Disloyalty is always a vice, but loyalty is not always a virtue, so ethical management should not seek simply whatever loyalty it can get. Loyalty can make it possible for us to trust each other, and, when it takes appropriate objects and does not take extreme or improper forms, it can lie at the heart of much of what makes life worthwhile. Hence, it is understandable that corporations and management seek loyalty despite the fact that it can so easily go (...) wrong. This paper deals with the issues of the grounds and objects of the employee loyalty that it is appropriate for management to seek. (shrink)

ABSTRACT:Lateral hiring is the intentional action of one employer to identify, solicit, and hire an individual or group of employees currently employed by another firm, a practice often pejoratively labeled “poaching.” We use the method of critical genealogy to demonstrate that the norms that discourage lateral hiring are constructions used by powerful employers to control the turnover of their employees, making them subjects of their employer’s power rather than free and autonomous people in their own right. We suggest instead that (...) ethical responsibility for entertaining or rejecting lateral hiring offers rests with the focal employee(s). We conclude that the form and symmetry of loyalty between employees and their current employers are the determinants of the appropriateness of an employee’s decision to entertain and accept outside offers. These conclusions imply responsibilities for employers to forge (and employees to honor) symmetrical relational loyalty in the workplace, but not for alternate employers to refrain from making lateral hiring offers. (shrink)

The treatment of employees during downsizing and corporate restructuring raises many ethical issues. To provide a common framework for understanding ethical decisions facing organizations delivering the news of dismissal to affected employees, Integrative Social Contracts Theory and the research on social exchange was used to integrate existing research on employee dismissal. Of particular importance was determining the criteria necessary to manage the dismissal process within ethical boundaries. Three basic criteria, which together represent a variety of contractual and transactional obligations, are (...) proposed as necessary for an ethical approach to dismissal; 1) advance warning of the job loss, 2) open communication, and 3) institutionalized support services. The frequency with which organizations meet these criteria is examined using a geographically dispersed, cross-organizational sample of 770 involuntarily displaced professional employees. In addition, the effect of such an ethical approach to dismissal on individual psychological and financial outcomes is examined. Findings are discussed as they relate to the implicit contract between employee and employer and organizations' responsibility to employees during corporate restructuring. (shrink)