Saturday, February 22, 2020

Unethical Issue In HR

What, if anything, is wrong with high executive compensation? Is the common “lay reaction” of indignation and moral outrage justified? In this blog, my main goal is to show in a more systematic and philosophical manner the honest or fair responses to these questions. In order to do so, I suggest that we take some insights from recent debates on two versions of egalitarianism: a distributive one, according to which no one should be worse off than others because of unfair distributions of goods and resources, especially ones based on matters of luck or arbitrary factors, and a relational one, which maintains that egalitarian justice requires members of a society to relate to one another as equals. Drawing on recent attempts to highlight the tricky nature of managerial authority, I say that high inequalities in pay are not simply an unequal matter but should also be analyzed through a relational eye. Also had tried to show that relational egalitarians are well-equipped to question the now dominant “incentives” view of CEO compensation.

Now take an examples of “  government DOCTORS  in India who are chief doctors holding the same degree with much work in hand are paid same as the doctors working under the chief doctors with same degree but with less responsibilities and work to do on paper.

How Does Everlane Use Ethical Marketing?


As Like rest of ethical brands, Everlane’s About page tells its brand story, including how the company champions the rights and well-being of the workers who make its clothes. What’s really interesting about Everlane, though, is its transperancy
Everlane isn’t content to only tell you that its clothes are manufactured and sold ethically,  the company also gives customers with a detailed cost breakdown for each and every one of its stylish, each garments. This includes all the details on the cost of materials, labor, transportation and logistics, excise taxes and duties, and even hardware such as zippers and buttons.
The organization’s  jacket, for example, costs $60 to produce, and you can see exactly how much each of the manufacturing and logistical elements affects the retail price,  Typically, the production or manufacturing costs of most commercially produced clothing are a closely guarded secret. That’s not only because a breakdown of such costs would reveal a brand’s potential profit margin on a   specific item, but also because they highlight the desperately poor pay and conditions many people working in garment manufacturing endure.  By revealing boldly precisely how much each of its garments costs to make, Everlane can offer its customers the kind of transparency consumers want while enjoying the considerable karma this kind of radical transparency offers the consumer a good sense of ethical tastes.

Wal-Mart has $76-billion in overseas tax havens, report says

Wal-Mart Stores Income owns more than $76-billion (U.S.) of assets through a web of units in offshore tax havens around the world, though you wouldn't know it from reading the giant retailer's annual report.
Recently a  new study has found that Wal-Mart has at least 78 offshore subsidiaries and branches, more than 30 created since 2009 and none mentioned in U.S. securities filings. Abroad or overseas operations have had helped the company cut more than $3.5-billion off its income tax bills in the past  years, its annual reports show.
Units in Luxembourg – where the company has no stores – reported $1.3-billion in profits between 2010 and 2013 and paid tax at a rate of less than 1 per cent, according to the research report.
All of Wal-Mart's roughly 3,500 stores in China, Central America, the U.K., Brazil, Japan, South Africa and Chile appear to be owned through units in tax havens such as the British Virgin Islands, Curacao and Luxembourg, according to the report from the advocacy group. The union conducted its research using publicly available documents filed in various countries by Wal– Mart and its subsidiaries.
'Conclusive Evidence'
 The Companies like Google Inc., Apple Inc. and Starbucks Corp. have come under fire for avoiding billions of dollars of income taxes by attributing profits to mailbox subsidiaries in low-tax jurisdictions like Bermuda. Group of  state of Twenty has directed the Organization for Economic Cooperation and Development to develop plans to crack down on such strategies.
The Hybrid-Loan Strategy
Around a decade ago, Wal-Mart ran into trouble over strategies to avoid U.S. state income taxes. It used a real estate investment trust to effectively pay rent to itself, generating big tax deductions, even though the rent payments never left the company. At least six states changed their tax laws after publicity about the tactics.
Since then, Wal-Mart has stepped up its use of offshore tax havens. It has created 20 new subsidiaries in Luxembourg alone since 2009, according to the report.
Wal-Mart employs a popular legal strategy in that country called a hybrid loan. It permits companies' offshore units to take tax deductions for interest paid – typically on paper only – to their parents in the U.S. The parent, however, doesn't include that interest as taxable income in the U.S.