PROJECT REPORT

ETHICS AND EMPLOYEE RIGHTS

Submitted in partial fulfillment of the
Requirements of B.A (Vocational Studies) in Human
Resource Management

Submitted by - Prachi Badolia

3rd year HRM- Roll no. 2K18/HRM/129

Batch – 2018-2021

Under The Guidance of: Ms. Anuj Dagar

(ASSISTANT PROFESSOR)
College Of Vocational Studies.

Mr. Inderjeet Dagar

(Principal)
College Of Vocational Studies
 CERTIFICATE

This is to certify that the dissertation entitled “ETHICS AND EMPLOYEE RIGHTS” is the
project work carried out by Prachi Badolia at College Of Vocational Studies for partial
fulfillment of B.A. Human Resource Management. This report has not been submitted to any
other College/Institute for the award of any Degree or Diploma.

Prachi Badolia
Supervised by:
Ms. Anju Dagar
 ACKNOWLEDGEMENT

I felt it to express my profound and sincere thanks to my teacher Ms. Anju Dagar for her

constant support and encouragement. I would also like to show my gratitude to our Principle Dr.

Inderjeet Dagar, who gave me the golden opportunity to do this wonderfull project on topic

ETHICS AND EMPLOYEE RIGHTS. This project involved a lot of research, so I came to know

about many new things which therefore, increased my knowledge and skills.

Without the corporation and guidance of the people mentioned above, this project could not have

been a successful one within limited time.

PRACHI BADOLIA
 DECLARATION

I PRACHI BADOLIA, a full bonafide student of 5th semester B.A. (VOCATIONAL) Human

Resource Management of College Of Vocational Studies, University of Delhi, hereby declare

that this project work carried out by me on “ETHICS AND EMPLOYEE RIGHTS” is the

report submitted in partial fulfillment of the course and is an original work under the guidance of

MS. ANJU DAGAR (Assistant Professor, Department of Commerce, College Of Vocational

Studies) and is not based or reproduced from any existing work of any other person or on earlier

work undertaken at any time or for any other purpose, and has not been submitted anywhere else

except the College Of Vocational Studies, University Of Delhi.

GUIDED BY:

MS. ANJU DAGAR

Assistant Professor
Department of Commerce
Date:
 TABLE OF CONTENT

INTRODUCTION

COMPANY PROFILE

SCOPE AND LIMITATION OF THE STUDY

LITERATURE REVIEW

DATA ANALYSIS

CONCLUSION

BIBLIOGRAPGHY
 INTRODUCTION

ETHICS
An ethical organization can achieve better business results. This maxim is now making more
and more corporate leaders accept their social responsibilities and organizational ethics.
Organizations indulging in unethical business practices or even in unethical dealings with
their employees are now quickly identified and globally exposed in this era of technology
intensive communication systems.
 EMPLOYEE RIGHTS
Employees' rights are either legal or moral. Employees' rights differ from state to state,
depending upon the legislation and regulations. Employees are entitled to a basic level of
privacy at the workplace. They also have basic rights to free from discrimination and
harassment in all forms and types. Employment law governs all the aspects of employee-
employer relationship at the workplace. The most basic right of an employee involves a
workplace free of any kind of discrimination, right to fair wages and a reasonable expectation
of privacy. When an employer fails to deliver discrimination or harassment-free environment
and breaks any laws relating to an ethical workplace an employee can hire an employee rights
lawyer NJ to fight for their rights.
 COMPANY PROFILE

Business Ethics of Reliance

About Company
Reliance Industries Limited (RIL) is an Indian multinational conglomerate
company headquartered in Mumbai, Maharashtra, India. Reliance owns businesses across India
engaged in energy, petrochemicals, textiles, natural resources, retail, and telecommunications.
Reliance is one of the most profitable companies in India, the largest publicly traded company in
India by market capitalization, and the largest company in India as measured by revenue after
recently surpassing the government-controlled Indian Oil Corporation. On 22 June 2020,
Reliance Industries became the first Indian company to exceed US$150 billion in market
capitalization after its market capitalization hit ₹11,43,667 crore on the BSE.
The company is ranked 96th on the Fortune Global 500 list of the world's biggest corporations as
of 2020. It is ranked 8th among the Top 250 Global Energy Companies by Platts as of 2016.
Reliance continues to be India's largest exporter, accounting for 8% of India's total merchandise
exports with a value of ₹1,47,755 crore and access to markets in 108 countries. Reliance is
responsible for almost 5% of the government of India's total revenues from customs and excise
duty. It is also the highest income tax payer in the private sector in India.
✓ Industry: Conglomerate
A conglomerate is a multi-industry company – i.e., a combination of multiple business
entities operating in entirely different industries under one corporate group, usually involving
a parent company and many subsidiaries. Conglomerates are often large and multinational.
✓ Products include:
• Natural gas
• Petrochemicals
• Textiles
• Petroleum
• Retail
• Telecommunications
• Media
• Television
• Entertainment
• Music
• Banking
• Software

Awards and Recognitions

• International Refiner of the year in 2017 at Global Refining and Petrochemicals Congress
2017
• International Refiner of the Year in 2013 at the HART Energy's 27th World Refining & Fuel
Conference. This is the second time that RIL has received this Award for its Jamnagar
Refinery, the first being in 2005.
• According to survey conducted by Brand Finance in 2013, Reliance is the second most
valuable brand in India.
• The Brand Trust Report ranked Reliance Industries as the 7th most trusted brand in India in
2013 and 9th in 2014.
• RIL was certified as 'Responsible Care Company' by the American Chemistry Council in
March, 2012.
• RIL was ranked at 25th position across the world, on the basis of sales, in the ICIS Top 100
Chemicals Companies list in 2012.
• RIL was awarded the National Golden Peacock Award 2011 for its contribution in the field
of corporate sustainability.
• In 2009, Boston Consulting Group (BCG) named Reliance Industries as the world's fifth
biggest 'sustainable value creator' in a list of 25 top companies globally in terms of investor
returns over a decade.
• The company was selected as one of the world's 100 best managed companies for the year
2000 by IndustryWeek magazine.
• From 1994 to 1997, the company won National Energy Conservation Award in the
petrochemical sector.

Values & Behaviours

At Reliance Industrial Infrastructure Limited (“Reliance”), the issue of Ethics is coherent: it is a
simple process that involves defining what is right or wrong, and then doing the right thing.
Ethics at Reliance is about Values and associated behavior. It is a process of defining values and
ensuring that corporate and individual employee behavior epitomize those values. At Reliance,
we believe that any business conduct can be Ethical only when it rests on the core values of
Customer Value, Ownership Mindset, Respect, Integrity, and One Team & Excellence. Strong
commitments to these values have long been the guiding principles for Reliance. These values
are to be kept in focus by all Reliance employees/consultants/associates, irrespective of their
designations, under all circumstances, irrespective of the goals that are intended to be achieved.
To us, means are as important as the ends. Though the deeper significance of these values for us
cannot be captured in words, a brief description of what we really feel about these virtues is
outlined below: Customer Value: We believe the customer is the reason for our existence and the
only guarantee to our future. Everything that we do must delight our customer, each time and
always.

Expected Behaviors:

1. We will demonstrate a proactive “Customer First” & a “Customer Delight” mind-

set consistently.
2. We will act at all times to ensure Reliance remains the first choice for our
customers
3. We will actively listen to customer inputs to continuously improve our products,
services and the customer experience.
4. We will work proactively and go the extra mile to perpetually nurture and grow
all our customer relationships.
5. To delight our end customers best, we will serve our internal customers, equally
well.

o Ownership Mindset:

Ownership Mindset: We believe the success and reputation of the company is paramount.
Having an ownership mindset is fundamental to our existence. It creates a sense of inspiration
and purpose. It enables accountability and accomplishment. It ensures our strong commitment to
the highest standards of safety and environment.

Expected Behaviors:

1. We will prioritize and always align our work keeping the larger purpose of the
corporation in mind.
2. We will operate with a personal stake and an ownership mind-set and ‘play to
win’.
3. We will always remain agile and anticipate what will make a difference to our
stakeholders tomorrow and make it happen with speed.
4. We will always commit to the highest standards of safety and environment.
5. We will conduct ourselves to ensure highest standards of corporate citizenship.
 o Respect:

We believe that without respecting all our stakeholders there can be no reliance.

We acknowledge that there may be a difference of perspectives but there must always be

Respect.

Expected Behaviors:

1. Individually and collectively we will conduct ourselves with respect and

humility.
2. We will uphold the self-esteem and dignity of each other by creating an open
culture Conducive for expression of views and ideas, irrespective of hierarchy.
3. We will express ourselves honestly but without disrespecting the sentiments of
others.
4. We believe in being inclusive in our thinking and doing, we recognize that
differences of perspectives are natural and must be acknowledged.
5. We will foster an inclusive and diverse workplace where everyone is treated
with Respect and dignity.

o Integrity:

Upholding our reputation is paramount as we are judged by how we act. We are committed to be
truthful in all our actions. We strive to be honest and forthright with one another and with all our
stakeholders. It begins with compliance with laws and Regulations. We hold ourselves to the
highest ethical standards and behave in ways that earn the trust of others.

Expected Behaviors:

1. We will earn confidence and trust through principled leadership, fairness and
humility at all times.
2. We believe in integrity of thought and action and adhere to the Reliance Code
of Conduct and all relevant laws of the land.
3. We believe in building a spirit of trust with all our stakeholders.
4. We will speak up if we see something conflicts with the values of the company.
5. We will have the courage to stand up for what are right and surface issues early
 o One Team:
Whatever the strength of the individual, we will accomplish more together. We put the team
ahead of our personal success and commit to building its capability. We trust each other to
deliver on our respective obligations.
Expected Behaviors:
1. ‘Team Reliance’ comes before me, always and every time.
2. We collaborate seamlessly, seeking and offering help as “One Team, One
Vision”.
3. We take accountability for our own actions and also that of our team.
4. We recognize and acknowledge the contribution of other colleagues and celebrate
wins as a team.
5. We look beyond our own immediate roles and take ownership of the larger
outcome.

o Excellence:
We are committed to excellence, in spirit and action. We believe everything that we do and
everything we think can always get better. We see all of our activities in terms of our higher
purpose and ideals, which drives our quest for excellence, always.

Expected Behaviors:
1. We believe in excellence in everything we think, say and do.
2. We will not create, accept or pass on anything that is mediocre.
3. We will accept responsibility – learn and improve, not rationalize and explain, using the
“Plan, Do, Check and Act” principle.
4. We will hold each other accountable to delivering excellence.
5. We will always be ‘outside in’ and raise the bar for excellence, learning from external
benchmarks globally.
Code of Conduct(s) and Business Policies adopted by the Reliance
Group Companies are given here.

Values and Commitments

Every significant management decision has ethical value dimensions. Managing ethics is
particularly relevant for Reliance Group Companies today because it is critical to understand and
manage highly diverse values in the workplace.
Attention to business ethics is critical during times of fundamental change - times much like
those faced now by businesses like ours. In times of such fundamental change, values that were
previously taken for granted are now strongly questioned. Many of these values are no longer
followed.
Consequently, there is no clear compass to guide us through complex dilemmas about what is
right or wrong.
To that end, Reliance Group Companies’ Values and Commitments are presented here. These
should be used to guide our actions in business conduct.

Ethics and Values at Reliance Group Companies

At Reliance Group Companies, the issue of ethics is simple: it is a simple process that involves
defining what is right or wrong, and then doing the right thing. Ethics Management at Reliance
Group Companies is about values and associated behaviors. It is a process of defining values and
ensuring that corporate and individual employee behaviors epitomize those values. We at
Reliance Group Companies believe that any business conduct can be ethical only when it rests
on the nine core values of Honesty, Integrity, Respect, Fairness, Purposefulness, Trust,
Responsibility, Citizenship and Caring. Strong commitments to these high values have long been
building principles for Reliance Group Companies. These values are not to be lost sight of by
anyone at Reliance Group Companies under any circumstances irrespective of the goals that are
intended to be achieved. To us, means are as important as the ends. Though the deeper
significance of these values for us can not be captured in words, a brief description of what we
really feel about these virtues is outlined below:
➢ Honesty:
We are committed to be truthful in all our actions. We strive to be honest and forthright with one
another and with all our stakeholders.
➢ Integrity:
Reliance Group Companies insists on honesty, integrity and fairness in all aspects of its business
and expects the same in its relationships with all those with it does business. There exists a clear
vision and picture of integrity throughout RELIANCE GROUP Companies. Our reward and
promotion systems are aligned with this vision of integrity. Upholding the Reliance Group
Companies reputation is paramount. We are judged by how we act. Our reputation will be upheld
if we act with integrity in all our dealings, even at a personal level, and we always do what we
think is right at all times. We say what we mean, and deliver what we promise, and promise to
stand for what is right. We always honour all our commitments. We stand for loyalty and
trustworthiness.
➢ Respect:
We are committed to treat everyone fairly and with respect and dignity. We appreciate and value
the skills, strengths, and perspectives of our diverse workforce. We request the uniqueness of
each employee. We believe that each employee makes a meaningful contribution in Reliance
Group Companies’ success.
➢ Fairness:
Reliance Group Companies is firmly committed to fairness and objectivity in all its action and
interactions. Justice and fairness imbibed in the Organization’s fabric ensure procedural fairness,
impartiality and consistency in Reliance Group Companies operations.
➢ Purposefulness:
RELIANCE GROUP Companies sees its activities in terms of higher purposes and ideals. This
purposefulness is a way of operating which ties RELIANCE GROUP Companies to its
environment at a mutually beneficial dimension.
➢ Trust:
We endeavor to foster a participatory work environment where trust and confidence between
team members is spontaneous. We always encourage teamwork with open, candid and speedy
communication.
➢ Responsibility:
Our employees are expected to demonstrate highest levels of personal responsibility and
continually affirm that they are responsible to themselves for the pursuit of excellence. At
Reliance Group Companies accountability is individual rather than collective. Our employees are
committed and enthusiastic to assume responsibility for actions for the organization.
➢ Citizenship:
We are a fiercely patriotic company, fully committed to achieving and participating in every
conceivable way in the progress and integrity of India. We are committed to obey all the laws of
India and the countries in which we do business and to do our part to make the communities in
which we live better.
➢ Caring:
Compassion, sharing and kindness are values that we try to inculcate in our decision making
process to achieve fairness. It is imperative that each one of us gets intensely driven from the
heart towards upholding of these values in our day to day conduct. This initiative will further
stimulate the creation and maintenance of a highly ethical work environment.
Commitments
A firm belief that every Reliance Group Companies team member holds is that the other person’s
interests count as much as his / her own. It is not surprising that Reliance Group Companies has
always been able to strike a mutually profitable equilibrium with ease while interacting with
diverse internal and external stakeholder groups. Reliance Group Companies strives to make the
good of these diverse stakeholder groups as part of its good.
Reliance Group Companies recognizes that maintaining the trust and confidence of all its
stakeholders is crucial to its continued growth and success. We are aware that a company must
be an integral part of the society in which it operates: that it must fulfill a number of different
expectations - financial, social and environmental: and that there is no substitute to being right.
We seek success by being sensitive and alive to the interests and concerns of others in the
society, and by working constructively with them to find solutions of mutual benefit.
In pursuit of these values outlines above, we are committed to the ethical treatment of all our
stakeholders.

Commitment to Stakeholders
In all our relationships we demonstrate our steadfast commitment to all our stakeholders:
• Our employees:
Reliance Group Companies recognize that its commercial success depends on the full
commitment of all employees. We are committed to respect the human rights of our employees.
We strive to treat our employees with honesty, just management, due dignity and fairness. We
are committed to provide our employees with a good, safe and healthy environment and
competitive terms and conditions of service. Reliance Group Companies promotes the
development and best use of human talent. It encourages the involvement of employees in the
planning, direction and fair appraisal of their work. The employees are also encouraged to
participate in the application of these ethics and values within the company.
• Our customers:
We are committed to produce reliable, world-class quality products and services, delivered on
time, at a fair price. Reliance Group Companies strives to win and maintain customers by
developing and providing products and services which offer value in terms of price, quality,
safety and environmental impact, which are supported by the requisite technological,
environmental and commercial expertise.
• Our environment:
Reliance Group Companies are committed to acting as a concerned and responsible community
participant reflecting all aspects of good corporate citizenship. Reliance Group Companies are
committed to achieving the global standards of health, safety and environment. Reliance Group
Companies works with its community by volunteering and supporting education, medical
welfare and other worthy causes that lead to sustainable development.
• Our shareholders:
We are committed to pursuing sound growth and earnings objectives and to exercising prudence
in the use of our assets and resources. Enhancing shareholder value remains the prime driving
force of Reliance Group Companies’ business and financial decisions. We will ensure our
success by satisfying our customers and increasing shareholder value.
• Our lenders and other investors:
We are committed to truthful disclosure of all material facts and the regular and timely payment
of all our debt service obligations.
• Our Suppliers and other service providers:
We are committed to fair competition and the sense of responsibility required of a good
customer.
• The government:
Reliance Group Companies are fiercely patriotic company and is enthused and proud to be a
home-grown enterprise. We are committed to the payment of all-applicable taxes and duties and
adherence to allapplicable laws and regulations.

Policy on Code of Ethics

Reliance Group Companies’ Code of Ethics is in alignment with its values and commitments.
The essence of this code is that each employee should conduct the Company’s business in a way
that upholds its values and commitments.
This code expects every employee to conduct business with integrity, in compliance with
applicable laws, and in a manner that excludes consideration of direct or indirect personal
advantage / gains. It is the individual responsibility of each one of Reliance Group Companies’
employee to ensure that all of us are aware of these values, commitments, and procedures, and
behave in accordance with the spirit as well as the letter of this code.
Reliance Group Companies recognize that it is vital that the behaviour of its employees matches
the high intentions and values. Hence, adherence to all the elements of this code and the
accompanying principles and procedures is necessary. The principles and procedures in this
Code of Ethics apply to all material transactions, large or small, and describe the conduct
expected from every Reliance Group Companies’ employee.
What are the issues that are relevant to promote better work ethics?
And what are our policies?

➢ Business confidentiality:
Employees are expected to maintain business secrecy and confidentiality by ensuring that inside
information policy is implemented. For instance, employees should not share with others any
information that they may come to acquire during the process of closed door discussions with
other employees/outsiders.
➢ Favouritism in the workplace:
All Departmental / Business Heads must treat each and every employee in their department
equally.
It is but natural for a manager to trust, respect and depend upon one employee most than another
- a result of experience, common interests, goals or backgrounds.
The underlying principles is that each one of us, regardless of our position within Reliance
Group Companies, are expected to work to create an environment where people are valued as
individuals and treated with respect, dignity, fairness and equality, thus leaving no room for
displays of favoritism.
Avoid behaviours and actions that can result in a Conflict of Interest:
For a conflict of interest to exit, direct benefit to the employee may or may not be feasible.
Conflict of interest may also arise when an emotional attachment to a person by way of relation
or allied interests can affect or affects the decisions made by the employee. The employee should
conduct himself and arrange his affairs in way that ensures he is not involved in any arrangement
or circumstance, including relations or other personal relationships that might dissuade him from
acting in the best interest of the company.
An employee should not use directly or indirectly his influence within the company on an officer
of the company, or other executives, or on any outside party, that may benefit an employee
and/or his family and/or his relations and/or any persons covered above.
➢ Avoiding Intellectual Dishonesty:
Employees should perform their actions with sincere diligence and honesty. They should strive
to attain high levels of intellectual integrity and honesty. Employees should strive to be true to
themselves while performing their duties. A typical example of intellectual dishonesty would be
when an employee decides to present an inaccurate picture of his work/performance to his
superiors even when he is consciously aware of the inaccuracy. Such behavior should be
avoided.
Intellectual integrity fosters leadership qualities in employees. Managers should strive to instill,
encourage, and appreciate intellectual integrity in their colleagues.
 ➢ Gossiping at Work:
There is no place for malicious rumors and gossip, both of which attack the spirit of the
individual and attempt to divide us into groups.
At Reliance Group Companies’s workplace, employees should not gossip. Of course, it is only
natural that we communicate with other employees, but our office is no place for rumors / gossip.
Reliance Group Companies ethical work place is based on trust, honesty, candor and teamwork.

➢ Other office behavioural standards:

The cost of these activities is high, especially in the areas of motivation, morale and stress,
quality, turnover, productivity, pride as well as customer satisfaction - all the areas that we want
to emphasize in a highly ethical company.
• Refrain from “scapegoating” - blaming others for missed commitments, bad decisions or
poor results. e Allowing the boss/ colleagues to fail by withholding information or by not
pointing out risks. 24 Reliance MediaWorks Limited e Over-promising a customer/
colleague.
• Withholding / purposely delaying information required by another department/ colleague.
• Risk aversion - not doing what is needed to succeed because you fear the consequences
of failure more than you value the reward of success.
• Not delivering on commitments due to the fact that the other person’s priorities are not
important to you or because you look good by looking better than someone else.
• Misuse of time : Time is an asset and the misuse of that asset is just as wrong as the
misuse of any of our assets here at Reliance Group Companies.

➢ Transparency:
What is Reliance Group Companies policy on Transparency? Reliance Group Companies
and all its employees undertake to conduct all the business transactions and take all decisions
which are relevant to their function, in a transparent and reasoned manner keeping in mind,
the established norms of confidentiality and secrecy which are necessary to protect the
business and competitive interests of Reliance Group Companies. The employees shall
conduct all their actions in a manner complying with all laws and requisite disclosures
thereunder. The employees shall endeavour to create an internal communication network in
their spheres of operation and activity, which is transparent and unhindered by levels in
organizational hierarchy.
OBJECTIVES OF STUDY

1. To undertake an in-depth study of the ethics and employee rights in an organisation which is
being followed in the organization – Reliance Industry Limited.

2. To understand the framework and the system.

3. To study and understand the ethics and employee rights model adopted, as well as implication
of such a system.

4. To understand each and every Employee Right in-depth.

5. To study the working of Reliance industry.

6. To understand importance of Ethics in Workplace.

7. To study labour rights amd laws.

LIMITATIONS

1. I have used all secondary data due to this pandemic situation as primary data was not possible
to collect.

2. I was not able get reviews from employees.

3. Only internet resource was available.

4. Research was limited due to COVID-19.

5. I have taken material from various management books.

 LITERATURE REVIEW

❖ INTRODUCTION TO BUSINESS ETHICS

Business ethics (also known as corporate ethics) is a form of applied ethics or professional
ethics, that examines ethical principles and moral or ethical problems that can arise in a business
environment. It applies to all aspects of business conduct and is relevant to the conduct of
individuals and entire organizations. These ethics originate from individuals, organizational
statements or the legal system. These norms, values, ethical, and unethical practices are the
principles that guide a business. They help those businesses maintain a better connection with
their stakeholders.

Value and Ethics in Business - A Basic Understanding

Values and ethics in simple words mean principle or code of conduct that govern transactions;
in this case business transaction. These ethics are meant to analyze problems that come up in
day to day course of business operations. Apart from this it also applies to individuals who work
in organizations, their conduct and to the organizations as a whole.

We live in an era of cut throat competition and competition breeds enmity. This enmity reflects
in business operations, code of conduct. Business houses with deeper pockets crush small
operators and markets are monopolized. In such a scenario certain standards are required to
govern how organizations go about their business operations, these standards are called ethics.

Business ethics is a wider term that includes many other sub ethics that are relevant to the
respective field. For example there is marketing ethics for marketing, ethics in HR for Human
resource department and the like. Business ethics in itself is a part of applied ethics; the latter
takes care of ethical questions in the technical, social, legal and business ethics.

❖ Origin of Business Ethics

When we trace the origin of business ethics we start with a period where profit maximization
was seen as the only purpose of existence for a business. There was no consideration whatsoever
for non-economic values, be it the people who worked with organizations or the society that
allowed the business to flourish. It was only in late 1980’s and 1990’s that both intelligentsia and
the academics as well as the corporate began to show interest in the same.

Nowadays almost all organizations lay due emphasis on their responsibilities towards the society
and the nature and they call it by different names like corporate social responsibility, corporate
governance or social responsibility charter. In India Maruti Suzuki, for example, owned the
responsibility of maintain a large number of parks and ensuring greenery. Hindustan unilever
similarly started the e-Shakti initiative for women in rural villages.

Globally also many corporations have bred philanthropists who have contributed compassion,
love for poor and unprivileged. Bill gates of Microsoft and Warren Buffet of Berkshire
Hathaway are known for their philanthropic contributions across globe.

Many organizations, for example, IBM as part of their corporate social responsibility have taken
up the initiative of going green, towards contributing to environmental protection. It is not that
business did not function before the advent of business ethics; but there is a regulation of kinds
now that ensures business and organizations contribute to the society and its well-being.

Nowadays business ethics determines the fundamental purpose of existence of a company in

many organizations. There is an ensuing battle between various groups, for example between
those who consider profit or shareholder wealth maximization as the main aim of the company
and those who consider value creation as main purpose of the organization.

The former argue that if an organizations main objective is to increase the shareholders wealth,
then considering the rights or interests of any other group is unethical. The latter, similarly argue
that profit maximization cannot be at the expense of the environment and other groups in the
society that contribute to the well-being of the business.

Nevertheless business ethics continues to a debatable topic. Many argue that lots of organizations
use it to seek competitive advantage and creating a fair image in the eyes of consumers and other
stakeholders. There are advantages also like transparency and accountability.

❖ Scope of Business Ethics

➢ Ethics in Compliance
Compliance is about obeying and adhering to rules and authority. The motivation for being
compliant could be to do the right thing out of the fear of being caught rather than a desire to be
abiding by the law. An ethical climate in an organization ensures that compliance with law is
fuelled by a desire to abide by the laws. Organizations that value high ethics comply with the
laws not only in letter but go beyond what is stipulated or expected of them.

➢ Ethics in Finance

The role of ethics in financial maganement is to balance, protect and reserve

stakeholders’ interests.The ethical issues in finance that companies and employees are
confronted with include:
• In accounting – window dressing, misleading financial analysis.
• Related party transactions not at arm’s length.
• Insider trading, securities fraud leading to manipulation of the financial markets.
• Executive compensation.
 • Bribery, kickbacks, over billing of expenses, facilitation payments.
• Fake reimbursements

➢ Ethics in Human Resources

Human resource management (HRM) plays a decisive role in introducing and implementing
ethics. Ethics should be a pivotal issue for HR specialists. The ethics of human resource
management (HRM) covers those ethical issues arising around the employer-employee
relationship, such as the rights and duties owed between employer and employee. The issues of
ethics faced by HRM include:

• Discrimination issues i.e. discrimination on the bases of age, gender, race, religion,
disabilities, weight etc.
• Sexual harassment.
• Affirmative Action.
• Issues surrounding the representation of employees and the democratization of the
workplace, trade inaction.
• Issues affecting the privacy of the employee: workplace surveillance, drug testing.
• Issues affecting the privacy of the employer: whistle-blowing.
• Issues relating to the fairness of the employment contract and the balance of power
between employer and employee.
• Occupational safety and health.

Companies tend to shift economic risks onto the shoulders of their employees. The boom of
performance-related pay systems and flexible employment contracts are indicators of these
newly established forms of shifting risk.

➢ Ethics in Marketing

Marketing ethics is the area of applied ethics which deals with the moral principles behind the
operation and regulation of marketing. The ethical issues confronted in this area include:

• Pricing: price fixing, price discrimination, price skimming.

• Each party in a marketing transaction brings expectations regarding how the business
relationship will exist. For example, if a consumer wishes to make a purchase from a
retailer, their expectations include wanting to be treated fairly by the salesperson and
wanting to pay a reasonable price.
• Ethical marketing decisions and efforts should meet and suit the needs of customers,
suppliers, and business partners. Unethical behavior such as price wars, selective
advertising, and deceptive marketing can negatively impact a company’s relationships.
 • Recent trends show that consumers prefer ethical companies. As a result ethics itself is
a selling point or a component of a corporate image.
• Anti-competitive practices like manipulation of supply, exclusive dealing
arrangements, tying arrangements etc.
• Misleading advertisements
• Content of advertisements.
• Children and marketing.
• Black markets, grey markets.

➢ Ethics of Production

This area of business ethics deals with the duties of a company to ensure that products and
production processes do not cause harm. Some of the more acute dilemmas in this area arise out
of the fact that there is usually a degree of danger in any product or production process and it is
difficult to define a degree of permissibility, or the degree of permissibility may depend on the
changing state of preventative technologies or changing social perceptions of acceptable risk.

• Defective, addictive and inherently dangerous products and

• Ethical relations between the company and the environment include pollution, environmental
ethics, and carbon emissions trading.
• Ethical problems arising out of new technologies for eg. Genetically modified food
• Product testing ethics.

The most systematic approach to fostering ethical behavior is to build corporate cultures that link
ethical standards and business practices.
 ❖ Importance of ethics in workplace

Most of us would agree that it is ethics in practice that makes sense; just having it carefully
drafted and redrafted in books may not serve the purpose. Of course all of us want businesses to
be fair, clean and beneficial to the society. For that to happen, organizations need to abide by
ethics or rule of law, engage themselves in fair practices and competition; all of which will
benefit the consumer, the society and organization.

Primarily it is the individual, the consumer, the employee or the human social unit of the society
who benefits from ethics. In addition ethics is important because of the following:

➢ Satisfying Basic Human Needs: Being fair, honest and ethical is one the basic human
needs. Every employee desires to be such himself and to work for an organization that is
fair and ethical in its practices.
➢ Creating Credibility: An organization that is believed to be driven by moral values is
respected in the society even by those who may have no information about the working
and the businesses or an organization. Infosys, for example is perceived as an
organization for good corporate governance and social responsibility initiatives. This
perception is held far and wide even by those who do not even know what business the
organization is into.
➢ Uniting People and Leadership: An organization driven by values is revered by its
employees also. They are the common thread that brings the employees and the decision
makers on a common platform. This goes a long way in aligning behaviors within the
organization towards achievement of one common goal or mission.
➢ Improving Decision Making: A man’s destiny is the sum totals of all the decisions that
he/she takes in course of his life. The same holds true for organizations. Decisions are
 driven by values. For example an organization that does not value competition will be
fierce in its operations aiming to wipe out its competitors and establish a monopoly in the
market.
➢ Long Term Gains: Organizations guided by ethics and values are profitable in the long
run, though in the short run they may seem to lose money. Tata group, one of the largest
business conglomerates in India was seen on the verge of decline at the beginning of
1990’s, which soon turned out to be otherwise. The same company’s Tata NANO car was
predicted as a failure, and failed to do well but the same is picking up fast now.
➢ Securing the Society: Often ethics succeeds law in safeguarding the society. The law
machinery is often found acting as a mute spectator, unable to save the society and the
environment. Technology, for example is growing at such a fast pace that the by the time
law comes up with a regulation we have a newer technology with new threats replacing
the older one. Lawyers and public interest litigations may not help a great deal but ethics
can.

Ethics tries to create a sense of right and wrong in the organizations and often when the law fails,
it is the ethics that may stop organizations from harming the society or environment.

❖ Benefits of Business Ethics

➢ The importance of business ethics reaches far beyond employee loyalty and morale or the
strength of a management team bond. As with all business initiatives, the ethical
operation of a company is directly related to profitability in both the short and long term.
➢ The reputation of a business in the surrounding community, other businesses, and
individual investors is paramount in determining whether a company is a worthwhile
investment. If a company is perceived to not operate ethically, investors are less inclined
to buy stock or otherwise support its operations.
➢ Companies have more and more of an incentive to be ethical as the area of socially
responsible and ethical investing keeps growing. The increasing number of investors
seeking out ethically operating companies to invest in is driving more firms to take this
issue more seriously.
 ❖ Sources of Business Ethics

Ethics in general refers to a system of good and bad, moral and immoral, fair and unfair. It is a
code of conduct that is supposed to align behaviors within an organization and the social
framework. But the question that remains is, where and when did business ethics come into
being?
Primarily ethics in business is affected by three sources - culture, religion and laws of the state. It
is for this reason we do not have uniform or completely similar standards across the globe. These
three factors exert influences to varying degrees on humans which ultimately get reflected in the
ethics of the organization. For example, ethics followed by Infosys are different than those
followed by Reliance Industries or by Tata group for that matter. Again ethical procedures vary
across geographic boundaries.

➢ Religion

It is one of the oldest foundations of ethical standards. Religion wields varying influences across
various sects of people. It is believed that ethics is a manifestation of the divine and so it draws a
line between the good and the bad in the society. Depending upon the degree of religious
influence we have different sects of people; we have sects, those who are referred to as orthodox
or fundamentalists and those who are called as moderates. Needless to mention, religion exerts
itself to a greater degree among the orthodox and to lesser extent in case of moderates.
Fundamentally however all the religions operate on the principle of reciprocity towards ones
fellow beings!

➢ Culture

Culture is a pattern of behaviors and values that are transferred from one generation to another,
those that are considered as ideal or within the acceptable limits. No wonder therefore that it is
the culture that predominantly determines what is wrong and what is right. It is the culture that
defines certain behavior as acceptable and others as unacceptable.

Human civilization in fact has passed through various cultures, wherein the moral code was
redrafted depending upon the epoch that was. What was immoral or unacceptable in certain
culture became acceptable later on and vice versa.

During the early years of human development where ones who were the strongest were the ones
who survived! Violence, hostility and ferocity were thus the acceptable. Approximately 10,000
year ago when human civilization entered the settlement phase, hard work, patience and peace
were seen as virtues and the earlier ones were considered otherwise. These values are still pt in
practice by the managers of today!

Still further, when human civilization witnessed the industrial revolution, the ethics of agrarian
economy was replaced by the law pertaining to technology, property rights etc. Ever since a
tussle has ensued between the values of the agrarian and the industrial economy!

➢ Law

Laws are procedures and code of conduct that are laid down by the legal system of the state.
They are meant to guide human behavior within the social fabric. The major problem with the
law is that all the ethical expectations cannot be covered by the law and specially with ever
changing outer environment the law keeps on changing but often fails to keep pace. In business,
complying with the rule of law is taken as ethical behavior, but organizations often break laws by
evading taxes, compromising on quality, service norms etc.
 ❖ Basic Workplace Ethics for an Organization
Let us go through some workplace ethics:

➢ Rules and regulations ought to be same for everyone. Everyone needs to attend office
on time irrespective of their designation, distance of their home from the workplace,
salary or status. An individual cannot come to office late just because he is the team
leader and his team is already present and working on his behalf. If a day’s salary of a
clerk is deducted for coming late to work, it should be the same for the marketing
manager as well.
➢ Company’s policies need to be communicated clearly to each and every one. There
should be transparency at all levels of hierarchy. Employees are the backbone of any
organization and thus they must have a say in company’s goals and objectives.
➢ An organization ought to respect its employees to expect the same in return. Rules and
regulations should not be too rigid. Don’t expect an employee to attend office two days
before his marriage date. If an employee is not keeping well, please do not ask him/her to
attend office unless and until there is an emergency.

Management must not forget that money is a strong motivator for employees. Everything is
important, be it career, growth, job satisfaction but what is most important is employee’s salaries.
Do not unnecessary hold their salaries for a long time unless and until there is really shortage of
funds. In case of marketing and sales employees, conveyance and mobile bills must be cleared at
the earliest. Do not ask for unnecessary bills and documents.

➢ Organization should not expect employees to attend office 365 days a year. It is the
responsibility of human resource professionals to prepare the holiday calendar at the
beginning of the year and circulate the same among all employees. Let employees enjoy
their respective festivals and come back to work with positive energy and smile.Infact
allow them to go in the festive mood two days prior to the D day. Ask them to organize
pre festival bashes at the workplace. Let them dress in colorful attires and have fun. Trust
me, work never suffers this way. Rather, employees feel attached to the organization and
strive hard to deliver their level best every time.
➢ Give employees the space they require. Key responsibility areas need to be
communicated to the employees on the very first day of their joining. Roles and
responsibilities need to be assigned as per an individual’s expertise and experience. Do
not expect an employee with one year experience to head the marketing team. Employees
need to be trained well. Organizations need to give at least six months’ time to the new
employees to adjust in the new environment.

It has been observed that most of the times employees crib when they are underpaid. Make sure
employees get what they deserve. Salaries should be decided in the presence of the employee
and also keeping in mind an individual’s role in the organization, his/her gross salary in the
previous organization, responsibilities within the current system and of course his/her years of
experience. Increments ought to be directly proportional to the amount of hard work an
employee puts in throughout the year and also his/her performance. Unnecessary favors are
against the workplace ethics.

➢ Do not be too strict with your employees. Do not block all social networking sites. Even
a 24*7 check would not prevent employees from wasting their time unless and until they
realize it themselves. The moment, you are strict with something, people would tend to
do the same more.

❖ Importance of Workplace Ethics

Workplace ethics ensures positive ambience at the workplace. Workplace ethics leads to happy
and satisfied employees who enjoy coming to work rather than treating it as a mere source of
burden. Employees also develop a feeling of loyalty and attachment towards the organization.

Organizations need to have fool-proof systems to measure the performances of individuals.

Appraisal system needs to be designed keeping in mind employee’s performance throughout the
year and his/her career growth. Periodic reviews are essential. It is mandatory for superiors to
know what their subordinates are up to. You need to know who all are going on the right track
and who all need that extra push. Workplace ethics ensures management guides and mentors
their employees well. Appraisal and salary hikes should not happen just for the name sake.
Workplace ethics is important as it enables management to treat all employees as equal and think
from their perspective as well. Employees must have a say in their appraisal system.
Transparency is essential.

An employee is bound to move on after a year or so if he/she is not appreciated and rewarded
suitably. It is indeed the organization’s loss when employees after being trained quit and move
on. Do you think it is entirely the employee’s fault? Why would an employee move on if he/she
is fully satisfied with his /her current assignment? Employees change primarily because of two
reasons - Career growth and monetary benefits. Management needs to make employees feel
secure about their job and career. Unnecessary favoritism is against workplace ethics. If you
favor anyone just because he is your relative, the other team members are bound to feel
demotivated and thus start looking for new opportunities. An individual’s output throughout the
year should decide his/her increment.

Organizations need to stand by their employees even at the times of crisis. You cannot ask your
employees to go just because you don’t need them anymore or your work is over. Such a practice
is unethical. How can you play with someone’s career? If an individual has performed well all
through but fails to deliver once or twice, you just can’t kick him out of the system. Workplace
ethics says that organizations need to retain and nurture talents. If you have hired someone, it
becomes your responsibility to train the individual, make him/her aware of the key responsibility
areas, policies, rules and regulations and code of conduct of the organization. Employees need to
be inducted well into the system. They must be aware of the organization’s policies from the
very first day itself.

Workplace ethics also go a long way in strengthening the bond among employees and most
importantly their superiors. Employees tend to lie if you do not allow them to take leaves. If you
do not allow an employee to take leave on an important festival, what do you expect the
employee to do? What is the alternative left with him? He would definitely lie. Do not exploit
your employees and don’t treat them as machines. No employee can work at a stretch without
taking a break. It is okay if they talk to their fellow workers once in a while or go out for a
smoke break. Understand their problems as well. If you feel the problem is genuine, do not
create an issue. It is but natural that once or twice they would definitely call their family
members and enquire about their well-being. Superiors should not have a problem with that.

It has been observed that organizations which are impartial to employees, lend a sympathetic ear
to their grievances and are employee friendly seldom face the problems of unsatisfied employees
and high attrition rate.

❖ Role of Management in Inculcating Workplace Ethics

Management plays an essential role in inculcating workplace ethics in employees. Bosses need to
set an example for their subordinates. You need to come on time if you expect your team
members to reach office on time.

Management needs to act as a source of inspiration for the employees. It is generally observed
that team managers, leaders influence their team members to a large extent. Superiors strictly
need to adhere to the rules and regulations of the organization for their employees to follow the
same. Remember, you have no rights to scold your subordinates if you yourself are at fault.
Moreover no one would bother to listen to you as well. Don’t expect your team members to sit
till late if you yourself leave early.

It is the role of the management to motivate the employees and guide them as to what is right and
wrong. Remember a boss is like the captain of the ship. It is your responsibility to take your team
members along and provide constant mentoring. Rebuking is not the only solution. If you know
one of your team members is meeting his girlfriend during office hours, do you feel insulting or
criticizing in front of others would help? NO. Call him to your cabin or speak to him in private
and make him realize that it is not morally correct to bunk office. You need to counsel him and
make him understand his mistake politely. Trust me, being rude would make the situation more
badly. Do not discuss the matter in front of others. The other person might not like it. Your job is
to make the other person feel guilty and realize that indeed he has done something wrong.
Believe me; he would never repeat his mistake.
Constant communication between the management and employees is of utmost importance in
inculcating workplace ethics. Management ought to be transparent with its employees. Let them
have a say in company’s decisions. Let them decide what is right and what is wrong for them. Sit
with them, discuss, brainstorm ideas and listen to what they have to say. Never ignore their
opinions. Let them come out with their grievances.

Lend a sympathetic ear to their problems as well. Try to provide them a solution. If you feel most
of your employees have a problem coming to office early as they in any case have to stay back
till late in the evening as per the client’s availability, please adjust the office timings accordingly.
How can you expect your employees to reach office sharp at 8 AM when they are leaving for the
day at 10 PM. Remember, rules and regulations should not act as a hindrance in their
performance? Be realistic and logical. If the problem is genuine and faced by a major chunk of
employees, there is no harm in changing the policies. Think from the employee’s perspective as
well. Policies should not be too rigid.

Don’t be too strict with the employees. If someone is not present in the office, please do not call
his family members to enquire about him. No one would like it. We all are mature professionals
to understand that if there is work, we need to finish it first rather than waste our time in
gossiping and surfing social networking sites. Management can’t force employees to respect the
organization. Respect must be commanded and not demanded. Respect your employees if you
expect the same in return.

Some organizations do not easily release their employees. Remember, you cannot stop an
individual from changing his job if he/she has already decided to move on. Try to convince
him once and if he/she is still not willing to continue, let him go. Employees depend on fake
relieving letters, experience certificates when they do not get it from their previous organization
on time.
 ❖ Tips to Promote Workplace Ethics

Workplace ethics ensures employees are treated with utmost respect. It also leads to a sense of
satisfaction among employees and they develop a feeling of attachment towards their respective
organizations. The feeling of loyalty is a feeling which is seen in very few individuals. For them,
going to work is the best source of earning money and also keeping one-selves occupied.
Organizations often complain of employees moving on when they are fully trained. An
organization invests its time, money and energy in training a new employee and thus it is a big
blow when he/she quits all of a sudden.

The best way to promote workplace ethics is to be very specific and careful while recruiting
potential employees who would be representing the top levels especially the human resource
department. It is rightly said that human resource professionals are the face of an organization.
They need to understand the psychology of individuals well as they are the ones who have the
responsibility of formulating policies, rules and regulations of the organization. Remember,
policies should neither be too flexible nor too rigid. If policies are too flexible, no one actually
follows them and if policies are too rigid, again employees would depend on excuses and lies to
escape them. You must understand your nature of business. An organization which works
primarily for US Clients can’t ask employees to report early in the morning as I am sure
employees must be working till late or probably the whole night.

Human resource professionals ought to communicate the organization policies and code of
conduct clearly to the employees the very first day. Also send them a mail for their ready
reference. Tell them very clearly the office timings, hierarchy, dress code, salary structure, leave
procedure, reporting structure and so on. In this case, they would never have an excuse later. Tell
them from the very beginning that there are certain things which are expected out of them and
organization is very strict on certain policies like coming to office on time, informed leaves etc.
Make them clear that if they are caught bunking office or participating in unfair practices like
stealing, passing on confidential information, they would be shown the exit door the very next
day. Trust me, no one would even think of doing the same. Problems arise when employees are
not aware of rules and regulations. Transparency between management and employees is of
utmost importance and the best way to promote workplace ethics.

Listen to what your employees have to say. Let them come out with their problems. Superiors
need to interact with employees on a regular basis and address their grievances. Management
needs to make employees feel comfortable. They might come up with lots of issues and as a boss
it is your responsibility to guide them and help them with a solution. Even if the problem is
illogical, do not be harsh to them. Make them realize as to where they are wrong. Open
communication is the best way to promote workplace ethics. Constant mentoring plays an
important role in motivating the employees to adhere to the organization policies.
No employee should be given special treatments. Bonuses and hikes must be proportional to the
employee’s performance over a period of time. Appreciating the employee who really deserves is
essential. Do not favor anyone just because you like him/her. Fair judgment is of utmost
importance. You have nothing to do with his/her personal life. There should be absolutely no
problem if an employee goes out to meet his girlfriend after office hours.

Organization needs to support its employees always, even at the hours of crisis. Job security and
constant career growth are two most important factors which ensure employees stick around
for a long time and also are satisfied with their current assignment. If employees are happy
and contended and feel respected, they would also strive hard to deliver their level best every
time.

❖ Importance of Employee Code of Conduct

Employee code of conduct guides individuals as to how they should behave at the workplace.
Employees need to be aware as to what is expected out of them in the office. You just can’t
behave the same way at office as you behave at home. Your Boss can be your best friend outside
office but at work you have to respect him and also treat him like your superior. Employee ethics
is essential for maintaining discipline at the workplace. Management needs to be liberal with the
employees but there has to be some element of fear also in the minds of employees. If the
superiors are too friendly with their subordinates, there are chances they might start taking undue
advantage of the friendship. There has to be a balance always. Yes, organization’s policies ought
to be employee friendly but that does not mean employees come to office at 11 AM just because
they cannot get up early in the morning. There has to be a genuine reason for everything.

There has to be a proper dress code for employees. Individuals just can’t enter into the office
wearing anything. Employee code of conduct decides what individuals ought to wear to office.
Some organizations are very particular of what their employees wear to work. Let us go through
an example:

Organization A did not instruct employees about their dress code. There was really no strictness
as far as dress code was concerned. One fine day; Paul came to office wearing T shirt and Capri.
The same day, one of Organization A’s esteemed clients came for site visit. Trust me, the
moment the client met Paul, he was rather surprised. Understand, coming in jeans and T shirt to
work does not stop us from working but it just reflects the non-serious and casual attitude of
employees. It is always better if employees come to work in formals. Casual dressing is okay on
Saturdays but that does not mean you can come to work wearing shorts. Dress sensibly even if it
is a weekend and you have already gone in the holiday mood. Employee dress code also ensures
uniformity among employees.

Employee code of conduct ensures career growth and also benefits the organization in the
long run. If employees understand the difference between what to do and what not to do at the
workplace, problems would never arise. We bunk offices because we do not realize that such a
practice is wrong and unethical. Employee ethics ensures employees adhere to the rules and
regulations and also work for the organization. Employee ethics motivates employees not to
indulge in gossiping, nasty politics, criticizing fellow workers, bunking office and so on. They
seldom think of sharing confidential information or data with competitors and all their energies
are utilized in productive activities which would benefit the organization.

Employee ethics ensures employees attend office on time and genuinely respect their
superiors. Most of the times it has been observed that employees have a hate relationship with
their Bosses. Are bosses wrong always? Ask yourself. How would you feel if someone reporting
to you is absconding from the office and you have a deadline to follow? Yes, sometimes it does
become essential to show your powers and be a little authoritative. Understand that employee
ethics is not meant to downgrade employees but make them aware of their duties and
responsibilities in the organization.

Most essentially, employee ethics is important as it goes a long way in making the value system
of employees strong. This way, employees on their own develop a feeling of attachment and
loyalty towards the organization. Remember, employee ethics is not meant to bind you but make
you an indispensable employee.
 ❖ Ethics in Human Resource Management

Human resource management deals with manpower planning and development related activities
in an organization. Arguably it is that branch of management where ethics really matter, since it
concerns human issues specially those of compensation, development, industrial relations and
health and safety issues. There is however sufficient disagreement from various quarters.

There are different schools of thought that differ in their viewpoint on role of ethics or ethics
in human resource development. One group of thought leaders believes that since in business,
markets govern the organizational interests and these interests are met through people, the latter
are therefore at the highest risk. They believe that markets claim profits in the name of
stakeholders and unless we have protocols, standards and procedures the same will develop into
a demon monopolizing markets and crushing human capital; HR ethics are become mandatory.

There is another group of ethicists inspired by neo-liberalism who believe that there are no
business ethics apart from realization of higher profits through utilization of human resources.
They argue that by utilizing human resources optimally, there is more value creation for the
shareholders, organization and the society and since employees are part of the society or
organization, they are indirectly benefited. Nevertheless ethics in human resource management
has become a perennial debate of late!

Discussions in ethics in HRD stem from employee relationships and whether or not there can be
a standard for the same. Employee rights and duties and freedom and discrimination at the
workplace are issues discussed and covered by most texts on the topic. Some argue that there are
certain things in employment relationship that are constant others disagree with the same. For
example, right to privacy, right to be paid in accordance with the work (fair compensation) and
right to privacy are some areas that cannot be compromised upon.

❖ Ethics and Market System

The kind of market system affects business and HR ethics; the latter thus becomes negotiable. In
occupations where the market conditions do not favor the employees it is necessary to have
government and labor union interventions in order to control the possible exploitation. In free
market system, employees and the employer are almost equally empowered, negotiation create
win win situations for both the parties. Government or labor union interventions become
harmful.

Globalization has brought about the concept of globalizing labor, trade unions have started to
decline and the role of HR as such in issues like employee policies and practices has become a
debatable topic. In fact many people are of the opinion that HR is nothing but an arm of the
stakeholders through which major strategic and policy decisions are divulged geared towards
profit making!

Thought there can be no single opinion on ethics in HR that is convincing. Market in itself is
neither an ethical institution nor unethical and no policies and procedures alone cannot govern
and align markets to human well-being. However the requirement of such policies and
procedures can also not be denied. In lieu of this HR ethics should take care of things like
discrimination (sexual, religion, age etc.), compensation, union and labor laws, whistle blowing,
health and safety of the employees etc.

❖ Ethical Issues in HR

Of all the organizational issues or problems, ethical issues are the most difficult ones to handle or
deal with. Issues arise in employment, remuneration and benefits, industrial relations and health
and safety.

Diagrammatic representation of HR Ethical Issues

▪ Cash and Compensation Plans

There are ethical issues pertaining to the salaries, executive perquisites and the annual
incentive plans etc. The HR manager is often under pressure to raise the band of base
salaries. There is increased pressure upon the HR function to pay out more incentives to
the top management and the justification for the same is put as the need to retain the
latter. Further ethical issues crop in HR when long term compensation and incentive
plans are designed in consultation with the CEO or an external consultant. While
deciding upon the payout there is pressure on favoring the interests of the top
management in comparison to that of other employees and stakeholders.

▪ Race, gender and Disability

In many organizations till recently the employees were differentiated on the basis of their
race, gender, origin and their disability. Not anymore ever since the evolution of laws and
a regulatory framework that has standardized employee behaviors towards each other. In
good organizations the only differentiating factor is performance! In addition the power
of filing litigation has made put organizations on the back foot. Managers are trained for
aligning behavior and avoiding discriminatory practices

▪ Employment Issues

Human resource practitioners face bigger dilemmas in employee hiring. One dilemma
stems from the pressure of hiring someone who has been recommended by a friend,
someone from your family or a top executive.

Yet another dilemma arises when you have already hired someone and he/she is later
found to have presented fake documents. Two cases may arise and both are critical. In the
first case the person has been trained and the position is critical. In the second case the
person has been highly appreciated for his work during his short stint or he/she has a
unique blend of skills with the right kind of attitude. Both the situations are sufficiently
dilemmatic to leave even a seasoned HR campaigner in a fix.

▪ Privacy Issues

Any person working with any organization is an individual and has a personal side to his
existence which he demands should be respected and not intruded. The employee wants
the organization to protect his/her personal life. This personal life may encompass things
like his religious, political and social beliefs etc. However certain situations may arise
that mandate snooping behaviors on the part of the employer. For example, mail scanning
is one of the activities used to track the activities of an employee who is believed to be
engaged in activities that are not in the larger benefit of the organization.

Similarly there are ethical issues in HR that pertain to health and safety, restructuring and
layoffs and employee responsibilities. There is still a debate going on whether such
activities are ethically permitted or not.
 ❖ Ethics in Sales and Marketing
Markets present a clash of interest between various players. There is competition for resources,
customers and price etc., which breeds ground for activities that may not get ethical sanctions. A
certain code of conduct, policies and practices called ethics are required to manage markets and
marketing.

Marketing is the heart of all businesses and all other functions depend upon the same for keeping
the business moving. It is one business function that interacts the most with markets, in fact
markets are meant to sell and they exist only when they sell! In such a scenario there are bound
to be multiple players and a clash is inevitable. Such clash leads to malpractices like hoarding,
price competitions, brand wars and use of unfair tactics, which is precisely where marketing
ethics come into play.

Simply put, ethics means principle or values by which marketing ought to be conducted in the
market place. Logically also when there are huge number of transactions involved, a certain code
or guiding principles are required to ensure that operations and industry competitiveness is fair
and beneficial to the end user. There are different philosophies or schools of thought for ethics
in marketing, one is the political philosophy and the other is the transaction focused.

Whereas one school of thought says that all marketing efforts should be focused on maximizing
the shareholder value and that this is the only marketing ethics; the other believes that that
marketing and market is equally responsible to consumers, other stake holders and the
shareholders. The tactic of targeting targeted segments, creating needs that were inexistent till
now, transparency about the source of labor and environmental risks, transparency about the use
of source and the ingredients, appropriate labeling, mentioning associated health risks,
advertising jurisprudence and not making false promises fall within the ambit of marketing
ethics.

Lots of marketing and promotion was carried out for goods and services that were not a need till
yesterday and only a luxury. Today cell phones have become a need and a status symbol! These
are issues that are being discussed in marketing ethics nowadays. Marketing ethics is in its
budding stage only considering that it came into being only in late 1990s.

Like other ethical disciplines, marketing ethics is also looked up from various perspectives.
There is the perspective of virtue, expediency and other perspectives. But like other ethics there
is also the difficulty of deciding the agency responsible for ethical practice. Since there is not one
single agency responsible for ethics this gives the independence to an individual or to any
marketing agency to act on its own and be ethical!

Marketing ethics unlike other business ethics is not only restricted to the field of marketing
alone. It influences many aspects of our life and especially in developing perceptions in the
minds of people and creating identities, classes and sections in the society. The visual channels
of communication used for marketing sometimes lead to closure of knowledge, opinions, ideas
and beliefs. It creates prejudices in the mind of people.
 ❖ Ethics and Production
Ethics in production is a subset of business ethic that is meant to ensure that the production
function or activities are not damaging to the consumer or the society. Like other ethics there is
a certain code of conduct or standards to be followed, however ensuring that the ethics are
complied with is often difficult.

One of the most important characteristic of the business today is that there is a great degree of
interdependence between various business functions. Production cannot happen without
marketing and sales and vice versa. In order to survive in the competitive sphere organizations
try to reduce the costs involved in production processes. This cost efficiency is sometimes
achieved at the cost of quality. Poor processes and technology is used to keep the cost down, this
is especially true for small players who cannot afford economies of scale. Having said this there
are also examples of industry giants that compromised on certain production processes, cola
companies make up for a good example.

All the production functions are governed by production ethics but there are certain that
are severely harmful or deleterious which need to be monitored continuously. The
following are worth mentioning:

➢ There are ethical problems arising out of use of new technologies that are
deleterious to health, safety and environment. Technological advancements like
genetically modified food, radiations from mobile phones, medical equipment etc.
are less problems are more of dilemmas.
➢ Defective services and products or products those are innately deleterious like
alcohol, tobacco, fast motor vehicles, warfare, chemical manufacturing etc.
➢ Animal testing and their rights or use of economically or socially deprived people
for testing or experimentation is another area of production ethics.
➢ Ethics of transactions between the organization and the environment that lead to
pollution, global warming, increase in water toxicity and diminishing natural
resources.

❖ Dilemma of Ethics in Production

There are certain processes involved in the production of goods and a slight error in the same can
degrade the quality severely. In certain products the danger is greater i.e. a slight error can
reduce the quality and increase the danger associated with consumption or usage of the same
exponentially. The dilemma therefore lies in defining the degree of permissibility, which in turn
depends on a number of factors. Bhopal gas tragedy is one example where the poisonous gas got
leaked out due to negligence on the part of the management.
Usually many manufactures are involved in the production of same good. They may use similar
or dissimilar technologies for the same. Setting a standard in case of dissimilar technologies is
often very difficult. There are many other factors that contribute to the dilemma, for example, the
involvement of the manpower, the working conditions, the raw material used etc. Social
perceptions also create an impasse sometimes. For example the use of some fertilizer by cola
companies in India recently created a national debate. The same cold drinks which were
consumed till yesterday became noxious today because of a change in the social perception that
the drinks are not fit for consumption.

o CASE STUDY: Ethical Issues Concerning Coca Cola in

India

Solid waste and water issue: The communities near the bottling plant in India complained about
the passage of sludge as fertilizer, causing health and environmental damage. The most
important issue concerning these communities is the depletion of water levels caused by the
Coca-Cola bottling operations which have drastically reduced availability of water for irrigation
purposes.
Pesticides in soft drinks: The other issue concerning human health caused by Coca-Cola is that
their bottled water and soft drinks contain pesticides which were tested by the reputed NGO,
CSE.
Dual product standards: Coca-Cola is accused of having dual standards in terms of their
products and safety measures concerning human health with respect to USA, Europe and India.
Community issue: These allegations affected Coca-Cola largely with its sales and also caused the
closure of one of their bottling plants in Kerala, India. Additionally, Coca-Cola’s products are
banned in the state of Kerala, India.
Action Taken:
Coca-Cola Company, India thought seriously about its corporate responsibility and witnessing
huge sales losses. In order to gain trust among the local communities near the bottling plant, they
improved their business practices and reduced the water usage by 34%. Through the practice of
rainwater harvesting, Coca-Cola returned substantial water to the aquifers. They have stopped
distributing sludge as Bio solids (fertilizers) to farmers for agriculture use, and have taken
initiatives with the Indian government to encourage the development of additional solid waste
disposal sites. The water used for making soft drinks is treated with activated carbon filtration
and run through a purification process to ensure that the water is free of pesticide residue. The
ingredients are also closely monitored and undergo various quality checks. According to the
company’s factsheet, they strictly follow the product standards which are the same all over the
world.
Coca-Cola has also partnered with the NGO’s and the government to provide medical access to
poor people through regular health camps. In addition to their outreach efforts, the company
committed itself to environment responsibility through its business operations. For example by
following the practices of conserving energy and by adhering to the ban on purchasing CFCs,
Coca-Cola exhibited greater corporate responsibility.
The allegations in other ways helped Coca-Cola Company, India to show their corporate social
responsibility and to maintain good product quality standards. The initiatives all over India
helped them reach villages for a good cause and also indirectly marketed their products with
establishing a trust among the public. After all these allegations, the CSE is still not convinced of
the quality of the product. Therefore, Coca-Cola must prove that they have upgraded their lab
with sophisticated instrument which is capable of measuring pesticide residue in soft drinks. As
per the recent reports by CSE, they claim that the pesticide residue has gone up 27 times higher
than expected level by the Bureau of Indian Standards (BIS) (in 2006).

References used:
1) Community rejects Coca-Cola in India
2) CSE releases new study on pesticides in soft drinks
3) Coke Facts
4) Coca-Cola challenged in Kerala
5) India: Pesticides claims shake up Coke and Pepsi
 ❖ Ethics and Technology
Businesses today are technology and innovation driven. There is huge competition in the sphere
and therefore like other industry or business function ethics is essential here also. Specially
because ethics by itself is only a tool to create and doesn’t know ethics or morals!

Every day we have innovative products and services that announce their arrival in the market
place and others that go obsolete. It is this technology and innovation that leads to ethical issues,
considering the competition to stay ahead by innovating is immense. Issues like data mining,
invasion to privacy, data theft and workplace monitoring are common and critical.

In technology we speak of ethics in two contexts; one is whether the pace of technological
innovation is benefiting the humankind or not, the other is either severely empowering people
while choking others for the same. Technology, for example, has drastically replaced people at
work.

In the first case we are compelled to think about the pace at which technology is progressing.
There are manifold implications here, be it things like computer security or viruses, Trojans,
spam’s that invade the privacy of people or the fact the technology is promoting consumerism.

Nowadays data storage is primarily on computer systems. With the advent of internet technology
the world has got interconnected and data can be accessed remotely by those who are otherwise
unauthorized to do the same. This is one of the pitfalls of innovation. The other one i.e. the pace
of technological change also raises the question of ethics.

New products make their way and leave the existing ones obsolete. In fact technological change
and innovation is at the heart of consumerism, which is bad for economy and environment in
general. The recent economic downturn makes up for a very good example.

Increasingly technological products are adding up to environmental degradation. Computer

screens, keyboards, the ink used in the printers are some of the ways in which technology is
polluting the environment. All these produce toxins that cannot be decomposed easily.

The other major issue in technology that brings in ethics is interface between technology and
the computers. Many scientists are of the opinion that the world will come to an end with a war
between the humankind and the technology. Technology they say will advance to an extent
beyond the control of those who have made it!

No doubt technology has replaced people at work and made certain others redundant. On the flip
side many people have been raised to power while others have been severely handicapped. The
latter is especially true for third world countries. New manufacturing processes that are
outsourced either replace manpower there or either exploits the latter in the name of employment
by engaging them cheaper prices.

Technology has also made inroads into the field of medicine and life care. New cloning
techniques, genetic modifications or other lifesaving drugs need continuous monitoring and
surveillance. Bioethics has thus emerged as ethics in the field of medical technology.
 ❖ International Business Ethics
International business ethics emerged quite late globally compared to the business ethics that
came up in 1970’s. It was only in late 1990’s that the international business ethics came to the
fore especially so after the economic developments that occurred on a global scale.

In 1990’s many businesses from the developing countries expanded their operations and became
multinational. The transactions between businesses and the governments increased as a result,
which gave rise to many practical issues. Culture and its relativity was one factor more
prominent than the others. Other ethical issues in the context of international business are
generally dealt with the laws of the land; although all of them fall within the ambit of
international business ethics.

Globalization diminished the barriers between countries on the globe and also called for
universalization of values for trade to occur smoothly. Universal values were perceived to
control the behavior in the commercial space. This lead to ethical issues in the international
business perspective, those that were unknown till date.

Other theoretical issues arise from the diversity of business ethical traditions in various countries
across the globe. In addition, comparisons made on the basis of corruption rankings of a certain
state or on the basis of gross domestic product of a certain economy also lead to ethical issues in
the international arena.

Since religion brings in a wholly different perspective to the way we look upon things; the
comparison of ethical traditions from the perspective of the latter also gives birth to ethical
problems. For example, trade in Christian dominated countries is different from the trade in
Islamic countries. Again depending upon how strong or profound the impact of the religion is,
business practices are influenced proportionally.

In the international business arena, ethical problems also arise out mere international
business transactions. Fair trade movement, transfer pricing, bio prospecting and bio piracy
are examples of transactions that fall within the ambit of international business ethics.
Similarly issues like child labor and cultural imperialism are controversial enough to call upon
the attention of international business ethics.

Yet another arena for strong requirement of ethics would be when multinationals bargain to take
advantage of international differences; For example when rich nations outsource their services to
poor and developing nations at cheaper cost. Western nations were up till recently outsourcing
many of services to third world nations where they could hire manpower for the cheapest prices.
This led to a severe competition between developing nations with each one offering cheaper
labor than the other.

Dumping is yet another way by which large companies are trying to kill the domestic players.
Foreign players often sell goods and services at a cheaper price making it hard for the small
players to survive the competition. Consumer durables and FMCG are biggest examples of such
practices. The bigger threat here is the resulting monopoly which places the customer in a losing
position. The international trade commission began for its search of its anti-dumping laws from
the year 2009.

All these are ways in which business at the international level can lead to ethical dilemmas. In
absence of international business ethics it may become almost impossible to regulate business
and create winning situations for people in the market place.

❖ Myths of Business Ethics

Practically business ethics at the workplace connotes an alignment between what the
organization values and how to go about it. It means that the all the day to day operations or
activities carried out by employees are in tandem with the organizational policies without any
deviations. There are however lots of myths that surround business ethics and their relevance
and effectiveness.

Many management thinkers and philosophers believe that business ethics alters people’s
values. They cease to be what they are, which comes in way of realization of their full potential.
Instead business ethics should be about managing values and conflict resolution. Conflict
management is what they stress the most upon.

There is a continuous tension between individual and organizational ethics. Many organizations
believe that most of their human resources are ethical already and need not be trained upon.
When such an ethical dilemma arises, it arises because there is a clash of principles that differ in
their result priorities. Again there ethics to counter that are equally reasonable! So what do you
choose?

One more myth that surrounds business ethics is that it is well managed and the prerogative of
philosophers and theologians. They say that there is no such term as business ethics that can
decide how organizations go about their day to day activities. Most of this may be attributed to
lack of participation of business leaders in ethical decision making process and their interest in
the same.

Business ethics is also criticized as being nothing new. It is believed to something that only
avows what is good and which is logical and known to everyone. But when we look at the same
from the perspective of stakeholders, the society and employees who work at the bottom of the
pyramid, it safeguards the interests of all these groups. Organizations cannot function in a
programmed manner ensuring there is no breach of a certain code in the absence of ethics and
values.

Business ethics in the context of corporations is recent, but it is fairly old if we talk of general
business transactions. Cicero wrote about business ethics in his book ‘On Duties’. It looks recent
because of the corporate social responsibility movement that started in early 1970’s.
Yet another myth that surrounds business ethics is that business ethics cannot be managed which
is totally wrong. In reality business ethics is managed or exercised indirectly in some way.
Organizations priorities can also be reflective of the ethics followed in the organizations. For
example a sales driven organization is bound to be aggressive naturally, whereas one that is into
the business of hospitality is bound to be different.

Certain other sections of people in management believe that business ethics and social
responsibility are the same. They are not! In fact corporate social responsibility is only a small
part of it. Corporate social responsibility concerns itself with managing business dealings and the
interface with the society; it does not a deal with ethics at the workplace. However both fall
under the continuum of business ethics.

❖ Resolving an Ethical Dilemma

In a business setting mangers are put to test when they face the challenge of resolving an ethical
dilemma. Often certain situations do not fall in the ambit of procedures or the official code of
conduct and this is when the managers feel the heat.

The problem with ethical decision making is that a decision in itself cannot be taken in a
vacuum; one single decision affects lots of other decisions and the key is to strike a balance to
ensure a win-win situation is arrived upon.

Though there are no golden rules to resolve ethical issues but managers can take a number of
initiatives to resolve ethical issues. A brief description is given below.

➢ Know the Principles

In ethical decision making there are three basic principles that can be used for resolution of
problem. These three principles are that of intuitionism, moral idealism and utilitarianism.

The principle of intuition works on the assumption that the HR person or the manager is
competent enough to understand the seriousness of the situation and act accordingly, such
that the final decision does not bring any harm to any person involved directly or indirectly.

The principle of moral idealism on the other hand states that there is a clear distinction
between good and bad, between what is acceptable and what is not and that the same is true
for all situations. It therefore asks to abide by the rule of law without any exception.

Utilitarianism concerns itself with the results or the implications. There is no clear distinction
between what is good and what is bad; the focus is on the situation and the outcome. What
may be acceptable in a certain situation can be unacceptable at some other place. It
 underlines that if the net result of the decision is an increase in the happiness of the
organization, the decision is the right one.

➢ Debate Moral Choices

Before taking a decision, moral decisions need to be thought upon and not just accepted blindly.
It is a good idea to make hypothetical situations, develop case studies and then engage others in
brainstorming upon the same. This throws some light into the unknown aspects and widens the
horizon of understanding and rational decision making.

➢ Balance Sheet Approach

In balance sheet approach, the manager writes down the pros and cons of the decision. This helps
arrive at a clear picture of things and by organizing things in a better way.

➢ Engage People Up and Down the Hierarchy

One good practice is to announce ones stand on various ethical issues loudly such that a clear
message to every member of the organization and to those who are at the greater risk of falling
prey to unethical practices. This will prevent the employees from resorting to unethical means.

➢ Integrating Ethical Decision Making into Strategic Management

Morality and ethical make up for a perennial debate and ethical perfection is almost
impossible. A better way to deal with this is to integrate ethical decision making into strategic
management of the organization. The way the HR manager gains an alternate perspective rather
than the traditional employee oriented or stakeholder oriented view.

All these steps can bring better clarity into resolving ethical dilemmas. The choice lies with the
manager and his own and the organization value clarity.
 ❖ Ethics Management Programs
Ethics Management Programs are designed by an organization or an employer as an attempt
to have formalized structures for ensuring the organization is perceived as fair, honest,
responsible and just.

Ethical programs globally are designed keeping four things in mind:

➢ Considering oneself and the organization as part of the larger social framework.
➢ Considering the development and welfare of others (internal and external customers) to
the extent possible.
➢ Respecting the traditions / rituals (organizational diversity) of others.
➢ Evaluating a situation objectively and the consequences thereof.

Many of you may ask why we need ethics management programs when you already have
policies and procedures in place that define behavioral standards. Ethics programs are designed
to ensure that there is no deviation from the standards laid down and also to ensure that
employees are fair and honest in their conduct to the organization.

The benefits of ethics programs include decreased misconduct and additional defense to the
organization against complaints from the employees, when the latter perceives that the
organization is being unjust to him / her. However in order for the ethics programs to be
successful managerial support and role modeling is very important. In fact there is a whole body
of research that proves that organizations are increasingly documenting their ethics programs to
align behaviors within the organization and also going ahead to develop systems for
implementation of the same.

Implementation of ethics programs is a clear example of organizations being very clear in

communicating what they expect of the employee relationships. Many organizations have
adopted innovative ways of communicating and continuously reminding employees what is
expected. Lockheed Martin, for example, distributes a calendar and a computer screen saver
outlining the organizations 12 building blocks of trust! Texas instruments, similarly uses training
programs and distributes a 14 page booklet to convey the standards for ethical behavior.

We thus see that honesty, fairness and ethics programs are prerequisites to the employment
relationship. There are other actions also that help better the employment relationships. Certain
actions are possible at the time of entry like flexible work arrangements (flextime, job sharing,
compressed work weeks), induction and orientation that are very convenient means of conveying
the ethical policies.

Ethics programs thus benefit organizations in many ways, one they help lay down standards of
behavior and second they help in clear communication of the same. This prevents the employee
plead on condition of ignorance, which is not the case with the manual containing policies and
procedures that are hardly known to any of the employees.
Organizations have now realized the importance of having ethics management programs.
Unlike the belief held earlier that it only helps the employee, the belief is gaining more ground
that ethics programs are equally beneficial to the organizations. No wonder more and more
number of organizations is implementing these programs for the greater benefit of their own, the
employees and most importantly the employee relationship.

❖ Difficulties in Ethical Decision Making

Decision making involves a great degree of value clarity, ethical decision making involves more!
Unlike certain financial, inventory and production decisions, ethical decisions cannot be coded
into digital machines. They require critical thinking and evaluation.

What makes ethical decision making so difficult? Why cannot ethical decisions be programmed
like other decisions? What leads to dilemmas in ethical decision making? In the coming
paragraphs we try to answer all these questions. We also try to understand basic difficulties
involved in ethical decision making.

An organization is an amalgamation of various individuals and there is a conflict of interest at

the personal level between these members, each one is concerned about his benefits and
neutral or opposing to the benefits or good of others. This conflict of interest leads to situations
that are morally challenging to the manager who wants to be moral and righteous to his own
conscience and serve the interests of the organization. Here the dilemma arises on deciding upon
the course of action.

In the second case a conflict arises when there is a distinction to be made about facts and values.
This implies a situation where a manager confronts ‘what is’ and weighs the same against ‘what
ought to be’. For example an organization may spend lots of resources upon developing,
researching or upgrading a certain product and service, which gets reflected in the final price of
the latter. This increase in price may be looked upon as exploitative by the end users!

Yet another difficulty arises in cases when there is a fine line dividing the good from the bad or
the evil and in situations when there is a difference of opinion on what is morally permissible
and what is not. Undoubtedly, in our society the good and the evil exist side by side. Example in
case, Nestle infant formula lead to many deaths in Kenya because the formula was prepared in
contaminated water. The same formula proved lifesaving in other countries. The challenge lies in
minimizing the evil and trying to arrive upon a consensus.

In an era of uncertainty, it is almost impossible to predict the outcomes of decision making. One
of the principles of ethical decision making assumes that the outcome of a decision is known
and that the decision that results in greatest good for greater number of people is the best.
Practically, anticipating the exact outcome of a course of action is impossible. This uncertainty is
at the root of all difficulties in ethical decision making.

Lastly we may say that ethical stand points of organization and their critics are opposite and
based on an entirely different set of reasons; here the ethical arguments made to justify intentions
are by and large incompatible. For example an environment protection foundation may criticize
the operations of an organization on grounds of the latter polluting the environment. The
organization may justify itself by saying that it is adding more value to the society and to
individual lives, making it more comfortable by its products and services.

❖ Insider Trading and Strategies to Combat the Menace

What is Insider Trading?

In recent years, there has been a string of high profile convictions in the United States as part of
the crackdown against insider trading. This has resulted in lot of media attention being given to
the issue of insider trading. Before we launch into a fully-fledged discussion of the intricacies of
the issue, it would be useful to define the term and understand what insider trading is all about.
Specifically, the term refers to the practice prevalent among corporate insiders who use the
knowledge gained because of their contacts and position to trade in stocks and equities that
would not have been otherwise possible if they did not have the inside information. For
instance, before a firm announces an acquisition or launches a new product line, several people
within the firm have the knowledge beforehand. As the stock might go up in value once the news
is made public, there are chances for these insiders to use their knowledge to trade in the stock.
This is the barebones version of insider trading. The other aspect of insider trading refers to the
practice wherein these insiders share the knowledge with their peers and acquaintances in other
firms who might profit from this knowledge. This aspect has been the subject of the recent
crackdown on insider trading in the United States.

Examples from Companies around the World

Having said that, it must be understood that many companies prohibit trading in their stocks by
their employees before the quarterly and annual results are announced. This is done to ensure
that they do not profit from the inside information. However, many corporate insiders have found
ways and means to circumvent this by sharing the knowledge with others outside the company
and hence, share in the profits made in such trading activity. This aspect of insider trading is hard
to detect as the number of people and the trading involved in such cases cannot be detected
easily. The recent crackdown on insider trading in the US, which saw leading executives like
Rajat Gupta, the former head of McKinsey implicated in the case, was done after regulators
started tapping the phones of many corporate honchos who they suspected were involved in
insider trading. Further, the fact that insider trading is rampant in the corporate world is an open
secret which not many people would acknowledge in public. This is the reason why it is more the
reason for stringent action against insider trading as it not only harms the reputations of the
companies but also gives the people involved in the activity an unfair advantage that the ordinary
investors would not have.

Insider Trading by the Investing Community

Apart from these aspects, insider trading is an activity that is also done by stock traders and
many investors who use their contacts within the industry to gain advance information about
the stock movements and the upcoming announcements. In Asian countries, it has been the
case that the market regulators have been lenient insofar as insider trading is concerned because
of the magnitude and the scope of the issue, which extends its tentacles into virtually every
company. However, the recent crackdown has brought to the fore the need for stringent action in
other countries as well which has translated into many companies seeking non-disclosure
agreements from their employees about the knowledge they might have about inside information.

Concluding Thoughts
Further, the other ways and means to curb insider trading would be for companies to restrict the
number of people with access to privileged information and at the same time, monitoring the
activities of those who they suspect could be indulging in insider trading. Finally, many
companies are now asking their employees not to trade in the stocks of their companies without
prior permission from the compliance department and this is seen as a move to have control over
insider trading by employees. It is hoped that these moves along with other strategies would
restrict if not eliminate the menace of insider trading.

❖ The Role of Compliance and Ethics in Company Culture

The choice of an attorney is one of the most important any employer will make. The character of
your representative at the bargaining table or in the courtroom will reflect upon your
organization and influence the effectiveness of your representation. When searching for legal
counsel, employers expect candid advice and honest advocacy.

In our more than fifty years of practice, McMahon Berger has developed a reputation as a law
firm that couples zealous advocacy of its clients with the highest ideals of the legal profession.
Effective and efficient client service and dignified representation go hand in hand. We are
committed to ethical advocacy in all areas of the practice of law, and we are proud to say that our
sterling reputation inures to the benefit of every client.

When we read the phrase “compliance and ethics program,” we sometimes overlook the
interesting connection between the words “compliance” and “ethics” and how each contributes to
the formation of an organization’s compliance and ethics program (CEP). Sometimes one can
spark a lively discussion just by inviting other compliance professionals to describe the
differences between compliance and ethics, and how these differences may compliment or
potentially be in conflict with one another, as they both impact the overall effectiveness of a
CEP. In addition, the fundamental differences between compliance and ethics may present a
philosophical challenge for employees in their role of supporting or acting in accordance with the
CEP. It is important that a compliance professional understand some of the root causes of these
philosophical differences, so as to be in a better position to address or help manage them when
they occur.

Conclusion
In the end, compliance professionals can serve as powerful agents of the organization by helping
people understand how both compliance and ethics do indeed work together to help an
organization meet its legal obligations, while also promoting the organization’s value system. It
is through the effective management of these two elements, compliance and ethics, and how they
work in combination that results in an organization developing and maintaining an effective
compliance and ethics program.
 EMPLOYEE RIGHTS

As a corporate employee (or any other employee in organized/formal sector for that
matter) your rights are protected by way of various labor laws in India (more than almost
50 central/state laws) such as right to minimum wage, maternity allowance, bonus, medical
leave, insurance, etc. These are statutory rights enforceable against the employer by way of
court order or otherwise.

Both federal and state governments have enacted a wide range of employment laws focused
on protecting you, as an employee, from unacceptable business practices. Such practices
may include discriminatory treatment, unfair labor practices, unsafe work conditions, and
many other circumstances that affect the terms and conditions of your employment.
 ❖ Basic rights of an employee in India

There are not many people who are happy with their jobs, especially in India and the major
reason for that is the exploitation of the employee rights. Be it large multi-national firms or
small-scale companies, maximum of the employees in India are not well aware of the rights
given to them by the government. Forget employees, in a lot of cases even employers are not
aware of those right. But with employment sector growing its way towards giving higher job
opportunities, these basic rights must be known to every individual belonging to this sector .

1. Leave is the right of all employees

Generally, an employee is given the following leaves during the course of his or her
employment.

2. Casual Leave: This is provided to an employee to take care of urgent or unseen

matters like a family emergency; for example, employees can apply for casual
leave to attend a parent-teacher meeting called for by their child’s school.

3. Sick Leave: Sick leave is provided when an employee gets sick.

4. Privilege or Earned Leave: Privilege or earned leaves are long leaves that are
planned for in advance.

Type of Leave Privileged / Earned Casual Sick Maternity

1 day leave for every 20 days As per ESI Act

Quantum per worked in the previous year (Eg. OR Maternity
year 300 days worked = 15 days leave) Nil Nil Benefits Act

On working 240 days in the

Entitlement first previous year NA NA NA

To apply for leave 15 days prior.

Leave not to be availed more than 3
Utilization times a year NA NA NA

Carry Forward Not more than 30 days NA NA NA

 5. Other Leaves – Apart from the above mentioned leaves, there are some other
paid, unpaid or half-paid leaves which are provided at the discretion of the
company. Study leave and bereavement leave are two such examples.

6. Medical Certificate for one-day sick leave Usually, when a sick leave exceeds
beyond two or three days, depending upon the company policy, employees are
requested to submit a medical certificate to sanction the leave. However, in the
case of one-day sick leave, an employer should not ask for a medical certificate
7. Encashment Leave An employee can take encashment leave while quitting
service, superannuation, discharge, dismissal or death. Leave encashment should
be as per average daily wages of an employee.
8. Leave during notice period
An employee can take leave during notice period, provided it is for a genuine
reason like maternity, health issues, ect.
.
The Delhi High Court, in one of its judgment, said that an employee can take leave during the
notice period if nothing is mentioned in the appointment letter which bars the employee from
taking leave during the notice period if he has leave to his credit and is entitled to the same.

❖ So what are the important rights of a private employee

under by the Indian labor law?
Although there are terms of employment defining the specific terms, the employees in the
organized private sector are governed by various laws such as Payments of Bonus Act, Equal
Remuneration Act, Payment of Gratuity Act, Employees Provident Fund and Miscellaneous
Provisions Act, Employees’ State Insurance Act, Maternity Benefit Act, etc.

The right to safe working place with basic amenities, right to appropriate working hours, right to
any assured incentive etc. is protected under the law. Here’s a list of essential rights of an
employee under the various laws and regulations:

✓ Right against discrimination at workplace

It is a right of every citizen of India to be in-discriminated. According to article 16 (2) of the
Indian Constitution, no citizen can be discriminated against, or be ineligible for any
employment or office under the state, on the grounds only of religion, race, caste, sex, descent,
place of birth or residence or any of them. Adherence to the rule of equality in public
employment is a being feature of Indian Constitution and the rule of law is its core, the court
cannot disable itself from making an order inconsistent with article 14 and 16 of the Indian
Constitution.
In the United States, Title II of the Civil Rights act, 1964 prohibits discrimination of people on
certain grounds. In this regard, employers implement equal employment opportunity policies and
prohibit discrimination based on race of a person, color, sex, religious creed, nationality, age,
ancestry, marital status, disability, medical condition, genetic characteristics ( of those of a
family member), political affiliation, et cetera.

The equality act, 2010 of the United Kingdom prohibits discrimination and mandates equal
treatment in matters of employment as well as private and public services irrespective of race,
age, sex, religion or disability.

Scheduled castes and Tribes (prevention of atrocities) act, 1989 is constituted as a social
justice oriented law, which is enacted to prevent atrocities and other form of derogatory behavior
towards member of the scheduled caste and scheduled Tribes. According to this law no person
should be used towards either written or spoken or by signs or by visible representation or
otherwise which promotes or attempts to promote feeling of enmity hatred or ill will against
scheduled caste and scheduled tribe members.

According to the recent supreme court judgment in 377 of Indian Penal Code 1860, LGBTQ (
lesbian, gay, bisexual and transgender queer) shall not be shown discrimination or derogate them
in any manner.

✓ Employment Agreement
These days the norm is to enter into an employment agreement which details out the terms of
employment like, compensation, place of work, designation, work hours, etc. The rights and
obligations of both the employer and employee are listed out clearly like non-disclosure of
confidential information and trade secrets, timely payment, provident fund etc. In case of a
dispute, the agreement also contains a mechanism for effective dispute resolution.

✓ Maternity Benefit
The Maternity Benefit Act, 1961, provides for prenatal and postnatal benefits for a female
employee in an establishment. Post-2016 amendments, the duration of paid leave for a pregnant
female employee has been increased to 26 weeks, including eight weeks of postnatal paid
leaves.

In case of a complicated pregnancy, delivery, premature birth, medical termination, female

employees are entitled to one month paid leave. In case of tubectomy procedure, only two weeks
of additional paid leave is provided for.
Pregnant female employees cannot be discharged or dismissed on account of such absence. Such
employees are not to be employed by the employer within six weeks of delivery or miscarriage.
If dismissed, they can still claim maternity benefits.

In India, men do not get any paid paternity leave. The Central Government provides for child
care leave and paid paternal leave. But in case of private sector, it is a discretionary right of the
employer.

✓ Provident Fund
Employee Provident Fund Organization (EPFO) is the national organization which manages this
retirement benefits scheme for all salaried employees. Any organization with more than 20
employees is legally required to register with EPFO.

Any employee can opt out of the scheme provided they do it at the beginning of their career. The
amount cannot be withdrawn at will. The rules limit the withdrawal amount and term of years in
service. Once registered, both employer and employee have to contribute 12 % of the basic
salary to the fund. If the employer does not pay his share or deduct the entire 12 % from the
employee’s salary. The amount can be withdrawn subject to a waiting period of maximum two
months for emergent needs and necessary expenses. The rules specify limits of withdrawal and
the necessary years of service for each purpose. An employee can withdraw a maximum of 3
times, and if withdrawn before five years the amount becomes taxable. A list of withdrawal rules
of EPF.

✓ Gratuity
The Payment of Gratuity Act, 1972 provides a statutory right to an employee in service for more
than five years to gratuity. Gratuity is paid as 15 days of salary for every year of service of an
employee done in that organization. It is one of the retirement benefits given to the employee. It
is a lump sum payment made in a gesture of gratitude towards the employee for their service.
The amount of gratuity increases with increment and number of years of service.

Gratuity payment = Last month salary X 15 (days) X Number of years of service

26 (working days)

• Monthly salary= last month drawn salary by the employee.

• 26 = total number of working days in a month.
• 15 = number of days in half of the month.

[Sec 4(3)] The maximum amount of gratuity payable to an employee should not exceed Rs.3,
50,000/- rupee (According to the latest 2010 amendment the maximum gratuity payable amount
was increased to Rs. 10, 00,000/-)

According to the (THE PAYMENT OF GRATUITY (AMENDMENT) ACT, 2018) The

maximum amount of gratuity payable to an employee should not exceed Rs. 20,00,000/- rupees.

However, the employee if dismissed for proven lawless or disorderly conduct, forfeits this right
upon dismissal.

✓ Fair Salary & Bonus for employees

The whole point of providing service for an employee is fair and appropriate remuneration.
Article 39(d) of the Constitution provides for equal pay for equal work. The laws under The
Equal Remuneration Act, The Payment of Wages Act, mandate timely and fair remuneration of
an employee. If an employee is not receiving his/her remuneration as per the employment
agreement, can approach the Labor Commissioner or file a civil suit for arrears in salary. An
employee cannot be given wages less than the legal minimum wages, as per law.

Payment of bonus
Irrespective of loss or profits to an organization must pay Bonus to its employees who's salary is
up to Rs. 21000/- according to the procedure envisaged in the Payment of Bonus Act, 1965.

Eligibility: Any employee who draws salary or wage up to Rs. 21,000 is having right for
claiming bonus
Bonus calculation purpose: according to the 2015 Amendment, Rs. 7000/- is considered as
Ceiling amount (maximum limit ) as wage or salary for calculation of bonus.
Percentage of bonus: 8.33% minimum or 20% maximum of salary or wage.

✓ Appropriate Working Hours and Overtime

All employees have a right to work in a safe workplace with basic amenities and hygiene.
The Factories Act provides and the Shop and Establishment Acts (state wise) protects the rights
of the workers and non-workmen.

Under the most recent laws, an adult worker shall work over 9 hours per day or 48 hours per
week and overtime shall be double the regular wages. A female worker can work from 6 am to 7
pm. This can be relaxed to 9.30 pm upon explicit permission, and payment for overtime and safe
transportation facility. Apart from this weekly holiday, half an hour break and no more than 12
hours of work on any given day is mandated. The working hours for child workers are limited to
4.5 hours a day.
 ✓ Right to Leaves
An employee has the right to paid public holidays and leaves such as casual leave, sick leave,
privilege leave and other leaves. For every 240 days of work, an employee is entitled to 12 days
of annual leave. An adult worker may avail one earned leave every 20 days whereas its 15 days
for a young worker. During notice period an employee can take leaves for emergencies, provided
the employment agreement does not bar it.

✓ Prevention of Sexual Harassment at workplace

Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013
protects women at the workplace from sexual harassment. The Indian Penal Code also provides a
penalty of up to three years imprisonment with or without fine, for sexual harassment.

For organizations with ten or more employees, there has to be an internal complaint committee
constituted for the aid of the victims of sexual harassment. The law mandates that a grievance
redressal policy and mechanisms be in place in such organizations which outlines what
constitutes sexual harassment, penalties, redressal mechanism, etc. The committee should also
include a senior woman as a member, two other employees as members and a non-governmental
member. The detailed duties of an employer are available in this article.

My attempt here is, simply to demystify the jargons used with an employee who does not fully
understand and agree to it anyway. The HR or the company is not always going to educate you
about all this. It is not their job, but yours to learn about your rights.

This is by no means an exhaustive list of rights and obligation of an employee under the laws and
regulations. There are so many laws governing different aspects of labor and employment-related
laws.

An incident of sexual harassment of a female at a place of work, amounts to violation of her

fundamental right to gender equality under the article 16(2) of the Indian Constitution.

✓ Right to Strike
All the employees can rightfully go on strike without any prior notice to the company except for
the public utility employees who are supposed to give a notice 6 weeks before going on the
strike.
 ✓ Written employment agreement
A written employment must be given to the employer before starting the work period. It is a legal
document containing all terms and conditions and rights of obligations. It is important to provide
a sense of security to both employers as well as the employee.
 Indian Labour Law

Indian labour law refers to laws regulating labour in India. Traditionally, Indian
governments at federal and state level have sought to ensure a high degree of protection
for workers, but in practice, this differs due to form of government and because labour is
a subject in the concurrent list of the Indian Constitution.

HISTORY
Indian labour law is closely connected to the Indian independence movement, and the campaigns
of passive resistance leading up to independence. While India was under colonial rule by
the British Raj, labour rights, trade unions, and freedom of association were all suppressed.
Workers who sought better conditions, and trade unions who campaigned through strike action
were frequently, and violently suppressed. After independence was won in 1947,
the Constitution of India of 1950 embedded a series of fundamental labour rights in the
constitution, particularly the right to join and take action in a trade union, the principle of
equality at work, and the aspiration of creating a living wage with decent working conditions.

➢ 1921 Buckingham and Carnatic Mills Strike

➢ 1926 Binny Mill Strike
➢ 1928 South Indian Railway Strike
➢ Meerut Conspiracy Case (1929)
➢ 1974 railway strike in India
➢ Great Bombay Textile Strike in 1982
➢ Harthal in Kerala 2012

CONSTITUTIONAL RIGHTS

In the Constitution of India from 1950, articles 14-16, 19(1)(c), 23-24, 38, and 41-43A directly
concern labour rights. Article 14 states everyone should be equal before the law, article 15
specifically says the state should not discriminate against citizens, and article 16 extends a right
of "equality of opportunity" for employment or appointment under the state. Article 19(1)(c)
gives everyone a specific right "to form associations or unions". Article 23 prohibits all
trafficking and forced labour, while article 24 prohibits child labour under 14 years old in a
factory, mine or "any other hazardous employment".
Articles 38-39, and 41-43A, however, like all rights listed in Part IV of the Constitution are not
enforceable by courts, rather than creating an aspirational "duty of the State to apply these
principles in making laws". The original justification for leaving such principles unenforceable
by the courts was that democratically accountable institutions ought to be left with discretion,
given the demands they could create on the state for funding from general taxation, although
such views have since become controversial. Article 38(1) says that in general the state should
"strive to promote the welfare of the people" with a "social order in which justice, social,
economic and political, shall inform all the institutions of national life. In article 38(2) it goes on
to say the state should "minimize the inequalities in income" and based on all other statuses.
Article 41 creates a "right to work", which the National Rural Employment Guarantee Act
2005 attempts to put into practice. Article 42 requires the state to "make provision for securing
just and human conditions of work and for maternity relief". Article 43 says workers should have
the right to a living wage and "conditions of work ensuring a decent standard of life". Article
43A, inserted by the Forty-second Amendment of the Constitution of India in 1976, creates a
constitutional right to codetermination by requiring the state to legislate to "secure the
participation of workers in the management of undertakings".

CONTRACTS AND RIGHTS

Scope of protection
Indian labour law makes a distinction between people who work in "organized" sectors and
people working in "unorganized sectors". The laws list the editors to which various labour rights
apply. People who do not fall within these sectors, the ordinary law of contract apply.
India's labour laws underwent a major update in the Industrial Disputes Act of 1947. Since then,
an additional 45 national laws expand or intersect with the 1948 act, and another 200 state laws
control the relationships between the worker and the company. These laws mandate all aspects of
employer-employee interaction, such as companies must keep 6 attendance logs, 10 different
accounts for overtime wages, and file 5 types of annual returns. The scope of labour laws extend
from regulating the height of urinals in workers' washrooms to how often a work space must be
lime-washed. Inspectors can examine working space anytime and declare fines for violation of
any labour laws and regulations.

EMPLOYMENT CONTRACTS
Among the employment contracts that are regulated in India, the regulation involves significant
government involvement which is rare in developed countries. The Industrial Employment
(Standing Orders) Act 1946 requires that employers have terms including working hours, leave,
productivity goals, dismissal procedures or worker classifications, approved by a government
body.[5]
The Contract Labour (Regulation and Abolition) Act 1970 aims at regulating employment of
contract labour so as to place it at par with labour employed directly. Women are now permitted
to work night shifts too (10 pm to 6 am).
The Latin phrase 'dies none' is being widely used by disciplinary authorities in government and
industries for denoting the 'unauthorized absence' to the delinquent employees. According to Shri
R. P. Saxena, chief engineer, Indian Railways, dies-non is a period which neither counted in
service nor considered as break in service. A person can be marked dies-non, if

➢ absent without proper permission

➢ when on duty left without proper permission
➢ while in office but refused to perform duties

In cases of such willful and unauthorized absence from work, the leave sanctioning authority
may decide and order that the days on which the work is not performed be treated as dies non-on
the principle of no work no pay. This will be without prejudice to any other action that the
competent authority might take against the persons resorting to such practices. The principle of
"no work no pay" is widely being used in the banking industry in India. [9] All other
manufacturing industries and large service establishments like railways, posts and
telecommunications are also implementing it to minimize the incidences of unauthorized absence
of workers. The term 'industry' infuses a contractual relationship between the employer and the
employee for sale of products and services which are produced through their cooperative
endeavor.
This contract together with the need to put in efforts in producing goods and services imposes
duties (including ancillary duties) and obligations on the part of the employees to render services
with the tools provided and in a place and time fixed by the employer. And in return, as a quid
pro quo, the employer is enjoined to pay wages for work done and or for fulfilling the contract of
employment. Duties generally, including ancillary duties, additional duties, normal duties,
emergency duties, which have to be done by the employees and payment of wages therefor.
Where the contract of employment is not fulfilled or work is not done as prescribed, the principle
of 'no work no pay' is brought into play.

Wage regulation
The Payment of Wages Act 1936 requires that employees receive wages, on time, and without
any unauthorized deductions. Section 6 requires that people are paid in money rather than in
kind. The law also provides the tax withholdings the employer must deduct and pay to the central
or state government before distributing the wages.
The Minimum Wages Act 1948 sets wages for the different economic sectors that it states it will
cover. It leaves a large number of workers unregulated. Central and state governments have
discretion to set wages according to kind of work and location, and they range between as much
as ₹ 143 to 1120 per day for work in the so-called central sphere. State governments have their
own minimum wage schedules.
The Payment of Gratuity Act 1972 applies to establishments with 10 or more workers. Gratuity
is payable to the employee if he or she resigns or retires. The Indian government mandates that
this payment be at the rate of 15 days salary of the employee for each completed year of service
subject to a maximum of ₹ 2000000.
The Payment of Bonus Act 1965, which applies only to enterprises with over 20 people, requires
bonuses are paid out of profits based on productivity. The minimum bonus is currently 8.33 per
cent of salary.
Weekly Holidays Act 1942
Beedi and Cigar Workers Act 1967

Health and safety

The Workmen's Compensation Act 1923 requires that compensation is paid if workers are
injured in the course of employment for injuries, or benefits to dependents. The rates are low.

➢ Factories Act 1948, consolidated existing factory safety laws

➢ The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal)
Act, 2013 that seeks to protect and provides a mechanism for women to report incidents
of sexual harassment at their place of work.

Pensions and insurance

The Employees' Provident Fund and Miscellaneous Provisions Act 1952 created the Employees'
Provident Fund Organization of India. This functions as a pension fund for old age security for
the organized workforce sector. For those workers, it creates Provident Fund to which employees
and employers contribute equally, and the minimum contributions are 10-12 per cent of wages.
On retirement, employees may draw their pension.

➢ Indira Gandhi National Old Age Pension Scheme

➢ National Pension Scheme
➢ Public Provident Fund (India)
The Employees' State Insurance provides health and social security insurance. This was created
by the Employees' State Insurance Act 1948.
The Unorganized Workers' Social Security Act 2008 was passed to extend the coverage of life
and disability benefits, health and maternity benefits, and old age protection for unorganized
workers. "Unorganized" is defined as home-based workers, self-employed workers or daily-wage
workers. The state government was meant to formulate the welfare system through rules
produced by the National Social Security Board.
The Maternity Benefit Act 1961, creates rights to payments of maternity benefits for any woman
employee who worked in any establishment for a period of at least 80 days during the 12 months
immediately preceding the date of her expected delivery. On March 30, 2017 the President of
India Pranab Mukherjee approved the Maternity Benefit (Amendment) Act, 2017 which provides
for 26-weeks paid maternity leave for women employees.
The Employees’ Provident Funds and Miscellaneous Provisions Act, 1952, provides for
compulsory contributory fund for the future of an employee after his/her retirement or for his/her
dependents in case of employee's early death. It extends to the whole of India except the State of
Jammu and Kashmir and is applicable to:

➢ Every factory engaged in any industry specified in Schedule 1 in which 20 or more

persons are employed.
➢ Every other establishment employing 20 or more persons or class of such establishments
that the Central Govt. may notify.
➢ Any other establishment so notified by the Central Government even if employing less
than 20 persons.

WORKPLACE PARTICIPATION

Trade unions
Article 19(1)(c) of the Constitution of India gives everyone an enforceable right "to form
associations or unions".
The Trade Unions Act 1926, amended in 2001, contains rules on governance and general rights
of trade unions.

Board representation
It was the view of many in the Indian Independence Movement, including Mahatma Gandhi that
workers had as much of a right to participate in management of firms as shareholders or other
property owners. Article 43A of the Constitution, inserted by the Forty-second Amendment of
the Constitution of India in 1976, created a right to codetermination by requiring the state to
legislate to "secure the participation of workers in the management of undertakings". However,
like other rights in Part IV, this article is not directly enforceable but instead creates a duty upon
state organs to implement its principles through legislation (and potentially through court cases).
In 1978 the Sachar Report recommended legislation for inclusion of workers on boards; however
this had not yet been implemented.
The Industrial Disputes Act 1947 section 3 created a right of participation in joint work
councils to "provide measures for securing amity and good relations between the employer and
workmen and, to that end to comment upon matters of their common interest or concern and
endeavour to compose any material difference of opinion in respect of such matters". However,
trade unions had not taken up these options on a large scale. In National Textile Workers Union v
Ramakrishna the Supreme Court, Bhagwati J giving the leading judgment, held that employees
had a right to be heard in a winding up petition of a company because their interests were
directly affected and their standing was not excluded by the wording of the Companies Act
1956 section 398.

➢ Excel Wearv. Union of India A.I.R. 1979 S.C. 25, 36

Collective Action
The Industrial Disputes Act 1947 regulates how employers may address industrial disputes such
as lockouts, layoffs, retrenchment etc. It controls the lawful processes for reconciliation,
adjudication of labour disputes.
According to fundamental rules (FR 17A) of the civil service of India, a period of unauthorized
absence- (i) in the case of employees working in industrial establishments, during a strike which
has been declared illegal under the provisions of the Industrial Disputes Act, 1947, or any other
law for the time being in force; (ii) in the case of other employees as a result of action in
combination or in concerted manner, such as during a strike, without any authority from, or valid
reason to the satisfaction of the competent authority; shall be deemed to cause an interruption or
break in the service of the employee, unless otherwise decided by the competent authority for the
purpose of leave travel concession, quasi-permanency and eligibility for appearing in
departmental examinations, for which a minimum period of continuous service is required.
➢ Provisions of the Factories Act 1948

EQUALITY
Article 14 states everyone should be equal before the law, article 15 specifically says the state
should not discriminate against citizens, and article 16 extends a right of "equality of
opportunity" for employment or appointment under the state. Article 23 prohibits all trafficking
and forced labour, while article 24 prohibits child labour under 14 years old in a factory, mine or
"any other hazardous employment".

➢ Caste Disabilities Removal Act 1850

Gender discrimination
Article 39(d) of the Constitution provides that men and women should receive equal pay for
equal work. In the Equal Remuneration Act 1976 implemented this principle in legislation.

➢ Randhir Singh v Union of India Supreme Court of India held that the principle of equal
pay for equal work is a constitutional goal and therefore capable of enforcement through
constitutional remedies under Article 32 of Constitution
➢ State of AP v G Sreenivasa Rao, equal pay for equal work does not mean that all the
members of the same cadre must receive the same pay packet irrespective of their
seniority, source of recruitment, educational qualifications and various other incidents of
service.
➢ State of MP v Pramod Baratiya, comparisons should focus on similarity of skill, effort
and responsibility when performed under similar conditions
➢ Mackinnon Mackenzie & Co v Adurey D'Costa, a broad approach is to be taken to decide
whether duties to be performed are similar
JOB SECURITY

• Fair dismissal

Some of India's most controversial labour laws concern the procedures for dismissal contained in
the Industrial Disputes Act 1947. A workman who has been employed for over a year can only
be dismissed if permission is sought from and granted by the appropriate government office.
Additionally, before dismissal, valid reasons must be given, and there is a wait of at least two
months for government permission, before a lawful termination can take effect.
A permanent worker can be terminated only for proven misconduct or for habitual
absence. The Industrial Disputes Act (1947) requires companies employing more than 100
workers to seek government approval before they can fire employees or close down. In practice,
permissions for firing employees are seldom granted. Indian laws require a company to get
permission for dismissing workers with plant closing, even if it is necessary for economic
reasons. The government may grant or deny permission for closing, even if the company is
losing money on the operation.
The dismissed worker has a right to appeal, even if the government has granted the dismissal
application. Indian labour regulations provide for a number of appeal and adjudicating
authorities – conciliation officers, conciliation boards, courts of inquiry, labour courts, industrial
tribunals and the national industrial tribunal – under the Industrial Disputes Act. These involve
complex procedures. Beyond these labour appeal and adjudicating procedures, the case can
proceed to respective State High Court or finally the Supreme Court of India.

• Bharat Forge Co Ltd v Uttam Manohar Nakate [2005] INSC 45, a worker found sleeping for
the fourth time in 1983. Bharat Forge initiated disciplinary proceedings under the Industrial
Employment Act (1946). After five months of proceedings, the worker was found guilty and
dismissed. The worker appealed to the labour court, pleading that his dismissal was unfair
under Indian Labour laws. The labour court sided with the worker, directed he be reinstated,
with 50% back wages. The case went through several rounds of appeal and up through
India's court system. After 22 years, the Supreme Court of India upheld his dismissal in 2005

• Redundancy

Redundancy pay must be given, set at 15 days' average pay for each complete year of continuous
service. An employee, who has worked for 4 years in addition to various notices and due
process, must be paid a minimum of the employee's wage equivalent to 60 days before
retrenchment, if the government grants the employer a permission to lay off.
 • Full employment

➢ National Rural Employment Guarantee Act 2005

The Industries (Regulation and Development) Act 1951 declared that manufacturing
industries under its First Schedule were under common central government regulations in
addition to whatever laws state government enact. It reserved over 600 products that can
only be manufactured in small-scale enterprises, thereby regulating who can enter in
these businesses, and above all placing a limit on the number of employees per company
for the listed products. The list included all key technology and industrial products in the
early 1950s, including products ranging from certain iron and steel products, fuel
derivatives, motors, certain machinery, machine tools, to ceramics and scientific
equipment.

State Laws

Each state in India may have special labour regulations in certain circumstances. Every state in
India makes its own regulations for the Central Act. The regulations may vastly differ from state
to state. The forms and procedures used will be different in each state. The Central Government
is in the process on simplifying these multiple state laws into 4 Labour Codes. They are Code on
1. Wages, 2. Social Security and Welfare, 3. Industrial Relations, 4. Occupational Safety and
Health and Working Conditions.

Gujarat
In 2004 the State of Gujarat amended the Industrial Disputes Act to allow greater labour market
flexibility in the Special Export Zones of Gujarat. The law allows companies within SEZs to lay
off redundant workers, without seeking the permission of the government, by giving a formal
notice and severance pay.

West Bengal
The West Bengal government revised its labour laws making it virtually impossible to shut down
a loss-making factory.]The West Bengal law applies to all companies within the state that
employ 70 or more employees.
Many observers have argued that India's labour laws should be reformed. The laws have
constrained the growth of the formal manufacturing sector. According to a World Bank report in
2008, heavy reform would be desirable. The executive summary stated,

“ India's labour regulations - among the most restrictive and complex in the world -
have constrained the growth of the formal manufacturing sector where these laws
have their widest application. Better designed labour regulations can attract more
labour- intensive investment and create jobs for India's unemployed millions and
those trapped in poor quality jobs. Given the country's momentum of growth, the
window of opportunity must not be lost for improving the job prospects for the 80
million new entrants who are expected to join the work force over the next decade. ”

Ex-Prime Minister Manmohan Singh had said that new labour laws are needed.
In Uttam Nakate case, the Bombay High Court held that dismissing an employee for repeated
sleeping on the factory floor was illegal - a decision which was overturned by the Supreme Court
of India. Moreover, it took two decades to complete the legal process. In 2008, the World
Bank criticized the complexity, lack of modernization and flexibility in Indian regulations.

o PROHIBITIVE LABOUR LAWS

Bonded Labour System (Abolition) Act, 1976

The Bonded Labour System (Abolition) Act, 1976 ( Bonded Labour Abolition Act) is a
prohibiting legislation which provides for the abolition of the bonded labour system with a view
to prevent the economic and physical exploitation of the weaker sections of the society, and
matters connected therewith or incidental thereto.

Under the Bonded Labour Abolition Act, the term "bonded labour" has been defined to mean any
labour or service rendered under the bonded labour system.

The term "bonded labour system" has been defined to mean the system of, forced or partly
forced, labour under which a debtor enters or has, or is presumed to have, entered into an
agreement with the creditor to the effect that:

➢ In consideration of an advance obtained by him or by any of his lineal ascendants or

descendants (whether or not such advance is evidenced by the document) and in
consideration of the interest, if any, due on such advance; or
➢ In pursuance of any customary or social obligation; or
➢ In pursuance of any obligation devolving on him by succession; or
 ➢ For any economic consideration received by him or by any of his lineal ascendants or
descendants; or
➢ By reason of his birth in any particular caste or community.

The debtor would render, by himself or through any member of his family, or any person
dependent on him, labour or service, to the creditor, or for the benefit of the creditor, for a
specific period or for an unspecified period, either without wages or for nominal wages.

Section 3 of the Bonded Labour Abolition Act provides that the provisions of this Act shall have
effect notwithstanding anything inconsistent therewith contained in any enactment other than this
Act or in any instrument having effect by virtue of any enactment other than this Act.

Section 20 of the Bonded Labour Abolition Act provides that whoever abets any offence
punishable under this Act shall, whether or not the offence abetted is committed, be punishable
with the same punishment as is provided for the offence which has been abetted. For the purpose
of this Act, "abetment" has the meaning assigned to it in the Indian Penal Code.

Child Labour (Prohibition & Regulation) Act, 1986

The Constitution of India incorporates provisions to secure labour protection to children. It

expressly prohibits the employment of a child below the age of 14 years in work in any factory
or mine or engagement in any other hazardous employment.

The policy of the Government is to ban the employment of children below the age of 14 years in
factories, mines and hazardous employments and to regulate the working condition of children in
other industries.

The Government enacted the Child Labour (Prohibition & Regulation) Act, 1986 (the Child
Labour Prohibition & Regulation Act), which prohibits the employment of children who have
not completed their 14th year in 16 occupations and 65 processes 1 like cinder picking, cleaning
of ash pits, building operation, manufacturing or handling of pesticides and insecticides, and
manufacturing of matches, explosives, fireworks, etc.

In addition, the Child Labour Prohibition & Regulation Act regulates the working conditions of
children in all employments, which are not prohibited under the Act. It also fixes the number of
hours and the period of work and requires the occupiers of establishments employing children to
give notice to the local inspector and maintain the prescribed register.

Apart from the Child Labour Prohibition & Regulation Act, there are other legislations which
also protect the interest of child labour. For example, the Factories Act, 1948 and the Mines Act,
1952 prohibit the employment of children below the age of 14 years. The Children (Pledging of
Labour) Act, 1933, makes an agreement to pledge the labour of children void.
 • Directions of the Supreme Court on the Issue of Elimination of Child
Labour

In a landmark judgment on 10 December 1996, in the case of MC Mehta v State of Tamil

Nadu (1996) 6 SCC 756 [Writ Petition (Civil) No. 465/1986], the Supreme Court of India gave
certain directions on the issue of elimination of child labour. The main features of the judgment
are as under:

➢ Survey for identification of working children;

➢ Withdrawal of children working in hazardous industry and ensuring their education in
appropriate institutions;
➢ Contribution at the rate of Rs 20,000 per child to be paid by the offending employers of
children to a welfare fund to be established for this purpose;
➢ Employment to one adult member of the family of the child so withdrawn from work and
if that is not possible a contribution of Rs 5,000 to the welfare fund to be made by the
State Government;
➢ Financial assistance to the families of the children so withdrawn to be paid out of the
interest earnings on the corpus of Rs 20,000/25,000 deposited in the welfare fund, as
long as the child is actually sent to a school; and
➢ Regulating hours of work for children working in non-hazardous occupations so that
their working hours do not exceed six hours per day and education for at least two hours
is ensured. The entire expenditure on education is to be borne by the concerned
employer.

Sexual Harassment at Workplace (Prohibition, Prevention and Redressal) Act,

2013

The Sexual Harassment at Workplace (Prohibition, Prevention and Redressal) Act, 2013 (SHW
Act) was enacted by the Parliament to provide protection against sexual harassment of women at
workplace and prevention and redressal of complaints of sexual harassment and for matters
connected therewith.

The SHW Act makes it mandatory for every organization having 10 employees and more to
constitute an Internal Complaints Committee (ICC) to entertain complaints that may be made by
aggrieved women.

The SHW Act also incorporates provisions for formation of a Local Complaints Committee
(LCC) in every district for entertaining complaints of sexual harassment at workplace from
organizations where ICC has not been established due to having less than 10 employees.

The SHW Act provides that aggrieved women may in writing make a compliant of sexual
harassment to the ICC or LCC as the case may be within a period of three months from the date
of occurrence of such incident. Further, in a case where the aggrieved woman is unable to make
a complaint on account of her physical incapacity or Death, a complaint may be filed inter alia
by her relative or legal heirs.

o LAWS RELATING TO EMPLOYMENT AND TRAINING

Apprentices Act, 1961

The Apprentices Act, 1961 (the Apprentice Act) provides for the regulation and control of
training of apprentices to supplement the availability of trained technical employees for the
industry and matters in connection thereto. It provides for qualification for being engaged as an
apprentice, contract for apprenticeship, renewal of contract of apprenticeship, period for
apprenticeship, termination of apprenticeship contract, obligation of employers and obligations
of apprentices, payment to apprentices, health safety and welfare of apprenticeship, hours of
work, overtime, leave and holidays and other conditions of working of apprentice.

The Apprentice Act requires employers to hire apprentices in certain designated trades, as
notified by the Government. Accordingly, appointment of apprentices, according to the
Apprentice Act, will be obligatory if the company falls under the notified industry.

The Government is considering amending the Apprentices Act, 1961, in consultation with all
concerned Ministries. One of the proposed amendments relates to reserving 50% of direct
recruitment posts for trained Trade, Graduate, Technician and Technician (Vocational)
apprentices who have been trained under the Apprentices Act, 1961 in the same establishment.

Employment Exchanges (Compulsory Notification of Vacancies) Act, 1959

The Employment Exchanges (Compulsory Notification of Vacancies) Act, 1959 (the

Employment Exchange Act) provides for the compulsory notification of vacancies to
employment exchanges by the employers. Section 4(1) of the Employment Exchange Act makes
it obligatory on every establishment in the public sector to notify, before filling up any vacancy
in any employment in that establishment, vacancies to such employment exchanges as may be
prescribed.

Further, s 4(2) of the Employment Exchange Act provides that the appropriate Government may,
by notification in the Official Gazette, require that from such date as may be specified in the
notification, the employer in every establishment in the private sector (ordinarily employing
more than 25 employees) or every establishment pertaining to any class or category of
establishments in the private sector shall, before filling up any vacancy in any employment in
that establishment, notify vacancies to such employment exchanges as may be prescribed.

E-Kranti: Ministry of Labour & Employment E-governance initiative

The Ministry of Labour & Employment has come up with a unique E-governance service called
"E-kranti" which aims to make government services accessible to the common man in his
locality, through Common Service Delivery outlets and ensure efficiency, transparency and
reliability at affordable costs. For the purpose of E-governance the ministry has also developed a
unified Web Portal called "Shram Suvidha Portal". This portal integrates four major
Organizations under the Ministry of Labour, Theft Chief central Labour Commissioner. The
Directorate General of Mines Safety, Employees' Provident Fund Organization and Employees'
State Insurance Corporation. The portal facilitates the following:

➢ A Unique labour identification number (LIN) for Units to facilitate online registration.
➢ Filing of self-certified and simplified Single Online Return by the industry Units.
➢ Provides for filing a single consolidated Return online instead of filing separate Returns.
➢ Timely redressal of grievances.
➢ Transparent Labour inspection scheme through computerized system.

o ENFORCEMENT OF LABOUR LAWS BY CENTRAL

INDUSTRIAL RELATIONS MACHINERY (CIRM)

Chief Labour Commissioner (Central) Organization, also know n as Central Industrial

Relations Machinery (CIRM) is an attached office of the Ministry of Labour & Employment.
The CIRM is headed by the Chief Labour Commissioner (Central). It has been entrusted with
the task of maintaining harmonious Industrial Relations, Enforcement of Labour Law s and
Verification of CTUOs (Central Trade Union Organizations). CIRM has complement of 33
officers at the Head Quarters and 269 Officers in the field. The offices of these Officers are
spread over different parts of the country with zonal, regional and unit level formations
▪ BENEFITS TO WORKERS DUE TO INTERVENTION BY CIRM

▪ ENFORCEMENT OF LABOUR LAWS BY CIRM

Important function of CIRM is enforcement of Labour Law s in the establishments for
which Central Government is the Appropriate Government. The machinery enforces
following Labour Law s and Rules framed there under:
1. The Payment of Wages Act 1936 & rules made thereunder for Mines, Railways,
Air Transport Services & Docks, Wharves and Jetties
2. The Minimum Wages Act 1948 and Rules
3. The Contract Labour (Regulation & Abolition) Act, 1970 and Rules
4. The Equal Remuneration Act 1976 & Rules
5. The Inter-State Migrant Workmen (RE&CS) Act 1979 and Rules
6. The Child and adolescent Labour (Prohibition & Regulation) Act, 1986 and Rules
7. The Payment of Gratuity Act, 1972 and Rules
8. The Labour Law s (Exemption from Furnishing returns and Maintaining
Registers by certain Establishments) Act 1988
9. The Building and other Construction Workers (RE&CS) Act, 1996 and Rules
10. The Chapter VI-A of Indian Railways Act; Hours of Employment Regulations for
Railways Employee
11. The Industrial Employment (Standing Orders) Act, 1946 & Rules
12. The Payment of Bonus Act, 1965.
STATEMENT SHOWING NO. OF INSPECTIONS AND RELATED INFORMTION UNDER
VARIOUS LABOUR LAWS FOR THE YEAR 2017-2018 AND 2018-2019 (APRIL to MARCH
2019:

Protected Characteristic Law Under Which Protection Is Defined

Race Title VII of the Civil Rights Act (Title VII/CRA)
Sex Title VII of the Civil Rights Act (Title VII/CRA)
Religion Title VII of the Civil Rights Act (Title VII/CRA)
National Origin Title VII of the Civil Rights Act (Title VII/CRA)
Color (skin color) Title VII of the Civil Rights Act (Title VII/CRA)

Age (40+) Age Discrimination in Employment Act (ADEA)

Disability Americans with Disabilities Act (ADA) and the
Americans with Disabilities Act Amendments Act
(ADAAA)

Pregnancy Pregnancy Discrimination Act (PDA)

Military Status or Obligations Uniformed Services Employment and Reemployment
Rights Act (USERRA)
Genetic Information (including Genetic Information Non Discrimination Act (GINA)
family medical history)
 o Workplace Laws Your Employer Might Be Violating

How Companies Violate Employee Rights:

• Telling you that you can't discuss your salary with your co-workers.
• Treating you as exempt from overtime pay.
• Asking or allowing you to work off the clock.
• Hiring independent contractors but treating them like employees.
• Disciplining you for complaining about work on social media.

Telling you that you can't discuss your salary with your co-workers.

The National Labor Relations Act says that employers can't prevent most employees from
discussing wages among themselves. The reason for that is that employees can't effectively
organize or unionize if they're not permitted to discuss wages or uncover potential inequities. But
despite the law, an astonishing number of employers have policies against this anyway – so
many that most people think these policies normal and have no idea that they violate the law.

Treating you as exempt from overtime pay.

Whether or not you're eligible for overtime pay isn't up to your employer. It's supposed to be
governed by the type of work you do. The federal government divides all types of jobs into one
of two categories: exempt and non-exempt. If your job is categorized as non-exempt, your
employer must pay you overtime (time and a half) for all hours you work beyond 40 in any given
week.

The exempt category is reserved for employees who perform relatively high-level executive or
professional work, outside sales employees and a few other narrowly defined categories. But
many employers incorrectly categorize employees as exempt when they don't actually meet the
government's qualifications for the category, and thus avoid paying overtime to people who the
law says should be earning it.

Asking or allowing you to work off the clock.

If you're a non-exempt employee, you must be paid for all the time you work, including things
outside of your normal work hours, such as answering emails or taking calls from home at night
or on the weekend. You can't waive this right even if you want to. Your employer is required to
pay you for that time.

Hiring independent contractors but treating them like employees.

If your employer controls when, where and how you work, the government says that you're an
employee and your company needs to pay your payroll taxes and offer you the same benefits it
offers to regular employees. Yet despite recent crackdowns on this by the government, many
employers continue to hire independent contractors and treat them like employees – in every way
but pay.

Disciplining you for complaining about work on social media.

The National Labor Relations Act protects employees' ability to discuss wages and working
conditions with each other. The National Labor Relations Board has ruled repeatedly that
employers' attempts to control or limit what employees post on social media often violate the
employees' rights to engage in "protected concerted activity," and that employees must be
permitted to band together to try to make changes to their employment conditions, even if all
they wish to do is to complain as a group.

Here's what to do if your employer is violating one of these laws.

If your employer is violating one of the laws, in most cases the most effective first step is simply
to talk to your manager. If you start from the assumption that she doesn't realize that there's a
legal issue and that you're being helpful by bringing it to her attention – as opposed to taking an
adversarial stance right off the bat – you're more likely to get a better outcome, one where the
problem gets fixed and you maintain good relations with your employer.
First category is of usual Labour or employment related issues like - Wages, EPF, other
employee benefits, Working conditions or duration, leaves, retrenchment or layoff,
discrimination in appointment or promotion.
For this category of issues you can approach your concerned Labour Officer/Commissioner with
simply a letter detailing your problem. Please ensure to take a receipt of the same from his office
on a duplicate copy of the same.
The second category of issues are like - Harassment (Mental/Sexual or both), Physical Abuse,
Fraud, Illegal Detention, Forcing or abetting to commit an unlawful act, use of foul language /
language denoting caste or religion etc. in a derogatory way. For this category, you should also
make a complaint to the concerned police station along with labour department.

o Rights & Responsibilities of Workers

When you hire employees you have a number of responsibilities to manage, including
setting work schedules, doing payroll and ensuring that workers complete duties correctly.
You must also know the rights and responsibilities of your employees when they're in your
office. Some of the laws and regulations for workers vary by state, but there are a few key
concepts that you should be aware of as a responsible and thorough small business owner.

Privacy Rights
The general rule of thumb for employees regarding privacy rights is that because the equipment,
including computers and phones, as well as software and computer systems belong to the
employer, he has the right to access information disseminated using these tools. For instance,
employers can monitor calls made by workers if they wish in most cases. This also applies to
company-owned emails, cell phone messages and voicemails. However, if the employee is using
his own personal devices and possessions he has the right to privacy. Also, federal law states that
when the employer determines that a phone call is of a personal nature, recording must stop.

Breaks
Some states have specific rules requiring employers to give employees break time for eating and
resting. This condition is not covered by federal law. In states that do require breaks, it's
commonly for employees that work five or more hours and for about a half an hour. Also, If the
state law does require breaks for employees, it may or may not have to be paid time. Texas does
not have a requirement for meal or rest breaks as of 2010. Smoke breaks aren't usually required
by law—that is a decision made by each individual employer. Rules regarding meal and rest
breaks for minors may be even stricter depending on the state.

Safety
Employees have rights and responsibilities when it comes to safety. Workers have the right to a
safe hazard-free atmosphere at work and employers must give workers access to information
regarding safety at the workplace. Employees also have a responsibility to contribute to
workplace safety and health, according to the federal Occupational Safety and Health Act of
1970.

Respect for And from Others

In addition to safety, employees also have rights and responsibilities concerning how they
interact with co-workers and managers. Each employee has the right to work in an atmosphere
where he doesn't experience discrimination or harassment. In turn, the employee has the
responsibility to respect his co-workers.

Right to Fair Treatment by Employer

“Whistleblower” rights give each employee protection from retaliation if the worker reports the
company for violations. Workers also have the right to receive payment for the work completed
and hours spent on duty at the company as agreed upon hiring.
 DATA ANALYSIS

RTI Cell

In order to achieve the objectives of Good Governance, it is necessary that the administration
should be transparent, responsive, citizen-friendly and able to disseminate all the information to
the public. Right to Information is a powerful tool to ensure all these qualities in the
administration and, therefore, the Government enacted the Right to Information (RTI) Act, 2005,
which has come into effect from 12.10.2005.

In pursuance of the provisions contained in the Right to Information Act 2005, action has been
taken for the implementation of the Act in various Public authorities under the aegis of Ministry
of Labour & Employment. It includes dissemination of information in public domain relating to
the particulars of organization, its function and duties, the designation of CPIO and Appellate
Authority etc. The Ministry has also initiated suo-motu disclosure of information about various
Labour Acts / Regulations, which were required to be made public for the use of citizens of this
country, on the Ministry’s website i.e. www.labour.gov.in. It is also to be mentioned that
Attached & Subordinate offices and Autonomous organizations of the Ministry have their own
websites which are linked to the Ministry’s website.

The Ministry has also set up a Central RTI Cell, headed by a Nodal Officer w here the RTI
applications from the citizens are received. Year wise number of RTI applications received
(manually and electronically) in Main Secretariat, Ministry of Labour & Employment since
inception of the RTI Act, 2005 are as below:
 CONCLUSION

By the given thesis we learn that both Business Ethics And Employee Rights are essential for
the successful growth of any organization. Ethics concern an individual's moral judgments about
right and wrong, attract customers to the firm's products, which mean boosting sales and profits.
Make employees want to stay with the business, reduce labour turnover and therefore increase
productivity. Ethical behavior and corporate social responsibility can bring significant benefits
to a business. On the other hand, Employee rights in the workplace are important rights. Many
people spend most of their waking hours either going to work, working or coming home from
work. In a troubled economy, everyone must admit that just having a job is a blessing. However,
despite the importance of having stable employment, it is equally important for employers to
respect the rights of their employees, especially those rights guaranteed under the law .
 BIBLIOGRAPHY

➢ Human Resource Management by Manmohan Joshi

➢ Wikipedia
➢ The HR Answer Book: An indispensible guide for managers and human resources
professionals- Shawn Smith and Rebecca Mazin
➢ Good to Great by Jim Collins
➢ Marketing strategy by Michael Armstrong
➢ Labour and Industrial law by HL Kumar
➢ Employee rights under Labour law by HL Kumar
➢ Investopedia
➢ Managementhelp.org