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LONDON DECLARATION
ETHICAL MISCONDUCT
Accepting Payoffs
If a human resources employee accepts payment from job seekers in exchange for
preferential treatment in the hiring process, this represents ethical misconduct.
Human resources professionals should hire the most qualified individuals without
any expectation or solicitation of a financial kickback. Even tangible thank you
gifts can be misconstrued as an ethical violation and should be avoided.
Discrimination in Hiring
A human resources employee who discriminates against an otherwise qualified
employment candidate on the basis of race, sex, gender or religion is behaving in
an unethical manner. This can be especially damaging to you as a small business
owner, as claims of discrimination in hiring can be costly to defend. Additionally,
claims of bias in hiring can harm the reputation of your business, leading to the
potential for lost business and revenue.
Hiring Friends and Family
While it is not necessarily unethical for a human resources director to refer a
qualified family member or friend for an open position in your company, not
disclosing a prior relationship with a job applicant has the potential to be ethically
inappropriate. Human resources managers should understand that their
responsibility should be focused on recruiting and hiring qualified candidates rather
than seeking out job opportunities for people with whom they have personal
relationships. This can be damaging in a small business environment where preexisting relationships are not typically well-kept secrets.
Sharing Personal Information
Human resources files should be stored in a secure location and made available only
when necessary for management review. Sharing personal information found in a
personnel file with anyone else inside or outside the company without the express
written permission of a supervisor presents an ethical boundary violation. Make sure
your human resources employees understand the confidentiality with which
personnel files should be handled.
Keeping Confidences
Your employees need to feel confident that they can approach your human
resources staffers with questions, concerns and sensitive matters without fear of the
information being shared with other parties. Human resources professionals must
understand the level of confidentiality and sensitivity with which they must handle
employee interactions. This includes claims of discrimination, harassment or
perceived unfair treatment in the workplace.
they work each week. The FLSA requires strict adherence to classification rules; the
U.S. Department of Labor levies stiff penalties and fines for employers who violate
the act.
Labor-Management Relations
The National Labor Relations Act guarantees the collective activity rights of
employees and labor unions. The HR department typically is responsible for
engaging in contract negotiations to arrive at a mutually agreed upon collective
bargaining agreement. HR leaders who refuse to bargain, or negotiate union
contracts, or who engage in unethical misconduct by intentionally misrepresenting
the company's position on wages and benefits are in violation of the act and risk
being sanctioned for the company's actions.