Ethics in Human Resource Management

Topics: Ethics, Business ethics, Decision making Pages: 5 (1412 words) Published: January 16, 2014

Standards, morals, values, and ethics have become increasingly complicated in today’s society where absolutes have given way to tolerance and ambiguity. This affects human resource managers, where decisions will affect people jobs. Ethics is the discipline that deals with what is right and wrong or with moral duty and obligation (Moody, 2013, p.24). Human resource management deals with the work force planning and development. Human resource ethics is the application of ethical principles to human resource relationships and activities (Mondy, 2013, p.30). It is the human resource department that really matters when it comes to ethics since it deals with human issues such as compensation, safety, health and development. It is important that companies are ethical in their decision making. When a company has good ethical behavior, they serve as a role model for their employees as well as their community. This behavior promotes social responsibility and lets employees know that the company is trustworthy with integrity. It is mainly up to the individual, employee or the human social unit who benefits from ethics. Ethics is important for the following reasons: satisfying human basic needs, creating credibility, uniting people with leadership, improving decision making, long term gains and securing society (Importance of Ethics, 2013, para 2). Companies must put strategies in place in order to ensure all employees within the company are able to make ethical decisions. Using ethical business practices are a key for long term success.

2 Current Situation
Most large corporations within the United States now have a code of ethics, which encompasses written conduct standards, internal education, and formal agreements on industry standards (Mondy, 2013, p.24). Even with standards in place, business ethics scandals continue to make headlines today. Although ethics involve more issue than compensation, it seems as if the majority of unethical acts are motivated by financial reasons. Recently, a group of Atlanta teachers were indicted on a cheating scandal. Teachers would sit in a room for hours erasing wrong answers and marking the correct answers. The motivation behind this was for the, superintendent to receive high test scores because high test scores equal bonus money. Doctors are billing insurance companies for work not completed; by doing this doctors are committing fraud in order to have financial gain. Investment firms are operating ponzi schemes, which involve selling ideas of large returns, whereas companies are taking funds from new investors and paying dividends to old investors. There is no form of occupation that has not had its own ethnical issues in the recent years.

In order to avoid situations mentioned in the examples, human resource management aim to attract the right people with the right frame of mind to contribute to the company. They are looking for individuals that are able to grow and with the company. As the company grows, employees also grow in knowledge and experience in order to support the organization. Quality decision making does not come automatically. It takes training and experience to make effective decisions. Decision making is a task HR is faced with every day. They have to decide on a daily basis on how issues should be handled ethically and with integrity.

3 Analysis of Issue
Human resources play a major role in applying ethical principles. Human resource managers set examples for the rest of the company. Most large companies have a human resource department in which employees have someone to help them with different issues, which includes managing sick days, holiday pay,...
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