Nursing Home Seizing Control of Patients

News Analysis 2
Lillian Palermo did everything she could to prepare for the future. To prepare for the future, Lillian gave her husband, power of attorney and healthcare if she became incapable of taking care of herself in the future. This is exactly what happened, however, now the nursing home is suing him for guardianship of his wife. He is with his wife everyday caring for her and then sees that his bill doubled without notice. Also, nurses were not careful with his wife. In a few instances, she was dropped on the floor by employees. This issue was eventually resolved since Mr. Palermo decided to pay the arrears owed.


The nursing home suing Dino Palermo can evolve into an ethical dilemma because usually guardianship legal issues occur when there is no relative in the picture as stated by Nina Bernstein. In this case, Dino was taking care of his wife daily. Per Bernstein, a new trend seen in society today is that nursing homes are filing these lawsuits solely to collect debt owned from patients. As seen in Ethical Theory and Business, the authors discuss how something legal is not necessarily moral. This point raises another issue. Is something that is legal morally correct or is it just a rule placed by society for us to follow? Legally, it is not against the law for a nursing home to file this sort of lawsuit. But were they correct in doing such?

Per Managerial Ethics lecture, Ethics have been distorted due to the separation of ethics and morality. Due to this separation, the question of whether the nursing home’s actions were ethical is harder to answer since our minds have been washed with the idea of postmodernism. The nursing home specifically utilized the postmodern way of thinking. Since the nursing home, did not receive what they wanted; they decided to involve the court system and fight for their profits rather than focusing on the needs of the patient. Therefore, I conclude that an ethical issue has been raised and that the nursing home acted outside of their ethical contract since they were just pursuing their own needs versus the needs of others. 

Emerging in our society today, we see the debate of stockholder versus stakeholder theory. What view should a company be in compliance with? The stockholder view holds that everything belongs to the owner of the corporation. Stakeholder view, on the other hand, states that corporations will act in the interest of stakeholders such as customers, employees, suppliers, and local community. The nursing home is being compliant with the stockholder perspective because they have decided to place the corporation over the customer.

The nursing home should have pursued the stakeholder perspective. Placing effected parties such as customers ahead of one’s own needs is more effective in the long run. By developing an honest relationship with a customer, a company will be able to count on their business in the future due to loyalty and fair treatment. Also, loyal customers will refer their friends and help the business thrive by spreading the word through word of mouth.

In conclusion, ethical issues have been raised with the nursing home and the Palermo family. Since Mr. Palermo was taking care of his wife, a lawsuit should have never even been considered. The nursing home should in the future develop an ethical culture so that a new culture is created and this issue will not occur again in the future. Instilled in the new culture should be the stakeholder approach in which the customers, members of community should be first priority of the nursing home.
 


 Bibliography

Arnold, D. A., Beauchamp, T.L., & Bowie, N.E. (2012). Ethical Theory and Business. Pearson Education.
Bertstein, N. (2015, January 26). To Collect Debt, Nursing Home Seizing Conrtrol Over Patients. Retrieved from msn.com: http://www.msn.com/en-us/news/us/to-collect-debts-nursing-home-seizing-control-over-patients/ar-AA8A7Q6  
(2015, January 22). Managerial Ethics Lecture. (D. J. Bishop, Interviewer)
 

   

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