Unit 1 Discussion

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DISCUSSION OVERVIEW

Consider again the Harris v. Forklift case at the end of Chapter 1 Introduction to Law and Legal Systems (Links to an external site.). Ms. Harris claimed that Mr. Hardy, owner of Forklift Systems, had created a hostile working environment for her.

Assume that the year is 1963, prior to the passage of the Civil Rights Act of 1964 and the Title VII provisions regarding equal employment opportunity that prohibit discrimination based on sex. So, Mr. Hardys actions are not illegal, fraudulent, or deceitful. Assume also that he heads a large public company and that there is a large amount of turnover and unhappiness among the women who work for the company. No one can sue him for being sexist or lecherous, but are his actions consistent with maximizing shareholder returns? Should the board be concerned?

Notice that this question is really a stand-in for any situation faced by a company today regarding its CEO, where the actions are not illegal but are ethically questionable. What would conscious capitalism tell a CEO or a board to do where some group of its employees are regularly harassed or disadvantaged by top management?

General Discussion Instructions

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