Chapter 07 - Ethical Decision Making: Technology and Privacy in the Workplace

Chapter 07 Ethical Decision Making: Technology and Privacy in the Workplace

True/False Questions

1. (p. 255) Privacy issues in the workplace raise ethical issues involving individual rights as well as those involving deontological consequences. FALSE

Privacy issues in the workplace raise ethical issues involving individual rights as well as those involving utilitarian consequences.

AACSB: 2 BT: Knowledge Difficulty: Easy Learning Objective: 1

2. (p. 257) Limiting access of personal information on the basis of the relationship that one shares with members of society is one way to preserve one's personal integrity. TRUE

Limiting access of personal information to only those with whom one has a personal relationship is one important way to preserve one's own personal integrity and individuality.

AACSB: 2 BT: Knowledge Difficulty: Easy Learning Objective: 1

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3. (p. 257) The right to privacy, which is founded on a universal right to autonomy, is restricted by a prevalent social contract in our culture. TRUE

The right to privacy is founded in the individual's fundamental, universal right to autonomy, in our right to make decisions about our personal existence without restriction. This right is restricted by a social contract in our culture.

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 1

4. (p. 258) The value of privacy to civilized society is as great as the value of hypernorms to civilized existence. TRUE

The value of privacy to civilized society is as great as the value of the various hypernorms to civilized existence.

AACSB: 2 BT: Knowledge Difficulty: Medium Learning Objective: 2

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5. (p. 259) The invasion of privacy' claim is one that developed through case law called "intrusion into seclusion." TRUE

The "invasion of privacy" claim with which most people are familiar is one that developed through case law called "intrusion into seclusion."

AACSB: 2 BT: Knowledge Difficulty: Medium Learning Objective: 3

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6. (p. 260) Most recent court cases regarding monitoring seem to depend upon the aspect of the worker's knowledge of possible monitoring through a notice. TRUE

Most recent court decisions with regard to monitoring specifically seem to depend on whether the worker had notice that the monitoring might occur.

AACSB: 2 BT: Knowledge Difficulty: Medium Learning Objective: 4

7. (p. 261) The European Union's Directive on Personal Data Protection doesn't prohibit E.U. firms from transferring personal information to non-E.U. firms. FALSE

The European Union's Directive on Personal Data Protection prohibits E.U. firms from transferring personal information to a non-E.U. country unless that country maintains "adequate protections" of its own; in other words, protections equivalent to those the directive guarantees in E.U. countries.

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 4

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8. (p. 265) The instance of Google in the text has been essentially used to underline the importance of speed in the changing technological world. FALSE

The example is used to explain that trust is truly the crux of the issue with the introduction of new technology.

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 4

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9. (p. 267) The most prevalent subject of monitoring is videotaping. FALSE

The most prevalent subject of monitoring is Internet use monitoring (76 percent) followed by e-mail monitoring (55 percent) and videotaping (10 percent).

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 5

10. (p. 268) According to the text, the ethical validity of checking an employee's mail to ensure that it is being used only for business purposes is still undecided on. TRUE

Unfortunately, many of the ethical issues that arise in the area of managing information are not readily visible. When we do not completely understand the technology, we might not understand the ethical implications of our decisions.

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 6

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11. (p. 269) The ethical issues connected to employee monitoring is independent of the fact that a knowledge gap exists between people who understand technology and those who do not. FALSE

The ethical issues may be compounded by the fact that a knowledge gap exists between people who do understand the technology and others who are unable to protect themselves precisely because they do not understand.

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 7

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12. (p. 270) Managing their workplaces to place workers in appropriate positions is one reason why employers choose to monitor the technology used. TRUE

A firm chooses to monitor its employees and collect for numerous reasons. Employers need to manage their workplaces to place workers in appropriate positions, to ensure compliance with affirmative action requirements, or to administer workplace benefits.

AACSB: 2 BT: Knowledge Difficulty: Easy Learning Objective: 1

13. (p. 272) One of the problems associated with giving prior notice of monitoring is the Hawthorne Effect'. TRUE

By telling the worker which calls you are monitoring, your employees may be sure to be on their best behavior during those calls. This effect of employer monitoring is termed the "Hawthorne Effect".

AACSB: 2 BT: Knowledge Difficulty: Hard Learning Objective: 11

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14. (p. 272) In the bigger picture, financial capital appears to minimize shareholder risk, promote innovation, enhance reputation, and deepen brand loyalty. FALSE

In the bigger picture, social capital appears to minimize shareholder risk, promote innovation, enhance reputation and deepen brand loyalty."

AACSB: 3 BT: Knowledge Difficulty: Medium Learning Objective: 11

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15. (p. 274) Drug testing is one area in which employers have had a relatively recent history of monitoring employees. FALSE

Drug testing is one area in which employers have had a longer history of monitoring employees.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 12

Multiple Choice Questions

16. (p. 257) Two general and connected understandings of privacy have been identified as a right to be let alone' within a personal space, and privacy as the a. right to understand one's emotions. b. fundamental duty of every citizen. c. right to control information about others. D. right to control information about oneself.

Two general and connected understandings of privacy can be found in the legal and philosophical literature on this topic: privacy as a right to be "let alone" within a personal zone of solitude, and privacy as the right to control information about oneself.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 1

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17. (p. 257) The right to privacy, founded in the individual's universal right to autonomy, is restricted by a social contract in our culture which prevents us from infringing on someone else's right to his or her personal autonomy. This is referred to as a. obligatory independence. b. fundamental privacy. C. reciprocal obligation. d. social autonomy.

Philosopher Patricia Werhane describes this boundary as a "reciprocal obligation"; that is, for an individual to expect respect for her or his personal autonomy, that individual has a reciprocal obligation to respect the autonomy of others.

AACSB: 3 BT: Knowledge Difficulty: Medium Learning Objective: 2

18. (p. 258) Values that are fundamental across culture are called a. moral freeness. B. hypernorms. c. global norms. d. universalities.

Ethicists Thomas Donaldson and Thomas Dunfee have developed an approach to ethical analysis that seeks to differentiate between those values that are fundamental across culture and theory ("hypernorms") and those values that are determined within "moral free space" and that are not hypernorms.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 2

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19. (p. 258) The _____ depend upon the existence and enforcement of a set of rules that define who has a right to undertake which activities on their own initiative and how the returns from those activities will be allocated. A. private property right b. privacy c. legal system d. government administration

Private property rights depend upon the existence and enforcement of a set of rules that define who has a right to undertake which activities on their own initiative and how the returns from those activities will be allocated.

AACSB: 3 BT: Knowledge Difficulty: Medium Learning Objective: 2

20. (p. 259) Privacy can be protected by all of the following three ways except by a. the constitution. B. judicial opinions. c. federal and/or state statutes. d. common law.

Privacy can be legally protected in three ways: by the constitution (federal or state), by federal and/or state statutes, and by the common law.

AACSB: 2, 3 BT: Knowledge Difficulty: Easy Learning Objective: 3

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21. (p. 259) The reason the Constitution's Fourth Amendment protection applies only to public sector workplace is because a. unions exist only in private sector organizations. b. the private organization does not cater to appeals of unreasonable search or seizure. C. the Constitution applies only to the state. d. it is illegal by common law to trespass on private property.

The Constitution's Fourth Amendment protection against an unreasonable search and seizure governs only the public sector workplace because the Constitution applies only to state action.

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 3

22. (p. 259) Which among the following prohibits the "interception" or unauthorized access of stored communications? A. Electronic Communications Privacy Act of 1986. b. Computer Security Act of 1987. c. Privacy Act of 1974. d. Computer Fraud and Abuse Act of 1986.

The Electronic Communications Privacy Act of 1986 (ECPA) prohibits the "interception" or unauthorized access of stored communications.

Difficulty: Medium

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23. (p. 259) The fact that it may no longer be reasonable to be offended by intrusions into one's private life, that used to be considered unacceptable, is dealt under the category of a. reverse obligation. b. security of privacy. C. intrusion into seclusion. d. property rights.

The "invasion of privacy" claim with which most people are familiar is one that developed through case law called "intrusion into seclusion." This legal violation occurs when someone intentionally intrudes on the private affairs of another when the intrusion would be "highly offensive to a reasonable person."

AACSB: 3 BT: Knowledge Difficulty: Hard Learning Objective: 3

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24. (p. 260) If the basis for finding an invasion of privacy is often the employee's legitimate and reasonable expectation of privacy, then a situation where there is no real expectation of privacy occurs when A. the employee has actual notice. b. the employer is covered under the ECPA. c. the work requires transference of sensitive data. d. the employee belongs to a minority group.

Most recent court decisions with regard to monitoring specifically seem to depend on whether the worker had notice that the monitoring might occur. Since the basis for finding an invasion of privacy is often the employee's legitimate and reasonable expectation of privacy, if an employee has actual notice, then there truly is no real expectation of privacy.

AACSB: 3 BT: Knowledge Difficulty: Hard Learning Objective: 4

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25. (p. 260) Which among the following states is the only one that requires employers to notify workers when they are being monitored? a. Ohio b. Illinois c. Michigan D. Connecticut

Only one state, Connecticut, requires employers to notify workers when they are being monitored.

AACSB: 3 BT: Knowledge Difficulty: Medium Learning Objective: 4

26. (p. 261) Why has the U.S. Department of Commerce negotiated a Safe Harbor exception'? A. U.S. needed to qualify as having adequate protection as per the EU directive on personal data protection. b. Because it's naval fleet is the best in the world. c. U.S. wants to collaborate with EU's free market profits. d. The law requires that all imports meet the Safe Harbor standards.

Because the United States would not qualify as having adequate protection, the U.S. Department of Commerce negotiated a "Safe Harbor exception" for firms that maintain a certain level of protection of information.

AACSB: 3 BT: Knowledge Difficulty: Hard Learning Objective: 4

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27. (p. 264) New technology does not necessarily impact our _____, but instead simply provides new ways to gather information on which to base them. a. moral obligations B. value judgments c. responsibilities d. ethical perspectives

New technology does not necessarily impact our value judgments but instead simply provides new ways to gather the information on which to base them.

AACSB: 2 BT: Knowledge Difficulty: Medium Learning Objective: 2

28. (p. 265) If one's personal information on e-mails is respected as property, using the example of Google, it can be said that a. Google scans users' e-mails with their consent. b. users are aware that personalized advertisements are possible only through scanning. c. e-mails are not considered as property. D. Google uses individual property rights without consent.

Google scans user e-mail in order to target advertisements based on the contents. If one's personal information is respected as property, Google uses individual property without consent.

AACSB: 3 BT: Knowledge Difficulty: Medium Learning Objective: 4

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29. (p. 266) Keeping the example of Google provided in the text, it is understood that notwithstanding even _____, people are simply not comfortable with an involuntary loss of control over their personal decisions. a. legal contexts B. reasonable justification c. creative needs d. public consent

The lesson learned is that, notwithstanding even reasonable justification (which remains arguable in this case), people are simply not comfortable with an involuntary loss of control over these personal decisions.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 4

30. (p. 266) According to Antonio Argandona, which of the following would include issues relating to company secrets, espionage, and intelligence gathering? a. Truthfulness and accuracy b. Respect for property and safety rights C. Respect for privacy d. Accountability

Respect for privacy: The person receiving or accumulating information must take into account the ethical limits of individuals' (and organizations') privacy. This would include issues relating to company secrets, espionage, and intelligence gathering.

AACSB: 2, 3 BT: Knowledge Difficulty: Easy Learning Objective: 4

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31. (p. 269) According to the text, in general, technology allows us all of the following except a. access to information that was never before possible. b. to work from almost anywhere on this planet. c. a facelessness that results from its usage. D. to be careful with our communications.

Technology allows for access to information that was never before possible. Moreover, because technology allows us to work from almost anywhere on this planet, we are seldom out of the boundaries of our workplace. Another challenge posed by the new technology accessible in the workplace is the facelessness that results from its use. We are more careless with our communications because they are easier to conductjust hit a button and they are sent.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 7

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32. (p. 270) All of the following are methods of managing human resources through monitoring except a. to ensure compliance with affirmative action requirements. B. to ensure the avoidance of reverse discrimination suits. c. to prevent loss of productivity to inappropriate technology use. d. to administer workplace benefits.

Employers need to manage their workplaces to place workers in appropriate positions, to ensure compliance with affirmative action requirements, or to administer workplace benefits. Monitoring also allows the manager to ensure effective, productive performance by preventing the loss of productivity to inappropriate technology use.

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 1

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33. (p. 270 271) The idea that the definition of should have known' expanding to include an expectation of monitoring is attributed to businesses a. protecting proprietary information and guarding against thefts. b. protecting their investment in equipment and bandwidth. C. protecting against legal liability. d. administering workplace benefits.

A survey found employer respondents reporting that they engaged in monitoring as a result of their concerns for legal liability. Without monitoring, how would businesses know what occurs? If most firms use monitoring technology to uncover this wrongdoing, the definition of "should have known" will begin to include an expectation of monitoring.

AACSB: 3 BT: Knowledge Difficulty: Hard Learning Objective: 1

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34. (p. 271) On the topic of limiting monitoring for business reasons, the creation of a suspicious and hostile work environment have been attributed to A. reduction in employee autonomy and respect. b. low levels of transparency within the organization. c. lack of affirmative action within an organization. d. legislature requirements.

Notwithstanding the persuasive justifications for monitoring in the workplace, employee advocates suggest limitations on monitoring for several reasons. First, there is a concern that monitoring may create a suspicious and hostile workplace. By reducing the level of worker autonomy and respect, as well as workers' right to control their environment, the employer has neglected to consider the key stakeholder critical to business success in many waysthe worker.

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 10

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35. (p. 272) One of the drawbacks associated with prior intimation of monitoring to the employees results in A. the Hawthorne Effect'. b. the Placebo Effect'. c. the Halo Effect'. d. the Experimenter Effects'.

"Hawthorne Effect": Workers are found to be more productive based on the psychological stimulus of being singled out, which makes them feel more important. In other words, merely knowing one is being studied might make one a better worker.

AACSB: 2, 3 BT: Knowledge Difficulty: Easy Learning Objective: 11

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36. (p. 272) A study done by the Center for Innovation in Management has ascertained that in the bigger picture, _____ appears to minimize shareholder risk, enhance reputation, and deepen brand loyalty. a. empathy b. monitoring c. higher salaries D. social capital

Ann Svendsen, director of the Center for Innovation in Management, Ann Svendsen, director of the Center for Innovation in Management, studied the link between high-trust stakeholder relationships and business value creation. It has been found that in the bigger picture, social capital appears to minimize shareholder risk, promote innovation, enhance reputation and deepen brand loyalty."

AACSB: 3 BT: Knowledge Difficulty: Medium Learning Objective: 11

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37. (p. 274) Identify one of the parameters that will contribute to greater acceptance and approval of drug testing programs by workers. a. a task force made up of employees only. b. programs offering treatment that includes termination for first-time offenders. C. a completely random program. d. programs that distinguish supervisors from employees.

In general, the following factors contribute to greater acceptance and approval by workers: programs that use a task force made up of employees and their supervisors, a completely random program, effective communication of procedures, programs that offer treatment other than termination for first-time offenders, and programs with no distinction between supervisory and other workers.

AACSB: 3 BT: Knowledge Difficulty: Hard Learning Objective: 12

38. (p. 275) From a utilitarian perspective, individual rights to privacy may be outweighed by a right to control information in the case where A. public safety is at risk. b. it is a very high paying job. c. the proposed benefit to the employer is high. d. productivity of employees directly depends on the number of hours they put in.

Where public safety is at risk, there is arguably a compelling public interest claim from a utilitarian perspective that may be sufficiently persuasive to outweigh any one individual's right to privacy or right to control information about oneself.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 12

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39. (p. 277) One sector that uses genetic information as a form of monitoring includes a. finance sector. b. automotive sector. c. manufacturing sector. D. insurance sector.

Using genetic information is not unheard ofinsurance companies, for example, already inquire about diseases in family history.

AACSB: 2, 3 BT: Knowledge Difficulty: Easy Learning Objective: 13

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40. (p. 280) Most statutes or common law decisions, provide for employer defenses for all of the following except a. those rules that are reasonable and rationally related to the employment activities of a particular employee. B. those rules that are treats one group differently from another considering lifestyle practices. c. those rules that are necessary to avoid a conflict of interest or the appearance of conflict of interest. d. those rules that constitute a bona fide occupational requirement'.

Most statutes or common law decisions, however, provide for employer defenses for those rules that (a) are reasonably and rationally related to the employment activities of a particular employee, (b) constitute a "bona fide occupational requirement," meaning a rule that is reasonably related to that particular position, or (c) are necessary to avoid a conflict of interest or the appearance of conflict of interest.

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 14

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Fill in the Blank Questions

41. (p. 258) Values that are determined within moral free space' are not referred to as _____. hypernorms

One approach to ethical analysis seeks to differentiate between those values that are fundamental across culture and theory ("hypernorms") and those values that are determined within "moral free space" and that are not hypernorms.

AACSB: 3 BT: Knowledge Difficulty: Hard Learning Objective: 2

42. (p. 259) _____ provides for the fact that interception' applies only to messages in transit and not messages that have actually reached company computers. Electronic Communications Privacy Act of 1986 (ECPA)

Statutes also offer little, if any, protection from workplace intrusions. The Electronic Communications Privacy Act of 1986 (ECPA) prohibits the "interception" or unauthorized access of stored communications. However, courts have ruled that "interception" applies only to messages in transit and not to messages that have actually reached company computers.

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 3

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43. (p. 259) The invasion of privacy' claim with which most people are familiar is one that developed through case law called "_____". intrusion into seclusion

The "invasion of privacy" claim with which most people are familiar is one that developed through case law called "intrusion into seclusion."

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 3

44. (p. 261) The U.S. Department of Commerce has negotiated a _____ with the European Union. Safe Harbor exception

Because the United States would not qualify as having adequate protection, the U.S. Department of Commerce negotiated a "Safe Harbor exception" for firms that maintain a certain level of protection of information.

AACSB: 2 BT: Knowledge Difficulty: Easy Learning Objective: 4

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45. (p. 267) The most prevalent forms of monitoring is the _____, followed by _____. Internet use monitoring, e-mail monitoring

The most prevalent subject of monitoring is Internet use monitoring (76 percent) followed by e-mail monitoring (55 percent) and videotaping (10 percent).

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 5

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46. (p. 268) More that eighty percent of mid- to large-sized firms in the United States have _____policies. Internet access

More than 80 percent of mid- to large-sized firms in the United States have Internet access policies.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 6

47. (p. 269) The ability to ignore the impact of one's communication using technology at the workplace is a direct result of the _____ it offers. facelessness

Another challenge posed by the new technology accessible in the workplace is the facelessness that results from its use. When we don't get to know someone because we don't have to see that person in order to do our business, we often don't take into account the impact of our decisions on him or her.

AACSB: 2 BT: Knowledge Difficulty: Medium Learning Objective: 7

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48. (p. 270) The desire to place workers in appropriate positions or to administer workplace benefits is sufficient reason for employers to undertake _____. monitoring

Monitoring allows the manager to ensure effective, productive performance by preventing the loss of productivity to inappropriate technology use.

AACSB: 2 BT: Knowledge Difficulty: Medium Learning Objective: 1

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49. (p. 271) One of the associated health risks with monitoring is the development of _____ in employees. carpal tunnel syndrome

Monitoring may arguably constrain effective performance since it can cause increased stress and pressure, negatively impacting performance and having the potential to cause physical disorders such as carpal tunnel syndrome.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 10

50. (p. 274) _____ is one area in which employers has had a longer history of monitoring employees. Drug testing

Drug testing is one area in which employers have had a longer history of monitoring employees.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 12

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51. (p. 276) _____ stipulates that employers cannot use "protected health information" in making employment decisions without prior consent. Health Insurance Portability and Accountability Act (HIPAA)

HIPAA stipulates that employers cannot use "protected health information" in making employment decisions without prior consent.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 13

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52. (p. 277) Insurance companies are most likely to use _____ as a type of monitoring. genetic information

Using genetic information is not unheard ofinsurance companies, for example, already inquire about diseases in family history.

AACSB: 3 BT: Knowledge Difficulty: Medium Learning Objective: 13

53. (p. 277) New York's _____ statute prohibits employment decisions or actions based on four categories of off-duty activity. lifestyle discrimination

New York's lifestyle discrimination statute prohibits employment decisions or actions based on four categories of off-duty activity: legal recreational activities, consumption of legal products, political activities, and membership in a union.

AACSB: 2 BT: Knowledge Difficulty: Hard Learning Objective: 14

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54. (p. 280) The most public and publicized modifications in the field of information-gathering, and surveillance is the adoption, and implementation of the _____ Act. USA PATRIOT

The most public and publicized of these modifications was the adoption and implementation of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism (USA PATRIOT) Act of 2001.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 14

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55. (p. 280) The USA PATRIOT Act of 2001 has resulted in the amendment of the _____. Electronic Communications Privacy Act

The USA PATRIOT Act expanded states' rights with regard to Internet surveillance technology, including workplace surveillance, and amended the Electronic Communications Privacy Act.

AACSB: 3 BT: Knowledge Difficulty: Hard Learning Objective: 14

Essay Questions

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56. (p. 255 256) How do privacy issues at the workplace raise ethical issues involving individual rights as well as those involving utilitarian consequences?

Workplace privacy issues evoke an inherent conflict between what some may consider to be a fundamental right of the employer to protect its interests and the similarly grounded right of the employee to be free from wrongful intrusions into her or his personal affairs. This conflict can arise in the workplace environment through the regulation of personal activities or personal choices, or through various forms of monitoring. Some forms of monitoring, such as drug testing, may occur after a job offer has been made but even before the individual begins working. Other forms might also occur once the individual begins to work, such as electronic surveillance of e-mail. Similarly, contrasting utilitarian arguments can be offered on the ethics of monitoring employees. The employer can argue that the only way to manage the workplace effectively and efficiently is to maintain knowledge about and control over all that takes place within it. The employee can simultaneously contend that she or he will be most productive in a supportive environment based on trust, respect, and autonomy. In any case, the question of balance remainswhose rights should prevail or which consequences take precedent?

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 1

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57. (p. 257) Define privacy. Summarize how the definition gives rise to two opposing streams of thought about rights?

Two general and connected understandings of privacy can be found in the legal and philosophical literature on this topic: privacy as a right to be "let alone" within a personal zone of solitude, and privacy as the right to control information about oneself. It is valuable to consider the connection between these two senses of privacy. Certain decisions that we make about how we live our lives, as well as the control of personal information, play a crucial role in defining our own personal identity. Privacy is important because it serves to establish the boundary between individuals and thereby serves to define one's individuality. To the degree that we value the inherent dignity of each individual and the right of each person to be treated with respect, we must recognize that certain personal decisions and information is rightfully the exclusive domain of the individual. Many people believe that a right to be let alone is much too broad to be recognized as a moral right. This has led some people to conclude that a better understanding focuses on privacy as involving the control of personal information. From this perspective, the clearest case of an invasion of privacy occurs when others come to know personal information about us, as when a stranger reads your e-mail or eavesdrops on a personal conversation. Yet, the claim that a right of privacy implies a right to control all personal information might also be too broad. Surely, there are many occasions when others, particularly within an employment context, can legitimately know or need to know even quite personal information about us.

AACSB: 3 BT: Comprehension Difficulty: Hard Learning Objective: 2

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58. (p. 258) Explain the concept of hypernorms, and moral free space.

Ethicists Thomas Donaldson and Thomas Dunfee have developed an approach to ethical analysis that seeks to differentiate between those values that are fundamental across culture and theory ("hypernorms") and those values that are determined within "moral free space" and that are not hypernorms. Donaldson and Dunfee propose that we look to the convergence of religious, cultural, and philosophical beliefs around certain core principles as a clue to the identification of hypernorms. Donaldson and Dunfee include as examples of hypernorms freedom of speech, the right to personal freedom, the right to physical movement, and informed consent. Individual privacy is at the core of many of these basic minimal rights and is, in fact, a necessary prerequisite to many of them. Accordingly, the value of privacy to civilized society is as great as the value of the various hypernorms to civilized existence. Ultimately, the failure to protect privacy may lead to an inability to protect personal freedom and autonomy.

AACSB: 2, 3 BT: Knowledge Difficulty: Medium Learning Objective: 2

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59. (p. 259) Explain how privacy can be legally protected. Summarize the Electronic Communications Privacy Act of 1986 (ECPA). Discuss the "intrusion into seclusion" concept.

Privacy can be legally protected in three ways: by the constitution (federal or state), by federal and/or state statutes, and by the common law. Common law refers to the body of law comprised of the decisions handed down by courts, rather than specified in any particular statutes or regulations. Statutes also offer little, if any, protection from workplace intrusions. The Electronic Communications Privacy Act of 1986 (ECPA) prohibits the "interception" or unauthorized access of stored communications. However, courts have ruled that "interception" applies only to messages in transit and not to messages that have actually reached company computers. Therefore, the impact of the EPCA is to punish electronic monitoring only by third parties and not by employers. Moreover, the ECPA allows interception where consent has been granted. Therefore, a firm that secures employee consent to monitoring at the time of hire is immune from ECPA liability. The "invasion of privacy" claim with which most people are familiar is one that developed through case law called "intrusion into seclusion." This legal violation occurs when someone intentionally intrudes on the private affairs of another when the intrusion would be "highly offensive to a reasonable person." As we begin to live more closely with technology, and the intrusions it allows, we begin to accept more and more intrusions in our lives as reasonable; as privacy invasions become more common, they begin to be closer to what is normal and expected. It may no longer be reasonable to be offended by intrusions into one's private life that used to be considered unacceptable.

AACSB: 2, 3 BT: Comprehension Difficulty: Hard Learning Objective: 3

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60. (p. 266) Summarize what economist Antonio Argandona says about information and data in the age of technology, and the moral requirements associated with that information.

Economist Antonio Argandona contends that, if new technology is dependent on and has as its substance information and data, significant moral requirements should be imposed on that information. He suggests the following as necessary elements: Truthfulness and accuracy: The person providing the information must ensure that it is truthful and accurate, at least to a reasonable degree. Respect for privacy: The person receiving or accumulating information must take into account the ethical limits of individuals' (and organizations') privacy. This would include issues relating to company secrets, espionage, and intelligence gathering. Respect for property and safety rights: Areas of potential vulnerability, including network security, sabotage, theft of information and impersonation, are enhanced and must therefore be protected. Accountability: Technology allows for greater anonymity and distance, requiring a concurrent increased exigency for personal responsibility and accountability.

AACSB: 3 BT: Comprehension Difficulty: Medium Learning Objective: 4

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61. (p. 270 271) Why do firms monitor technology usage?

A firm chooses to monitor its employees and collect the information discussed above for numerous reasons. Employers need to manage their workplaces to place workers in appropriate positions, to ensure compliance with affirmative action requirements, or to administer workplace benefits. Monitoring also allows the manager to ensure effective, productive performance by preventing the loss of productivity to inappropriate technology use. Research evidences a rise in personal use of technology, with 86 percent of employees admitting sending or receiving personal e-mails at work and 55.1 percent admitting to having received politically incorrect or offensive e-mails at work. Among employers, 62 percent of firms find employees accessing sex sites during the workday. In fact, 10 percent of employees spend more than half the workday on e-mail or surfing non-business sites. Beyond the management of its human resources, monitoring offers an employer a method by which to protect its others resources. Employers use monitoring to protect proprietary information and to guard against theft, to protect their investment in equipment and bandwidth, and to protect against legal liability (more than 20 percent of firms have been ordered to produce employee e-mail in legal proceedings as of 2005). In one survey, employer respondents reported that they engaged in monitoring as a result of their concerns for legal liability. Given the courts' focus in many cases on employer response to claims of sexual harassment or unethical behavior, among other complaints, firms believe they need a way to uncover these inappropriate activities. One-fourth of the largest firms reported firing employees for inappropriate e-mail. Moreover, as courts maintain the standard in many cases of whether the employer "knew or should have known" of wrongdoing, the state-of-the-art definition of "should have known" becomes all the more vital.

AACSB: 3 BT: Comprehension Difficulty: Hard Learning Objective: 1

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62. (p. 271) Outline the business reasons to limiting monitoring.

First, there is a concern that monitoring may create a suspicious and hostile workplace. By reducing the level of worker autonomy and respect, as well as workers' right to control their environment, the employer has neglected to consider the key stakeholder critical to business success in many waysthe worker. Another concern demonstrates the problem. Monitoring may arguably constrain effective performance since it can cause increased stress and pressure, negatively impacting performance and having the potential to cause physical disorders such as carpal tunnel syndrome. One study found monitored workers suffered more depression, extreme anxiety, severe fatigue or exhaustion, strain injuries, and neck problems than unmonitored workers. Stress might also result from a situation where workers do not have the opportunity to review and correct misinformation in the data collected. These elements will lead not only to an unhappy, disgruntled worker who perhaps will seek alternative employment but also to lower productivity and performance that will lead to higher costs and fewer returns to the employer. Finally, employees claim that monitoring is an inherent invasion of privacy that violates their fundamental human right to privacy.

AACSB: 2, 3 BT: Knowledge Difficulty: Easy Learning Objective: 10

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63. (p. 272) Outline how the rights between employers and employees can be balanced in order to be most productive.

Consider whether monitoring could be made ethical or humane. One suggestion is to give due notice to employees that they will be monitored, plus the opportunity to avoid monitoring in certain situations. For instance, if an employer chooses to monitor random phone calls of its customer service representatives, it could notify the workers that certain calls may be monitored and these calls would be signified by a "beep" on the line during the monitoring. In addition, if workers make a personal call, they may use a non-monitored phone to avoid a wrongful invasion of privacy. However, such an approach may not solve all the concerns about monitoring. Suppose you are the employer and you want to make sure your service representatives handle calls in a patient, tolerant, and affable manner. By telling the worker which calls you are monitoring, your employees may be sure to be on their best behavior during those calls - the Hawthorne Effect. Perhaps the most effective means to achieve monitoring objectives while remaining sensitive to the concerns of employees is to strive towards a balance that respects individual dignity while also holding individuals accountable for their particular roles in the organization. Ann Svendsen, director of the Center for Innovation in Management, studied the link between high-trust stakeholder relationships and business value creation. Svendsen concludes that "trust, a cooperative spirit and shared understanding between a company and its stakeholders, creates greater coherence of action, better knowledge sharing, lower transaction costs, lower turnover rates and organizational stability. In the bigger picture, social capital appears to minimize shareholder risk, promote innovation, enhance reputation and deepen brand loyalty."

AACSB: 2, 3 BT: Comprehension Difficulty: Hard Learning Objective: 11

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64. (p. 274 275) Discuss the nuances associated with drug testing, and outline the various arguments for and against it.

Drug testing is one area in which employers have had a longer history of monitoring employees. The employer has a strong argument in favor of drug or other substance testing based on the law. Since the employer is often responsible for legal violations its employees committed in the course of their job, the employer's interest in retaining control over every aspect of the work environment increases. On the other hand, employees may argue that their drug usage is only relevant if it impacts their job performance. Until it does, the employer should have no basis for testing. In a study examining the attitudes of college students to drug testing programs, researchers found that "virtually all aspects of drug testing programs are strongly accepted by some individuals and strongly rejected by others." Not surprisingly, the only variable that the researchers found indicative of a student's attitude was whether the student had ever used drugs in the past. Where a student had never used drugs, she or he was more likely to find drug testing programs acceptable. In general, the following factors contribute to greater acceptance and approval by workers: programs that use a task force made up of employees and their supervisors, a completely random program, effective communication of procedures, programs that offer treatment other than termination for first-time offenders, and programs with no distinction between supervisory and other workers. Where public safety is at risk, there is arguably a compelling public interest claim from a utilitarian perspective that may be sufficiently persuasive to outweigh any one individual's right to privacy or right to control information about oneself. However, what about jobs in which public safety is not at risk? Should a utilitarian viewpoint govern or should deontological principles take priority? Should we consider a distributive justice perspective and the fairest resultdoes distributive justice apply under these circumstances?

AACSB: 2, 3 BT: Comprehension Difficulty: Hard Learning Objective: 12

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65. (p. 276 277) Describe HIPAA. Discuss the use of genetic information as a form of monitoring.

Employers are limited in their collection of information through other various forms of testing, such as polygraphs or medical tests. Employers are constrained by a business necessity and relatedness standard or, in the case of polygraphs, by a requirement of reasonable suspicion. With regard to medical information specifically, employers' decisions are not only governed by the Americans with Disabilities Act but also restricted by the Health Insurance Portability and Accountability Act (HIPAA). HIPAA stipulates that employers cannot use "protected health information" in making employment decisions without prior consent. Protected health information includes all medical records or other individually identifiable health information. In recent years polygraph and drug testing, physical and electronic surveillance, third-party background checks, and psychological testing have all been used as means to gain information about employees. More recently, electronic monitoring and surveillance are increasingly being used in the workplace. One area that is sure to provide new questions about privacy is genetic testing. Genetic testing and screening, of both employees and consumers, is another new technology that will offer businesses a wealth of information about potential employees and customers. Though Executive Order 13145, signed by then-President Clinton, prohibits discrimination in employment based on genetic information, this order applies only to the federal workplaces. Similar restraint in the private sector is represented both by certain individual state restrictions on the use of genetic information and by voluntary corporate efforts. Because of the significant costs associated with sequencing a person's DNA, few companies currently use genetic information for these purposes, but the potential remains, nonetheless. Using genetic information is not unheard ofinsurance companies, for example, already inquire about diseases in family history. Since some diseases are more prevalent among certain groups, genetic discrimination is a risk that has not yet been resolved. On the other hand, with increased knowledge comes the possibility of preventing the onset or further development of a disease, or the opportunity of placing employees in a position more appropriate for their physical well-being, thus creating extraordinary value. The balance between the value in information, employees' right to privacy, and the risk of information sharing remains the unsettled issue.

AACSB: 3 BT: Comprehension Difficulty: Hard Learning Objective: 13

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66. (p. 277 283) Briefly discuss the regulation of workers activities off-work. On what rules do most statutes or common law decisions provide employer defenses? Briefly discuss the implications of the USA PATRIOT Act of 2001.

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Employers of at-will employees must comply with a variety of statutes in imposing requirements and managing employees. For instance, New York's lifestyle discrimination statute prohibits employment decisions or actions based on four categories of off-duty activity: legal recreational activities, consumption of legal products, political activities, and membership in a union. Across the nation, there are other less broad protections for off-work acts. Most statutes or common law decisions, however, provide for employer defenses for those rules that (a) are reasonably and rationally related to the employment activities of a particular employee, (b) constitute a "bona fide occupational requirement," meaning a rule that is reasonably related to that particular position, or (c) are necessary to avoid a conflict of interest or the appearance of conflict of interest. The federal government has implemented widespread modifications to its patchwork structure of privacy protections since the terror attacks of September 11, 2001. In particular, proposals for the expansion of surveillance and information-gathering authority were submitted and, many were enacted. The most public and publicized of these modifications was the adoption and implementation of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism (USA PATRIOT) Act of 2001. The USA PATRIOT Act expanded states' rights with regard to Internet surveillance technology, including workplace surveillance, and amended the Electronic Communications Privacy Act. The act also grants access to sensitive data with only a court order rather than a judicial warrant and imposes or enhances civil and criminal penalties for knowingly or intentionally aiding terrorists. In addition, the new disclosure regime increased the sharing of personal information between government agencies in order to ensure the greatest level of protection. These provisions allow the government to monitor anyone on the Internet simply by contending that the information is relevant" to an ongoing criminal investigation. In addition, the act includes provisions designed to combat money laundering activity or the funding of terrorist or criminal activity through corporate activity or otherwise. All financial institutions must now report suspicious activities in financial transactions and keep records of foreign national employees, while also complying with antidiscrimination laws. While the Patriot Act has implications for all citizens, it also has direct implications for business since it relies on employers for information gathering, among other requests. Employers have three choices in terms of their response to a governmental request for information. They may opt to voluntarily cooperate with law enforcement by providing confidential employee or customer information upon request and as part of an ongoing investigation. They may instead choose to cooperate by asking for permission to seek employee authorization to release the requested information. Or, finally, they may request to receive a subpoena, search warrant, or FISA order from the federal agency before disclosing an employee's confidential information.

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AACSB: 2, 3 BT: Comprehension Difficulty: Hard Learning Objective: 14

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67. (p. 257) Why is privacy important?

Certain decisions that we make about how we live our lives, as well as the control of personal information, play a crucial role in defining our own personal identity. Privacy is important because it serves to establish the boundary between individuals and thereby serves to define one's individuality. The right to control certain extremely personal decisions and information helps determine the kind of person we are and the person we become.

AACSB: 2 BT: Knowledge Difficulty: Easy Learning Objective: 1

68. (p. 257) Describe "reciprocal obligation" as an ethical source of the right to privacy.

The right to privacy is founded in the individual's fundamental, universal right to autonomy, in our right to make decisions about our personal existence without restriction. This right is restricted by a social contract in our culture that prevents us from infringing on someone else's right to her or his personal autonomy. Philosopher Patricia Werhane describes this boundary as a "reciprocal obligation"; that is, for an individual to expect respect for her or his personal autonomy, that individual has a reciprocal obligation to respect the autonomy of others.

AACSB: 2, 3 BT: Comprehension Difficulty: Hard Learning Objective: 2

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69. (p. 258) Explain the ethical source of privacy using the perspective of property rights.

"Property" is an individual's life and all non-procreative derivatives of her or his life. Derivatives may include thoughts and ideas, as well as personal information. The concept of property rights involves a determination of who maintains control over tangibles and intangibles, including, therefore, personal information. Property rights relating to personal information thus define actions that individuals can take in relation to other individuals regarding their personal information. If one individual has a right to her or his personal information, someone else has a commensurate duty to observe that right.

AACSB: 3 BT: Comprehension Difficulty: Hard Learning Objective: 2

70. (p. 259) Outline the three ways privacy can be legally protected. Expand upon the Constitution's Fourth Amendment protection.

Privacy can be legally protected in three ways: by the constitution (federal or state), by federal and/or state statutes, and by the common law. Common law refers to the body of law comprised of the decisions handed down by courts, rather than specified in any particular statutes or regulations. The Constitution's Fourth Amendment protection against an unreasonable search and seizure governs only the public sector workplace because the Constitution applies only to state action. Therefore, unless the employer is the government or other representative of the state, the Constitution generally will not apply.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 3

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71. (p. 260) Explain the implications of giving notice' about monitoring.

Most recent court decisions with regard to monitoring specifically seem to depend on whether the worker had notice that the monitoring might occur. Since the basis for finding an invasion of privacy is often the employee's legitimate and reasonable expectation of privacy, if an employee has actual notice, then there truly is no real expectation of privacy. Evidence of the impact of a court decision on the case of Smyth v. Pillsbury decision, is the fact that only one state, Connecticut, requires employers to notify workers when they are being monitored.

AACSB: 3 BT: Comprehension Difficulty: Easy Learning Objective: 4

72. (p. 263) Summarize when an employee's privacy rights are violated.

Employee privacy is violated whenever (a) employers infringe upon personal decisions that are not relevant to the employment contract (whether the contract is implied or explicit); or (b) personal information that is not relevant to that contract is collected, stored, or used without the informed consent of the employee. Further, since consent plays a pivotal role in this understanding, the burden of proof rests with the employer to establish the relevancy of personal decisions and information at issue.

AACSB: 2, 3 BT: Comprehension Difficulty: Easy Learning Objective: 2

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73. (p. 269) Briefly outline the benefits of technology as stated in the text.

Technology allows for access to information that was never before possible. Access can take place unintentionally, as well. Moreover, because technology allows us to work from almost anywhere on this planet, we are seldom out of the boundaries of our workplace. Continuous accessibility blurs the lines between our personal and professional lives. Another challenge posed by the new technology accessible in the workplace is the facelessness that results from its use. If we have to face someone as we make our decisions, we are more likely to care about the impact of that decision on that person. Conversely, when we don't get to know someone because we don't have to see that person in order to do our business, we often don't take into account the impact of our decisions on him or her.

AACSB: 2, 3 BT: Comprehension Difficulty: Easy Learning Objective: 10

74. (p. 272 273) Briefly outline the parameters to keep in mind when developing a monitoring program according to the mission of the organization.

The parameters include: no monitoring in private areas (e.g., restrooms); monitoring limited to within the workplace; employees should have access to information gathered through monitoring; no secret monitoringadvance notice required; monitoring should only result in attaining some business interest; employer may only collect job-related information; agreement regarding disclosure of information gained through monitoring; and prohibition of discrimination by employers based on off-work activities.

AACSB: 3 BT: Knowledge Difficulty: Easy Learning Objective: 11

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75. (p. 279) Discuss the facts as pertaining to laws against discrimination based on marital status.

Laws that protect against discrimination based on marital status exist in just under half of the states. However, though workers might be protected based on marital status, they are not necessarily protected against adverse action based on the identity of the person they married. For instance, some companies might have an antinepotism policy under which an employer refuses to hire or terminates a worker on the basis of the spouse's working at the same firm, or a conflict-of-interest policy under which the employer refuses to hire or terminates a worker whose spouse works at a competing firm.

AACSB: 2, 3 BT: Comprehension Difficulty: Easy Learning Objective: 14

76. (p. 283) Explain the implications of the USA PATRIOT Act on businesses.

The law has direct implications for business since it relies on employers for information gathering, among other requests. Employers have three choices in terms of their response to a governmental request for information. They may opt to voluntarily cooperate with law enforcement by providing confidential employee or customer information upon request and as part of an ongoing investigation. They may instead choose to cooperate by asking for permission to seek employee authorization to release the requested information. Or, finally, they may request to receive a subpoena, search warrant, or FISA order from the federal agency before disclosing an employee's confidential information.

AACSB: 3 BT: Comprehension Difficulty: Medium Learning Objective: 14

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