GOVERNMENT: List two or three of the main problems

GOVERNMENT:
List two or three of the main problems that Sarbanes-Oxley was intended to
solve, and how it was supposed to do that. Does increased government regulation
produce a more ethical workplace? Why or why not?

            The Sarbanes-Oxley Act of 2002 provides new provisions to
punish and prevent corporations for corruptions and accounting frauds, ensure
justice for violators, and protects shareholders and employees and it
strengthens responsibility and accountability in a corporate. One of the goals
of Sarbanes-Oxley Act of 2002 is to put back investors’ confidence in fiscal
reporting and the public market because they should know that the financial statements
information of the organization they are viewing is truthful and reliable.
Also, this law provides new legal protection for employees who report corporate
misconduct. Executives and directors must ensure that these controls are
reliable and effective. It strengthens corporate oversight by creating the
Public Company Accounting Oversight Board (PCAOB). The Section 404 of SOX
states “the responsibility of management for establishing and maintaining an
adequate internal control structure and procedures for financial reporting.” It
requires organizations to develop and maintain strong systems of internal
control and improving internal control. Also, independent auditors must verify
the adequacy of the internal control. 
So, I think increased government regulation produces a more ethical
workplace because it protects from fraud in accounting and corruption in
companies, ensures strict penalties, strengthens corporate accountability and
oversight.

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            Thesis: Increased government regulation produces a more
ethical workplace, because it protects organizations from fraud and corruption,
ensures penalties for violators, promotes ethics, strengthens organization’s
responsibility, accountability, and oversight, and improves ethical cultures of
organizations.

            Sarbanes-Oxley was intended to solve accounting fraud and
corruption, and penalties for violators. There are penalties for
misrepresenting financial statements. 
The most important thing that this act does is to make corporate
executives be accountable for what appears on the company financial statements.
Before sox was create, many companies like Enron reported falsely on their
financial statement. So, now officers of the company are required to sign the
financial statements for accuracy. The main goal of the law is to increase
confidence in the financial reporting and to protect from intentional
misrepresentation of facts, financial damage to another party, shareholder, and
investors.

            Government regulations produce a more ethical workplace
because having ethics in workplace are critical because they build up desires
and models for adequate conduct and values. Business that expect to develop and
flourish must have a commitment to act morally as do people. The things
business does and how they act morally, can have much bigger effects on
customer and employees. It’s essential for business to be moral to guarantee
that a business doesn’t harm society, the nation, or the world through its
activities. So, being moral builds the corporation’s status because those who
aren’t ethical can’t promote merchandise. A corporation has to be in a position
to guide to the consumer, as well as deliver whatever they want and social
accountability is required considering the fact that status holds an ethical
deal of value in the world of businesses.

            Government rules helps to create inside controls which
helps corporations and it keep away result with a view to produce or effects in
timescales than would or else come up. For examples of laws include controls on
market entries, costs, wages, progress approvals, air pollution results,
employment in targeted companies, essential of making for goods. Regulations
setup by government provide guideline to organizations for a right behavior.
Business cannot properly operate without an government regulations because it
need stability, efficiency, and uncorrupted system that will work. Regulations
are setup for monitoring and enforcement of principles, which makes workplace
more ethical. Regulation creates and constrains a right, creates a
responsibility, and allocates a responsibility.

            The government has a responsibility to promote ethics in
businesses as much as possibly by regulations. These regulations provide
guidelines to minimum wage, advantages, safety and wellness compliance, work
for non-U.S. Citizens, working stipulations, equal opportunity employment, and
privateer’s laws. The government has an important position within the subject
of business ethics. For example, when an anti-competitive conduct can arise
when companies grows, and when an enormous group has an extraordinarily great profit,
this can be damaging to the companies. Regulations in business creates things
to be certain on compliance, reporting and oversight. These regulations are to
inclined to strictly outline what’s and is not permissible endeavor leaving
situated organizations with much less options to develop. There also will be
that the costs and restrictions that are most unfair to the small businesses.
Because the greater organizations the more they have responsibility but
however, without ethics organizations cannot demonstrate to be good ethical
organizations.

            Regulations forced on organizations by the government can
be split into four parts charges, representative, relations, and exchange. All
organizations are liable to pay taxes in measure of money/profit they make. The
measure of those taxes is fundamentally dictated by the how much of workers a
business utilizes and in what number of those employees are full time or part
time. Managers in businesses should take reasonability with government
directions with respect to the contracting and treatment of workers. Many
worker related controls are either straightforwardly or by implication
identified with those rights conceded by government regulations. So, I think
the businesses should have certain regulations that are good of keeping
businesses practice in accordance with codes in regards to well-being and good
ethical workplace.

            The government can have some types of influence on the
business workplace like indirect or direct. For example, some of the
environments can be forcing and encouraging for businesses to follow. The
government executive has many responsivities over the business.  The businesses atmosphere by way of the
making of policies, which is good for business ethical environment. The
government has many of objectives and rules for creating a ethical workplace.
The regulations are intention to have steady workplace and development, the low
charges of inflation, a good buying and selling main issue of the business and
low unemployment. So, I think these are the reasons for business to follow
government regulations that are sets up and these all need to be in workplace.

            Businesses must have the potential to change or enhance
instances where there are not acting ethically. They have responsibility and
accountability to manage or control the trade in a technique that it will not
harm and this will be positively advantages for everyone inside the
organizations.  Any decisions made by
businesses have to be made with an informed recognition of the detailed
situation and then act according to a ethical system of principals. Also, there
are many regulations for business that are just right for progress on account
that it restricts the bigger organizations from the market, permitting for the
smaller organizations to thrive of their small markets and not to worry about
larger organizations taking their market share away. These are going to
improves the confidence since they may be able to believe the manufacturer’s
financials, can more without problems of growth and may have greater confidence
that organizations usually are not doing something illegal that government
regulations don’t permit.

            In conclusion, government has a important role in making
sure that business is operating in an ethical system much as possible. The
government regulations in business are good because they will help when they
run up in concerns and problems. Sometime this can be depending on the
circumstances or the situations. In order to be excellent ethical workplace
every employee and the mangers will have to fully grasp the value of moral
values as a way to implement a transformation in the way in which an company
operates, and what outcomes are expected. There are many advantages of having
government regulations in workplace but there are also few disadvantages in
that it may damage also be in various manner equivalent to physical, harm to
participants’ development, damage to employee’s profession, technological
damage and damage to respectable family members. So, Increased government
regulation produce a more ethical workplace because ethics are the principles
and values a person uses to govern his routine in daily life. In an
organization, a code of ethics should be a set of ideas that makes the
organization in its everything it does, like the policies and decisions for the
business. The ethical as whole can be uses to behavior business can have an
impact on the repute, productiveness, communities, and its employees.  So, these are reasons why increased
government regulations produce a more ethical workplace and government
regulations has important role in making sure that business is operating in an
ethical system much as possible.