Answer:
The ethical issue encountered in this situation is the potential conflict of interest. The financial payments may create a situation where the coworker feels obligated to favor the contractor in some way, even if it is not in the best interest of the company or other colleagues.
In this situation, if I became aware of the regular payments being made to a coworker, I would raise my concerns with the appropriate parties, such as a supervisor or the HR department. It is always better to err on the side of caution and make sure that any potential unethical behavior is addressed.
This situation deviates on the sixth fundamental canon of professional ethics, which states that professionals must avoid any behavior that creates a conflict of interest.
Step-by-step explanation: