Uber and Lyft drivers are classified as independent contractors, rather than employees. Companies are not legally obligated to provide workers who are classified as independent contractors with the benefits owed to regular employees. Therefore, Uber and Lyft drivers are not legally entitled to sick leave. During the coronavirus pandemic, this may force drivers to make a choice between driving and not getting paid. Drivers can have a range of reasons that make them fearful to drive in the current situation. One driver is HIV-positive and has a weakened immune system, putting him at higher risk of severe symptoms or death if he contracts the virus. Another driver was recently notified that he has been in contact with someone who tested positive for coronavirus and fears he may pose a risk to his passengers. A third driver has started coughing, sneezing, and has a slight temperature, and is worried that she may have the virus and could infect passengers. However, since these drivers are independent contractors, rather than employees, they are not entitled to sick leave, should they decide not to drive.

Please address the following questions (in the order given):

1) Contrast Shareholder Theory and Stakeholder Theory: How does each theory claim that a corporation should be managed? What is the goal or objective of corporate management according to each theory? How does this relate to the idea of corporate social (or ethical) responsibility (CSR)?

2) What would Shareholder Theory recommend companies like Uber and Lyft do in this case? What would Stakeholder recommend these companies do?

3) Was the Business Roundtable right to issue the August 2019 statement in support of Stakeholder Theory (and to reject their previous endorsement of Shareholder Theory)? Why? Which theory offers the better approach for framing the responsibilities of business within society?

4) Which ethical theory (Utilitarianism or Deontology) justifies your view of the Business Roundtable statement? Explain how that ethical theory supports your position, and what the other ethical theory would recommend.

AUG 19, 2019 Updated Statement Moves Away from Shareholder Primacy, Includes Commitment to All Stakeholders WASHINGTON Business Roundtable today announced the release of a new Statement on the Purpose of a Corporation signed by 181 CEOs who commit to lead their companies for the communities and shareholders