MGT 341: ETHICS FINAL
69 Cards in this Set
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Judging people on prejudice not merit
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discrimination
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agency run by the secretary of labor
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OSHA
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theory that argues discrimination is unethical because it is not reversible
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rights theory
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publicly reporting an organization's bad behavior
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whistleblowing
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major provisions of 1991 civil right act
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SNODARRR
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quid pro quo is a form of this
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harassment
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not being able to smoke at home invades this form of privacy
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physical
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consideration requested by someone inside the organization by someone outside the organization for favorable treatment
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extortion
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under this it is ok to be fired for having blonde hair
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at - will employment
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consideration offered by someone outside the firm to someone inside the firm for special treatment
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bribe
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one way a defendant can rebut a charge of adverse impact
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BFOQ
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name the four components of CSR
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1. Economic Responsibilities
2. Legal Responsibilities
3. Ethical Responsibilities
4. Discretionary Responsibilities
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what are some economic responsibilities within CSR?
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generate high profits
maximize EPS
operate at high efficiency
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what are some legal responsibilites within CSR?
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* comply with local/state/federal laws
* produce goods and services that meet the minimum legal standards
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what are some ethical responsibilities within CSR?
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*meet/exceed minimum legal/governmental standards
*meet/exceed social norm expectations
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what are some discretionary responsibilities within CSR?
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charitable giving
employee programs
community involvement
cultural development
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Note: the responsibilities within CSR create conflicting pressures to sacrifice one of the responsibilities to meet the responsibilities of another component
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...
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Dennis Kozlowski worked for which company and what did he do to go to jail?
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*Tyco
*Company paid $1 million to hold a party on an Italian island and was disguised as a shareholder's meeting to get corporate funding
* Sentenced to 8-25 years
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Who did Ken Lay and Jeff Skilling work for and what did they do to go to jail?
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*Enron
*Fraud and conspiracy
*Fined $45 million dollars and serving a 24 year sentence
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Who did Bernard Madoff work for and what did he do to go to jail?
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Madoff Securities
*Ponzi Scheme
*Sentenced to 150 years in prison
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Who was the CFO at healthsouth that blew the whistle?
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William Owens - he wore a wire
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•Formal relationships designed to achieve some technical or economic goal with maximum efficiency
•Formal structure and hierarchy with clear lines of authority
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Rational Organizations
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Law of Agency states that employees have a duty to
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* work towards the goal of the firm
* avoid activities that would harm the firm
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• When self-interests of employees lead to decisions that are not in the best interest of the firm they are called
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Conflicts of Interest
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What are some possible conflicts of interest?
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–Financial
–Personal
–Consulting
–Real or potential
–Appearance
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When is a gift acceptable?
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When the gift is given with no strings attached
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What are some rules of gifting?
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•Is the value of the gift substantial enough to influence one’s decisions?
•Was the gift intended as a bribe?
•Was the gift given to celebrate an event?
•Is the recipient in a position to influence decisions in favor of the giver?
•Is gift giving part of the industry standard?
•What …
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Using company resources for your own benefit is referred to as
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Theft
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List some possible ways to steal from a company
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–Padding an expense account
–Taking home office supplies
–Embezzlement
–Stealing time
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•Buying or selling stock based on “inside” information about the company not available to the general public is referred to as
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insider trading
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Insider trading violates:
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* individuals' rights by getting them to sell their stock at a lower value
* unfair to use information that doesn't belong to you
* decreases market efficiency (utility) by driving up the cost of buying and selling stock
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Firms must provide its employees with
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* a fair wage
* satisfying jobs
* provide safe and healthful working conditions
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The right to determine what, to whom, and how much information about oneself shall be disclosed to others is referred to as
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Right to Privacy
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Name the two types of privacy
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psychological & physical
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protection of one's inner thoughts, plans, beliefs, values, feelings, and wants
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psychological privacy
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protection of one's personal activities
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physical privacy
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what are the limits on the invasion of privacy?
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* Relevance
* Consent
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Relevance (with regards to limits on privacy invasion) means
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the inquiry from an employer must be relevant to the job performed
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Consent (with regards to limits on privacy) means
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employees must provide consent before employers can investigate private aspects of their lives
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What are the two methods to invade someones privacy?
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* Ordinary: supervisory activities that are normally used to oversee employees' work
* Extraordinary: hidden microphones, secret cameras, wiretaps, lie detector tests, personality tests
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What are some justifications for the use of extraordinary privacy methods?
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* Cannot solve the problem without them
* Using the method will end the problem
* Temporary usage
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The freedom from having to participate in activities that you feel are wrong is referred to as:
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Freedom of Conscience
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Disclosing any wrongdoing in or by an organization by an employee or former employee
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Whistleblowing
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Activities reported to authorities in the organization who are in a position to fix the problem
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Internal Whistleblowing
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Activities reported to government officials, newspapers, or public interest group
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External whistleblowing
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What are some justifications for external whistleblowing?
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* internal whistleblowing has failed
* external whistleblowing will stop the activity
* clear evidence shows the firm is engaged in an activity that is or will seriously wrong other parties
* wrong is serious enough to justify the damage that will be inflicted on oneself, family, and o…
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Employment at will means
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you are employed without a contract and can be hired or quit at anytime for any reason
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The use of tactics by individuals or groups that are not formally sanctioned by the organization to advance one’s own goals refers to
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organizational politics
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Name some political tactics
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* Blaming others
* Controlling information
* Developing coalitions
* Building one's image
* Ingratiating
* Associating with influential others
* Creating obligations
* Developing power bases
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The wrongful act of distinguishing illicitly among people not on the basis of individual merit but on the basis of prejudice is referred to as
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discrimination
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What are the elements of discrimination?
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1.Ignoring qualifications when making a decision
2.Basis of the decision cannot be morally justified
3.The decision has a harmful effect on the object of the decision
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What are the forms of discrimination?
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Institutionalized & Intentional
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The Civil Rights of 1964:
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* Prohibited discrimination based on race, color, religion, sex, or national origin
* Protected compensation and employment terms, conditions, and privileges
* Impetus was Wallace’s “Stand in the School House Door”
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EEO Cases That Preceded the 1991 Civil Rights Act
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* Patterson v. McLean Credit Union (1978)
–section 1981 - contracts
* Wards Cove v. Antonio (1989)
–shifted the burden of proof
* Martin v. Wilks (1989)
–allowed reverse discrimination claims
* Lorance v. AT&T (1989)
–300-day filing deadline
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The 1991 Civil Rights Act added provisions which included:
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* SNODARRR
* Added damages and jury trials
* Eliminated “Race Norming” of employment tests
* Expanded coverage under Section 1981
* Allowed statistics to develop prima facie case in adverse impact situations
* Established the Glass Ceiling Commission
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Name the two types of discrimination
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Disparate Treatment & Adverse Impact
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Disparate treatment involves
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different rules for different groups
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Adverse impact involves
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same rules for all but one group is impacted more than another
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In disparate treatment cases the plaintiff must demonstrate that:
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(1) he or she belongs to a minority
(2) he or she applied for and was qualified for the job
(3) he or she was rejected for the job
(4) that the job remained open
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In a disparate treatment case the defendant must:
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must show a job-based, non-discriminatory reason for the action taken.
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In an adverse impact case the plaintiff must:
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* must demonstrate statistically that the practice in question affects various groups differently
* must show that an alternative practice can be used, and that the alternative practice results in less adverse impact.
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In an adverse impact case the defendant:
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can rebut charges with
–bona fide occupational qualification,
–business necessity, or
–validation data
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"Society’s productivity will be optimized when jobs are awarded based on merit or competency" is a _____ view of discrimination
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utilitarian
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"Individuals have a moral right to be treated as free persons equal to any other persons" is the ____ view of discrimination
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* Rights
* Discriminatory behaviors cannot be universalized or reversalized
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"Discrimination violates the laws of justice because it closes off desirable offices and positions creating conditions of inequality
lBenefits are not equally distributed" is the ____ view of discrimination
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Justice
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Name some management practices that can create discrimination
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* Recruitment
* Screening
* Promotions
* Conditions of Employment
* Discharge
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submission to such conduct is made either explicitly or implicitly a term or condition of an individual’s employment is this type of sexual harassment
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quid pro quo
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such conduct has the purpose or effect of unreasonably interfering with an individual’s work performance is referred to as
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a hostile work environment
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The obligation companies have to develop and implement courses of action that abide by social and ethical norms and aid in social issues that impact society.
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corporate social responsibility
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MGT 341: EXAM 1