Chapter Slide 1
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Pee ca eaey) Chapter Slide 2
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Chapter 6
ETHICAL ISSUES AND
| PROBLEMS IN BUSINESS
= AND THE CORPORATE
WORLDey Chapters Slide 3
Objectives
_ At the end this chapter, the students are expected
to: s
1. Examine the different issues and problems in
q business and the business enterprise from the
; moral perspective; i
t re 2. Develop a framework for analysis and E
Se_- _resolution of ethical dilemmas and problems
affecting business;Chapter6 Slide 4
3. Acquire basic information about questionable
business practices and their impact to its
stakeholders; and
Develop problem-solving skills using the
philosophical qualitative approach to resolve
ethical problems in the business and corporate
world.ey) Chapters Slide 5
Sexual Harassment
* “Unwelcome sexual advances, requests for |
sexual favors, and other verbal or physical
: conduct of a sexual nature constitute sexual 2
harassment when submission to or rejection of i
this conduct explicitly or implicitly affects an
individual’s employment, unreasonably
interferes with an individual’s work be
performance, or creates an intimidating, hostile,
or offensive work environment.”Chapter6 Slide 6
* Anti-Sexual Act of 1995 or R.A. 7877
— toward this end, all forms of sexual
harassment in the employment, education,
or training environment are hereby declared
unlawfuley Chapter Slide 7
Why Does Sexual Harassment Occur?
Sexual harassment occurs due to the power
struggle between men and women as a response
to a real or imagined loss of power or as an
expression of retaliation or a flexing of the newChapter6 Slide 8
Two Types of Sexual Harassment
Sexual harassment falls into two general
categories:
1.“Quid Pro Quo” Harassment; and
2. A harassment that creates a hostile
environment.“Quid Pro Quo” Harassment
Chapter6 Slide 9
— “Quid pro quo” means “this for that”
(something for something) and the
harassment is manifested by requiring a
sexual favor as a condition of employment or
in exchange for an employment benefit (such
as promotion).ey) Chapter Slide 10
¢ Inthe hostile environment type of harassment,
abuses include verbal, physical, and visual
conducts that create an intimidating
environment in the workplace that interferes
with work performance.
This harassment may be based on race, religion,
sexual orientation, disability, etc.ey) Chapter Slide 11,
The Profiles of the Victim and the Harasser
1.The victim or the harasser can either be a woman
oraman.
2.The harasser can be the victim’s supervisor, any
coworker, or even a non-employee.
3.The victim could be anyone affected by the
offensive conduct.
~ 4.The harasser’s conduct must be unwelcomed.Chapter 6 Slide 12
How to Prevent Sexual Harassment in the
WorkplaceChapters Slide 13
Communicating the Sexual Harassment Policy
*expose regularly on bulletin boards, memos,
articles in the organization’s newsletters, meetings,
and trainings
Training programs may come up with various
topics to assure each employee of a safe andey Chapter 6 Slide 14
Legal Penalties of R.A. 7877
— Imprisonment of not less than one (1)
month but not more than six (6) months
— Fine of not less than Ten Thousand Pesos
(10,000) but not more than Twenty
Thousand Pesos (20,000)ey Chapter6 Slide 15
The Problem of Just Wage
Work and Compensation
* Being compensated for a work or services done
is part of the essence of work.
;
* The main objective of compensation is to
create a system of reward that is equitable to
the employer and employee.Chapter 6 Slide 16
seme
Types of Wages
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The Question of Just Wage
A just wage is defined as that remuneration
which is enough to support the wage earner in
reasonable and frugal comfort.
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aChapters Slide 18
The Teachings of the Catholic Church on
Wages
* Rerum Novarum
— (also known as the Capital and Labor) Pope
Leo XIII did not attempt to calculate a just
wage; he only decried that the marketplace
alone should set wage structures.ey Chapter Slide 19
* Quadragesimo Anno
— Pope Pius XI advocated the minimum wage;
introduced the concept of profit-sharing and
giving workers a say ina company’s
management.
— developed the concept of family wage as one
sufficient wage for a single wage earner to
support his familyey Chapter 6 Slide 20
* Mater et Magistra
— Popes John XXIII and Paul VI called on
governments to stop business abuses and to
press for full employment policies.
— focused the world’s attention to the widening
gap between the rich and the poor, the arms
race, and the plight of the farmersey Chapter 6 Slide 21
* Laborem Exercens
: — discussed the modern problems of human
work and the duties of the church toward it
; — Pope John Paul II offered an assessment of
. what is just compensation; declaring that
: workers have “fundamental rights” to health-
care insurance, suitable working conditions,
Es and rest periods.Chapter 6 Slide 22
Centesimus Annus
— Pope John Paul II stated that “Society and
State must ensure wage levels adequate for
the maintenance of the worker and his
e family, including a certain amount for
ee ;
ES savings.”
ee
=ey) Chapter 6 Slide 23
* Catholic Bishops’ Conference of the Philippines
(CBCP): On Social Justice
— The CBCP in a pastoral letter on “Social
Justice,” referred to a just wage as “family
wage” that should guarantee man the :
= opportunity to provide a dignified livelihood 3
Si ee for himself and his family on the material, 5
E social, cultural, and spiritual levels.ey) Chapter 6 Slide 24
The Issue of Just Wage Has Also Been Discussed
by Other Agencies
*1948 Universal Declaration of Human Rights
— “The right to work, to free choice of
employment, to just and favorable conditions
SS of work, and to protection against
eS ce unemployment (Art. 23 [1])...
. —... the right to equal pay for equal work (Art.
eee 23 [2]).”
Right 1, No part of this Learning Device may be
Se eee ee riorChapter 6 Slide 25
* 1966 International Convention on Economic,
Social and Cultural Rights
— Article 7: “The right to fair wages and equal
remuneration for work of equal value.”
— “Equal pay for men and women workers.”ey) Chapter 6 Slide 26
|
Philippine Constitution and Republic Act 6727
* Sec. 3 of Art. XIll.
— “That the workers are entitled to a living
wage.”
* Republic Act No. 6727
— The Wage Rationalization Act declared the
policy of the State to rationalize the fixing of
minimum wages considering existing regional
disparities in the cost of living and other
socioeconomic factors.
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Chapter 6 Slide 27
Factors to Consider in the Formula
on of Fair Wages
+ refer to the supply and demand for labor and the so-called
‘economic conditions and underemployment
+ Workers should be paid in accordance with laws and regulations
issued by the government.
+ relates to basic maintenance needs and it mustbe seriously
considered in the formulation of wages
+ Each industry has a set minimum wage.
+ Assessment on what type of industry the organization operates,
the sizeof the company, etc. justify its at
wages toits workers,
to provide fair
+ Duties, responsibilities, and the skil requirements of the job are
probably the most considerable determinants of fair wage.
+ Productivity ratings affect the determination of wage/salary
increases.
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eee areChapter 6 Slide 28
ome Issues on Just Wage
The minimum wage mandated by the government is not a
i guarantee of a just and fair wage.
P a ee a a a
Mutual agreements regarding wages may not be advantageous to
the workers.
Geographic differences hinder the formulation of a common
definition of fair wage.
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Wage indexation to cost of living is not usually met by majority of
the employers.
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Companies have different interpretations of the justifiable pay for
certain job positions, skills, and tasks.
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The more the supply of labor, the less the compensation being
given to workers,
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