Ethics and Corporate Social Responsibility

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Introduction
Codes
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Issues in the workplace not handled ethically, legally or socially responsible
manner can lead to poor morale, low productivity, heavy costs and industrial
disputes.
- Ethical business practices are socially responsible, morally right, honourable
and fair.
- A socially responsible, ethical employer recognises:
- Good working conditions are valuable in motivating and retaining
staff
- Performance and motivation are maximised when staff feel
secured.
- An effective workplace benefits from good working relationships
- Business depends on community support
- Customers find out which business are acting responsibly
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An ethical framework must be included into workforce, which
includes:
- Code of Conduct: a statement of acceptable and
unacceptable behaviour in the workforce
- Code of Ethics: a statement of a firm’s values and
principles
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Benefits of ethical practices include:
- Staff retention and lowering of absenteeism
- Business costs reduced (training/recruiting) and
performance is enhanced
- Significant marketing and business opportunities through
best practice covered by the media.
Ethics and Corporate Social Responsibility
Working Conditions
Working Conditions Under Strife
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Fair and safe working conditions are achieved through:
- Compliance with social justice and industrial
legislation
- Providing a safe and healthy working
environment
- Creating challenging and interesting work
- Improve communications
- Offer flexible working hours and conditions
- Establish a code of practice for consumers,
employees and suppliers.
- Evaluating and benchmarking the
performance of the business
- Improve access to management positions
through study leave and training opportunities
- Implement change through collaboration with
the staff.
Google Offices
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Working conditions have come under fire through the
media because of increase competition and high labour
costs (60% of most businesses costs).
Becoming competitive has been reflected in growth of
casual and part-time jobs, which employees lack job
security, no leave entitlements and long shifts.
Exploitation of outsourcing and subcontracting locally and
offshore is often raised as an ethical issue
Many are concerned about child labour to secure cheapest
labour, in which employers argue due to the pressure of
demand of profit from stakeholders, they are in constant
search for more efficient approaches to reducing cost, in
particular labour.
Businesses respond by seeking accreditation from agencies
such as Ethical clothing Australia and Fair Wear Foundation
(businesses in the clothing industry, renowned to have
‘sweatshops’). Also undertake audits of their offshore and
local operations
Sweatshops
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