Day 63 – Q 3. During the COVID-19 pandemic many private organisations have been facing ethical dilemma with respect to employee layoffs. What are your views in this? Why shouldn’t a profit oriented business enterprise get rid of the employees to maintain its profit balance? Discuss. 

  • IASbaba
  • August 21, 2020
  • 0
Ethics Theory, GS 4, TLP-UPSC Mains Answer Writing
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3. During the COVID-19 pandemic many private organisations have been facing ethical dilemma with respect to employee layoffs. What are your views in this? Why shouldn’t a profit oriented business enterprise get rid of the employees to maintain its profit balance? Discuss. 

COVID-19 महामारी के दौरान कई निजी संगठनों को कर्मचारी छंटनी के संबंध में नैतिक दुविधा का सामना करना पड़ रहा है। इसमें आपके क्या विचार हैं? लाभ उन्मुख व्यावसायिक उद्यम को अपने लाभ संतुलन को बनाए रखने के लिए कर्मचारियों को क्यों नहीं निकाल देना चाहिए? चर्चा करें।

Demand of the question:

It expects candidates to write their views about the kind of ethical dilemma faced by employers with respect to employee lay off. It also expects candidates to put forth their views on that why a profit oriented business enterprise get rid of the employees to maintain its profit balance.

Introduction:

The devastating pandemic that has stricken the worldwide population induced an unprecedented impact on the formal as well as informal sectors of economy. World over the production facilities shut down due to lockdown and containment measures, at the same time it also posed some ethical questions in front of humanity. One such question was faced by private prganisations whether to lay off the employees or not.

Body: 

Ethical dilemmas of private organisations to lay off employees:

  • Though a private organisation is started by an individual or a business entity, it works in synchronous because of employees. Employees are the real people who toiled hard day to day for the success of private organisation. Hence, laying off employees in time of crisis would be a betrayal to them.
  • The strong foundations and expanse of an private organisation is due to the honesty, accountability and hard work of the employer. In the crisis like situation if employee removes them from the work then it will be a disrespect for their work.
  • Due to inequalities existence is still prevalent in our society, employee works only with two objectives i.e. Firstly, to achieve the targets set by the private organisation and secondly, for the livelihood of her/his family.
  • Hence, only for the profit motives if employer removes the employee the employee will fall in to financial trap which will lead her/him into poverty. She/he will also have to face the problem of managing food for the family.
  • If an employee who has worked for many years, is part of every success and failure of the private organisation, then laying off that employee amidst crisis will be disloyalty for the loyalty of that employee.
  • Being an employee, she/he will have to think about larger picture. For instance, if laying off 20 workers if benefits 20,000 people then it can be good decision, but if laying of 20 people as it affects only 1 person then it will be a bad decision.
  • Employee also being a human needs to care about her/his family and hence, she/he comes into dilemma whether to lay off the worker for her/his families survival or continue the usual policy. For instance, a MSME entrepreneur is employing 5 workers then the person comes in to this dilemma. 
  • Not just in an unorganised sector but in the organised sector like Journalism people faced lay off. They showed their anger through social media posts. For instance, one of the prominent Newspaper in India faced backlash of its 100’s of employees who were fired under the reason of lack of financials.
  • As the economy is stuck, with no income in hand how could a private organisation will pay for the employee even if it wants to pay them.

To take decision when in dilemma is always a tricky task. In the time of crisis like COVID-19 it becomes more tricky. However, many of the fine examples of the employees have been observed over the world, as they came together to fight this crisis and cared for the interest of the employees over the interest of their own profits. This act of generosity forms the true answer for the question that why shouldn’t a profit oriented business enterprise get rid of the employees to maintain its profit balance:

  • It’s not just an employee but the family of the employees is also dependent on the private organisation. If employee is laid off then survival of its whole family comes in to crisis.
  • A private organisation cannot show dishonesty and disloyalty for the honesty and loyalty of an employee in the times of crisis, because it’s the employee who has saved the organisation from failing in past.
  • If an employer is rich enough then she/he has to bear the burden for the welfare of the employed and her/his family. For instance, Reliance group doubled salary for the employers in the times of crisis.
  • If any Private organisations is built only on the motive of profits then it doesn’t have the right to approach as it is bound by only profit motives. Organisations also need to look for element of human in employees. For instance, an organisation working as a family is bound to survive for a longer period. 
  • Employing a person when she/he in need and laying her/him off in times of crisis seems like the private organisation used the employee for its own benefits and got rid of it in times of crisis.

Conclusion:

The catastrophic effect induced by the COVID-19 is humongous. The humanity has the answer for its survival during the times of crisis as it has done in past. Hence, getting rid of employees in the time of COVID-19 seems a bad move as it sidelines the element of human in it. Hence, it becomes imperative to find out solution for this question by coming together and forming a chain of helping hands.

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