Employee

Stakeholders and
Workplace Issues

Search the Web

The Department of Labor maintains
an online Corporate Citizenship
Resource Center at:
www.ttrc.doleta.gov/citizen

16-1
1
 Chapter Sixteen
Objectives
Identify the major changes occurring in the
workforce today
Outline the new social contract between
employers and employees
Explain the employee rights movement
Discuss the employment-at-will doctrine
Discuss the right to due process and fair
treatment
Describe the actions companies are taking to
make the workplace friendlier
Elaborate on the freedom-of-speech issue
and whistle blowing
16-2
2
 Chapter Sixteen Outline
The New Social The Right to Due
Contract Process and Fair
The Employee Treatment
Rights Movement Freedom of
The Right to a Speech in the
Job/Not to Be Workplace
Fired Without Whistle Blowing
Cause Summary

16-3
 Introduction to Chapter
Sixteen
Consider how global competition has
reshaped the social contract between
organizations and their workers
Consider the trend of expanding
employee rights
Right not to be fired without just cause
Right to due process and fair treatment
Right to freedom of speech within the
workplace

16-4
The New Social Contract

Business Understandings
Organizations Employees
Expectations Expectations

16-5
 Social Contract
Reasons for the Change in the
Social Contract

Global Competition
Technology advances
Deregulation

16-6
Social Contract: Changes
Old Social Contract
Job security
Life careers with one employer
Loyalty to employer
Paternalism
Sense of entitlement
Stable, rising income
Focus on individual
accomplishments
New Social Contract
Few tenure arrangements
Few life careers; changes common
Loyalty to self
Relationships far less familial
Personal responsibility for ones
job future
Pay for value added
Focus on team building and
projects
16-7
Social Contract: New View

16-8
 Employee Rights
Movement
For nonunion workers, employee rights
issue continues to be a problem . . .
That is, the employees desires to be
treated with dignity and respect, to
have a right to due process,
privacy, freedom of speech, and
safety, and even a right to a job.

16-9
 Employee Rights
Movement
Sources of Employee Rights
Statutory rights
Collective bargaining rights
Enterprise rights

16-10
 Employee Rights
Movement
Models of Management Morality and
their Orientation Toward Employees

Moral Amoral Immoral

End Law Means

16-11
 Right Not to be Fired
Without Just Cause
Employment-at-Will Doctrine
Public policy exceptions
Contractual actions
Breach of good faith actions

16-12
Right Not to be Fired Without
Just Cause
Managements
Response
1. Stay on the right side of the law
2. Investigate complaints in good
faith
3. Deal in good faith with employees
4. Fire only for good cause

16-13
The Right to Due Process
Types of Due Process
Substantive due process
Right to fair treatment
Procedural due process
Right to a fair system of decision
making

16-14
The Right to Due Process

Employee
Constitutionalism
Procedure Equitable
Visible Easy to use
Effective Apply to all
Institutionalized employees

16-15
 Alternative Dispute
Resolution
Common Approach
Open door policy
Three concerns
Process is closed
One person review
Bias in favor of managers

16-16
 Alternative Dispute
Resolution: Ethical Ways
for Due Process
Hearing
Hearingprocedurepermits
procedure
procedurepermits
procedure employees
employeestotobe
be
represented
representedby
byattorney
attorneyororneutral
neutralparty
party

Peer
PeerReview
ReviewPanelFellow
Panel
PanelFellow
Panel
workers
workersininthe
thesame
samejobjobfamily
familyand
and
atataagrade
gradelevel
levelequal
equaltotoororhigher
higher
than
thanthetheemployee
employeewith
withaagrievance
grievance

OmbudspersonA
Ombudsperson troubleshooter
Ombudsperson
OmbudspersonA troubleshooter investigates
investigatesand
andhelps
helps
achieve equitable settlements for employee complaints
achieve equitable settlements for employee complaints

16-17
 Whistle Blowing
Corporat
Corporat Employe
Employe
ee
Loyalty ee
Employer
Employer
Obedience
Confidentiality

Corporat
Corporat Responsibility Responsibility
Employe
Employe
ee Public
Public
ee
Employer
Employer
(Has certain
rights)
(Has certain (Has certain
rights) rights)
Whistle blowing

16-18
Consequences of Whistle-
Blowing
Increased criticism of work
Less desirable work assignments
Pressure to drop charges against the
company
Heavier workloads
Loss perquisites
Exclusion from meetings
16-19
 Whistle-Blowing
Seven Stages of Life of a Whistle-
Blower
Discovery of the organizational abuse
Reflection on what action to take
Confrontation with superiors
Retaliation against the whistle-blower
Long haul of legal action
Termination of the case
Going on to a new life
16-20
 Whistle-Blowing

Examples of Government
Protection
Civil Service Reform Act
Whistle-Blowers Protection Act of
Michigan
False Claims Act

16-21
 Managements
Preemptive Responses to
Whistle-Blowing
The company should assure employees
that the organization will not interfere
with their basic political freedoms.
Grievance procedure should be
streamlined so that employees can direct
complaints and not blow the whistle.
Review the organizations concept of
social responsibility so that it is not
simply corporate giving to charity.
16-22
 Managements
Preemptive Responses to
Whistle-Blowing
Formally recognize respect for the
individual consciences of employees.
Realize that dealing harshly with
whistle blowing can result in adverse
public reaction.

16-23
 Selected Key Terms
1978 Civil Service Employee rights
Reform Act Employment-at-
Alternative dispute will doctrine
resolution (ADR) Enterprise rights
Collective False Claims Act
bargaining
Good faith
Due process principle
Employee Hearing procedure
constitutionalism
16-24
 Selected Key Terms

Implied contracts Public policy

Ombudsperson exception
Open-door policy Social contract
Peer review panel Statutory
Private property rights
Whistle-blower

16-25