Sunday, December 25, 2022

ORGANIZATION TURNOVER AND HOW TO PREVENT ORGANIZATIONAL TURNOVER

 JAY-MHAR C. GAOIRAN

Master in Business Administration

Academic Paper - Human Resource Management

ABSTRACT

The word "employee turnover" is commonly used in commercial contexts. Even though there have been many studies on this topic, very little research has been done on examining the causes and contributing factors of turnover as well as providing some practical strategies that managers can use to ensure that employees remain in their respective organizations to increase organizational effectiveness and productivity.

The main objective of this paper is to understand the motivations behind employee turnover as well as its causes and essential components as shown in the relevant literature. This conceptual paper also provides several potential strategies for preventing employee turnover and keeping people with the organizations.

Thus, this paper has discussed key factors in explaining the occurrence of staff turnover and discusses reasonable retention strategies to deal with these concerns.

Keywords: employee, turnover, factors, causes, retain, strategies, organization.

INTRODUCTION

Employee turnover rate can influence a company's bottom line. High turnover typically indicates a problem because satisfied employees tend to stay with their company. For some reasons, not all employees who leave the company is unhappy - others may retire, move away, leave for personal reasons, want to change careers, or even start their own business. A company's finances and morale may suffer from a high employee turnover rate. Business owners should take action to discover probable causes, assess turnover rates, calculate turnover costs, and then handle turnover issues if management has reason to believe that staff turnover is a problem within the organization.

Based on the research conducted by Al-Suraihi, et al., (2021), there are numerous factors, including job stress, job satisfaction, job security, work environment, motivation, pay, and benefits, might cause individuals to leave their jobs. An organization's productivity, sustainability, competitiveness, and profitability can all be adversely affected by personnel turnover, which also has a significant financial impact on businesses.

Consequently, to adopt specific tactics in enhancing employee performance and lower turnover, businesses must first understand the demands of their workforce. Implementing solutions will boost employee's motivation, productivity, and job satisfaction, which can lower employment issues, absenteeism, and employee turnover.

The Negative Outcome of Employee Turnover to Businesses

Markovich (2019) emphasized that high turnover rates can have a negative impact on a company and its employees' well-being in many ways. It is easy to stray away from the organization's primary mission and vision given the constant requirement to hire and train new employees. Businesses may provide a higher-caliber staff that improves their bottom line by keeping their current employees. Businesses may lower employee turnover by providing staff with the right training, rewarding them for a job well done, and building a culture of trust within the workplace.

Similarly, according to Nielsen (2021), she pointed out in her article titled Identifying and Addressing Employee Turnover Issues, that when an employee leaves the organization, it costs the company mainly in productivity, money, and time.

·         Productivity – when a person leaves, productivity typically suffers because other employees may have to temporarily take on some of the previous employee's responsibilities.

·         Money – along with the financial expenses of lower production, employer might need to pay staff overtime to pick up the slack left by the former employee until a replacement is located. Additionally, employer can be required to pay for the costs of hiring a replacement and filing for unemployment benefits.

·         Time – replacing a former employee will also need to invest time and money in advertising, doing interviews, and other recruitment methods. Employers must keep in mind the time and effort they put into finding and educating the former employee. When they lose a lot of staff, they waste time and money.

Hence, even after a company recruits and hires a new employee, productivity will still suffer as the person adjusts to their new position. Depending on the job, temporary employees may occasionally be able to pick up the slack. In other words, losing an employee cost the company money because it requires more resources to resume productivity or performance at the previous level. Given the high costs involved in turnover, businesses generally want to avoid it as much as they can.

Sources of Job Dissatisfaction

Employees do not always switch jobs because they are unhappy in their current position. They can be drawn away by higher income, better benefits, or better employment opportunities if the talents they possess are in demand. Employers can take efforts to boost morale in their companies and make individuals be satisfied and productive, since they have no control over what is happening with other businesses, how much they pay, or which perks they provide. Because of this, it is crucial to distinguish between employees who quit because they are dissatisfied and those who do so for other reasons.

The following are some of the most common reasons for high turnover in businesses as explained by Nielsen (2021):

·         A mismatch in the job's requirements and the employee's skills – Employees who are given tasks that are too challenging for them or whose skills are not fully used may get demoralized and leave their jobs. Lack of knowledge of the qualifications needed to fill a position may lead to the hiring of either underqualified or overqualified employees.

·         Inadequate equipment, tools, or facilities – If working circumstances are poor or if the workplace lacks necessary amenities like enough lighting, furniture, restrooms, and other health and safety regulations, employees won't be ready to put up with the inconvenience for very long.

·         Lack of potential for growth or advancement – Before hiring, this should be stated to avoid misleading the employee if the role is essentially a dead-end proposition. It is important to give a clear description of the job without giving the employee unrealistic expectations of future growth or progress.

·         A sense of being unappreciated – It makes sense that since most employees want to do a good job, they would also like to be acknowledged and commended for it. Companies must make sure to show they value their employees.

·         Inadequate or poor training and supervision – Employees require direction and instruction. An unfamiliar job may require additional assistance for new hires to learn. Similarly, employees may have performance gaps and a lack of confidence in their skills if there is no training program in place.

·         Unfair or inadequate wage arrangements – Low compensation or unequal pay are major sources of frustration that can lead some employees to leave their jobs.

Even businesses with strong employer branding are not going to be perfect. The objective is to establish a positive work atmosphere where employees feel supported. Business owners can build a company where problems can be rapidly addressed and remedied when they encourage employees to share their knowledge and comments.

Factors to Consider Before Terminating Employees

Companies must take immediate action if one of their employees is failing to live up to expectations. Acting hastily to fire an employee is harmful for a company. To lessen the liabilities and offer the employee plenty of room to develop, business owners may use a reasonable and fair method.

According to an online article published in staffleasing-peo.com, the following can be considered before terminating an employee. A company should find out when the employee began underperforming. Managers should review the employee's work to determine when the performance problems started if they feel employees are not performing according to expectations. Another is if companies ever need to defend their choice to fire an employee, documentation will be their strongest ally. These records demonstrate efforts to support employee's success. It is crucial to be thorough because this evidence of mediocre performance might be what prevents companies from facing legal action.

Another consideration is setting clear expectations. Managers cannot just assume that their employees are aware of what is required of them. It is important to communicate expectations clearly, which can be greatly helped by effective performance assessments. Also, one must be a helpful coach. Business owners serve as their staff members' coaches in numerous ways. It may be less expensive to improve their skills than to start the hiring process over. Managers may also create a performance improvement plan. when mentoring an employee at the same time noticing significant performance difficulties.

With the right human resource support, managers may decrease some of the risks and responsibilities associated with being an employer. They should make sure to attract, retain, and develop the best employees. To explore strengthening human resource practices, most business owners provide trainings to human resource personnel especially on trends in human resource development and management.

How to Prevent Employee Turnover

If a business wants to retain its personnel on board, it must identify the advantages of its operations that motivate them to do so. Employees' desire to stay may be influenced by a few internal factors such as desirable benefits, pleasant working conditions, opportunity for growth or advancement, pay, and job security.

Some strategies that businesses or managers can use to prevent employee job dissatisfaction at work are providing clear set of goals and instructions, constant communication with subordinates, maintaining no favoritism policy, and giving employees recognition.

Along with internal reasons that influence whether employees want to leave or stay, external influences might also have an impact on turnover rate. A company may try to make the job as desirable as they can to lessen the probability that unnecessary causes may tempt employees away, even while employers cannot do much about these conditions. Reducing undesired turnover by providing employees with perks that they regard as privileges that "make or break" a position.

Honing and Developing Employees

The most valuable asset in any company is probably its employees. Employee development is the process of assisting them in honing and improving their abilities in accordance with personal and organizational objectives. The performance of a firm is directly impacted by the skilled and motivated staff that results from employee development.

Working toward professional growth is the responsibility of each employee. But both the company and the employee gain from promoting and allowing opportunities for growth. According to Herrity (2021), there are many key tactics for developing employees such as train for success, coaching, nurturing professional networks, and others.

·         Train for success – for the development of current employees as well as the onboarding of new ones, training is a significant task. Training promotes both hard and soft abilities, knowledge, and confidence necessary to execute jobs. An employee is more likely to perform well at work when their confidence is increased.

·         Coaching - it entails a senior staff member collaborating closely with junior or less seasoned workers, which contributes to the continual development of organizational leaders in the future. Employees that receive coaching gain new perspectives and learn how to solve challenges on their own.

·         Nurturing professional networks - giving employees the chance to network with others in the industry helps to develop them. Managers may introduce mentors, businessmen, and professional organizations to their staff. Their minds are widened, and their perspectives are changed by networking.

Other ways companies develop their employees include setting as a good example and encouraging self-development, creating individual development plans, setting performance metrics, simulating situations, giving regular feedback, delegating responsibilities, engaging in cross-training, taking career progression seriously, dedicating resources, retention, and eliminating barriers.

CONCLUSION

An organization's success and the output of other, apparently loyal employees suffer from high employee turnover. Having a high turnover rate results in losing valuable employees who are expensive to replace. Additionally, high employee turnover reduces productivity since surviving employees may be forced to perform many tasks at once or be given assignments that are outside the scope of their training.

Employers must use certain tactics to increase employee retention through increased job satisfaction. An employer should first evaluate his compensation packages, interpersonal dynamics at work, opportunities for career and professional growth, and workplace assistance. Depending on the qualifications, experience, and length of employment of their staff, employers should provide competitive wage packages.

Both employee productivity and attrition rates are impacted by the company culture. Since a supportive work environment increases job satisfaction and decreases turnover, management must foster it. The quality of the workplace is also impacted by relationships at work. Employers must therefore develop plans that encourage internal harmony. Additionally, a good workplace must have supplies and equipment, and the personnel must be trained in how to use the supplies that are available.

 

 

 

REFERENCES

Al-Suraihi, W., et al, (2021). Employee Turnover: Causes, Importance and Retention Strategies. Retrieved from https://www.researchgate.net/publication/352390912_ Employee_Turnover_ Causes_Importance_and_Retention_Strategies

Carey, S. (2017). 6 Ways to Overcome Job Dissatisfaction. Retrieved from https://www.inspiringinterns.com/blog/2017/11/6-ways-to-overcome-job-dissatisfaction/

Charaba, C. (2022). The real cost of losing an employee. Retrieved from https://www.peoplekeep.com/blog/employee-retention-the-real-cost-of-losing-an-employee

Five Things to Do Before Terminating an Employee. (2020). Staff Leasing. https://staffleasing-peo.com/employer/5-things-to-do-before-terminating-an-employee/

Herrity, J. (2021). 14 Effective Tips for Developing Employees. Retrieved from https://www.indeed.com/career-advice/career-development/developing-employee 

How to Improve Employee Satisfaction. (n.d.). Talent Bridge. https://talentbridge.com/blog/how-to-improve-employee-satisfaction/

Markovic, M. (2019). The Negative Impact of a High Turn Over Rate. Retrieved from https://smallbusiness.chron.com/negative-impacts-high-turnover-rate-20269.html

Nelson, N. (2021). Identifying and Addressing Employee Turnover Issues. Retrieved from https://www.wolterskluwer.com/en/expert-insights/identifying-and-addressing-employee-turnover-issues

Panda, I. (2019). Employee Retention in Workplace. Retrieved from https://ivypanda.com/essays/employee-retention/

Wroblewski, M. (2018). Negative Effects of Turnover. Retrieved from https://smallbusiness.chron.com/negative-effects-turnover-18531.html

 


Friday, September 9, 2022

RIGHTSIZING and ETHICAL CHALLENGES

 SHEENA MAE P. PALASPAS, MBA

Divine Word College of Laoag

(The content of the paper belongs to the author).  

Abstract

In today’s fast-changing business environment, the capacity to adapt and respond quickly is essential for surviving and sustaining development. Further to this, according to Daft and Marcic (2011), a big part of the success of every organization and business rests, at large, on managing human resources. By adopting various strategies for restructuring the workforce, each organization can possibly become flexible in allocating resources more efficiently to achieve the best possible economic results.

Although, many organizations try as much as possible to reorganize their workforce to address their dynamic business problems and cut-throat competition, however, not all strategies implemented by these organizations resulted in successful adoption. Oftentimes, if the selected strategy is not the right thing nor fitted to do, then, these acts of the management will only implicate issues on the organization’s corporate values which creates an ethical dilemma that needs to be taken care of.  

In this regard, this article would like to focus on further understanding rightsizing of the workforce as a justified business strategy, and its impacts, and present various ethical perspectives revolving around this management tool.

Keywords: rightsizing, restructuring, workforce, ethics

Introduction

As cited by Brillantes and Ruiz, (2022), since the 1930s during the administration of President Quezon up to President Duterte in 2017, streamlining efforts on the bureaucracy has been on the priority agenda of every administration in the Philippines. Various strategic terms such as “reengineering,” “reorganization,” “reinventing,” and “rationalizing” were initiated which aimed at improving financial management and delivery of public service but all these interventions turned out to be failed attempts

It has been noted that personnel services allocation continued to consume a large amount of the total budget fund of the government every year (Franco, 2005). Moreover, as cited by Pulse-Asia’s Survey on Filipinos’ Views on Fiscal Crisis, the number of personnel continued to grow but the delivery of services remained dismal and unsatisfactory due to the increased issues on red tape and corruption in various government sectors.

In this regard, it was expected that President Ferdinand Marcos Jr. during his First State of the Nation Address (SONA) will put emphasis on the need for reforming the government and other organizations through a rightsizing process. These prevalent issues triggered the administration to prioritize several rightsizing studies accompanied by legislative proposals for the bureaucracy.of 

Rightsizing of Workforce 

It can be inferred that rightsizing term is not new, it can be compared to be with the same aim as rationalization and other previous streamlining reforms. It can be recalled that it has been one of the priority areas of the Legislative-Executive Development Advisory Council (LEDAC) and the Duterte administration. As defined by Diokno-Sicat (2018), rightsizing is a reform which aims to create a leaner, efficient and effective government organization by reducing or, if possible, eliminating, overlaps, redundancies and duplications in existing agencies, rules and regulations, systems and processes.

 

This intervention has been noticeably supported and underscored by President Marcos Jr. By rightsizing the government, institutional capacity will be enhanced to perform its mandate and be able to provide better services to be delivered while ensuring that there is optimal use of resources. He also pointed out the need for fundamental management principles of efficiency, economy, and effectiveness when restructuring the workforce.

 

Aside from that, the company culture website defines rightsizing as the process of reshaping the workforce to improve business performance and profitability, regain profit, and reduce operational costs in order to address and manage the changing needs of an organization.

Furthermore, Anjali, (2021), defined rightsizing as a strategic tool to remain competitive. By optimizing a skilled, abled and knowledgeable workforce. She further added that it doesn’t necessarily mean laying off or decreasing the workforce rather, it also includes the recruitment and selection of fresh talents and the upgrading of existing roles and responsibilities of current employees.

Factors affecting the Rightsizing of the Workforce 

The changing market conditions, fluctuating customer needs and new internal goals may cause some companies to rethink and optimize their workforce, moreover, to establish if rightsizing is the right move for your business, it is essential to review your overarching goals and objectives. As cited by Sigue-Bisnar, (2020) in her article, each organization and business must assess various internal and external factors affecting rightsizing:

Internal Factors:

1.  Business Strategy. To maintain operating efficiency, many business resorts to the implementation of business expansion or contraction which can lead to rightsizing of the workforce.

2.  Conflict. Misunderstanding among stakeholders, managers and employees that can happen from mergers and acquisitions hampers productivity, growth and business reputation. Through rightsizing, the management can inspect and determine equal corrective measures to solve the issue.

3.  Declining Profitability. Firms resort to rightsizing when they notice that there is a continuous decline in productivity and an increase in operational costs.

4.  Multiskilled workers. Retaining employees who are multi-skilled are beneficial criteria for rightsizing. Retaining them, reduce the cost of hiring other people and reduces the duplication of positions. 

External Factors

1.  Automation and Technology. Technological advancements help in coping with different organizational business needs. Therefore, rightsizing is the key to determining the right size and right people to be retained in the company to fully optimize its resources.

2.  Economic Status.  Economic factors like interest rate, demand, supply, and all other related terms may generate the need for rightsizing.

3.  Political-Legal Aspect. Companies and organizations may be required to comply with rightsizing according to the political initiative reforms and relative changes in company law and labour laws. 

Aligning the workforce with the company’s strategic direction is critical, organizations and businesses need to be prepared to manage the shift in direction. To determine if the workforce has the right and enough skills, many companies should conduct an organizational audit to see if they have the best roles and people within their business. From there, they will also have to eliminate redundancies, and look into or adopt the emerging trends in the industry, so that, the business runs efficiently. It should be noted that when rightsizing is done strategically, then it is the right choice.

Benefits of Rightsizing the Workforce

According to Thangjam, (2022), the process of determining the benefits of rightsizing organizations and businesses can be distinctively seen from two perspectives:

Point of View of the Businesses or Organizations:

1.    Time Efficient. The process of Rightsizing involves less time in comparison to Downsizing.

  1. Maintain Competitiveness. Continuous strategic choices in managing human resources according to the changing environment helped the company to remain competitive.
  2. Attract Proficient Applicants. The profitability and growth achieved through rightsizing attract top talent to seek employment in the organization.
  3. Increased Productivity and Revitalize Workforce. Rightsizing is the process of removing people from a company who aren't doing their job. It can either be because they don't have the skill set to do it effectively or are unwilling to put in the work. The restructuring of organizational structure results in an overall increment in productivity.
  4. Better Hiring Decisions. Rightsizing is all about getting rid of the people who aren't a good fit for your company. It helps you simplify the decision process by questions like: Do we really need this person? Does this person possess the skills needed? Can we pay them?

Point of View of the Employees:

1.     Recognition. During the rightsizing process, some employees get credit for their efforts towards the organization.

2.     Self-Awareness. The employees become aware of their capabilities when management assigns more responsibilities to them.

3.     Commitment. Retained employees renew their commitment to work and organization.

4.     Creativity. Job rotation within the organization helps to increase the creativity of the individual.

5.     Replenished Energy. By removing unproductive employees and simultaneously finding more productive ones, it will fill new energy and uplift the morale of performing employees. The retained and new employees refill the organization with new ideas and energy

Challenges of Rightsizing the Workforce

According to Miller, (2022), the following are risks and challenges that may be faced when implementing rightsizing of the workforce:

1.    High Employee Turnover. Oftentimes, rightsizing can backfire and lead to high attrition among employees. A case cited in Better.com. In late 2021, the CEO of Better.com laid off 900 employees over a Zoom call. Several other remaining employees chose to voluntarily leave as a sign of protest and distrust. The downside of this restructuring is the risk of losing some of the high-performing employees, and they might choose to leave as a sign of protest.

2.    Impacted Business Image. Employees have a negative perception of a company that is going through the rightsizing process. It could prevent new employees from joining the organization and cause existing employees to leave.

3.    Possible Breach of Business Privacy. Every company has its own share of confidential information, without which it cannot function. Some resentful employees might opt to disclose confidential company information to their competitors. This might result in a high cost for the firm and a loss of data security

4.    Possible threat of Legal Suite. Some employees may even file a lawsuit against their employer in the worst of cases. If rightsizing is not effectively handled, it might make matters worse rather than better for the company.

5.    Effect on Client Relations. Because rightsizing can harm the company's image, it can jeopardize existing client relationships and can lead to confusion and miscommunication.

The trade-off between Deontological Aspect and Utilitarian Aspect

It cannot be denied that the mentioned definitions are very idealistic to the extent that it sheds us hope that by embracing this intervention will uplift our economic and social lives which were being disrupted by the recent pandemic. By being able to see the different impacts of rightsizing, positive and negative, we gain more understanding of it and when to really use it.

In addition to this realization, Perante-Calina (2018) suggested that the process of reorganization and rightsizing should go beyond the deontological aspect, where traditional duties on the economy, efficiency and effectiveness are always put into consideration, ignoring what is at stake will just create more implications. As commonly understood, “economy” is about determining the ideal means of achieving goals and objectives quickly and at the lowest possible cost. “Efficiency” is competently finishing tasks (programs, projects, activities) with the least time and effort. “Effectiveness” is accomplishing an organization’s goals following sound processes anchored on its overall mission, with the pertinent national and local authorities capably providing public goods.

Over the years, based on studies and interactions with many academics and practitioners in public administration at the local, national, and global levels, we have concluded that it is equally important — and relevant — to include the principles of equity, ethics, and accountability in any reform intervention. Which more embraces the utilitarian approach as we need to put consideration on the possible consequences of our actions.

In this regard, “Equity” has two dimensions: one is a preference for the poor and the vulnerable, and the other is an effort to reform governance and administration. On the other hand, “Ethics” means knowing what is right from wrong. In public service, as provided for in the Code of Ethics and Accountability (RA 6713), civil servants are expected to fulfil their duties with responsibility, righteousness, honesty, and impartiality as much as possible. Finally, “accountability” is about an obligation or willingness to accept responsibility — and when called for, the consequences — for such actions.

There should be a trade-off between the intentions of delivering duties and responsibilities with giving due care diligence to the consequences it may bring. It is true that the President and administrators and managers of different organizations and businesses have the authority and the widest latitude of discretion of power to hire and remove employees. However, such power is not absolute, it must be exercised within the bounds of civil service and labour laws and regulations and should be in consideration of his ethical accountability.

Conclusion

Strategic rightsizing is a useful tool in boom times but is necessary in challenging times. Rightsizing also enables businesses to plan and meet their strategic objectives more effectively.  Moreover, rightsizing efforts are not only considering the present problems and issues but should also consider the long-term effects of such interventions. Furthermore, rightsizing efforts should not only have long-term perspectives but also it should be sustainable (Naval, 2022).

Needless to say, graft and corruption continue to be among the biggest and longest-running challenges confronting the Philippines. Despite the many reorganization interventions of all administrations, corruption remains a reality that exists even in the smallest income-earning business.

With these, there is a need to take a more planned approach that stays true to the company’s intent and minimizing any impact on quality and customers could well be the differentiator that better prepares your organization for the next normal. Moreover, ethics and accountability MUST be always EMBEDDED in designing and implementing reforms and rightsizing strategies.

References:

Anjali, J. (2021). Rightsizing. https://theinvestorsbook.com/rightsizing.html#Conclusion

Brillantes, A. and Ruiz, K. (2022). Principles in Government Rightsizing: 5 Es and an A. https://www.bworldonline.com/opinion/2022/08/02/465530/principles-in-government-rightsizing-5-es-and-an-a/

Daft, R. and Marcic, D. (2011). Management: The New Workplace, 7th Edition. South-Western Cengage Learning

Diokno-Sicat, C.J. (2018). Economic Principles for Rightsizing Government. https://pidswebs.pids.gov.ph/CDN/PUBLICATIONS/pidsdps1846.pdf

Miller, T. (2022). What is rightsizing? Definition and meaning. https://marketbusinessnews.com/financial-glossary/rightsizing-meaning-definition/

Naval, G. (2022). State workers: Rightsizing must start from the top. https://malaya.com.ph/news_news/state-workers-rightsizing-must-start-from-the-top/

Pulse Asia’s October-November 2004 Ulat ng Bayan National Survey on Filipinos’Views on the Fiscal Crisis. Retrieved from: http://pulseasia.newsmaker.ph

Sigue-Bisnar, M. (2020). Rightsizing done right. https://www.grantthornton.com.ph/insights/articles-and-updates1/from-where-we-sit/rightsizing-done-right/

Thangjam, T. (2022). Understanding Rightsizing in HRM in the Right Way. https://blog.vantagecircle.com/rightsizing/

 

PRIVACY AND SOCIAL MEDIA: Possible Breach of Ethics

 SONNY P. DIZA, MBA

DIVINE WORD COLLEGE OF LAOAG

When using social media, one should consider basic human rights, personal rights, privacy rights, and the treatment of personal information, etc. while also obeying all relevant laws and regulations as well as the Code of Conduct.

-Sumitomo Rubber Group, Social Media Policy (#129, Financial Times Global 500, 2013

(The content of the paper belongs to the author)

Abstract

Social media use is pervasive across all age groups, social classes, and cultural divides. Social media usage has increased dramatically in recent years. Social media platforms are increasingly used as vital hubs for networking, socializing, and, most significantly, reflecting on many facets of everyday life. As a result, these online venues include enormous amounts of organically occurring data on a range of subjects, including consumer behaviour, attitudes toward pro-environmental measures, and political preferences and perspectives. Nevertheless, the rising usage of digital media is accompanied by ethical and privacy concerns. These privacy concerns may have significant effects on one's professional, personal, and security life. Due to the nature of social media, which is to share information, achieving total privacy is exceedingly challenging. Individuals who use social media must be willing to disregard some personal and privacy restrictions, making them somewhat vulnerable. Weak privacy protections for people in this area have led to unethical and undesired actions that have led to privacy and security breaches, particularly for the foremost vulnerable users.

The ethical issues surrounding a person's right to privacy when they are endangered by technology will be covered in this article. In addition, it also discusses how unethical use of social media can impact users’ privacy, particularly in business ethics.

Keywords: ethics, privacy violation, social media

Introduction

According to Britz, the so-called information age, in which economic activity is mostly information-based, is the era in which we currently live (an age of informationalization). This is a result of technological advancement and application. The main characteristics of this period can be summed up as an increase in knowledge workers, a more open world in terms of communication (the global village/Gutenberg galaxy), and internationalization (trans-border flow of data). The twenty-first century could be referred to as the "boom" time for social networking as the use of social media is expanding quickly. Communication at home and work has undergone a substantial transformation because of social media. Additionally, social media platforms offer a lot of potential for businesses in terms of recruiting, organizational learning, public relations, and internal and external communications. As of February 2019, according to reports from Smart Insights, over 3.484 billion people were using social media. According to the Smart Insight survey, social media users are increasing by 9% yearly, and it is predicted that this growth will continue. Social media users currently make up 45% of the world's population. The "Millennial Generation," or those who became adults at the turn of the twenty-first century, and "Digital Natives," a group of people who were either born or who have grown up in the digital era and are familiar with the various technologies and systems, are the most active users of social media. These user groups use social media platforms for a wide range of activities, including marketing, news gathering, education, healthcare, civic involvement, and political activity. (Chaffey, 2019)

What is Privacy?

            According to dictionary.com, the definition of privacy is the right to enjoy freedom from unauthorized intrusion is the negative right of all human beings. Privacy is defined as the right to be left alone, to be free from secret surveillance, or unwanted disclosure of personal data or information by government, corporation, or individual. (Barrett-Maitland, N., & Lynch, J.,2020) Privacy is the ability to control information about oneself as well as the freedom from surveillance from being followed, tracked, watched, and eavesdropped on. In this regard, ignoring privacy rights often leads to encroachment on natural rights. (Baase, 2012: Barrett-Maitland, N., & Lynch, J.,2020)  

            Peace of mind and solitude can be attained through privacy or even just the awareness that one has this right. People can breathe easily in this quiet since it is free from interruptions and intrusions. According to Richards and Solove (2010) cited by Barrett-Maitland, N., & Lynch, J.(2020), Legal scholar William Prosser argued that privacy cases can be classified into four related “torts,” namely:

Intrusion—this can be viewed as encroachment (physical or otherwise) on one's liberties/solitude in a highly offensive way.

Privacy facts—making public, private information about someone that is of no “legitimate concern” to anyone.

False light—making public false and “highly offensive” information about others.

Appropriation—stealing someone’s identity (name, likeness) to gain advantage without the permission of the individual.

As technology permeates every aspect of daily life, information privacy is becoming increasingly difficult to protect as more and more data is gathered, transported, and analyzed for both good and bad purposes. As technology attempts to blur the barrier between the private and public spheres, it becomes more of a sensitive subject. Even established businesses in the field are struggling to keep clients' personal information secure. As a result, privacy has evolved into the most complex consumer protection issue in the digital age, even though it is fundamentally a human right. (Grover, 2015).

The breach of informational privacy can impact solitude (the right to be left alone), intimacy (the right not to be monitored), and anonymity (the right to have no public personal identity and by extension physical privacy impacted). The right to control access to facts or personal information in our view is a natural, inalienable right and everyone should have control over who sees their personal information and how it is disseminated. (Barrett-Maitland, N., & Lynch, J., 2020).     

It might be argued that privacy establishes the boundaries for participation and disengagement and is a culturally universal requirement for healthy connections between people. Because it is necessary for the growth of specific types of human connections, intimacy, and trust, privacy can also be seen as an instrumental good.  However, due to ongoing monitoring and the inability to gauge how much engagement there is with multiple publics, achieving privacy is much more challenging. (Johnson DG, 2004: Barrett-Maitland, N., & Lynch, J., 2020). According to Baase (2012), some detractors contend that privacy is a universal right and that it offers a defense against antisocial acts including deceit, misinformation, and fraud.

Because it is a prerequisite for other rights like freedom and individual autonomy, privacy is a crucial right. Thus, there is a connection between personal freedom, privacy, and human dignity. Respecting someone's privacy is the same as recognizing their right to freedom and their status as independent human beings.

It is also a basic obligation to respect someone's privacy. To put it another way, it is not a requirement that cannot be waived. There are two possible examples. First off, the police have the right to invade a criminal's privacy by eavesdropping on them or taking their personal belongings (McGarry, 1993). To maintain law and order in society, a government is also permitted to collect sensitive information from its inhabitants (Ware, 1993). Social responsibility thus limits the right to privacy (as a manifestation of human freedom).

Privacy is neither secrecy nor security

According to Grover (2015), Privacy is defined as that that can be kept private and is permitted by society, whereas secrecy is anything that is not permitted to be kept private yet is being done so by someone. Privacy is essential for reputation, whereas secrecy hurts it. Although privacy is not security, it is quite near to it because privacy is jeopardized when it is violated. Security places a greater emphasis on defending data against hostile assaults and the commercial use of stolen data, as is done by some businesses with a concentration on technology. When we say security is required for data protection, we don't mean it's enough to handle privacy. 

Social Media

Employee usage of boundary-crossing technologies in the office for personal purposes is common, whether it means utilizing corporate computers to check personal e-mail and social network accounts or sending text messages on employer-provided communications devices (Abril et.al., 2012). According to Boulianne (2015), social media has become one of the most widely used Internet services worldwide due to the exponential rise of its usage over the past ten years, offering new opportunities to "see and be seen." Social media use has altered the nature of communication, which has affected moral standards and behaviour. The extraordinary rate of user growth has led to changes in areas such as civic and political engagement, privacy, and safety, as well as a decrease in the use of other media. (McCay-Peet, L., & Quan-Haase, A. ,2017).

The use of social media is a developing phenomenon in modern culture. Social media sites give users a simple way to connect with and grow their networks of friends, family, and relevant professionals. Almost anyone's interests can be accommodated by online communities of interest. Social media platforms are being used more and more often by people as a means of communication, information exchange, and - most crucially for this text - the sharing of attitudes and behaviors on a vast array of issues. Online services that let users build "public, semi-public," or both types of profiles can be referred to as social media sites. Users have the option of creating individual profiles and/or joining a group of individuals they may know offline. They also offer ways to establish online relationships. People have access to information about their contacts through these virtual friendships, including background knowledge, interests, and location. Different tools are available on social networking sites to help in communication. Chat rooms, blogs, private messages, public comments, methods for posting content from outside the website, and sharing of films and photos are some of these. As a result, social media has fundamentally altered how individuals interact with one another and build connections. (Gil de Zúñiga, H., Jung, N., & Valenzuela, S., 2012).  

Social media and Privacy

            Social media and the information/digital era have “redefined” privacy. Although technology has a significant impact on information gathering, storage, retrieval, and distribution, its principal ethical implications pertain to accessibility (or lack thereof) and information manipulation. It makes it possible for more people to receive information simultaneously and more widely. Inferentially, more people will find it simpler to access a person's private information. However, a person can be prevented from accessing essential information in electronic form using several security precautions, like passwords.

            Christians (1991) describes technology use as a process that is loaded with values. Even according to Kluge (1994), technology has altered the ethical implications of a document's ontological character. He especially alludes to the technological manipulation of information when he uses this phrase. On the other hand, Brown (1990) rightly argues that we do not need to "rethink our moral principles" as a result of the ethical issues brought on by the use of technology.

            Because sharing information is the main means of engaging in social communities on social networking sites (SNSs), individuals' ability to maintain their privacy is highly dependent on these networks. Users of these platforms are responsible for guarding their information against third-party data collection and managing their accounts, making SNS privacy "multifaceted." However, users of SNSs seem to be more willing to divulge personal and private information than users of other websites. This can be related to the overall sense of belonging, comfort, and family that various mediums convey. Designers of social networking sites do not prioritize privacy measures, and few young adolescent users alter the default privacy settings of their accounts. (Barrett-Maitland, N., Barclay, C., & Osei-Bryson, K. M., 2016).

The impact of the use of technology on the privacy of people manifests itself in a variety of areas. These areas include, inter alia the following:

a. The electronic monitoring of people in the workplace. This relates to personal information, and this is done by so-called electronic eyes. The justification by companies for the use of such technology is to increase productivity. However, Stair (1992) makes it apparent that there is an ethical issue with the employment of these technologies when discussing this practice. According to him, these devices pose a threat to people's privacy at work. Additionally, it can cause a sense of dread and of constantly being watched or the "panopticon phenomenon."

b. The interception and reading of E-mail messages. This raises an ethical issue about an individual's private conversation. Technically speaking, it is possible to intercept email messages, and companies typically justify reading them because they view the technology infrastructure (email) as a resource belonging to the company rather than the individual. Additionally, messages are intercepted to check on people to see whether they use the facility for personal reasons or to perform their jobs.

c. Another major threat to privacy is the rise of so-called hackers and crackers who break into computer systems (Benjamin, 1991). This coincides with the shift in ethical values and the emergence of the cyberpunk culture with the motto of "information wants to be free".

Social Media and Ethics

            The word "ethics" is derived from the Greek word ethos (character), and the Latin word 'mores' (customs). Derived from the Greek word "ethos," which means "way of living", ethics is a branch of philosophy that is concerned with human conduct. It consists of a code of conduct for human beings living in a society. Ethics examines the rational justification for our moral judgments; it studies what is morally right or wrong, just or unjust. Together, they combine to define how individuals choose to interact with one another. In philosophy, ethics defines what is good for the individual and society and establishes the nature of duties that people owe to themselves and one another. It aims at individual good as well as a social good, the good of mankind as a whole (http://www.kkhsou.in/main/philosophy/nature_ethics.html#:~:text=The%20scope%20of%20ethics%20indicates,or%20wrongness%20of%20human%20actions

            It is also defined as the science of the highest good. Mackenzie (1901) defines ethics as "the study of what is right or good in human conduct" or the "science of the ideal involved in human life". So, ethics is the study that determines the rightness or wrongness of actions.

            According to Nate (2018), in the domain of social media, some of the ethical questions that must be contemplated and ultimately answered are:

a.       Can this post be regarded as oversharing?

b.      Has the information in this post been distorted in any way?

c.       What impact will this post have on others?

One of the largest age groups using social media is those between the ages of 8 and 15. These young people, who range in age from 8 to 15, are still learning how to connect with those around them and determining the moral principles they will uphold. Their interactions with the world around them will be influenced by these moral principles. The moral principles that serve as the foundation for our ethical ideals were typically imparted to us by a person or group of people, such as our parents, guardians, religious organizations, or instructors, to mention a few. Many members of Generation Y, or "Digital Babies," are "newbies," but they still need to decide for themselves how much responsibility to exhibit when utilizing the various social media platforms. This involves taking into account how a post will affect their own and/or other people's lives. They must also be aware that when they sign up for a social media network, they are becoming a member of a community where specific conduct is expected. They cannot be expected to have that level of maturity at that age, which is necessary for such responsibility. (Barrett-Maitland, N., & Lynch, J.,2020)

Applicable Ethical Norms

Applicable ethical norms which can act as guidelines, as well as instruments of measurement, must be formulated to address these ethical issues. The following norms can be distinguished: truth, freedom, and human rights. ( Britz, J.J., n.d)

Truth. Truth as an ethical norm has a dual ethical application. Firstly, it serves as a norm for the factual correctness of the information. As a norm, it thus guides the information professional regarding the accurate and factually correct handling of private information. In the second-place truth is an expression of ethical virtues such as openness, honesty, and trustworthiness.         

Freedom. According to this norm, a person has the freedom to make choices in terms of freedom of privacy and freedom from intrusion. As a norm, however, it may not become absolutized. Therefore, the choice of privacy from intrusion may not restrict the freedom of others.

Human rights. This norm is closely related to freedom but can be regarded as a more concretely applicable norm. Applied to privacy it means the juridical acknowledgement and protection of a person's right to privacy. As an individual human right, it also protects the individual from unlawful interference from society (amongst others the state) in the private life of an individual.

Conclusion

In the information age of today, one's digital imprint can make or break them and determine whether or not they fulfil their life's goals. Social media contacts and unethical behaviour can have significant effects on a person's career and social life. Internet posting signals the "end of forgetting," thus it's crucial to use it responsibly. The irresponsible use of social media has ramifications for privacy and may lead to real-world and virtual security breaches. Social media use can also lead to a loss of privacy because many users are forced to share information that they otherwise would not. If users don't properly control their usage of social media, it can divulge information that could lead to privacy violations. Therefore, it is crucial to remind users of the risks and consequences of disclosing sensitive information in this setting and to promote caution in guarding users' privacy on these platforms. This might lessen the use of these platforms for immoral and reckless purposes and promote safer social interactions. Social media usage ought to be guided by universally applicable moral and ethical standards that foster healthy connections among people of different racial, cultural, religious, and socioeconomic backgrounds.

The processing of information via technology raises significant issues with an individual's right to privacy. The rights to freedom and human autonomy are closely related to this one. These issues mostly concern the availability of information and its manipulation. This is especially important for information professionals who work with sensitive personal data. The standards of liberty, truth, and human rights can be used to provide actionable rules for dealing with these issues.

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