Management of the companies is responsible towards the legal aspect of the situation. So many employees might lose their jobs. The company is violating their legal rights by moving its operations to a different country and not providing any warning. An organization which is socially responsible should at all cost avoid any such legal battles. It is very important for the organization to be clinically labeled as a corporate socially responsible entity.
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The region will face economic crisis. Ethically this is the wrong way to make this maneuver. Moving to a different geographical region altogether may leave them economically vulnerable. It might be the case that the majority of the region might be economically dependent on the operations of The Clean Power Company. In the business sense, the company might be right moving to different region but the company should also consider the means to survive in this location as well. Management is compromising ethical issues but is winning on business ethics.
Some of the ethical concerns that are arising due to this relocation are stated below:
- As the company will be relocating to the different country, what will happen to the current employees?
- Severance issues
- Livelihood Issues
- Economic issues
- Setting up a new plant in a new country and using the nearby land to dispose of sewage waste.
- How’s the legal system in that country?
- The company should be looking into constructing a proper sewage disposal mechanism. If they are, how will it harm or damage the new environment?