Last week during his monologue David Letterman told his audience and America about the extortion attempt made on him. He also admitted to sleeping with female employees. This was not an apology or an admission of guilt. It was a bold preemptive move to counter the upcoming fallout. This was a very rational, wise and shrewd business decision done at the right time. Unfortunately he didn't using these qualities when making the decision to create an unfair and weird work environment by sleeping with his female employees. Now he has opened up himself and his production company to lawsuits. This situation shows how important it is for a boss to create a fair and open work environment.

I think David Letterman made a mistake with how he chose to acknowledge his affairs. He didn't really apologize to his staff and the women involved enough, it was too much about him. His ego got himself into trouble and he let it do the apology. Most importantly he owes his wife some honesty.

One of the most important things a boss contributes to the workplace is sense of fairness and transparency. Creating an environment where you have a sense you will be rewarded fairly for your hard work and good ideas is very important to morale. Because of what David Letterman did, the men who worked for him could never be sure they were treated fairly or rewarded accurately for their contribution.

David Letterman's behavior created alot of confusion, angst and general poor morale. I'm not saying romance in the workplace can't happen but in order to clear the air and create fairness, the boss and the female employee should be upfront and honest about what is going on. The two should refrain from showing too much affection at work and keep the attention on the work. The boss really should make sure that any workplace romance be serious and not some passing fling because if things don't work out the repercussions will affect everyone in the company.

I think the fallout over this story is very much just beginning. I think the men who work for his company have legitimate grievances and many of them might even consult lawyers over it. The best thing Dave could do is personally acknowledge this and make a genuine effort of rebuilding his company.