Business Ethics Reflection

An ethical dilemma that I have observed included my District Manager and my employee. My District Manager has very little tack when talking to people, which I find a little off putting since we are in customer service.
One day my District Manager was in the store going over some things with me and while we were out on the sales floor he turned to my employee DJ and said what do you think fat boy.
DJ is a heavy set person but perfectly capable of doing his job. I was so thrown by what my District Manager said I just stood there with my mouth open. DJ was also thrown by this and then you could see the anger build in him.
After getting my bearings back, I pulled my District Manager into the office and asked him what he was thinking by saying that to an employee. His response was just as bad as his original comment. He said well he is fat!
After my District Manager left the store I approached DJ to make sure he was doing ok and to give him the opportunity to discuss what had happened. He was understandably still angry. I had to try to smooth over what my District Manager had done by telling DJ that it was very wrong and inexcusable. I offered to call human resources for him, but he declined.
I felt I could not let this go and called my Human Resource Manager myself. I did not give names but just asked for advice on how to deal with the situation. I felt if my District Manager was that callous with an employee then he would have no problem firing me for reporting him to human resources. This went against my morals so after a week I did report him.
I would have to say that my District Manager has no virtue or chooses not to adhere to them. Whatever values the District Manager has been taught they were not enough to teach him compassion to others.
When deciding to call human resources this became a moral issue for me. I felt if I did not call I was no better than my District Manager. If I did call human resources I was putting myself and my family at a risk...