Organizations increasingly rely on algorithm-based HR decision-making to monitor their employees. This trend is reinforced by the technology industry claiming that its decision-making tools are efficient and objective, downplaying their potential biases. In our manuscript, we identify an important challenge arising from the efficiency-driven logic of algorithm-based HR decision-making, namely that it may shift the delicate balance between employees’ personal integrity and compliance more in the direction of compliance. We suggest that critical data literacy, ethical awareness, the use of participatory (...) design methods, and private regulatory regimes within civil society can help overcome these challenges. Our paper contributes to literature on workplace monitoring, critical data studies, personal integrity, and literature at the intersection between HR management and corporate responsibility. (shrink)

Recent scholarship in business ethics has revealed the importance of privacy expectations as they relate to implicit privacy norms and the business practices that may violate these expectations. Yet, it is unclear how and when businesses may violate these expectations, factors that form or influence privacy expectations, or whether or not expectations have in fact been violated by company actions. This article reports the findings of three studies exploring how and when the corporate dissemination of consumer data violates privacy expectations. (...) The results indicate that consumer sentiment is more negative following intentional releases of sensitive consumer data, but the effect of data dissemination is more complex than that of company intentionality and data sensitivity alone. Companies can effectively set, and re-affirm, privacy expectations via consent procedures preceding and succeeding data dissemination notifications. Although implied consent has become more widely used in practice, we show how explicit consent outperforms implied consent in these regards. Importantly, this research provides process evidence that identifies perceived violation of privacy expectations as the underlying mechanism to explain the deleterious effects, on consumer sentiment, when company actions are misaligned with consumers’ privacy expectations. Ethical implications for companies collecting and disseminating consumer information are offered. (shrink)

Biometric technologies are at the forefront of organizational innovation, surveillance, and control. In many instances, the use of physiological and behavioral biometrics enhances individual and organizational performance. However, they also have the potential to hinder human wellbeing. In particular, recent generations of biometrics are capable of extracting deeper insights into human behavior, enabling organizational surveillance practices, but may also constrain individual rights and freedoms. While biometric technologies have been evidenced to infringe upon privacy and lead to discriminatory practices, little research (...) has examined the impact of biometrics on dignity, an important ethical construct related to human wellbeing. In this conceptual paper, we draw from the theory of affordances to identify and delineate six affordances of biometric technologies, categorized into inhibiting and augmenting biometric affordances. We propose a framework in which inhibiting and augmenting biometric affordances may simultaneously support and humiliate dignity. This separation offers a theoretical base for future empirical research to explore the increasingly pervasive relationship between biometric adoption and human dignity. Moreover, we explain six paradoxical tensions across three forms of dignity—inherent, behavioral, and meritocratic—in the proposed framework. Finally, we discuss why firms should be responsible for addressing the tensions across dignity forms when they adopt biometric technologies to balance the trade-off between wealth creation and human wellbeing. This offers guidance for practitioners on how to integrate biometric technologies without hindering human dignity. (shrink)

ABSTRACT:The oft-cited privacy paradox is the perceived disconnect between individuals’ stated privacy expectations, as captured in surveys, and consumer market behavior in going online: individuals purport to value privacy yet still disclose information to firms. The goal of this paper is to empirically examine the conceptualization of privacy postdisclosure assumed in the privacy paradox. Contrary to the privacy paradox, the results here suggest consumers retain strong privacy expectations even after disclosing information. Privacy violations are valued akin to security violations in (...) creating distrust in firms and in consumer willingness to engage with firms. This paper broadens the scope of corporate responsibility to suggest firms have a positive obligation to identify reasonable expectations of privacy of consumers. In addition, research perpetuating the privacy paradox, through the mistaken framing of disclosure as proof of anti-privacy behavior, gives license to firms to act contrary to the interests of consumers. (shrink)

The sharing economy has transformed economic transactions, created new organizational forms, and contributed to changes in consumer culture. Started as a movement with promises of a more sustainable, democratic, and inclusive economy, the sharing economy, and its impact on issues such as privacy, discrimination, worker rights, and regulation, is now the subject of heated debate. Many of these issues root in the changes that digital technologies have brought and the unresolved moral and ethical questions emerging therefrom. This special issue contributes (...) to this ongoing debate with five articles that develop theoretical frameworks and conduct empirical investigations, providing fine-grained analyses of urgent issues in the sharing economy. In this article, we highlight these and other issues that we believe deserve further attention from business ethics scholarship. (shrink)

This paper investigates the drivers and inhibitors of Internet privacy concern. Applying the Multidimensional Development Theory to the online environment, we identify the important factors under four dimensions—i.e., environmental, individual, information management, and interaction management. We tested our model using data from an online survey of 2417 individuals in Hong Kong. The results show that the factors under all four dimensions are significant in the formation of Internet privacy concern. Specifically, familiarity with government legislation, Internet knowledge, benefit of information disclosure, (...) privacy protection, and social presence reduce Internet privacy concern, while individuals’ previous privacy invasion experience, risk avoidance personality, and sensitivity of information requested by websites increase Internet privacy concern. We conducted an analysis of unobserved heterogeneity to confirm the significance of these factors. A follow-up moderation analysis shows that the individual factors moderate the effects of the information management factor and the interaction management factors. The findings provide an integrated understanding of the formation of Internet privacy concern. (shrink)

Biometric technology was once the purview of security, with face recognition and fingerprint scans used for identification and law enforcement. This is no longer the case; biometrics is increasingly used for commercial and civil applications. Due to the widespread diffusion of biometrics, it is important to address the ethical issues inherent to the development and deployment of the technology. This article explores the burgeoning research on biometrics for non-security purposes and the ethical implications for organizations. This will be achieved by (...) reviewing the literature on biometrics and business ethics and drawing from disciplines such as computer ethics to inform a more robust discussion of key themes. Although there are many ethical concerns, privacy is the key issue, with associated themes. These include definitions of privacy, the privacy paradox, informed consent, regulatory frameworks and guidelines, and discrimination. Despite the proliferation of biometric technology, there is little empirical research on applied biometrics and business ethics. As such, there are several avenues for research to improve understanding of the ethical implications of using this technology. (shrink)

Mental health-related data generated by app users during the routine use of Consumer Mental Health Apps (CMHAs) are being increasingly leveraged for research and product improvement studies. However, it remains unclear which ethical safeguards and practices should be implemented by researchers and app developers to protect users during these studies, and concerns have been raised over their current implementation in CMHAs. To better understand which ethical safeguards and practices are implemented, why and how, 17 app developers and researchers were interviewed (...) who had been involved in using CMHA data for studies. Interviewees discussed the impact on stakeholder interests, sufficiency thresholds and procedural alterations of informed consent, data protection, gathering app user perspectives and representing users in app design and study conduct, and ensuring adequate support. Although the reasoning behind how and why these ethical safeguards and practices should be implemented showed considerable variability and several gaps, interviewees converged on various general lines of reasoning. This allowed for the development of a coherent and nuanced account that could prove useful for future CMHA studies and which could stimulate further normative investigation of the role of ethical safeguards and practices in these studies. (shrink)

In addition to data transforming the insurance sector from within, insurance consumers and their behaviour has transformed significantly over the past 20 years from traditional retail to, predominantly, online trading. Data are a fundamental part of how the sector operates, and the use of data in insurance is constantly evolving. This paper aims to explore consumer perceptions about digital privacy and their subsequent motivations to disclose personal data for insurance purposes.,The study uses an exploratory research approach based on in-depth interviews (...) to generate metathemes to provide an understanding of consumer perceptions about digital privacy and data sharing in the insurance sector.,Consumers were extrinsically motivated to disclose data by financial reward and convenience; however, subsequent intrinsic motivations may be an influence on the initial motivations. Consumers perceived transactions as “fair” if they received the expected rewards, retained control of the data, and the data was not unilaterally used to their detriment. Concern for privacy was generally low, provided antecedent conditions were met.,As the study uses an exploration for discovery approach, the main limitation of this study is its small sample. However, this research aimed to identify metathemes and issues that may be the focus of future research in this area and is, therefore, not proposing to suggest strong conclusions and definitive answers.,This paper presents the first empirical research to examine data privacy issues in the UK insurance context. It contributes to knowledge in the areas of motivation, applied ethics and online consumer behaviour in general. (shrink)

The development of “smart stadia”, i.e. the use of “smart technologies” in the way sports stadia are designed and managed, promises to enhance the experience of attending a live match through innovative and improved services for the audience, as well as for the players, vendors and other stadium stakeholders. These developments offer us a timely opportunity to reflect on the ethical implications of the use of smart technologies and the emerging Internet of Things. The IoT has the potential to radically (...) transform society and is representative of the ways that novel technologies will alter human life. We use Dublin’s Croke Park stadium smart project as a case study for examining the development of smart stadia. (shrink)

Privacy is a critical challenge for corporate social responsibility in the mobile device ecosystem. Mobile application firms can collect granular and largely unregulated data about their consumers, and must make ethical decisions about how and whether to collect, store, and share these data. This paper conducts a discourse analysis of mobile application developer forums to discover when and how privacy conversations, as a representative of larger ethical debates, arise during development. It finds that online forums can be useful spaces for (...) ethical deliberations, as developers use these spaces to define, discuss, and justify their values. It also discovers that ethical discussions in mobile development are prompted by work practices which vary considerably between iOS and Android, today’s two major mobile platforms. For educators, regulators, and managers interested in encouraging more ethical discussion and deliberation in mobile development, these work practices provide a valuable point of entry. But while the triggers for privacy conversations are quite different between platforms, ultimately the justifications for privacy are similar. Developers for both platforms use moral and cautionary tales, moral evaluation, and instrumental and technical rationalization to justify and legitimize privacy as a value in mobile development. Understanding these three forms of justification for privacy is useful to educators, regulators, and managers who wish to promote ethical practices in mobile development. (shrink)

For more than three decades, Integrative Social Contracts Theory (ISCT) has been lauded as a business ethics theory particularly well suited to the international arena, especially because of its alleged ability to reconcile respect for cultural idiosyncrasies and normative teeth. However, this theory has also faced various objections, many of which its authors have responded to with varying degrees of satisfaction. As a contribution to this debate, this article provides a unifying rationale for many of those objections by exploring their (...) rooting in the Separation thesis. It submits that this fact negatively impacts the theory with three major challenges, namely: significant limitations to correctly frame moral issues and situations; poor identification of hypernorms; and insufficient theoretical grounding of hypernorms. This critique highlights the need for the entanglement of the normative and the empirical in business ethics theorizing. (shrink)

Companies increasingly deploy artificial intelligence technologies in their personnel recruiting and selection process to streamline it, making it faster and more efficient. AI applications can be found in various stages of recruiting, such as writing job ads, screening of applicant resumes, and analyzing video interviews via face recognition software. As these new technologies significantly impact people’s lives and careers but often trigger ethical concerns, the ethicality of these AI applications needs to be comprehensively understood. However, given the novelty of AI (...) applications in recruiting practice, the subject is still an emerging topic in academic literature. To inform and strengthen the foundation for future research, this paper systematically reviews the extant literature on the ethicality of AI-enabled recruiting to date. We identify 51 articles dealing with the topic, which we synthesize by mapping the ethical opportunities, risks, and ambiguities, as well as the proposed ways to mitigate ethical risks in practice. Based on this review, we identify gaps in the extant literature and point out moral questions that call for deeper exploration in future research. (shrink)

While previous literature provides evidence of the positive relationship between ethical climate and job satisfaction, the possible mechanisms of this relationship are still underexplored. This study aims to enhance scholars’ and practitioners’ understanding of the ethical climate–job satisfaction relationship by identifying and testing two of the possible mechanisms. More specifically, this study fills an existing research gap by examining social and interpersonal mechanisms, referred to in this study as workplace isolation of colleagues and salesperson’s teamwork, of the ethical climate–job satisfaction (...) relationship. This is vital for the selling profession because job satisfaction is known to drive higher levels of salespeople’s performance. The arguments for such mechanisms are built on the foundations of social/psychological contract theory and ethical climate literature. Empirical testing using a large sample of salespeople shows higher levels of ethical climate to decrease workplace isolation and increase teamwork. Findings support hypothesized model where ethical climate positively relates to job satisfaction as partially mediated by workplace isolation and teamwork. Ethical climate is negatively related to workplace isolation and positively to teamwork. Further, findings indicate negative effect of workplace isolation on teamwork and sales performance. Job satisfaction is found to be key factor in driving performance of salespeople. (shrink)

The Internet and electronic communication technologies have taken the psychological field by storm. From the innovations of new web interventions for easier access to care to the increased ease of client scheduling and communication, these developments have greatly advanced mental health care. However, these advantages are also laced with ethical implications that warrant attention. Without judicious consideration, social media use by psychotherapists can lead to inadvertent self-disclosures to clients that risk damaging the therapeutic alliance, interfering with therapeutic processes, and placing (...) both the client and clinician at risk. A better understanding of the ethical implications of social media use is warranted so that guidelines for appropriate use can be developed and implemented. This article highlights the potential risks associated with social media use by psychotherapists and, in absence of formalized guidelines, offers recommendations for best practices. (shrink)

The concept of people’s memory maintains the finiteness of time and capacity. However, with the advancement in technology, the amount of storage memory a person can use has increased dramatically. Given that digital traces can hardly be erased or forgotten, individuals have begun to express their desire to be forgotten in the digital world, and governments and academia are considering methods to fulfill such wishes. Capturing the difficulties in terms of a cultural lag between technological advancements and regulations on individuals’ (...) data privacy needs, we identify six motives for individuals wishing to be forgotten online and investigate its expected effects on online content generation through a qualitative content analysis of 222 responses from open-ended surveys in Korea. Our findings provide implications for the literature on individual privacy and the right to be forgotten employing the cultural lag, as well as, elaborate further on the relationship between being forgotten online and the legitimacy of such requests of individuals. Additionally, implications for data providers, data controllers/processors, and governments to address this lag and build a balanced system of personal information are provided. (shrink)

Clicks, comments, transactions, and physical movements are being increasingly recorded and analyzed by Big Data processors who use this information to trace the sentiment and activities of markets and voters. While the benefits of Big Data have received considerable attention, it is the potential social costs of practices associated with Big Data that are of interest to us in this paper. Prior research has investigated the impact of Big Data on individual privacy rights, however, there is also growing recognition of (...) its capacity to be mobilized for surveillance purposes. Our paper delineates the underlying issues of privacy and surveillance and presents them as in tension with one another. We postulate that efforts at controlling Big Data may create a trade-off of risks rather than an overall improvement in data protection. We explore this idea in relation to the principles of the European Union’s General Data Protection Regulation as it arguably embodies the new ‘gold standard’ of cyber-laws. We posit that safeguards advocated by the law, anonymization and pseudonymization, while representing effective counter measures to privacy concerns, also incentivize the use, collection, and trade of behavioral and other forms of de-identified data. We consider the legal status of these ownerless forms of data, arguing that data protection techniques such as anonymization and pseudonymization raise significant concerns over the ownership of behavioral data and its potential use in the large-scale modification of activities and choices made both on and offline. (shrink)

Merchants often use personalized pricing: they charge different consumers different prices for the same product. We assess the ethicality of personalized pricing by generalizing and extending an earlier model by Coker and Izaret (Journal of Business Ethics 173:387–398, 2021) who found that price personalization ethically outperforms unitary pricing. Using a simulation analysis, we show that these results crucially depend on the choice of parameters and do not hold universally. We further incorporate additional sources of marginal cost into the utility function (...) that will likely arise from personalized pricing. These include the expectation that personalized pricing is widely considered unfair by consumers who prefer that all consumers are charged the same price (unitary pricing), and that firms often approximate the consumers’ willingness-to-pay in ways that may raise negative sentiments among consumers who feel that their privacy is breached. By extending our model with disutility from unfairness perception and disutility from surveillance aversion, we demonstrate that personalized pricing is quickly outperformed by unitary pricing under social welfare functions that tend to prioritize total utility (utilitarianism and prioritarianism), whereas personalized pricing can ethically outperform unitary pricing under social welfare functions that tend to prioritize equality (egalitarianism and leximin). Our findings illustrate various intricacies and dynamics regarding the circumstances under which personalized pricing can be considered ethical. (shrink)