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MGF5020Semester 2, 2014

Business Ethics in a Global Environment

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Tutorial 5

Week 6

THE SWEATSHOPS DEBATE

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Our Discussion Today

1. The sweatshops issue (Maitland vs Arnold

& Bowie)

2. Case studies: Adidas, Nike (Hartman,

Arnold & Wokutch)

3. Group research project (AT 2)

4. Expectations for Week 7

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The issue of SweatshopsReading summary: Maitland, I. ‘The Great Non-Debate over International Sweatshops’, pp. 476-492.

Sweatshops Documentary

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The issue of sweatshops contd.1. Discuss Maitland’s position on sweatshops.

Ian Maitland argues that the only known path to prosperity involves developing countries being able to sell their labour extremely cheaply.

What are the appropriate Wages and Labour standards in International Sweatshops.

Home country Standards, Living Wage standards, Donalsdson’s Test, Liberal

• Market forces don’t work: High Unemployment rate, Bargaining Power imbalance.

• HE SUPPORTS MARKET DETERMINATION OF WAGES.

 

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2. Discuss Arnold & Bowie’s position on sweatshops.

Kantian Approach: Respect for humans

• Don’t treat them as means to an end,

treat people as ENDS.

• Humans have dignity since they have

moral values, acting autonomously.

• ENSURE THE PHYSICAL AND MORAL

WELL BEING of employees.

• No coercion, Giving Living wages, meet

safety standards

• Support for Amartya Sen: Human

Development Index

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3. What would a utilitarian analysis of the issue suggest?

Greater good for the greatest number.Employees, community, Economy of the Country.

4. What would a Rawlsian analysis of the issue suggest?

– First: each person is to have an equal right to the most extensive scheme of equal basic liberties compatible with a similar scheme of liberties for others.

– Second: Social and economic inequalities are to be arranged so that: a) they are to be of the greatest benefit to the least-advantaged members of society (the difference principle); and b) offices and positions must be open to everyone under conditions of fair equality of opportunity.

– BOTTOM OF THE PYRAMID should be well off!

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5. What do you consider to be the most appropriate approach.

1.KANTIAN

2.CONFUCIANISM

3.UTILITARIAN

4.RAWLS JUSTICE

6. To what degree do you think the ‘when in Rome, do as the Romans do’ approach to

working conditions and wages is justified? Do you think MNCs have an obligation to do

more? If so, why?

• “My concern is not that there are too many sweatshops but that there are too few.” (Harvard Economist, Jeffrey Sachs).

• “Low wage plants making clothing and shoes for foreign markets are an essential first step toward modern prosperity in developing countries. Governments of less developed countries allow their citizens to work in sweatshops as this may be the only option these nations have to accumulate capital.”

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• ADIDAS SOLOMON

Child labour in Vietnam Partnership with NGO Providing education to workers

Innovative approaches to international labour

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• NIKE INC

Community Engagement Setting up of Microenterprises Teaming with NGO’s

Innovative approaches to international labour contd.

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Group Assignment

Get together in your groups: •Research question? Clearly identify

•Project plan? Timeline

•Task allocations? Who is doing what

•Paper structure? Guideline, sections and words

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Preparing for next week

•Lecture Topic: Reaching agreement•Tutorial Topic: Managing workplace conflict•Prescribed Readings:

Crane, A. & Matten, D. (2010) Business Ethics: Managing Corporate Citizenship and Sustainability in the Age of Globalization (3rd edn.). Oxford: Oxford University Press, pp. 119-121 (‘Ethical approaches based on relationships and responsibility’).

Gilligan, C. (1982) ‘Woman’s Place in Man’s Life Cycle’, in In a Different Voice: Psychological Theory in Women’s Development. Cambridge, Mass.: Harvard University Press, pp. 5-23.

DesJardins, J. (2009) ‘Discussion Case: Wallmart’, in An Introduction to Business Ethics (3rd edn). Boston: McGraw-Hill, pp. 46-50. The guided summary for this week must be based on this reading.

•Continue your group research for AT2

•Submit your reading summary in Moodle •Read the Week 7 Tutorial Guide on Moodle before class (it suggests topics and questions related to tutorial activities)

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Thank you!

Have a good week