Volkswagen Replaces Chairman

Three years after the emissions scandal, Volkswagen is replacing another chairman. Matthias Müller replaced Martin Winterkorn, who was ousted soon after the news broke in 2015. But Müller was another insider and hasn't led the turnaround the board expected.

Like Winterkorn, Müller struggled with public relations. During a 2016 NPR interview, Müller claimed the company misunderstood the American environmental law: “We didn’t lie. We didn’t understand the question [at] first.” After much criticism, VW’s communications department asked for another interview, which was granted. He delivered a better apology but blamed the first interview on “all these colleagues of yours and everybody shouting.” In other words, it was noisy. 

As is customary in corporate change announcements, Chairman of the Supervisory Board Hans Dieter Pötsch spoke positively about the outgoing executive:

“Matthias Müller has done outstanding work for the Volkswagen Group. He assumed the chairmanship of the Board of Management in the fall of 2015 when the Company faced the greatest challenge in its history. Not only did he safely navigate Volkswagen through that time; together with his team, he also fundamentally realigned the Group’s strategy, initiated cultural change and, with great personal commitment, made sure that the Volkswagen Group not just stayed on track but is now more robust than ever before. For that, he is due the thanks of the entire Company.”

The new chairman, Dr. Herbert Diess, offers more hope. Diess joined the board in 2015 and is known for having conflicts with the union and for cost-cutting. He may shake up the status quo at VW and inspire real action. The company has aggressive plans, including building greener cars—for real this time.

Image source (VW cover).
Image source (Diess).

Discussion:

• Assess the company's statement about this change. Who are the primary and secondary audiences? What are the communication objectives? How well does the statement meet those objectives?
• Why do these statements typically include positive quotes about outgoing executives, even if they are asked to leave or, as this statement indicates, they leave "by mutual agreement"?
• What lessons do you think Volkswagen learned since the scandal?
• Why would the board appoint someone who is considered divisive?

Howard University Reports on Misappropriated Funds

Howard University's investigation has concluded that $369,000 had been misappropriated by six employees who were terminated last year. A full report by the university identifies how they "double dipped" by receiving both tuition assistance and university grants between 2011 and 2016.

In a cover letter to the report, President Wayne A.I. Frederick wrote, “Howard University is committed to uncovering any impropriety in the administration of university-provided financial aid and federal student aid, to remediating all problems identified during this investigation, and to maintaining a robust compliance program to prevent any inappropriate dealings in the administration of financial aid."

A Washington Post article reports that the university tried to avoid going public before the review was completed, but an article posted online made this impossible. Student protests, which went on for more than a week, also may have sped up the timing.

Image source.

Discussion:

• What business writing principles does the report demonstrate and fail to demonstrate? How could the report be improved?
• Assess the president's cover letter. Who are his primary and secondary audiences, and what are the communication objectives? How well does the letter achieve those objectives?
• What can the university do now to restore trust?
• How well does the university take responsibility for the situation?

Mario Batali Wants to Move On

Is it too soon? Mario Batali, accused of sexual harassment and removed from the company bearing his name, is exploring a new venture. In December, reports of sexual misconduct rattled the Batali & Bastianich Hospitality Group, and Batali admitted that accusations “match up with ways” he behaved. At the time, he emailed an apology but lost ground when he included a "P.S." with a recipe for making cinnamon rolls.

Now, about four months later, people report that Batali is exploring his options. Reports say he is considering moving to the Amalfi Coast, aiding displaced Rwandans, or creating a new company.

A New York Times article speculates that Batali may be in a good position to return to public life:

He still has legions of fans and colleagues who admire and respect his generosity, culinary knowledge and charisma. Many still post their interpretations of his recipes on Instagram, ask him for selfies on the street or urge his return to “The Chew” on Facebook. His restaurants continue to attract customers.

Friends also say that he is truly taking time to be introspective and to learn from his mistakes. But not everyone agrees that a comeback would be appreciated. Anthony Bourdain, for example, isn't ready:

Retire and count yourself lucky, I say that without malice, or without much malice. I am not forgiving. I can’t get past it. I just cannot and that’s me, someone who really admired him and thought the world of him.

Image source.

Discussion:

• What's your view? Is it too soon, or is the time right for a Batali return? What should he consider in making this decision? What are the potential implications for women who complained about his behavior and for the company?
• Batali mentions wanting to understand his "blind spots." What does he mean by this?

Heineken Pulls "Lighter Is Better" Ad

Heineken seemed to be playing with fire in a new beer ad, "Sometimes, Lighter Is Better." The commercial shows a bartender sending a light beer to a light-skinned woman. On its way down the bar, the beer passes darker-skinned people. The promotion was for 99-calorie Heineken Light.

Chance the Rapper is one of many who called the ad racist, and he accused the company of intentionally trying to attract attention.

An AdAge article explains that the ad traveled from Europe last summer, where it received little attention, to the recent release in the U.S. As one agency owner explains, "What sometimes is acceptable in Europe isn't acceptable in the U.S. and I think that a lot of time the failure comes in not really evaluating the impact that it is going to have in a particular region."

Heineken pulled the ad, and spokesman Bjorn Trowery published a statement:

"For decades, Heineken has developed diverse marketing that shows there’s more that unites us than divides us.

"While we feel the ad is referencing our Heineken Light beer—we missed the mark, are taking the feedback to heart and will use this to influence future campaigns."

Discussion:

• Would you call the ad racist? Why or why not? 
• Do you think Heineken intentionally created a controversial ad? What evidence do you find either way?
• How is this an issue of authenticity and integrity for the company?

Advisor at Morgan Stanley Accused of Abuse

A New York Times article chronicles abuse allegations of a financial advisor and Morgan Stanley's decision to retain him. Douglas E. Greenberg is a member of the firm's “Chairman’s Club,” which recognizes top producers who meet identified "conduct and compliance standards.”

But, for years, Morgan Stanley executives knew of allegations of abuse against Greenberg—not by employees but by four women who had relationships with him and had sought protection against him. Greenberg has also been charged with violating restraining orders.

You may be thinking that these external relationships should not impact Greenberg's job. The article presents a different perspective: 

But employees in the finance industry—especially those who manage money for clients—are judged in part on their character. That puts the onus on companies, and regulators, to police their conduct even outside the office.

Only after an inquiry from a Times reporter did the company place Greenberg on administrative leave. A spokesperson said, "We are committed to maintaining a safe and professional work environment and will take appropriate action based on the facts of the matter.”

Image source.

Discussion:

• How could Greenberg's behavior affect the firm?
• What's your view of Greenberg's position at the firm? What should the executive team do?
• How is this situation a potential matter of integrity for Morgan Stanley?

Profile of a Wells Fargo Whistleblower

Duke Tran was a Khmer Rouge slave in Cambodia when he was 17 years old, but he made his way to the United States and eventually landed a job at Wells Faro. At some point, Tran received phone calls from customers about large payments due on loans ($90,000 and $165,000). In both cases, the customers said they didn't have a loan with the bank, and Tran couldn't find any documentation. When Tran asked his supervisor what to do, he was told, "It’s no problem. If the customer calls back, you tell them it’s a balloon [due all at once]." Tran refused to lie to the customers and got fired: “I told him this is a fraud. I cannot be a part of that. He got upset."

This is one of many stories of retaliation against whistleblowers at the company, but Tran persisted. Rather than fight for his job back, Tran wanted the bank to admit wrongdoing. A New York Times article describes what Tran went through:

To further his lawsuit, he opened his life to intense scrutiny, used vacation time at his new job to attend meetings and court dates, and told and retold the story of his experiences at the bank, which maintained that Mr. Tran had been fired for poor performance and that there had been no cover-up of missing documents. He would not go away. . .

He couldn’t sleep. He couldn’t bring himself to tell his wife, Ann, and their sons, Justin and Jimmy, that he had been fired. When they asked why he wasn’t going to work in the mornings, Mr. Tran said he was on vacation. When that excuse no longer seemed plausible, he invented another.

“I thought, my God, I’ve lost my American dream,” he said.

His wife worked in a dental equipment factory. She earned $17 per hour, and it was suddenly the family’s only income.

Although he didn't want to, Tran eventually settled for what is estimated to be "seven figures."

Cover image source. Page image source.

Discussion:

• Which character dimensions does Tran most demonstrate?
• When have you been in a situation where you had to decide whether to speak out against a company practice? What was your decision process? How did it turn out?
• HR told Tran he was fired for not responding to a customer whose call he had taken. How is this problematic?

Facebook Under Scrutiny

Questions about Facebook's role in user privacy are getting increasingly serious, and shareholders are getting worried. Company shares fell 7% after the news that third-parties used FB users' personal information without permission.

Analysts say we know that Facebook monetizes users' data, but the number of people affected (50 million) and the extent of the violation is dramatic. One concern is how much additional regulation the company will face in the future. Already, the Federal Trade Commission (FTC) is investigating whether Facebook violated a 2011 settlement in which the company promised to get users' consent before changing certain privacy settings.

We have no comment yet from Mark Zuckerberg or Sheryl Sanberg, and critics say they need to be out in front of this.

Image source.

Discussion:

• A Bloomberg reporter called the company "tone deaf," but others say it's an impossible situation to fully address at this point. What's your view?
• What, if anything, should company leaders say? What could explain their silence?
• In what ways is this situation an issue of integrity for the company?

Toys R Us Closes

https://www.toysrusinc.com/restructuring

Toys R Us will close its remaining 735 U.S. stores and will lay off about 33,000 employees around the country. The company tried to survive after a bankruptcy filing in 2017, but the retailer can't compete with large stores, such as Walmart, and online sellers, such as Amazon.

Critics say Toys R Us failed to generate excitement, as one analyst describes in The Washington Post article:

“The liquidation of Toys R Us is the unfortunate but inevitable conclusion of a retailer that lost its way. Even during recent store closeouts, Toys R Us failed to create any sense of excitement. The brand lost relevance, customers and ultimately sales.”

A professor of brand management echoed this theme:

“We know that customers are willing to pay more for an enjoyable experience — just look at the lines at Starbucks every day — but Toys R Us has failed to give us anything special or unique. You can find more zest for life in a Walgreens.”

New York Senator Chuck Schumer is asking for the Federal Trade Commission (FTC) to ensure that customers aren't left "holding the bag" if they can't cash in or buy products with gift cards, particularly those recently received in December for Christmas.

Toys R Us has only a short statement on its website announcing the liquidation.

Discussion:

• Should the company leaders say more about the decision? What else, if anything, could be included in the statement?
• In addition to legal responsibilities, do company leaders have ethical responsibilities to make good on outstanding gift cards? Why or why not?
• In what ways has the company failed to learn from failure?

Fired by Tweet

According to an NBC report, Secretary of State Rex Tillerson learned he was fired when President Trump posted a tweet. The President did call Tillerson in for a face-to-face meeting, but this happened "several hours after the president had publicly announced Tillerson's firing on Twitter." The White House claims that Tillerson was put on notice that his time was coming to an end, but Tillerson says he was shocked at the news.

The relationship had been rocky. The two disagreed over policy issues, such as the Russian's government's involvement in U.S. elections and negotiations with North Korea. In July of last year, Tillerson referred to President Trump as a "moron."

Of his termination, Tillerson said,

"What is most important is to ensure an orderly and smooth transition during a time that the country continues to face significant policy and national security challenges."

Discussion:

• What is the best way to deliver bad news?
• We have heard of many business situations in which employees are fired by text message. How does this situation compare?
• In what ways is this situation a matter of leadership character, for example, compassion or integrity?

Bias in Online Courses

A Stanford University study found biases in how instructors interact with students in online courses. In a review of 124 Massive Open Online Courses (MOOCs) in a variety of subjects, researchers found that responses to comments vary by students' race and gender: 

Each comment was randomly assigned a student name connoting a specific race and gender. We find that instructors are 94% more likely to respond to forum posts by White male students. In contrast, we do not find general evidence of biases in student responses. However, we do find that comments placed by White females are more likely to receive a response from White female peers. 

The study is significant because it identifies teachers' potential responsibility for different student learning outcomes. In other words, it's difficult to isolate why teachers respond differently to students because the students may, for example, be less prepared or have less ability. But in this study, the issue is clearly isolated: teachers tend to favor students based on race and gender, which were randomly assigned by way of fictitious names.

Discussion: 

• How well do these results match your own experience as a student?
• What are the implications of this study for instructors?
• What potential flaws or issues do you identify with this study? 

United Backs Off of Bonus Plan

United announced moving to a lottery system for employee bonuses, but backlash caused management to rethink the plan. President Scott Kirby had distributed a memo describing the new process:

"As we look to continue improving, we took a step back and decided to replace the quarterly operational bonus and perfect attendance programs with an exciting new rewards program called 'core4 Score Rewards.' " 

The new program would include cash and other prizes and one quarterly prize of $100,000, which would be given to a random, eligible employee. Following the criticism, a spokesperson tried to clarify:

"We announced a new internal program based on United meeting certain operational and dependability metrics as a way of offering meaningful rewards to our employees. We believe that this new program will build excitement and a sense of accomplishment as we continue to set all-time operational records that result in an experience that our customers value."

Employee comments were harsh:

"Why should I be happy watching another employee get rewarded for my hard work? How would you feel if Oscar (United CEO Oscar Munoz) played roulette with your incentive package and it went to another vice president through a lottery drawing."

"This is truly disappointing. The current program 'costs' the company approximately $150 per 75,000 employees per quarter, totaling over $11 million. This new 'improved' program that we are supposed to be so excited about will cost the company $3.5 million per quarter. This saves the company about $8 million per quarter. Does Willis Tower really think the average front-line employee is stupid?"  

In a second memo three days later, Kirby announced a pause on the program, saying they would "consider the right way to move ahead" and "will be reaching out to work groups across the company, and the changes we make will better reflect your feedback."

Image source.

Discussion:

• What went wrong? Was it the bonus/lottery plan, the way it was announced, both, or something else?
• One employee commented, "Wow. I thought our morale was already as low as it could go, but I guess that was naive thinking on my part. I'm finally starting to understand that there will always be room for management to make me feel even less appreciated than I already do. How many times must they be taught, that if the employees aren't happy, no one is happy." What should the company leaders do now?
• The memos and employee comments were on an internal United system. What are the ethics of forwarding internal communications to the media?

President Trump Vs. Alec Baldwin

Alec Baldwin is a frequent imitator of President Trump on Saturday Night Live, and the President doesn't like it. In a Twitter feud for the world to see, the two are trading insults.

The President's response followed Alec Baldwin's interview with The Hollywood Reporter: 

How much longer with you play Trump on Saturday Night Live?

Every time I do it now, it's like agony. Agony. I can't. If things don't go in the right direction for the midterms. … I could go out on the street, stand on any corner and tap 10 people on the shoulder. And all 10 of them, in all likelihood, would be more qualified — ethically, morally, intellectually and spiritually — than Trump. I'll vote for Mitt Romney. I don't care. Anybody over this guy. It doesn't matter. We have to get rid of him. And that's another project I'm working on. I was the keynote speaker at the Democratic Dinner in Iowa, and I'm gonna go do a couple more of those this year. My wife and I agreed that we're gonna give it everything we have. And then if, God forbid, he wins again in 2020, I'm wondering can I host a game show in Spain.

Not to be outdone, Baldwin responded in a few tweets, including this one:

Image source.

Discussion:

• Should either or both of these men refrain from this type of argument on Twitter? Why or why not?
• We could say the President lacks humility, including the ability to laugh at himself. Do you agree with this statement, or do you believe Baldwin is out of line, or something else?

More Companies Take Action to Curb Gun Sales

Dick's Sporting Goods has taken a strong stance on gun control. In a statement, the company announced it will no longer sell assault-style rifles and will no longer sell firearms to people under 21 years of age. The statement dances the fine line between both sides of the gun control debate:

We support and respect the Second Amendment, and we recognize and appreciate that the vast majority of gun owners in this country are responsible, law-abiding citizens. But we have to help solve the problem that’s in front of us. Gun violence is an epidemic that’s taking the lives of too many people, including the brightest hope for the future of America – our kids.

Walmart also announced it will no longer sell to people under 21 years of age. The company ended some firearm sales in 2015, so this policy further restricts what people can purchase when.

Companies are in a tough spot. Dicks, Walmart, Delta, and other companies have suffered backlash for their decisions, including people promising to boycott.

Discussion:

• Compare Dick's and Walmart's statements. How do they differ? Which is more effective and why?
• Describe Dick's choices. What are the risks and rewards of the announcement?
• Should other CEOs jump into the controversy? How might the decision depend on industry, customer base, or the leader him- or herself?

Companies Distance Themselves from the NRA

Following the school shooting in Florida, several companies are distancing themselves from the National Rifle Association. The organization lists many member benefits on its website, including travel and insurance discounts, but these are shrinking as more companies are discontinuing services.

For example, several major car rental companies—Enterprise Rent-A-Car, Alamo Rent a Car, National Car Rental, Avis, Budget, and Hertz—and major airlines, such as United Air Lines and Delta, will eliminate discounts for NRA members.

The NRA posted a statement on its website to deflect blame, reinforce its mission, and deny the impact of these companies' actions:

FAIRFAX, VA – The more than five million law-abiding members of the National Rifle Association have enjoyed discounts and cost-saving programs from many American corporations that have partnered with the NRA to expand member benefits. 

Since the tragedy in Parkland, Florida, a number of companies have decided to sever their relationship with the NRA, in an effort to punish our members who are doctors, farmers, law enforcement officers, fire fighters, nurses, shop owners and school teachers that live in every American community.  We are men and women who represent every American ethnic group, every one of the world’s religions and every form of political commitment.

The law-abiding members of the NRA had nothing at all to do with the failure of that school’s security preparedness, the failure of America’s mental health system, the failure of the National Instant Check System or the cruel failures of both federal and local law enforcement.

Despite that, some corporations have decided to punish NRA membership in a shameful display of political and civic cowardice.  In time, these brands will be replaced by others who recognize that patriotism and determined commitment to Constitutional freedoms are characteristics of a marketplace they very much want to serve.

Let it be absolutely clear. The loss of a discount will neither scare nor distract one single NRA member from our mission to stand and defend the individual freedoms that have always made America the greatest nation in the world.

Discussion:

• Did these companies make the right decision? Some NRA members are boycotting them as a result.
• In its statement, the NRA refers to companies' "shameful display of political and civic cowardice." Do you see their actions as cowardice, courageous, or something else? What is the difference?

Newspaper Apologizes for Cartoon

The Albuquerque Journal in New Mexico issued an apology for a cartoon some call racist. Critics say the image advances "the most false and negative stereotype of DREAMers." Of the states, the Hispanic population is highest in New Mexico—48.5%.

In a statement, editor Karen Moses explained the paper's view:

Political cartoons are often satire and poke at more than one point of view. I do not presume to know what cartoonist Sean Delonas was trying to convey in his cartoon that was published in Wednesday’s Albuquerque Journal. But on one level it appeared to us to be poking at President Trump’s rhetoric by portraying a quaking Republican couple who were painting Dreamers with a broad, totally false, brush.

Obviously, that was not the message received by many readers. Instead, many saw an extremely objectionable cartoon and thought that was the position of the Journal. It is not.

In hindsight, instead of generating debate, this cartoon only inflamed emotions. This was not the intent, and for that, the Journal apologizes.

I repeat that the Albuquerque Journal does not condone racism or bigotry in any form.

I also want to reiterate that we do not agree with many of the opinions expressed on the editorial pages, which are intended to encourage debate. Also, the editorial board decides what to publish on these pages, and that is separate from the newsroom and its reporters.

News agencies report conflicting data about crimes rates among immigrants. Compare data presented by The New York Times and Breitbart.

Discussion:

• What's your view of the cartoon: funny, offensive, or something else?
• How well did the newspaper editor handle the response?
• Compare data from these two articles about immigrants: The New York Times and Breitbart. What do they each analyze, and how do they present the data? How do you explain the differences?

Misleading Headlines About the Market Dip

The stock market took a dive this week, but headlines are making it sound worse than it is. Here are three examples:

• FoxNews: "Investors hope for reversal after biggest stock market dip of all time"
• The Guardian: "Australian and Asian stock markets slide after Dow suffers biggest one-day points fall – as it happened"
• CNBC: "Dow's nearly 1,600-point plunge marks its biggest one-day point drop ever"

The headlines are technically correct that a nearly 1,600 point decline is the largest in U.S. history, but looking at only the point value is misleading. A percentage drop would be a better indication of the effect. This table represents the largest daily stock market losses. The display below is sorted by point loss; the table at right is sorted by percentage. You can see that 2018-02-05 falls in rank when we look at the percentage.

Also, the stock market has had incredible gains this past year, so the 26,000+ value could be viewed as an anomaly, and most analysts didn't believe those gains were sustainable.

Discussion:

• What are the ethical considerations for news agencies publishing these headlines?
• What might be a more appropriate headline for the news?

Perhaps this one-year chart helps keep the loss in perspective. It includes today's rebound of 567 points.

Questions of Transparency

The long-awaited memo written by Republican staff members about potential impropriety from the Justice Department and F.B.I in the Russia investigation has been revealed. Now, The New York Times editorial board is calling, once again, for President Trump to reveal his tax returns:

Since the Republicans are now on board with greater transparency, they will no doubt push President Trump to release his tax returns, as every other major-party presidential nominee has done for the past four decades, won’t they?

How about the White House visitor logs, which the Trump administration started hiding from the public last year? Or, say, the names of all foreign governments and officials who have stayed — at their own or at American taxpayers’ expense — at Mr. Trump’s Washington hotel, at his Mar-a-Lago resort in Florida or at his golf courses and his other businesses since he became president? Or the names of every foreign business with which the Trump Organization has a financial relationship, especially in countries where America has sensitive foreign policy interests, like China, India, Russia, Turkey or Saudi Arabia?

The reasoning sounds like reciprocity, but the argument may not get no more traction now than it did during the presidential campaign. A Pew research study in January 2017 showed that 60% of those surveyed believed Trump "has responsibility" to release his returns. Although some were adamant about the release at the time, the Wall Street Journal, for example, reported that the returns wouldn't tell us much anyway.

Discussion:

• What are the advantages and downsides of President Trump revealing his tax returns?
• Read the entire opinion piece. What other arguments do the authors make?
• Do you agree with their reasoning? Why or why not?
• How would you describe the tone? Does the approach help or hurt the argument?

Penn Removes Several Recognitions of Steve Wynn

For the first time in more than 100 years, the University of Pennsylvania has revoked an honorary degree. Following accusations of sexual misconduct against Steve Wynn, the trustees announced the revocation in addition to plans for removing Wynn's name from "Wynn Commons" and from a scholarship fund.

The message, sent by email and posted on the school's website, explained the decision and announced that an honorary degree for Bill Cosby also will be revoked. University leaders were careful to describe their decision process as well as the delay in revoking Cosby's degree. This is a good example of anticipating and addressing potential criticism.

Judging by comments on Twitter, reactions to the university's decision to take a stand seem to be neutral or positive.

Discussion:

• Did UPenn make the right decision? Why or why not?
• Analyze the message. What principles of business are followed, and how can the message be improved? Consider the audience analysis, organization, tone, and so on.
• How is this an example of courage? What risks does the university face?

Call for Gymnastics Board to Resign

As female athletes are recognized in a full-page newspaper ad for their courage in telling their stories of abuse, the U.S. Olympics CEO is calling for the entire USA Gymnastics board to resign by Wednesday.

In an open letter to Team USA Athletes, CEO Scott Blackman apologized and identified four next steps:

1. We Must Change the Culture of the Sport.
2. We Must Change the Governance Structure of the NGB.
3. We Must Know Who Knew What and When.
4. We Must Support Safe Sport Victims and Survivors.

Three members of the board already resigned, but critics say that is not enough. Blackman doesn't accuse any board members of knowing about abuse, but he says the culture must change and this is the best way to achieve that change.

Discussion:

• What is the value of asking for the entire board's resignation? What, perhaps, are the limitations?
• What should the board do?
• How else can Blackman and the rest of the Olympics Committee make athletes feel safe again?

Fudging Numbers to Make the NYC Subway Look Better

New York Governor Andrew Cuomo's staff is criticized for inflating power-related issues as the cause of subway failures. Transit officials apparently broadened the definition of power issues so that Con Edison, the local utility company, would be given more of the blame when subways aren't running. Emails were discovered before Governor Cuomo was scheduled to give a breakfast talk, during which he said the number of outages due to power failures was 32,000 in the past year, while the actual number was more like 8,000:

When you we're a kid and you had a train set you had to plug it in. We have to plug in the MTA every morning and the MTA does not control the power supply to the MTA. Over the last 12 months, 32,000 delays because of power related issues and they can either be a power surge or power shortage, but 32,000 delays. The MTA doesn't control the power, Con Edison does. Con Edison has a duty to safely, prudently and effectively provide electricity that powers the subway system. Con Ed is a regulated utility under the state's Public Service Commission. April 21 after the last outage I ordered an investigation of the Con Ed infrastructure after a particularly devastating failure. The investigation goes on but PSC has already found that Con Ed must make immediate and significant improvements in this system because the reliability depends on it.   

The chief of staff of the transit agency wrote in an email that they were "looking for a higher delay number for power." The expanded definition was that ConEd "caused or contributed to" delays. One example is when a person jumps or falls onto the tracks; ConEd will shut off the power for safety. With the new definition, the delay becomes ConEd's fault.

Cover image source.

Discussion:

• We certainly can use numbers to our advantage when trying to persuade others. How does this situation "cross a line"?
• What should Governor Cuomo do now? What, if any, statement would be appropriate?
• Do you remember "Bridegate" in New Jersey? How is this situation similar or different?