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HR Ethical Dimensions. First phase – a preoccupation with social justice Second phase – a preoccupation with development of humane bureaucracy General interest in ethics. Defining Ethics.
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HR Ethical Dimensions • First phase – a preoccupation with social justice • Second phase – a preoccupation with development of humane bureaucracy • General interest in ethics
Defining Ethics Dictionary singular definition – ‘The moral value of human conduct and the principles that ought to govern that conduct’ Dictionary plural definition – ‘A social, religious or civil code of behaviour considered to be correct, especially that of a particular group or profession’
Ethics In Business Terms • Part of a culture of an individual business • Sets the behaviour by which staff abide • Sets guidelines followed by staff as it makes practical sense in enabling them to do their jobs
Early Management Concerns With Ethics • Victorian philanthropists • Andrew Carnegie – charity and stewardship • Milton Friedman – criticism of social responsibility • 1980s return of interest
Incongruity of Business Ethics • Business is about the pursuit of profits – won’t businesses act immorally whenever necessary? • Executive salaries being out of line – isn’t dramatic inequality wrong? • Is it wrong to subject workers in their mature years to so much insecurity? (Novak, 1996)
Need For Ethical Guidelines People seek justification for their decisions and actions • Moral justification – value systems • Ethical principles – voluntary agreement by members • Ethical standards – generated by businesses
Codes of Ethics • By early 1990s one third of leading British companies had a written ethical code • How are they supported by people to whom they apply? • Necessary that all codes are understood, appreciated, and willingly honoured
Criticisms of HRM Approach to Ethics • HRM is amoral and anti social – ignores the pluralistic nature of work organisations • They have lost their claim to independent professional standing • Is ecologically destructive (Hart, 1993)
HR Interest in Ethics • Welfare concept • Deviant innovator
Job Enrichment & Humanising the Workplace • HR managers have not abandoned their interest in welfare • Personnel managers shun traditional approach as it is ineffectual • Concentration on surroundings in which work is carried out • Giving more meaning to jobs • Need for hearts and minds not just hands and muscle
CIPD Code of Professional Conduct • Accuracy • Confidentiality • Counselling • Developing others • Equal opportunities • Fair dealing • Self development
Ethics Across National Boundaries • Social responsibility international dimension has still to be developed • Ethical standards vary • Games are played between governments and multinational companies
Current & Developing Ethical Dilemmas • Environment • Equalising opportunities • Quality of working life • Information technology • Employment • Self improvement • Personal element
Life in the Business • Quality working life holds • Job redesign initiatives • Has the quality of working life declined? • Workplace stress • Lack of comfortable feelings of security
IT & the Workplace • What will be done to make up for what technology will take from us? • How great will the influence of the computer on HRM work actually become? • Will technology provide a different social institution?
Employment • How will people find employment • Management of own careers • Flexible employability • How will job prospects in the economy be improved?
Self Improvement • Relating pay to performance • Delayering • Development of novel aspects of corporate culture
On a Personal Note • Ethical challenge – process of management is seen to be carried out by people • MBWA – management by walking about • HR as ‘a contact sport’ • HR managers need an ethical sense
Summary (1 of 2) • Ethics are part of the corporate culture that sets the norms of behaviour staff will abide by • Ethical standards vary between national cultures • Ethical codes are only valid if they are appreciated & willingly implemented
Summary (2 of 2) • Personnel managers and HRM practices are regularly criticised for failure of social responsibility • CIPD has a code for its members • There are a number of current and developing ethical dilemmas