Social Responsibility of Business and Government CHAPTER 4 4/19/2017 4 Social Responsibility of Business and Government 4-1 Social Responsibility 4-2 Government Protection Activities 4-3 Government Regulation and Assistance ITB

LESSON 4-1 Social Responsibility Goals Describe social responsibility issues. Identify benefits and costs of social responsibility. Explain the purpose of a code of ethics. Chapter 4

Key Terms social responsibility non-renewable resource ethics business ethics code of ethics conflict of interest Chapter 4

SOCIAL RESPONSIBILITY ISSUES Business must weigh the interests and concerns of the community it serves Protection of the environment Diversity in the work place Employment of the physically challenged Older workers Healthy and safe work environment Social responsibility – the duty of a business to contribute to the well-being of a community Chapter 4

SOCIAL RESPONSIBILITY ISSUES Environmental protection Workplace diversity Job safety Employee wellness Chapter 4

SOCIAL RESPONSIBILITY ISSUES: Environmental Protection Conservation – the saving of scarce natural resources Non-renewable resource – a natural resource that cannot be replaced when used up Pollution – environment is tainted with by-products of human actions Environmental Protection Agency Government agency that monitors and enforces standards set to measure water and air quality Works with businesses to reduce pollution Chapter 4

SOCIAL RESPONSIBILITY ISSUES: Workplace Diversity Work force should reflect the range of groups in a community Women, ethnic groups, older workers, physically challenged Equal access to training, education, jobs and career advancement Americans with Disabilities Act (ADA) Established to accommodate physically challenged workers Buildings must provide wheelchair access Sight or hearing limitations must be accommodated on the job Discrimination in Employment Act Eliminates bias against older workers Protects all persons aged 40 and older Chapter 4

SOCIAL RESPONSIBILITY ISSUES: Job Safety The work place should be free from risks that could cause accidents. Protection from fire and other hazards Safety also involves employee training in how to work safely and what to do in case of an emergency. Safety standards are regulated and enforced by government agencies such as the Occupational Safety and Health Administration (OSHA). Chapter 4

SOCIAL RESPONSIBILITY ISSUES: Employee Wellness Healthy employees = productive employees Employee programs Stop-smoking Counseling or drug rehab Weight loss Sports teams Employee manual Chapter 4

SOCIAL RESPONSIBILITY EVALUATION Benefits Expanded justice for groups of a society Enhanced company image Reduced need for government actions Improved quality of life in a community and around the world Increased awareness of social issues among workers, consumers, and others Chapter 4

SOCIAL RESPONSIBILITY EVALUATION Costs New nonpolluting or safer equipment Building repairs to remove risks Wellness and rehabilitation programs Social projects sponsored by a company (continued) Chapter 4

ETHICS Principles of morality or rules of conduct Business ethics – the rules how businesses and their employees behave Chapter 4

BUSINESS ETHICS Code of ethics Ethical conduct guidelines A set of rules for guiding the actions of employees or members of an organization Worded in terms of acceptable behavior rather than forbidden action Ethical conduct guidelines Determined by top management (executives) Programs designed to promote employee honesty and integrity Chapter 4

BUSINESS ETHICS (cont’d) Guidelines Is the action legal? Does the action violate professional or company standards? Who is affected by the action and how? Conflict of interest – when an action by a company or individual results in an unfair benefit Chapter 4

>> C H E C K P O I N T An example of a non-renewable resource would be a. solar energy b. gold c. agricultural d. a library book products Chapter 4

>> C H E C K P O I N T The ADA requires that a company Provide training to people with disabilities Find ways to help workers who are physically challenged Hire a certain number of people with special needs Adapt products manufactured for special-needs customers Chapter 4

>> C H E C K P O I N T A code of ethics is designed to Meet government regulations Reduce operating costs of a company Provide guidelines for proper behavior Improve employee productivity Chapter 4