This chapter explores issues, policies, and problems related to ethics, fair treatment,
discipline and termination of employees. These issues have become more critical in today's
environment. Some of our objectives are: To explain what is meant by ethical behavior
at work; discuss important factors that shape ethical behavior; describe specific ways in
which HR management can influence ethical behavior, and to employ fair disciplinary
practices.
Ethics refers to "the principles of conduct governing an individual or a group." Ethical
decisions also involve morality, which is society's accepted standards of behavior.
Unfortunately, it is not always clear which decisions are ethical and which are not. In
many cases we use the law as a benchmark to determine our behavior. However, the law is
not always the best guide about what is ethical because something may be legal but not right,
and something may be right but not legal. We were all raised with essentially the same
values: "Don't lie, don't cheat, don't steal." Ethics means making decisions that represent
what you stand for, not just what is legal.
Experts generally define organizational justice in terms of three components: distributive
justice, procedural justice, and interactional, or interpersonal, justice.
Let's discuss these components using a performance appraisal example. Distributive justice refers
to the perceived fairness of the decision's result. So the question here is, "Do you,
as an employee, feel that the end result of the performance evaluation was fair." Once
again, we are looking at the perceived end result or outcome.
Procedural justice refers to the fairness of the process. Here, the question we could
ask is, "Do you believe the process the organization uses to do their performance evaluations is
fair? Are their methods fair?"
Interactional, or interpersonal, justice refers to "the manner in which managers conduct their
interpersonal dealings with employees," and in particular to the degree to which they
treat employees with dignity as opposed to abuse or disrespect. The question here is,
"Does the organization treat all employees similarly and with respect? In relation to
performance appraisal, do they give feedback in a private area where the employees feel
comfortable and do they do this for everyone?
There are several factors that shape the ethics of an organization. The first are individual
factors. Because people bring to their jobs their own ideas of what is morally right and
wrong, the individual must shoulder much of the credit (or blame) for their behavior.
There are also organizational factors; the scary thing about unethical behavior at work
is that it's not necessarily driven by personal interests. Studies show ethical lapses occur
because employees feel pressure to do what they think is best to help their companies.
The boss also has a tremendous amount of influence on behavior. The manager sets the tone, and
by his or her actions sends signals about what is appropriate behavior. For example,
if you see the boss take a longer lunch break, then what signal does that send to you?
Having an ethics policy, or code, is a signal that the firm is serious about ethics. Sometimes
ethics codes work, and sometimes they don't. In many cases it depends on how often the
organization enforces the policy and reminds employees of the expected behavior outlines
in the code.
Lastly, the organizational culture helps to define what is expected. Organizational culture
is the characteristic values, traditions, and behaviors a company's employees share.
To an outside observer, a company's culture reveals itself in several ways. You can see
it in employees' patterns of behavior, such as ceremonial events and written and spoken
commands. You can also see it in the physical manifestations of a company's behavior, such
as its written rules, office layout, organizational structure, and dress codes.
There are many reasons to treat employees fairly. Some of the outcomes of both the organization
and the employee include: reduced number of workplace lawsuits; increased employee commitment;
increased work satisfaction and the increased number of organizational citizenship behaviors
(or OCBs). OCBs are behaviors individuals engage in, not because they are required to,
but because they help other coworkers or the organization succeed. For example, agreeing
to help pick up the slack for an ailing coworker without some sort of reward or incentive is
considered an OCB.
There are several specific ways that HR can directly cultivate an ethical workforce. For
example, screening out undesirables can actually start before the applicant even applies, if
the HR department creates recruitment materials containing explicit references to the company's
emphasis on integrity and ethics. The selection process also sends signals about what the
company's value and culture really are, in terms of ethical and fair treatment.
Training is also a key issue. Ethics training typically plays a big role in helping employers
nurture a culture of ethics and fair play. Such training usually includes showing employees
how to recognize ethical dilemmas, how to use ethical frameworks to resolve problems,
and how to use HR functions in ethical ways.
The firm's performance appraisal process provides another opportunity to emphasize its commitment
to ethics and fairness. The appraisal can actually measure employees' adherence to high
ethical standards. It also rewards individuals for their ethical behavior and vice versa.
Workplace aggression and violence are increasingly serious problems. Many HR actions, including
layoffs, promotion decisions, terminations, and discipline can prompt perceptions of unfair
treatment that translate into dysfunctional behavior. The way the organization handles
these issues from the beginning can go a long way towards curbing feelings of unfairness.
For example, if an organization must layoff some employees, providing these employees
with counseling or referring them to an employment agency can help these displaced individuals
feel less anxious about the transition. It also helps them to feel like their company
cares about them and is sorry to let them go.
The purpose of discipline is to encourage employees to behave sensibly at work. In an
organization, rules and regulations serve the same purpose that laws do in society;
discipline is called for when one of these rules or regulations is violated. A fair and
just discipline process is based on three pillars: clear rules and regulations, a system
of progressive penalties, and an appeals process. The organization must have a discipline policy
to help ensure order but that does not mean they have the right to infringe upon your
right to privacy. The courts have upheld an employee's right to privacy, both in and outside
of work. Some employer violations include: intrusion; publication of private matters;
disclosure of medical records; and the appropriation of an employee's name or likeness.
Some actions by employers that have triggered privacy violations include: background checks
without the employee's consent, monitoring off-duty conduct and lifestyle, non-work related
drug testing, workplace searches without probable cause, and monitoring of workplace behavior
and communications without your knowledge.
The ECPA restricts the employer from monitoring or intercepting oral and wire communications.
However, via the "business purpose exception," an employer may monitor communication for
legitimate business purposes. Additionally, employers may monitor communication with an
employee's consent.
Defining and describing the law is easy; it is the application of the laws that makes
ethics and fair treatment of employees complicated. In the end, it's all about treating people
how you wish to be treated.