The academic debate on business ethics mainly concentrates on the social and ecological responsibility of companies within the society. Ethics are being regarded as crucial in the external self-presentation and public perception of (economic) organisations. The model of ‘enlightened selfinterest’ of business claims that only those companies can be economically successful which manage to convince their stakeholders of their moral integrity. According to the model, the implementation of ethical standards lies in the self-interest of companies.
As some authors state in recent publications, ethics also become more and more an internal concern of organisations. Whereas formerly the interests of employees were ignored or only regarded as one of several stakeholders’ interests, the ethical management of employees itself gains in significance. Especially human resource management (HRM) plays a decisive role in introducing and implementing ethics. The essay outlines some aspects of ethics in HRM. It sketches ethical concerns that emerged in recent HRM debates, and reflects the viewpoint that ethics should be a pivotal issue for HR specialists. A number of ethical frameworks and their application in HRM policies and practices are reviewed. Here, the focus is mainly on barriers and obstacles to introducing ethical standards in HRM activities. Finally, some first steps to putting ethics into HRM practice are outlined.
Table of Contents
1. Introduction
2. Ethical Concerns in HRM
3. Ethical Concepts and Frameworks in HRM
3.1 Ethical Egoism
3.2 Deontological Ethics and Ethics of Justice
3.3 Stakeholder Ethics
3.4 Teleological Ethics
3.5 Welfare and Virtue Ethics
4. Application of HRM Ethics in Practice
4.1 Obstacles to Ethical HRM
4.2 First Steps into Practice
5. Conclusion
Research Objectives and Key Topics
This essay explores the increasing relevance of ethical considerations within human resource management (HRM). It examines the primary ethical challenges currently facing HR specialists, reviews various philosophical frameworks applicable to employment relations, and outlines practical initial steps for integrating ethical standards into daily HR operations.
- The evolution of business ethics from an external to an internal organizational concern.
- Ethical challenges associated with modern HRM practices like performance surveillance and risk-shifting.
- Application of diverse ethical frameworks, including deontological, teleological, and stakeholder theories.
- Identification of structural and practical barriers to implementing ethical HRM.
- Strategic development of ethical leadership and stewardship within organizations.
Excerpt from the Book
2. Ethical Concerns in HRM
Although “ethical problems arise almost continually in human resource management” (Hosmer 1987: 313), in academic debates around HRM ethical issues have been of “marginal significance” (Winstanley and Woodall 2000a: 5) for long and gained increasing interest in publications only a short time ago. The attention paid to moral dimensions of HRM was triggered by some objectionable changes in organisations’ management of people, as several recent developments in HRM policies and practices had raised a number of serious ethical questions. Ethically doubtful HRM practices develop, for example, in the field of “insecurity and risk” (Winstanley et al 1996:6), as employers tend to shift economic risks onto the shoulders of their employees. The boom of performance-related pay systems and flexible employment contracts are indicators of these newly established forms of shifting risk.
The “surveillance and control” (Winstanley et al 1996: 6) of employees is another ethically sensitive area in recent HRM. By “evaluating, grading, and classifying individuals” (Winstanley and Woodall 2001: 42) management seeks for transparent employees in order to select those offering not only outstanding professional abilities and knowledge but also displaying desired behaviour, attitudes, motivation and interests. Therefore, modern HRM puts a lot of effort in techniques of evading the autonomy and privacy of employees (e.g. psychometric tests and performance control systems) or even enforcing attitudes and values through change programmes (Winstanley et al 1996: 7).
Summary of Chapters
1. Introduction: The introduction sets the stage for the ethical debate in business and highlights the emerging necessity for ethical leadership within the HRM function.
2. Ethical Concerns in HRM: This chapter identifies current ethical issues, specifically focusing on the conflict between organizational demands and employee autonomy, privacy, and risk-sharing.
3. Ethical Concepts and Frameworks in HRM: This section provides an overview of various philosophical frameworks, ranging from ethical egoism to virtue ethics, that can guide HR decision-making.
4. Application of HRM Ethics in Practice: The chapter explores the practical implementation of ethical standards and highlights systemic obstacles, such as the profit motive and labor market pressures.
5. Conclusion: The conclusion summarizes the main findings and reiterates that implementing ethical HRM is a collective responsibility of practitioners and professional institutions.
Keywords
Human Resource Management, Business Ethics, Ethical Leadership, Organizational Justice, Stakeholder Theory, Ethical Egoism, Deontological Ethics, Teleological Ethics, Virtue Ethics, Employee Rights, Corporate Governance, Ethical Stewardship, Labour Relations, Workplace Privacy, Performance Management.
Frequently Asked Questions
What is the primary focus of this work?
This work focuses on the integration of ethical standards within human resource management, analyzing how HR professionals can navigate moral dilemmas in modern organizational settings.
What are the central thematic areas?
The core themes include the historical neglect of ethics in HRM, the impact of current management practices on employee welfare, and the application of normative ethical frameworks to organizational policies.
What is the main goal or research question?
The study aims to outline how ethical reasoning can be established as a pivotal issue for HR specialists to improve organizational credibility and employee trust.
Which scientific methods are employed?
The essay utilizes a literature-based theoretical analysis, drawing upon academic publications and established ethical frameworks to evaluate HRM practices.
What is covered in the main section of the paper?
The main section details specific ethical concepts, barriers to ethical practice such as the profit motive, and actionable steps for HR departments to implement ethical standards.
Which keywords characterize the work?
Key terms include Human Resource Management, Ethical Leadership, Organizational Justice, Stakeholder Theory, and Ethical Stewardship.
What are the limitations of the stakeholder approach in practice?
The author notes that stakeholder involvement can be time-consuming and often secondary to the immediate interests of shareholders and customers, potentially rendering it mere rhetoric.
How can HR managers overcome the "inbetween" position they occupy?
The paper suggests that HR managers must foster transparency and include both management and employees in the process of formulating ethical standards to gain legitimacy.
- Quote paper
- Marco Köster (Author), 2002, Ethics in Human Resource Management, Munich, GRIN Verlag, https://www.grin.com/document/25297
