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Jewish Journal

Ethics Plan Would Raise Sanctity of Business

by Rabbi N. Daniel Korobkin

March 18, 2009 | 6:02 pm

An observant Jew was once brought before the judge on counts of tax fraud. Seeing the kippah-wearing Jew before him, the judge innocently asked, “Mr. Schwartz, you are clearly a God-fearing man. How do you explain your immoral behavior?”

Not missing a beat, Mr. Schwartz pointed his finger in the air and defiantly declared, “Your honor, religion is one thing, but business is business!”

Alas, we’ve witnessed several “Mr. Schwartzes” over the last few years, and each new headline evinces new winces of pain from our community. Rabbis have been beside themselves; for years, we’ve preached about the need to carry one’s Torah observance into the business place. Shockingly (as if), not all our parishioners were listening.

What’s more, an environment in certain industries seems to have developed where illegal business activity has not only been condoned but even considered the norm. The Jewish work ethic — what up until recently was the proud hallmark of pristine honesty and integrity — became tarnished.

L.A.’s Jewish community is the second largest in the country. We have much reason to be proud; we have established every imaginable organization or endeavor to dole out kindness and charity to those less privileged. Jews comprise a huge demographic of the righteous of our city.

At the same time, it’s been observed that life is like trying to make a bed using a fitted sheet that’s just a bit too small for the mattress. You pull one end of the sheet over one mattress corner, and the other end of the sheet pops off the opposite corner.

We all tend to focus on what we consider the important things in our lives at the expense of others. For some Jews, a focus on social action comes at the cost of Jewish literacy and ritual. For other Jews, a focus on ritual and Torah study comes at the cost of translating all that knowledge into action in the workplace.

Yet, the Talmud (T.B. Shabbat 31a) emphatically states that the first question a person will be asked when he or she ascends to heaven will not be, “Did you eat kosher food?” but rather, “Were you faithful in business?”

A group of rabbis and lay leaders, seeing this wound on an otherwise exemplary community continue to fester, felt that it was no longer enough to talk the talk. In order to really bolster awareness and education within the community, we needed to do something demonstrative that would raise awareness not only when in shul but also while shopping and doing business.

The Peulat Sachir: Ethical Labor Initiative is nothing new. Several years ago, a group of Modern Orthodox Jews in Israel founded an organization called, Bema’aglei Tzedek (On Paths of Justice), with the mission of addressing the moral and socioeconomic challenges facing Israeli society (you can learn more at their Web site, http://www.mtzedek.org.il/). One of their main projects is Tav Chevrati, which recognizes those businesses in Israel that provide minimum wage and other basic benefits to their employees. After launching an impressive marketing campaign, the Tav now boasts over 350 businesses that have the Tav seal hanging in their windows.

Using the Tav Chevrati model — with small modifications for the American business arena — our group realized that were we to attempt to redress all business ills we would be biting off more than anyone would be willing to chew. Under the direction of a team of attorneys, we instead chose to focus on the one area of business that has the most significant human impact, the area of labor law.

Peulat Sachir offers a covenant agreement to any business owner who complies with the six basic areas of labor law as required by the state of California: (1) minimum wage, (2) payment of overtime wages, (3) provision of meal and rest breaks, (4) leave policy, (5) workers’ compensation insurance and (6) discrimination/harassment policies.

Additionally, Peulat Sachir will host regular seminars on ethical business practices, which will be open to the general public.

Of course, one could argue: What’s the point of an attestation that someone is just obeying the law? In today’s world of Bernard Madoff rip-offs, kosher production scandals, subprime mortgage meltdowns and corporate greed, plenty. The simple public affirmation that I as a business owner comply with dina d’malchuta (the law of the land) is an important step toward the reformation of an unhealthy business culture.

One might also argue: Why focus so narrowly on this one area of business ethics? What about tax law? Immigration law? Clearly, there are many legal areas within the complex world of business that could and should be addressed.

For one thing, we’ve got to start somewhere. But it’s more than that; we believe that raising awareness about one area of ethics will positively spill over to others.

The employer who respects the law by meticulously paying overtime is more likely to report accurately on his tax return; someone who proudly procures workers’ compensation insurance for his minimum-wage employees is more likely to care about the needs of other underprivileged members of society.

The Peulat Sachir mission statement is thus twofold: To engender a new culture for Jewish businesses — one of commitment to the highest ethical and moral standards in all aspects of business — and to raise awareness of what we in the religious community expect from our vendors and, ultimately, from ourselves.

Those who appreciate what Peulat Sachir is trying to do will want to preferentially patronize those establishments that have signed a covenant. Those who don’t, won’t.

Peulat Sachir in no way penalizes or blacklists businesses that can’t or won’t sign on to the concept. Ultimately, it’s up to the public to decide the success of the Peulat Sachir initiative.

Who knows? Maybe Peulat Sachir will become a model for other communities. And just maybe, by elevating the sanctity of our businesses, we and our assets will all be blessed in the process.

If you are a local business owner and would like to receive more information, contact Peulat Sachir at info@peulatsachir.net.


Rabbi N. Daniel Korobkin is rosh kehilla of Yavneh Hebrew Academy, director of community and synagogue services for the Orthodox Union West Coast Region and a community mohel.

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