The document discusses ethics in human resource management. It introduces ethics and defines it as dealing with moral principles that govern behavior and differentiate between right and wrong. Ethics in HRM indicates fair treatment of employees. Regulations that guide ethics include internal policies on recruitment, promotion, discrimination, and harassment as well as external laws. Examples are provided of discrimination lawsuits and sexual harassment cases. Ethical decision making in HRM involves identifying problems, developing alternatives, and recommending solutions while considering stakeholders and organizational goals.

1. It’s all about Moral Principles…….
ETHICS IN HRMSubmitted To:
Mrs. Deepshikha Sharma
Assistant Professor
Submitted By:
Dheeraj Rawal (30615210002)
Riya Tyagi (30615210009)
Garima Jain(30615210013)
Yogesh Seth(32215210012)
Int. MBA/BBA (IIIrd Year)

2. OVERVIEW
• INTRODUCTION TO ETHICS
• INTRODUCTION TO ETHICS IN HRM
• INTERNAL AND EXTERNAL REGULATIONS
• EXPLIOTATION OF EMPLOYEE
• DECISION MAKING IN HRM

3. ETHICS
The branch of knowledge that deals with moral
principles.
Differentiates between Right & Wrong, Good
or Bad.
(Moral Principles that govern a person’s behavior or the conducting of an activity.)

4. ETHICS IN HRM
Ethics in HRM indicates the treatment of employees with ordinary attention and
distributive justice.
The ethical business contributes to business goals as the employee will feel
motivated and they will work with efficiency & effectiveness.
It deals with the moral obligations of the employer towards employee to
maintain equality and equity(fair) justice.

5. Ethics in
HRM
Internal
Regulations
External
Regulations
 Recruitment and Selection
 Promotion
 Job Discrimination
 Sexual Harassment
 Consumers
 Fair Prices
 False Claims
 Health and Safety
 Privacy

6. RECRUITMENT AND SELECTION
Ethics play very important role during the
recruiting process. Some of the common
ethical issues are:
Not reviewing candidates on the basis of
merit.
Placing misleading advertisement for jobs.
Misrepresenting the requirement of current
position.
Presenting a expiring offer to a candidate.
Faking a relationship with employee.
Selecting more than required number of
people.

7. RECRUITMENT AND SELECTION : CASE STUDY
 X is graduated with a degree in financial management. X is quite good, although the grades
did not reflect this.
 X not found a job for about a year.
 Father of X who was a principal in private college is really upset
about this and discussed it with owner of a furniture company who
supplies materials for college.
 The furniture owner hires X without going through screening and
interview and pay higher wages as compare to other worker.
 The other employee in the department discovered the reason
behind this and X also knows that later on X developed a habit
of coming late, giving hard tasks to others, taking long lunch
breaks and leaving early.
This type of practices demotives the other employees working in the organization as well as impacts
the target and goals of the organization. Also it may close relationship with the associate

8. PROMOTION
The common promotional practices of ethical consideration include:
 Promotion by choice not by skills.
 Promotion by person not by performance.
 Promotion by favour not by merit.
 Promotion by discrimination not by qualification.
Case Study:
Hopkins working as a senior manager, having best performance
among all her competitors was denied promotion because of
partnership status. Her denial of partnership was described as “Walk
more femalely, dress more femalely, wear make up, and wear
jewellary”Ann Hopkins filed a sex discrimination suit in federal court. In
1990, Hopkins was awarded her partnership and $3,50,000 in
damages.

9. Job Discrimination
 Job discrimination is when business decisions, policies or procedures are least partially
based on illegal form of discrimination or harm for a certain group of people.
• Case Study:
Wal-Mart was charged with discrimination against its female
employees in compensation, promotions and job assignments
in violation of the Civil Rights Act of 1964.
 Refusing to hire black people, paying women
less than men for comparable work, and
refusing to give homosexuals promotions are
all egregious forms of job discrimination.
The plaintiffs alleged that Wal-Mart mistreated women in various ways:
• They earn much less than their male counterparts even when they had more experience than men or
performed better than them.
• The case also alleged that Wal-Mart prevented women employees from advancing by Prohibiting them from
working in departments that were traditionally assigned to men (and often paid less).

10. Sexual Harassment
 It implies misconduct or unwelcome behavior towards person at work causing them humiliation
and insulted.
 It can be verbal, non-verbal or physical.
• Case Study:
Phaneesh Murthy, a top level executive and a director
on the company board, was accused of sexually
harassing and unlawfully firing his subordinate, Reka
Maximovitch. One of India’s best known software
executives and a rising star at the time, Phaneesh
Murthy had to resign from Infosys in 2002 after his
secretary Reka Maximovitch accused him of sexual
harassment.

11.  It is the act of treating one’s workers
unfairly for own’s benefit.
 It is a social relationship based on a
fundamental asymmetry in a power
relationship between workers and their
employers.
 Making workers overtime without
paying them extra wages.

12.  It is the act of treating one’s workers unfairly for own’s benefit.
 It can be defined as the process of evaluating decision, either pre
or post, with respect to the moral standards of a society’s culture.
 An ethical decision is one which upholds the most important
values of the greatest extent possible is one which uploads the
most important values to the greatest extent possible whilst
violating the least number possible.
 The thought process of selecting a logical choice from the
available options.

13. ETHICAL DECISION MAKING PROCESS
Implementation of Action
Recommendation of the best solution among the various alternatives.
Evaluation of the alternative in terms of SWOT analysis.
Development of alternative solution to the problem.
Identification of the problem

14. LIMITATIONS IN MAKING ETHICAL DECISION
Conflicting Moral Standards.
Absence of ethical cultural in the organization.
Focuses on the profit maximization of business.
Lack of ethical leadership in the organizations.
Lack of suitable opportunity to practice the ethics.
Conflict b/w individual values & organizational goals.
Decision making without proper & adequate ethical dimesions.

15. Thank you……
Submitted By:
Dheeraj Rawal (30615210002)
Riya Tyagi (30615210009)
Garima Jain(30615210013)
Yogesh Seth(32215210012)
Int. MBA/BBA (IIIrd Year)