MGT 567 Legal and Ethical Responsibilities

SAMPLE

All organizations are subjected to different responsibilities. Some responsibilities are legal, while others maintain an ethical standing. Regardless of the 'tag' for each responsibility, they are essential to an organization's success.

In addition to the legal responsibilities, the organization should meet certain ethical responsibilities. The development and distribution of an ethical code of conduct has a dual purpose. First, it can help to curb unethical actions by employees, to include management. Second, it is a clear communication that defines the company from a moral and ethical standing. It provides insight into the company's 'personal' interest.

The company employees are important stakeholders; while they may be in a lower position, they provide us the labor necessary to meet the organizational needs. Therefore, we need to be very careful in handling any ethical situations.

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Imagine you are the VP of Human Resources of a medium-sized, privately held manufacturing company. Sales and profits have dropped sharply because of a downturn in the economy. The company owner wants you to take immediate action to reduce incentive payments for salespeople and implement a month-long layoff for all production workers. He does not want to affect management employees in any way. Although his requests are within the letter of the law, they do not seem to be ethical in your opinion.

Compose a memo of no more than 900 words to the owner outlining your concerns and emphasizing the difference between legal and ethical responsibilities.

Legal and Ethical Responsibilities