If you can't feed your children otherwise, you can't say no.
No we're not talking unskilled workers here. An engineer even in the middle of the GFC could have easily stood up and left their employer and found work in short notice.
If you fail economically, our society tells you that you are a failure. Ethics don't pay the bills.
Maybe this guy is just feeding himself, I don't know. But society punishes the kind of ethics you're talking about. We clearly don't actually hold that value.
No people don't hold that value in general. That's what sets most professions apart from engineering. In many countries around the world a professional engineer needs to be registered with the government and can't sign away any responsibilities to anyone other than another professional engineer. The responsibility of the profession is that you act ethically at all times. If you can't do that, and you worry about feeding your children (oh the poor think of the children comment, do you work for Fox News by chance?) then you should change profession to something less demanding on your weak mind.
Also there are ways of saying no to management without your poor children going foodless.