Outcome 3 Ethics and the Organization

OrganizationAn organization is formed when

• Individuals from different backgrounds and varied interests

• come together and

• Work towards common goals.

• Each person is assigned with different tasks.

Organizational Ethics• Norms and ethical standards to be

followed by people associated with the organization.

• Various guidelines and principles which decide the way individuals should behave at the workplace.

Ethical issues at workplace

• Ethical issues – Employers

• Ethical issues - Employees

Ethical Issues - Employers

A. Favoritism or discrimination

B. Excessive working hours

C. Breach of privacy

D. Unsafe work atmosphere

E. Low wage and salary

F. Terminating employee without notice

A. Favoritism or Discrimination

• Employer favors a particular worker with regard to promotions and other benefits

• while neglecting others.

Discrimination

On the basis of

• Gender,

• Age,

• Color,

• Nationality, etc.

B. Excessive Working Hours

• Giving work for long working hours

• without providing additional benefits.

C. Breach of Privacy

Employer watches employees’ activities and their emails through modern information and communication technologies.

D. Unsafe work atmosphere

Employers do not follow many safety regulations to reduce the cost and to increase the profit.

This causes unhealthy and unsafe work environment.

Training is required against accidents

Unhealthy and unsafe work atmosphere

• Poor Ventilation

• Air pressure

• Dust

• Vibrating machinery, lighting

• Heat stress, hot surface

• Dangerous goods, explosives

• Chemical hazard (eg. Paints, cleaning supplies, etc)

E. Low wages and salaryMany employers often pay lesser wages

ignoring the labor laws.

More work Less pay

F. Terminating employee without notice

Termination should be done

• after prior information and

• notice of at least a month or two months.

So that the worker can find another job.

Ethical Issues - Employees

A.Misuse of company resources

B.Employee theft or taking home the company’s assets

C.Violation of rules and regulations

D.Working for multiple organizations

A. Misuse of company resources

Some employees make use of office computer, printers, telephone, etc. for personal uses (unethical).

Personal work needs to be kept personal.

Misuse of office phone

B. Employee theft

Some employees take company tools and stationeries to use them at home (unethical).

Working for more than one organization at a time shows disloyalty of an employee.

Employees’ obligations towards the organization

A. Honesty

B. Behavior standards

C.Job completion

D. Information security

E. Punctuality and regularity

F. Not to accept bribes or other benefits

A. Honesty

A. Honesty

Employees should always be honest.

B. Behavior StandardsEmployees should behave in a

professional manner consistent with the company values and standards.

Employees should contribute to the success of an organization.

C. Job Completion

Employees are responsible to complete a given task on time.

D. Information SecurityEmployees should not share

any confidential information to outside people or to the competitors.

E. Punctuality and Regularity

Punctuality and regularity in job are the prime responsibility of every employee.

Any unavoidable delays should be informed to the employer.

F. Not to accept bribes or other benefits

• Giving or accepting bribes or undeserved benefits of any kind are immoral and illegal.

• Any kind of bribes should not be paid or accepted from customers, politicians, government representatives or advisors.

Bribe – Meaning

A bribe is a payment to someone

• to secure a sale or

• to obtain approval or

• assistance from an individual or organization.

Employer’s obligations to employees

A. Ensure safe work environment

B. Ensure growth and development of employees

C. Maintain ethical practices

D. Recognize employee contributions

A. Ensure safe work environment

Ensuring safe work environment for their employees is a prime responsibility of employer.

Employer should take care of physical and emotional aspects of work environment.

Dangerous chemicals in electronic products

• Berylium (fumes and dusts) – during refining and processing berylium, berylium oxide can be produced – affect lungs.

• Cadmium (fumes and dusts) – used in the production of laptop batteries – damage of kidneys, hypertension, heart disease, lung cancer.

• Mercury (vapor or dusts)– While dismantling flat screen displays mercury is released – kidney damage, heart disease, damage nervous system.

Source

toxic-tech-chemicals-in-elec.pdf

B. Ensure growth and development of employees

Employer should provide his employees the chance to grow and develop.

If employees do not get chance they will remain less productive.

Career development (ongoing acquisition or refinement of skills and knowledge)

C. Maintain ethical practices

Ethical practices are important

•to sustain (to keep existence) and

•to keep positive relationships with employees.

Ethical practices provide employees confidence.

D. Recognize employee contributions

Employer should recognize employees’ contributions

•verbally and

•other types of rewards.

Types of rewards

• Praise or appreciation

• Allow flexibility in employee’s schedule

• Gift cards

• Money (bonus, salary increase, etc)

• Providing party

Benefits of applying organizational ethics

A. Attract and retain high quality employees.

B. Attract and retain high quality customers.

C. Attract and retain high quality investors.

D. Higher product and service quality

E. Higher level of employee productivity

F. Earn goodwill

Challenges of applying organizational ethics

A. Limits company’s freedom to maximize profits.

B. Ensuring improved working conditions increases the cost.

C. Trained employees may tend to move to other organizations on getting better offers.