CHAPTER OBJECTIVES © SOUTH-WESTERN EDUCATIONAL PUBLISHING SOCIAL AND ETHICAL ENVIRONMENT OF BUSINESS nDescribe the changing nature of the population, the labor force, and their impact on businesses. nDiscuss how the values of Americans have changed and how business has adapted to those changed values. nDebate the dilemma posed by the need for business to grow and the need to protect the natural environment. nSuggest ways in which businesses can be socially responsible. nPredict how changes in society and business will affect employment in the future. 22

© SOUTH-WESTERN EDUCATIONAL PUBLISHING HUMAN RESOURCE ISSUES People are a firm’s most important resource. Finding and retaining qualified workers was more important than finance, technology, product innovation or international business

© SOUTH-WESTERN EDUCATIONAL PUBLISHING HUMAN RESOURCE ISSUES nPopulation The GDP of a country cannot increase unless there are enough people to provide the necessary labor and to purchase the goods and services produced.

© SOUTH-WESTERN EDUCATIONAL PUBLISHING HUMAN RESOURCE ISSUES nGrowing population Determined by the birth rate, death rate and the level of immigration into the country. nChanging population n80% of population can be classified as white. nProportion of black and Hispanic population is growing. nBaby boom ( ) nBaby bust (Period immediately after 1965) nMoving population nFrost Belt – colder northern part of the country nSun Belt – warmer southern half of the nation nRust Belt – north central and northeastern states

© SOUTH-WESTERN EDUCATIONAL PUBLISHING HUMAN RESOURCE ISSUES Population of the United States

© SOUTH-WESTERN EDUCATIONAL PUBLISHING HUMAN RESOURCE ISSUES nLabor force – includes people aged 16 and older that are available to work. n140 million people n % of women worked outside the home n1999 higher than 80% of women worked outside the home. nPoverty nBetween 12 to 15 percent live in poverty. nEqual employment nGlass ceiling nSticky floor syndrome

© SOUTH-WESTERN EDUCATIONAL PUBLISHING HUMAN RESOURCE ISSUES nComparable worth “Equal Pay for Comparable Work”

© SOUTH-WESTERN EDUCATIONAL PUBLISHING HUMAN RESOURCE ISSUES nSocietal values nGeneration X nNet Generation nEmployer practices nRedesigning jobs nImproving health and safety nGym memberships, fitness programs nFamily-friendly practices nTelecommuting

© SOUTH-WESTERN EDUCATIONAL PUBLISHING NATURAL RESOURCE ISSUES nManaging the environment nRecycling nMeeting environmental goals nControlling environmental pollution nClean Air Act nClean Water Act nResource Recovery Act nFederal Water Pollution Control Act nFederal Environmental Pesticide Control Act nNoise Control Act nResource Conservation and Recovery Act nExxon Valdez Accident

© SOUTH-WESTERN EDUCATIONAL PUBLISHING ETHICAL ISSUES nBusiness ethics nEstablishing Ethical Principles n(Code of Ethics) nCERES Principles nEthical dilemmas nDebating the issues of right and wrong.

© SOUTH-WESTERN EDUCATIONAL PUBLISHING SOCIAL RESPONSIBILITY OF BUSINESS Social responsibility — the duty of a business to contribute to the well being of society nStakeholders nNongovernmental Organizations (NGO).

© SOUTH-WESTERN EDUCATIONAL PUBLISHING Any Questions