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Seneca investments is an asset management company, and its internal financial operations are controlled by Macron French. The payroll management has become a major headache

Seneca investments is an asset management company, and its internal financial operations are controlled by Macron French.

The payroll management has become a major headache consuming 70% of the time of the Data entry operator and requiring the full-time services of Boris John who is paid a yearly salary of $60,000.

The current payroll software is purchased 4 years ago at a cost of $4,000 and an annual subscription of $1,000.

The auditors suggested that Macron should think of outsourcing payroll accounting to a company specializing in payroll services. The cost will be $3000 per month.

If outsourced, the data entry operator can be released for other accounting work.

The annual subscription of $1,000 for current software can be discontinued.

Seneca may no longer need the services of Boris John who is working with the company for the last 7 years, saving $60,000 per annum.

Outsourcing will simplify the job, but the company will have to remove Boris from the job and Macron cannot think of any other position available for John at present. He knows Boris personally and aware of his struggles to pay his mortgage and to send his son to school.

Can Macron do the best for Seneca and act ethically?

Can you think of any facts that might support keeping Boris rather than outsourcing payroll?

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