1. Common Ethical Problems (2): Consumer Confidence Issues HR (continued) Geoffrey G. Bell, PhD, CA University of Minnesota Duluth September 2003

2. Consumer Confidence Issues Involves confidentiality, product safety and effectiveness, and special fiduciary responsibilities. Involves confidentiality, product safety and effectiveness, and special fiduciary responsibilities. Primarily, things that affect citizens in their role as consumers, but also can involve inter-firm relations. Primarily, things that affect citizens in their role as consumers, but also can involve inter-firm relations.

3. Confidentiality Right to privacy is basic. Right to privacy is basic. Affects both individuals and firms. Affects both individuals and firms. Need to be careful what you say, even to representatives of client firms. Need to be careful what you say, even to representatives of client firms. Generally, release of information to 3 rd parties needs to have specific client permission, including what can be disclosed. Generally, release of information to 3 rd parties needs to have specific client permission, including what can be disclosed.

4. Product Safety Many ethical issues have product safety issues at the core. Many ethical issues have product safety issues at the core. See PBS Frontline SUV show See PBS Frontline SUV showPBS Frontline SUV showPBS Frontline SUV show Includes both product & service dimensions. Includes both product & service dimensions. Truth in advertising – can organizations exaggerate their product claims? Truth in advertising – can organizations exaggerate their product claims? Current US Supreme Court case Current US Supreme Court case Fiduciary responsibilities – do you have a special obligation to your customers, especially certain types of customers? What are they? Fiduciary responsibilities – do you have a special obligation to your customers, especially certain types of customers? What are they?

5. Harassment All organizations with >15 employees must have a sexual harassment policy & train employees in issues involved. All organizations with >15 employees must have a sexual harassment policy & train employees in issues involved. Harassment involves quid pro quo and hostile work environment. Harassment involves quid pro quo and hostile work environment. Quid pro quo – sexual favors are, or appear to be, a requirement for advancement. Quid pro quo – sexual favors are, or appear to be, a requirement for advancement. Hostile work environment – a worker feels uncomfortable because of unwelcome actions or comments related to sexuality. Hostile work environment – a worker feels uncomfortable because of unwelcome actions or comments related to sexuality. Hard to determine exactly what constitutes harassing behavior – even genuine complements may be misconstrued. Hard to determine exactly what constitutes harassing behavior – even genuine complements may be misconstrued. Determination of presence or absence of harassment based on viewpoint of “reasonable” person, and perpetrator’s intentions aren’t considered. Determination of presence or absence of harassment based on viewpoint of “reasonable” person, and perpetrator’s intentions aren’t considered.

6. Why harassment matters Unfairly focuses job satisfaction, advancement, and retention on factors other than ability. Unfairly focuses job satisfaction, advancement, and retention on factors other than ability. Also, simply hurts innocent people, even though it may be innocuously. Also, simply hurts innocent people, even though it may be innocuously. An employer may be held liable for employee behavior if employer knew about it & did nothing. An employer may be held liable for employee behavior if employer knew about it & did nothing.