'Well, Penny, as the HR expert, what do you recommend we do?' asks Harry Bentham, CEO of \(\mathrm{Oz}\) Electronics.

Penny Dale, HR manager, shakes her head and sighs. 'It's a very sensitive issue. We need to tread very carefully.'

'I agree, but what to do? We can't ignore the situation.'

'Agreed, you know Gary better than me - do you think there is any truth in his wife's claims that he is cheating on her?'

'Possibly, but I don't really know - but does it matter? She has accessed his email account and sent emails to every senior manager in this company saying that he is a liar, a cheat, a serial adulterer who has had sex with Connie O'Brien and Teresa Wong of this office and Sophia Engholm, the purchasing manager of our biggest customer - does this woman realise what a nightmare she has created? Does she know that Connie O'Brien and Sophia Engholm are married?' exclaims Harry with great frustration.

'Surely that is the whole point - to embarrass and shame her husband,' replies Penny.

'But what about the other people involved? What do we do about them?' asks Harry.

'To say nothing of the public relations disaster this will be for Oz Electronics . . .' sighs Penny.

DISCUSSION QUESTIONS

1 What ethical, legal and HRM issues are raised in this case?

2 If you were Penny Dale, HR manager, what recommendations would you make to your CEO on how best to deal with the situation?

3 Identify all the major stakeholders involved in this case and, as a class, discuss their likely reactions and how you would deal with them.