midrash (Ecclesiastes Rabbah 7:13)
notes: “When God created Adam, He took
him and led him round all the trees of the Garden of Eden, and said to him,
“See My works, how beautiful and praiseworthy they are! Now all that I have created, I created for
your benefit. Be careful that you do
not ruin and destroy My world; for if you destroy it there is no one to repair
it after you.”
The Bible commands the farmer to give the
land a complete rest in the seventh year (Leviticus 25:1-7). The purpose of the Sabbatical year may have
been to protect the land from depletion.
The land must be treated with respect and not abused. The Israelites
were commanded to provide the Levites with 48 cities in lieu of inheriting a
share of land like the other tribes.
These cities were supposed to have open spaces of 1,000 cubits around
them (Numbers 35:1-6). The purpose of the open and undeveloped space was to
beautify the towns (Babylonian Talmud, Arachin 33b).
Humanity has an obligation to treat the world
with respect and not defile it.
Individuals and corporations must respect and beautify the environment;
practice the three R’s of managing wastes: recycle, reduce, and reuse; and do
everything to keep the environment safe.
Beverage companies, such as Coca-Cola and PepsiCo that use billions of
beverage containers, should not fight deposit laws, but should do everything
they can to actively support legislation that encourages the recycling of
containers.
Principle 6: Not Engaging in Dishonest and Immoral Business Practices
“Thou shalt
not steal.” (Exodus 20: 13)
“Distance
yourself from a false matter.” (Exodus
23: 7)
“Do not accept
a bribe.” (Exodus 23: 8)
“You shall not
steal, you shall not deal falsely, and you shall not lie one to another.”
(Leviticus 19: 11)
“You shall not
cheat your fellow.” (Leviticus 19: 13)
“You shall do
no unrighteousness in judgment… with righteousness you shall judge your
fellow.” (Leviticus 19: 15)
“You shall not
commit an unrighteousness in justice, in measures of length, weight, or
volume. Just scales, just weights,
just dry measures, and just liquid measures you shall have.” (Leviticus 19:
35-36)
“You shall not
have in your purse a stone-weight and a stone-weight – a larger and a smaller.
You shall not have in your house a measure and a measure – a larger and a
smaller. A perfect and honest
stone-weight shall you have, a perfect and honest measure shall you have, in
order that your days shall be prolonged on the land that God your Lord is
giving you. For an abomination to God
your Lord are all who do those things, all who act corruptly.” (Deuteronomy 25: 13 –16)
“These are the
things that you are to do: Speak the
truth every man with his fellow; with truth, justice and peace, judge in your
gates. And let none of you contrive evil in your hearts against one another and
do not love false oaths; because all these are things that I hate, declares the
Lord.” (Zechariah 8: 16-17)
“A false scale is an
abomination to God; but a just weight is His desire.” (Proverbs 11:1)
The Biblical prohibition
against stealing is the eighth commandment of the Ten Commandments and is
discussed more thoroughly in Leviticus (19: 11-13). Obviously, all types of deception and dishonesty are
prohibited. The Bible (Exodus 23: 7)
also states: “Distance yourself from a
false matter.” The above include all
kinds of falsehoods including press releases with misleading information,
deceptive advertisements, deceptive labels, deceptive packages, etc. Certainly, selling defective items or
low-quality items and duping customers into believing they are better than they
really are would also be a violation of this law.
In Talmudic law, sellers
must inform buyers of any hidden defects in the merchandise and sales made
under false pretences, for example by hiding a product defect, would be null
and void (Babylonian Talmud, Bava Kama 46a, Bava Bathra 92a). The Talmud (Babylonian Talmud, Bava Metzia
60a) prohibits various kinds of deceptions in selling including the following: painting animals or utensils in order to
fool prospective buyers into thinking they are younger or newer; deceiving
potential customers by placing the better quality merchandise on top of the bin
(and the lower quality merchandise on the bottom) in order to make it appear
that the merchandise is of uniformly high quality throughout.
The law against deception is
relevant even in marriage, and the discovery of a hidden bodily defect in a
spouse may annul the marriage (Babylonian Talmud, Kethubos 11b, 57b). Evidently, the Talmud considers any type of
deception or dishonesty to fall under the Biblical prohibition (Leviticus 19:
1-13) against stealing, denying falsely, or lying.
One of the prophet Isaiah’s
(1: 22) criticisms of Israel dealt with unethical business practices. Isaiah complained that: “Your silver has become dross, your wine
diluted with water.” According to most commentaries, this is not a metaphor but
refers to actual deceptive practices in ancient Judah and Jerusalem that
angered the Lord. Apparently, even in ancient times, some retailers would
adulterate their products.
Since using dishonest
weights and measures are a serious transgression, the Talmud (Babylonian
Talmud, Bava Bathra 88a) instructed shopkeepers to wipe their weights once a
week and clean their scales after every weighing. In Talmudic times, market commissioners were appointed to
superintend businesses using weights and measures (Babylonian Talmud, Bava
Bathra 89a). Firms deceiving consumers
about the true weight of their packaged product would also be in violation of
the spirit of this law. Financial
statements are a modern version of weights and measures and they should be
truthful and not attempt to deceive.
“If you sell something to
your neighbor or buy something from your neighbor’s hand, you shall not wrong
one another.” (Leviticus 25: 14)
“Listen to this, you who
devour the needy, annihilating the poor of the land, saying when will the month
pass, so that we can sell grain; the Sabbatical year, so that we can open the
stores of grain; using an ephah that is too small and a shekel that is
too large, and distorting dishonest
scales. To purchase the poor
with silver and the destitute for shoes, and selling the refuse of grain as
grain.” (Amos 8: 5-6)
The Bible (Leviticus 25: 14)
states: “If you sell something to your
neighbor or buy something from your neighbor’s hand, you shall not wrong one
another.” This verse is interpreted by
the Talmud (Babylonian Talmud, Bava Metzia 50b) to refer to overcharges and
undercharges. If the overcharge is more
than one-sixth, the sale is null and void.
Interestingly, this law also applies to undercharges. Thus, if an individual, unaware of the true
value of an item, wishes to sell it, the buyer must not take advantage of the
seller’s ignorance and underpay. The
Talmud (Babylonian Talmud, Bava Bathra 90a) extended the law against price
fraud and instituted a law against excessive markups on necessities. Any profit from the sale of a necessity was
not to exceed one-sixth. The Talmud was extremely concerned with price
stability.
The prophet Amos
remonstrated the Jews for unethical business practices including hoarding food
in order to resell it a high price, tampering with weights and measures, and
raising prices unjustly. The Talmud states that the prophet Amos had the above
groups of dishonest businesspeople in mind when he said (Amos 8: 7): ”The Lord
swears that he will never forget what they have done.” Thus, to the Talmudic sages, causing prices
to rise by hoarding or other means was a violation of Bible law similar to
tampering with weights and measures (Babylonian Talmud, Bava Bathra 90b). The great sage Rabbi Shimon b. Gamliel was
extremely upset when he heard that the price for doves, necessary for certain
sacrifices, had reached a golden dinar.
Accordingly, he swore that he would not sleep until the price went down
to a silver dinar, so he revised the laws concerning sacrifices in order that
demand for doves would decrease, and the price sank almost immediately to
one-quarter of a silver dinar (Babylonian Talmud, Krithoth 8a). Similarly, Shmuel, a Talmudic sage, warned
the sellers of myrtle branches — used during the holiday of Sukkot (Tabernacles) — that he would
allow the use of myrtles with broken tips if merchants raised prices when the
holiday was approaching (Babylonian Talmud, Sukkah 34b).
Firms ought to do more than
just refraining from price fixing. They
should strive to keep prices low and stable.
The best way to accomplish this is by not interfering with competition
and by using technology to manufacture products as efficiently as
possible.
“You shall not curse the
deaf nor place a stumbling block before the blind; you shall fear your God — I
am your Lord.” (Leviticus 19:14)
Most commentators interpret
the “blind” person in this verse in a metaphoric sense. It does not seem likely that placing
stumbling blocks before blind people was a common practice even in ancient
times. Moreover, why single out blind
people when there are a sufficient number of laws dealing with causing injury
to others, blind or not. Many Biblical
commentators therefore interpret the word “blind” to represent any person or
group that is unaware, unsuspecting, ignorant, or morally blind, and
individuals are prohibited from taking advantage of them or tempting them to do
wrong. In fact, many scholars believe
that the “deaf” person in the same verse should also be interpreted
metaphorically. After all, what is the
point of cursing a deaf person? It is
therefore seen as an admonition not to curse or slander people who are unable
to defend themselves.
The principle of “not
placing a stumbling block before a blind person” is interpreted to mean not
intentionally giving bad advice to others or to place temptation before others
and possibly cause them to commit a sin or crime (Midrash Sifra, Leviticus
19:14; Babylonian Talmud, Pesachim 22b; Babylonian Talmud, Nedarim 62b). There is a Midrash (Midrash Hagadol,
Leviticus 19:14) that states that individuals who “strengthen the hand of
sinners” or assist others to commit a misdeed, have transgressed the
prohibition against “placing a stumbling block before the blind.” One might argue that remaining quiet in the
face of evil, i.e., not blowing the whistle on iniquities strengthens the hand
of wrongdoers. In fact, the verse in Leviticus (19: 17), “You shall surely
rebuke your fellow and do not bear a sin because of him,” makes it mandatory
for individuals to blow the whistle on wrongdoing.
Organizations that are
concerned with the above principle will be careful about ensuring that
customers and clients are given full and accurate information. They will also
not offer bribes to buyers and thus tempt them to wrongdoing. Finally, they will encourage whistle blowing
as a means of ensuring that injustices are eliminated.
As an aside, the principle
of “not placing a stumbling block before the blind” in a literal sense supports
the concept of helping the handicapped.
Buildings should be made accessible to the handicapped and should be
built with ramps and railings and thereby not cause the blind and other
handicapped to “stumble.” There very
well may be an obligation upon society to provide large-print books, books in
Braille, and special schools for the disabled.
The ideal way to assist the handicapped, of course, is by providing them
with employment.
Principle 9: Behaving in an Aboveboard Manner
“These are the
accounts of the Tabernacle, the Tabernacle of the Testimony, as they were
calculated according to the commandment of Moses…” (Exodus 38:21)
“ …and you
shall be innocent before God and Israel.” (Numbers
32:22)
Demonstrating the importance
of keeping honest records, Scripture (Exodus 38: 21- 31) enumerates the amount
of gold, silver, and copper used in the construction of the Tabernacle. Moreover, Moses wanted to show that he was
above suspicion and make evident to the Israelites that no precious metals were
diverted for anyone’s personal use.
Thus, he commanded others to audit the books. The Midrash (Midrash Exodus Rabbah 51: 1) comments: “though Moses was the sole treasurer, yet he
called others to audit the accounts with him.”
The Talmud (Babylonian Talmud, Yuma 38a) uses the verse in Numbers to
derive the general principle that one must behave in such a manner that he does
not give rise to suspicions on the part of others.
Organizations also have an
obligation to behave in a manner that does not cause others to be suspicious of
what they are doing. This includes
using truly independent auditors and avoiding situations that give rise to
conflicts of interest. Financial statements issued by firms should clearly
state all assumptions made and be as honest and understandable as
possible. The purpose of financial
statements and news releases should be to inform and enlighten, not to
obfuscate.
Principle 10: Helping
One’s Enemies/Competition
“If you
encounter your enemy’s ox or his donkey going astray, you shall surely bring it
back to him.” If you see the donkey of
your enemy lying under its burden, would you refrain from helping him? You shall surely help with him. (Exodus 23: 4-5)
“You shall not
see your fellow’s donkey or ox fallen on the road and hide yourself from them;
you shall surely raise them up with him.” (Deuteronomy 22: 4)
“God, Who may
sojourn in Your tent? Who may dwell
upon Your holy mountain? One who walks
in total integrity, does what is right, and speaks the truth from his heart. One who has no slander on his tongue, who
has done his fellow human no evil nor cast disgrace upon his close one… Whoever
does these things shall never falter.”
(Psalm 15)
“Who may
ascend the mountain of the Lord and who may stand in His holy place? He who has clean hands and a pure heart; who
has not taken a false oath by My soul and has not sworn deceitfully.” (Psalm
24: 3-4)
The above laws can be easily
extended to helping one’s enemy when his/her business is in trouble. A major asset of the farmer in Biblical
times was the ox. Thus, returning the
lost ox of one’s enemy is tantamount to helping the competition when they are
in trouble. Competition is good for
society; going all out to destroy one’s competitor is not the Biblical way of
doing business. In fact, predatory
pricing is not only a violation of American law but is also immoral.
Businesspeople who have “clean hands,” a “pure heart,” and who have done their
“fellow human no evil” are assured by the Psalmist of never faltering and of
ascending the “mountain of the Lord.”
Principle 11: Being Scrupulous About Not Causing Harm to
Others
“If a man
shall open a pit, or if a man shall dig a pit and not cover it, and an ox or
ass falls therein, the owner of the pit shall make restitution …” [Exodus 21: 33-34]
“Do not stand
on the blood of your fellow” [Leviticus 19: 16]
“When you
build a new house, you shall make a guard-rail for your roof so that you will
not bring blood in your house if someone falls from it.” [Deuteronomy 22: 8]
Organizations have to very
careful that their factories, products, and emissions are safe and pose no
threat to employees, customers, or the public.
The Bible holds an individual opening a pit in a public place responsible
for all damages resulting from it, even if it was not done maliciously. It is not sufficient to make restitution for
any losses resulting from one’s negligence; a person or firm must be
proactive. This is the reason the Bible
demanded that a homeowner build a fence for their roof. In ancient times, people used their roofs
for various purposes and it was not impossible for someone to fall from it by
accident. A modern application of this
law would involve placing safety shields around machinery and testing products
for dangers. In fact, the Talmud uses
the phrase “… not bring blood in your house” to derive the rule that one may
not have a defective ladder or raise a dangerous dog in his house (Babylonian
Talmud, Kethubos 41b). Obviously, the
same logic would apply to one’s business.
The verse (Leviticus 19:
16), “One must not stand on the blood of his fellow,” is interpreted by the
Talmud as an obligation to help one’s fellow human being when in physical
danger (Babylonian Talmud, Sanhedrin 73a).
The Midrash (Sifra, Leviticus 19: 16), however, asserts that withholding
testimony that can help one’s fellow would also fall under this
prohibition. Thus, there is an
obligation to intervene and do something when someone else is in danger. This principle can be easily extended to
dangerous conditions in the workplace.
One is obligated to do everything possible – even blow the whistle and
go to the authorities – if a firm is doing anything that can harm employees or
the public.
Principle 12: Going Beyond the Requirements of the Law
“You shall love your fellow
as yourself.” (Leviticus 19: 18)
"You shall do that which is right and good in the sight of the
Lord,” (Deuteronomy
6: 18)
“Learn to do
good, seek justice, strengthen the victim, do justice for the orphan, take up the
grievance of the widow.” (Isaiah 1: 17)
“I am God who
performs kindness, justice, and righteousness in the land for those are what I
desire” (Jeremiah 9: 23)
“I shall
betroth you to me with righteousness, with justice, with kindness, and with mercy.”
(Hosea 2: 21)
“Practice
kindness and justice and place hope in your God constantly.” (Hosea 12: 7)
“What does God
seek of you: Only the performance of
justice, to love kindness, and walking humbly with your God.” (Micah 6: 8)
“That you may go in the way
of the good and keep the ways of the righteous.” (Proverbs 2: 20)
Righteous organizations
should not only abide by the strict requirements of the law, but should also go
beyond it. There are several
situations in which a moral organization will act in the “way of the righteous”
even when not required by the law. The
Talmud (Babylonian Talmud, Bava Metzia 24b) states that individuals who go
beyond the requirements of the law will return lost objects to their owner even
if the owner has given up any hope of finding it, e.g., if it fell into the
ocean. Businesses should also go
beyond the letter of the law and be willing to lose money rather than take
advantage of another’s misfortune. For
instance, if a firm’s product or waste materials have hurt others, the
organization should reimburse the victims, even if the firm’s lawyers can use
the law to escape liability. Rabbi Yosi
restated the Golden Rule and gave it a business slant in the Mishna (Babylonian
Talmud, Avot 2:17): “Let your fellow’s
money be as precious to you as your own.”
Righteous people who “love
kindness” and seek to help the weak should be willing to take financial losses
in bad times rather than lay off workers.
In our own time, Aaron Feuerstein, President of Malden Mills, displayed
an unusually high level of ethics after his textile company burnt down on
December 11, 1995. Feuerstein could
have taken the insurance money and not rebuilt his company. Not only did he choose to rebuild primarily
in order to save the jobs of 3,000 employees, but he paid his idled workers for
90 days and took care of their health-care benefits for 180 days. The total cost of his generosity was about
$10,000,000. Apparently, Mr. Feuerstein
chose to “keep the ways of the righteous.” (Coolidge, 1996).
Conclusion
This paper demonstrates that
many of the concerns of ethicists today regarding business ethics have their
antecedents in the Hebrew Bible and the Talmud. A simple rule of business ethics can also be derived from the sage
Hillel’s philosophy (Babylonian Talmud, Avot 1: 14): “If I am not for myself, who will be for me? And if I only care for myself, what am I?” An organization must achieve its goals
(e.g., profit) but must also care for others.
Developing a code of ethics based on Biblical principles is an important
step in caring for both the organization and society.
Coolidge, Shelley D. (1996),
“Corporate Decency Prevails at Malden Mills,” Christian Science Monitor,
March 28, Business and Money, p. 1.
Friedman, Hershey H. and T.
Amoo (2002), “Workplace Diversity: The
Key to Survival and Growth,” Business Quest, <http://www.westga.edu/~bquest/2002/diversity.htm> (2002, April 8).
Pollan, Michael (2002), “This Steer’s Life,” The New York
Times Magazine, March 31, pp. 44-77.
Tamari, Meir (1996), Al
Chet: Sins in the Marketplace,
Jason Aronson, Inc., Northvale, NJ.
___________(undated) “A
Jewish Business Strategy,” <http://www.besr.org/library/businessstrategy.html>
(2002, April 9).