Module 1

BUSINESS ETHICS AS
FOUNDATION OF CSR

Learning Objectives:

Upon completion of this module, students are expected to:

1. Understand the term business ethics.

2. Explain the anthropology and spirituality of business ethics.
3. Understand the role of ethics in management.
4. Explain how business ethics become a philosophy of management.

What is Business Ethics?

In 2012, it was discovered that Yahoo’s CEO, Scott Thompson falsified his education
data- which is indeed a personal failure in ethics. Some authors says that in this case ethics
should be more important than a college degree (Enderle, R. 2012)

Business ethics is a form of applied ethics that examines moral rules, theories, and
principles in a business context. Generally speaking, business ethics is a normative discipline,
whereby particular ethical standards are advocated and then applied. It makes specific
judgment about what is right and wrong, as it teaches what ought to be done and what ought
not to be done (De George, 1999). Business ethics in this book is also known as ethical
management.

Business ethics pushes the practitioner to pause and ask the questions: It is true? Is it
deceitful? It is fair? Or is it unjust? Does it cause bodily or emotional harm to others and nature?
Executives and managers are caught in a balancing act between the ideal and the practical,
such as the need to produce a reasonable profit for the shareholders and at the same time to
maintain integrity by paying correct taxes to the government (Valor, 2005, Rothman & Scott,
2004; Maximiano, 2003; De George, 1999; Carroll, 1999)

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What is the anthropology and spirituality of business ethics?

The person who works for or manages business is not just an abstract being or mere
intelligent but a human person with dignity who is subject to socio-political, moral, and
economic issues. The social nature of man shows there is interdependence between his
personal betterment and the improvement of society
The human person, a businessman, the supplier, or a consumer, is a microcosmic
specie, as he is also a social being that “has been elevated to the supernatural order,”
emphatically pronounced by Pope John XXIII (cited in Maximiano, 2003).
The fact that we are not walking bellies alone; we are not only physical. There are
other things in the human person besides the material, financial bottom line, scorecard, key
result areas, and the belly.
A good business leader is convinced that business should be at the service of the
human person, and not human person at the service of business, that ethics is above
technology and spirit above matter (see Libertatis conscientiae, 72)

What is the role of ethics in the management?

John Carr, a U.S. Conference of Catholic Bishops consultant on social teachings,

talks about Pope Francis. Carr said: “The pope’s message on the need for ethics in
economic life is not conservative or liberal, but catholic. It is not a socialist or capitalist, but
Christian. His heart is with the poor; his feet we planted in the villas miserias [the Argentine
phrase for shantytowns or slums] of Latin America” (cited in Winters, 2013).
“The need for ethics in economic life” covers a myriad of both practical and moral
problems that arise out of specific functional areas of management.

Ethical management in the workplace. Ethical management, is the foundation of

CSR in the workplace, covers those ethical issues arising from the employer-employee
relationship, such as the rights and obligations justly owned between them. These issues
cover the prevention of discrimination in the workplace and the elimination of child labor and
biased practices on the bases of age, gender, race religion, and physical attributes. It is also
include goof working conditions and occupational safety.

Ethical management regarding intellectual property rights. Here we take into

account the issues regarding copyright, patent, and trademark infringement, business
intelligence, employee trading, leaking information or industrial espionage.

Ethical management in sales, advertising, and marketing. Business ethics and

social responsibility deal with the issues on price fixing, moral dimension of the antitrust law,
bait and switch, viral marketing, and pyramid scandal, among others.

Ethical management in production. Companies are obligated by law and ethics to

ensure that products and production processes do not cause harm. The stakeholders

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involved are the consumers, the general public, and the environment- where problems arise
out of new technologies such as mobile phone radiation and genetically modified food. Well-
known cases on this area Ford Pinto, Nike, Bhopal disaster, and the use of asbestos.

Ethical management in finance, accounting, and auditing. The best cases are Enron
and Worldcom, where the issues comprise executive compensation, (criminal) manipulation
of the financial markets, bribery, facilitation payments, fraud, and false reporting. Its practical
CSR application is corporate governance, accountability, and value-based management.

How can business ethics become a philosophy of management?

Indeed, business ethics can become a philosophy of management- if the practitioner

chooses to do so. Whereas ethics is principally personal, CSR is social and corporate. In as
much as it is a practical guidepost in one’s private and professional life, business ethics is
personal. In most cases, however, the ethical behavior of a corporation depends to a large
extent on the moral conviction of its CEO and managers, meaning to say the company CSR
in a certain degree depends on the personal ethics of the CEO. In most Philippine cases,
people at the top support and push CSR within organization (Rimando, 2012).

Of course, it is desirable that ethics should be also become a corporate affair and
the conviction if the rank-and-file employees as well.

References:

Enderle, R (2012). Yahoo CEO Scandal: Ethics Should Be More Important Than a College
Degree. Retrieved July 12, 2013 from
http://www.itbusinessedge.com/cm/blogs/enderle/yahoo-ceo-scandal-ethics-should-be-
more-important-than-a-college-degree/?cs=50361

De George, R. T. (1999). Business ethics. Prentice Hall

Valor, C. (2005). Corporate social responsibility and corporate citizenship: Towards corporate
accountability. Business and Society Review. 110(2), 191-212. Retrieved November 19,
2005, from the Ebsco database.

Rothman, H. & Scott, M. (2004). Companies with a conscience. Denver, CO: MyersTempleton.

Maximiano, J. M. B. (2003). Corporate social responsibility: Basic principles and best practices:
Historico-philosophical issues in international business. Manila: DLSU University Press.

Carroll, A. (1999). Corporate social responsibility: Evolution of a definitional construct. Business

and Society. 38(3): 268-295.

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Rimando, L. (2012). How CSR is evolving in the Philippines. Retrieved July 11, 2013 from
http://www.rappler.com/newsbreak/3421-how-csr-is-evloving-in-the-philippines.

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Module 2

BUSINESS ETHICS AND CSR

COMPARED

Learning Objectives:

Upon completion of this module, students are expected to:

1. Enumerate the similarities between CSR and business ethics.

2. Discuss how did business ethics and CSR evolve.
3. Importance of CSR Department.
4. Discuss how CSR begin in the Philippines.

What are the similarities between CSR and business ethics?

The 2002 Asian Forum on CSR characterized business ethics and social responsibility
as follows:

 Beyond profit- meaning that business learns to genuinely address the common public
good beyond that of corporate interests.
 Beyond compliance- that business responds to higher standards and principles beyond
mere obedience to the law
 Beyond form- that the company goes beyond public relations and image building

There are eight similarities and common characteristics existing between business ethics and
CSR, namely;

(1) Both are beyond compliance with the law;

(2) Both are not tantamount to relativism;
(3) Both are both with universal values;
(4) Both are not utilitarian;
(5) Both are not pragmatic and practical;
(6) Both are about firm conviction;
(7) Both are beyond public relations;
(8) Both are centered on total human development.

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How did business ethics and CSR evolve?

Corporations practice CSR and ethical management differently according to how

enlightened they have become. CSR and ethical management are evolving continuously,
following several phases or periods of realization.

First phase- Company sees profit and only profit. No enterprise goes into business to be
altruistic or philanthropic, otherwise it is a non-profit organization. The overriding concern at this
initial stage is profit maximization.

Second phase- Company complies with laws and regulations, which is the minimum
requirement of being a corporate citizen.

Third phase- Company conforms to ethical requirements to build its image, as it reassess and
safeguards its reputational value. Pepsi Cola in Myanmar, HP and The Gap in El Salvador
established their ethical department and changed their corporate behavior to enhance their
corporate image.

Ultimate phase- Company institutionalizes CSR and ethical management because it is the right
thing to do. It is some kind of noblesse oblige. The enterprise truly become socially responsible
and relegate profit motive to secondary objective. Archie Carloll (1999) calls it the Four Part of
Definition of CSR.

Responsibility Social Expectation Examples

Economic Required Be profitable. Maximize sales,
minimize costs, etc.
Legal Required Obey laws and regulations.
Ethical Expected Do what is right, fair and just.
Discretionary Desired/ Expected Be a good corporate citizen.
(Philanthropic)

Should there be a CSR department?

Meralco has a chief CSR officer, who heads One Meralco Foundation, which was
launched in 2011 (onemeralcofoundation.org). It is advantageous if a company has its CSR
department that involves both leadership and the rank-and-file. Because it is primarily social,
CSR includes code of conduct, corporate citizenship, employee volunteerism, resource sharing
and management, social investment and sustainable development. CSR is interested in
broadening participation in social development. CSR is interested in broadening participation in
social development efforts by getting more people to participate in poverty alleviation programs
and community involvement. I believe that the more people are engaged in ethical management
and corporate citizenship the better.

Ethical management is a tool towards corporate excellence. While others are contented
with the minimal requirements of the moral norms and code of conduct, the goal of both
business ethics and CSR is the moral excellence of all players of business. The goal of

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business ethics is personal excellence and that of CSR is corporate excellence. Excellence is
an open-ended goal, which means a personal and corporate decision to enter the room for
improvement and become better citizens of the world (Maximiano, 2003; De George, 1999).

How did CSR begin in the Philippines?

When addressing the growing charm between the elite and the masses, a progressive
business group in Venezuela set up the first CSR organization in 1964, known as Dividendo
Voluntario para la Communidad (DVC). Learning from DVS’s avant-garde move to assist in
grassroots development, our Filipino industrialists and prominent business leaders did one of
the firsts in Asia. In 1970, fifty leading corporations responded to the call and organized a
common foundation, herewith referred to as the Philippine Business for Social Progress or
PBSP, which today is one of the most successful NGOs in the whole world- in behalf of the
marginalized sector of society.

PBSP’s contribution. In recognition of its international leadership in corporate

citizenship, the 1991 United Nations NGO Conference invited then PBSP Chair Andres Soriano
III to address the August assembly. The next year, the Prince of Wales Business Leaders
Forum cited PBSP’s exemplary work in the promotion and praxis of CSR in this part of the globe
(Sicam, 2002).

PBSP’s membership has grown to more than 160 companies, all of which have pledged
to set aside 1% of net income before taxes to bankroll and subsidize development programs. Of
this, 20% is managed by PBSP. This system of corporate responsibility is derived mainly from
the profits the companies generate. Corporate contributions are channeled through this
common foundation, where development programs are designed and implemented with the
most profound faith and contaminating zeal. Too many observers PBSP runs like a “conspiracy
in favor of social development,” and it is seen radically constructive to the Philippine society like
no other.

The new millennium saw company and private foundations sprouting like mushrooms to
share God’s blessings and help improve people’s quality of life. Ayala, Petron, San Miguel
Corporation, Gokongwei Group, Metro Pacific, Lopez Group, Aboitiz Group, Pfzer, Tan Yan
Kee, Sm and many other private institutions have established their own foundation to make a
difference in the life of Juan de la Cruz. An umbrella organization, called the League of
Corporate Foundations, is synergizing all foundation efforts to deliver a deeper impact to
society, grouping them into five sectors: Arts and culture, Education, Enterprise Development,
Environment and Health. In many companies today, employee involvement and volunteerism in
CSR events are prominent (Rimando, 2012).

It’s not all public relations for these enlightened corporations. It’s honest to goodness
public service and social accountability. Andres Soriano III once explains: “ The practice of
corporate social responsibility has evolved through the years from company philanthropy to
direct involvement. Today, corporate social responsibility has been institutionalized in many

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business organizations as a direct involvement. Today, corporate social responsibility has been
institutionalized in many business organizations as a distinct corporate function, which means
that it has become a significant part of the main line of their business” (cited in Maximiano,
2003).

References:

Maximiano, J. M. B. (2003). Corporate Social responsibility: Basic principles and best practices:
Historico-philosophical issues in international business. Manila: DLSU University Press.

Georges, E. (1999). International business ethics. Univ. of Notre Dame Press.

Sicam, P. (2002). PBSP. Annual Report 2002.

Rimando, L. (2012). How CSR is evolving in the Philippines. Retrieved July 11, 2013 from
http://www. rappler.com/newsbreak/3421-how-csr-is-evolving-in-the-philippines.

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Module 3

BUSINESS ETHICS, CSR, AND

PROFIT

Learning Objectives:

Upon completion of this module, students are expected to:

1. Explain why there is a need to balance profit with business ethics.

2. Explain governance of profits based on legislative standards.
3. Discuss who are the ethical managers of the new millennium.
4. Identify if there is a list of ethical companies.

Why is there a need to balance profit with business ethics?

CSR cannot be forced from without. High ethical conduct is very personal. Other-
centeredness comes from within. It is inherent in the organization’s objective strategy,
simply to aid the well being of the bigger society. However, without bottomline concerns,
without profit, without good ROI (return of investment) and ROA (return of assets), CSR
is a non-issue- and corporate citizenship is an impossible dream.

Profit is the lifeblood of the corporate machinery, of all business expansions,

of many social development projects and charitable contributions. The organization has
to harness its limited resources in order to achieve certain goals, foremost of which is
financial viability- and we stress that profitability is the only means to attain financial
viability. Profit compensates business for stimulating entrepreneurial activity, for the
employment of many, and rewards them for their performance.

Profit is also an important source of government revenues needed to provide

socio-educational services. Besides, the creative reinvestment of profits in research and
development “opens new frontiers, leading to new industries, new goods and services
and new employment.”

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 In the absence or lack of profit, any economic organization will hardly be able to
fulfill its obligations to its stakeholders and no business contributions to social
development is possible- to say at least. Right here, right now, no one can agree less.
When the business entity is profiting, social integrity can be regarded as preeminent
concern.

You can’t give what you don’t have. If profit doesn’t exceed their overheard, small
and medium-scale enterprises wouldn’t have a chance with secondary concerns such
as monetary philanthropy, employee volunteerism, and community involvement.
Accordingly, Levi Strauss Chairman Robert Haas once said: “The organization needs to
be an ethical creature- an organism capable of both reaping profits and making the
world a better place to live.” When profit is maximized, Levi’s believes it can afford the
practice of ethical concerns and social responsibility (Maximiano, 2003).

What do you mean by governance of profits based on legislative standards?

In the United States, the Sarbanes-Oxley Act, signed into law in July 2002, is the
single most important piece of legislation affecting corporate governance, financial
disclosure, and the practice of public accounting since the US securities laws of the
early 1930s. By strengthening standards for auditors and forcing companies to report on
internal controls, the law has improved financial statements. In other words, legislative
standards are important to ensure the governance of profits.

Hand in hand with external regulatory and legislative standards, internal

management attitude called transparency is a must in business operations. Measures
such as certification of business profit reporting systems by signature, hones reporting,
and embedding integrity in business information systems are becoming imperatives, the
objective of which is to ensure transparency, accountability, and integrity.

These measures are easy enough to describe, but frequently difficult to practice.
There have been calls for the adoption of a set of generally accepted accounting
principles (Global GAAP) as well as a need to establish standards for measuring and
reporting information that are specific to respective industries, consistently applied, and
in understandable form. In practice, these measures may be difficult to implement.

Who are the ethical managers of the new millennium?

Fortune Magazine has made a sketchy description of the new business leader for
the third millennium in some unconventional terms.

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 The managers of the workplace 2000, according to the influential journal, must
be familiar with global politics and economic situation, must have vision, entrepreneurial
spirit and a capacity to innovate. Above all, Fortune states with gusto, the manager of
the new millennium must have a solid understanding of moral (and social) principles. It
reads: “The leader of the future should have a strong grasp of ethics, be sensitive to
other’s feeling, know how to negotiate, have polished business manners, speak and
write well, and understand the uses of technology.” A similar description of 21 st century
manager was delivered by Jeroen van den Veer, Group Managing Director, Royal
Dutch/Shell Group, in June 2000 (Royal Dutch/Shell Group, 2002).

Is there is list of ethical companies?

A Us-based international group called The Ethisphere Institute makes a list of the
Most Ethical Companies in the world. That every year thousands if nominations came
from more than 100 countries and 40 countries and 40 industries the corporate desire to
be acknowledged for high ethical standards. At the heart of the selection of the most
ethical companies is an evaluation rating called Ethical Quotient TM, which includes
among other criteria the ethical compliance program, ethical leadership, and the
promotion of culture of ethics in the company (Ethisphere, 2013).

The 2013 list covers 138 organizations, which include Colgate Pamolive, eBay,
Intel, Microsoft, Accenture, Gap, Ford Motors, Kellog, and Pepsico, among others.
Several companies have made the list for seven consecutive years including: American
Express, General Electric, Milliken & Company, and Starbucks Coffee, inter alias.

References:

Maximiano, J. M. B. (2003). Corporate Social responsibility: Basic principles and best practices:
Historico-philosophical issues in international business. Manila: DLSU University Press.

Royal Dutch/Shell Group. (2002). Statement of general business principles. Governance in

Shell, Compact Disk produced by Visual Media Services, 2nd ed.

Ethisphere. World’s Most Ethical Companies. Retrieved July 12, 2013 from
http://ethisphere.com/worlds-most-ethical/wme-honorees.

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Module 4

MORAL PRINCIPLE 1: HUMAN

DIGNITY IN THE PRIORITY OF
LABOR OVER CAPITAL

Learning Objectives:

Upon completion of this module, students are expected to:

1. Definition of “man above other M’s”

2. Discuss the business factors that create wealth.
3. Explanation why labor is the means to economic development.
4. Discuss how human dignity preserved among our migrant workers or OFWs.
5. Discuss the philosophical understanding of human dignity.
6. Discuss the idea of imago Dei relevant to human labor.
7. Explain the appropriate assessment of human labor in trade and industry.

What you mean by “man above other M’s”?

Man, the human person, is above other M’s (material resources, machine,
methods, management, money, etc.). The human labor, the spiritual worker, the
intelligent capital, with God-given sublime dignity, is the real wealth creator (John Paul
II, 1981).

As differentiated from human capital (labor), material wealth includes money and
other financial resources, machines, gadgets, and state-of-the-art technology, methods
and other technical resources and the whole collection of means, which management
appropriates and transforms into products and services in order to obtain profit. All of
these are secondary to the dignity of the human labor.

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What business factors create wealth?

Providers of capital, otherwise known as shareholders or stockholders lay claim to most

wealth that corporations create or generate. They are more than convinced that corporations do
exist for one purpose alone: to maximize return to shareholders (Friedman, 1970). Such is a
basic principle reinforced by the executive decisions made by CEOs, The Wall Street Journal,
courses in business schools, and the views of the judicial courts. It appears that “maximizing
returns for the shareholders” is universally accepted as a kind of international mandate.

Shareholders or owners of business are a priority in the mind of most executives.

However, Marjorie Kelly (2001), in her book the Divine Right of Capital, challenges the idea that
achieving 15 percent returns for the shareholders is more important than paying employee a
living wage or protecting a community’s source of water. For her, other stakeholders of
business, particularly labor, should also become priorities in boardroom discussions.

Kelly argues that material capital does not and cannot create wealth and that a pile of
physical capital (be it machine, a method, a management tool) sitting anywhere creates nothing.
Kelly underlines the importance of labor, otherwise known as the human capital or intellectual
capital, the intelligent entrepreneur, the strategic manager, the diligent worker. Human resource
(labor) is also called human capital, and human knowledge is known as intellectual capital.

Is labor the means to economic development?

The human persons is not the means to be used for economic development. The other
way is true, that is, the economic development is a means for the total development of the
human person (see Mehrotra & Jolly, 1998).

Archbishop John Foley (2003), President of Pontifical Council for Social

Communications, says that “being is better than having,” and that God-given dignity depends on
the former, not on the latter.

Economist Mahar Mangahas (cited in Maximiano, 2003), made a substantial

commentary regarding the source of conflict between labor and capital at a Labor-Management
Conference sponsored by the Bishops-Businessmen’s Conference in the Philippines. He said
that “in assessing what we should first service- labor or capital and its high interest rate-we have
chosen to service the latter when it is the welfare of the former we should be most concerned
with at this time.”

How is human dignity preserved among our migrant workers or OFWs?

It is unfortunate that overseas or migrant workers, considered as modern-day heroes,

are almost prone to all sorts of exploitation by their employers in the host countries. We hear the
news almost on a daily basis about the defilement of basic rights of migrant workers in

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developed countries. For example, many of the young Filipino women who work abroad, notably
in the Middle East, are sexually exploited, like the comfort women during World War II.

In 2003, a Malaysian employer burned the face of her Filipina maid with a red-hot flat
iron- a case that has been repeated a dozen times in other countries. Cases of brutality, abuse,
and mistreatment are even expected incidents when domestic helpers from the Philippines,
Pakistan, India, Indonesia, Vietnam, Cambodia, and Thailand work abroad- mainly in the Middle
East, Japan, Singapore, Taiwan and Malaysia.

Is there a more philosophical understanding of human dignity?

There floats in the ocean of global exchange of ideas different worldviews, concepts,
and perspective about the human person and his human dignity. The human person is in every
face of the stakeholders of business (employees, customers, suppliers, etc). Human dignity is in
the laborer, as it is in the customer who has the right to be served beyond satisfaction. It is in
the community, the beneficiary of the CSR program, as it is in those in the bottom of the
pyramid.

The best concept must definitely ascribe to the human person a worth without an equal
and an assessment that is priceless. This is true as regards the human person’s individuality,
his originality, and his dignity; as regards the intangible richness arising from his fundamental
rights, his sacredness, his capacity for education, his aspirations to complete development, and
his immortality (Paul VI, 1968).

Why is the idea of imago Dei relevant to human labor?

We are all created in the image and likeness of God, hence the expression in Latin
imago Dei. That image and likeness of God in us our spiritual nature, our intelligence, our
freewill.

The movie Elephant Man, based on 1923 book of the same title, was directed by David
Lynch, Dr. Frederick Treves (played by Sir Anthony Hopkins) rescues Merrick (John Hurt) from
a sleazy sideshow display in order to study him as a medical oddity. Despite Merrick’s horrific
exterior- for it was so difficult for anyone to see the image of God in John- the doctor discovers
that he is quite intelligent and charming, and works with him in an attempt to improve his life via
culture and appreciation of high society. Every person is imago Dei, including those with
disability.

As professed by the 1948 Universal Declaration of Human Rights: “All men are created
equal in dignity and rights,” that is every man, woman, and child possess intrinsic dignity,
regardless of race or color, religion, sex, party affiliation, or business connections.

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What should be the appropriate assessment of human labor in trade and
industry?

The consideration of human dignity is significant, depending on what philosophy

of life dictates those who run business. As expected, this consideration could also be
last among the many priorities of trade and commerce. During the World Trade
Organization (WTO) First Ministerial Conference in Singapore, the Malaysian
International Trade and Industry Minister Rafidah Aziz (1996) commented that the WTO
was the wrong place to debate and address the range of social issues affecting
members and the various ills of the world. According to her, the WTO was the right
forum to tackle business, trade, commerce, and economics but the wrong forum to
discuss topics on labor, human dignity, and employee rights.

On the contrary, as Chairman of the ASEAN Chamber of Commerce, Jose

Concepcion, Jr. (1996) proposed the rationale why business has to consider the issue
of human dignity. He said that the agenda of the business should express a deliberate
commitment by all to feel the pain and agony of people who do not live in the dignity of
the human person. He added: “We cannot push free trade for free trade’s sake. Our
objective is to improve the quality of life, especially that of the poor.”

References:

Kelly, M. (2001). The divine right of capital. San Francisco, CA: Berrett-Koehler Publishers.

Mehrotram S. & Jolly, R. (1998). Development with a human face. Oxford: Oxford
University Press.

Foley, J. (2003). “Being is better than having.” Address to the World Federation of Advertisers.
Retrieved may 31, 2006, from http://www.catholicnewsagency.com/new.php?n=112

Maximiano, J. M. B. (2003). Corporate social responsibility: Basic principles and best practices:
Historico-philosophical issues in international business. Manila DLSU University Press.

Paul VI. (1968). Uniqueness of the Christian concept of the human person. L’osservatore
Romano (September 12, 1968). Vatican City: Vatican. Polyglot Press.

Aziz, R. (1996). International business. Philippine Daily Inquirer. December 13, 2.

Concepcion, J. (1996) The agenda of the business. The Philippine Star (November 13), 8.

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Module 5

MORAL PRINCIPLE 2: RESPECT

FOR BASIC EMPLOYEE RIGHTS

Learning Objectives:

Upon completion of this module, students are expected to:

1. Define the right to work.

2. Discuss the why is the right to work is fundamental.
3. Define the right to equal employment opportunities.
4. Define the right to just wage and compensation.
5. Discuss the basic employee right to security and feature.
6. Differentiate the right to due process and grievance procedure.
7. Define the right to collective bargaining.

What is the right to work?

The right to work is part and parcel of the right to life and the duty to sustain it.
The right to work is fundamental because it flows from nature, as it is inborn in every
person. The human person is created to work, to till the soil and raise cattle, to subdue
the earth and its natural resources. Social responsibility, which is both corporate and
governmental, means making an attempt to fill up this innate vacuum in the human
person (Francis, 2013; John Paul II, 1981).

Pope Francis, Labor Day 2013: Work is part of God’s loving plan, we are called
to cultivate and care for all the goods of creation and in this way share in the work
of creation! Work is fundamental to dignity of a person. Work, to use a metaphor,
“anoints” us with dignity, fills us with dignity, makes us similar to God, who has
worked and still works, who always act (cf. Jn 5:17); it gives one the ability to
maintain oneself, one’s family, to contribute to the growth of one’s nation.

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Why is the right to work is fundamental to all?

1. People work to survive. The first moral-philosophical reason why people have to work
is to satisfy some survival needs, those unavoidable physical and biological necessities
in life. There is no need to explain why basic survival requirements necessarily include
the compulsion to live with honor and dignity.

2. The second reason is the natural obligation to support our dependents. With work,
entrepreneurship, or any means of livelihood, we provide shelter, education, and daily
bread for our dependents. When the breadwinner is jobless he becomes hopeless and
desperate.

3. And the third reason is psychological, which means people work to gain and maintain
self-respect. In this sense, work becomes the highway to develop oneself. With self-
development comes our calling to cooperate in social progress, peace and order, and
betterment of society.

REASONS WHY WORK IS FUNDAMENTAL

WHY? Addressed to:
First Reason Survival needs Self
Second Reason Natural obligation to support Dependents
others
Third Reason Psychological need Self

What is the right to equal employment opportunities?

Equality in employment embraces all without discrimination: Women, gay, the

aged, and those with heavy Ilocano accent. Employers cannot and should not
discriminate in job application procedures; the hiring, advancement or discharge of
employees; employee compensation; job training; and any other terms, conditions and
privileges of employment (Mendes, 1996).

A pregnant female bank teller was ordered by management to go on leave as soon

as her belly got big enough that if she where to face against the wall her belly
would touch the wall before her feet do. Outraged by the sexual discrimination, she
demanded that all employees male and female should undergo this face-the-wall
test, to which the management reluctantly complied. The bank sent on leave one
female teller and three mean, all vice presidents.- All In a Day’s Work,” Reader’s
Digest.

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 The next level is that the right to equal job opportunity encourages business to employ
qualified people with disabilities. This human resources management policy is based on legal
imperatives and on natural law (life and dignity of the human person).

The virtue of justice obliges the government and every employer or company to
maximize benefits for them and this means more business institutions must be willing to share
bountiful resources to the marginalized members of the society are given the chance to work in
fast-food chains and some factories on certain days of the week, and given the opportunity to
receive appropriate salaries.

In the Philippines and other countries, there are stores and cafeterias whose servers and
waitresses are deaf and mute. San Miguel Corporation once employed disabled people in its
packaging and bottling sections. McDonald’s restaurants in Hong Kong, Singapore, and other
Asian cities employ senior citizens.

What is the right to just wage and compensation?

Leo XIII (1891) asserts that entirely false is the principle, widely propagated, that
the worth of labor and therefore the equitable return to be made for it should equal the
worth of its net result. In the legal sense, the just wage is the minimum wage that will
not only enable the worker to meet the bare cost of living, but will also provide a means
of desirable improvements in the quality of life. Just a wage is not only the bread to win
but also the means to enjoy a better quality of life.

For the wage to be just, some allowances for contingencies should be

considered because common sense imposes, for instance that wage may increase
accordingly when prices of commodities increase. The minimum wage is set by the
government to protect low-paid employees against all types of exploitation by setting a
floor in which their remuneration cannot further fall.

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