Employees Flashcards
Why can employees be considered stakeholders?
They constitute the firm and are key representatives
In some cases they may even own the firm
They are a key asset and arguably the most important
What is the hard HR model
Strict control, high job insecurity, employees as a cost to be minimised
See employees as a means to an end (ethics of duties, maxim 2)
Utilitarian approach
What is the soft HR model
Employees are seen as an asset that are to be developed and nurtured
Serological approach- duty to employees
Principle of corporate rights- the organisation has the obligation to not violate the rights of others
Apple arguably practices both
What are the ethical issues in hrm
Core ethical dilemma - people are resources that should be managed in ways that maximises efficiency and minimises costs
What is the ethical issue with the term HRM?
Firms employ labour to achieve ends (Kant)
But humans deserve respect and dignity
Should be treated as just a means to an end
What are the key ethical issues associated with employees?
Privacy Discrimination Sexual harassment Security Participation and association Favouritism
Sense of right is no longer uniform if globalised
What is the race to the bottom perspective?
Multinationals through strong demand and falling prices, move around globally to pick and choose lowest cost centres
Lower costs often accompanied by
Poor labour conditions
Less environmental protection
Low attention to health and safety
what is the problems with governments and the race to the bottom
To attract foreign capital l, governments may cut taxes or loosed social safety nets
Many do not protect human rights and suppress unions
What are the ethical challenges of globalisation
Takes western countries to countries with little or no employment regulation
Labour conditions,
Wage rates and child labour
Legal vacuum- global governance gaps
Employee rights are viewed differently in different cultures
What are the enabling conditions of extreme labour exploitation?
Industry context
Socioeconomic( extreme poverty, unemployment and education)
Geographic( geographical isolation and distance from home)
Cultural context (traditions and entrenched inequalities
What are the key facts Crane discloses about slavery?
30 million slaves in today’s workforce
Estimates of 50,000- 150,000 in the USA
Human trafficking is the fastest growing form of organised crime
What are the 4 features of slavery?
Forced to work through threat
Owned or controlled by employer
Dehumanised and treated as a commodity
Physically constrained or restricted in freedom of movement
What ultimately is slavery
Essentially an attempt to underprice a key resource through illegitimate means
What are the two slavery management techniques
Exploiting and insulating
- access and deployment of violence
- debt management - debt contracts to slaves
- accounting opacity
- labour supply chain management
Sustaining and shaping capabilities
- moral legitimisation - make sure it’s legitimised in immediate community
- domain maintenance
What are the legal and economic aspects of employees as stakeholders
Legal- contractually connected that stipulates rights and duties of both parties
Economic- asset specificity and can create moral hazard
Employees may move geographically
Dependency
Employers also face moral hazard