This chapter contains sections titled: Why Asset Ownership? The Content of Work: Meaningful Work The Governance of Work: Protection against Arbitrary Interference The Status of Work: Workers as Property Owners Conclusion References.

Drawing upon John Rawls’s framework in The Law of Peoples, this paper argues that MNEs have a responsibility to promote well-ordered social and political institutions in host countries that lack them. This responsibility is grounded in a negative duty not to cause harm. In addition to addressing the objection that promoting well-ordered institutions represents unjustified interference by MNEs, the paper provides guidance for managers of MNEs operating in host countries that lack just institutions. The paper argues for understanding corporate responsibility (...) in relation to the specific institutional environment in which MNEs operate. (shrink)

ABSTRACT:In this address, I outline a “back to basics” approach to specifying the responsibilities and role of business in relation to society. Three “basics” comprise the approach. The first is arguing that basic principles of ordinary morality, such as a duty not to harm, provide an adequate basis for specifying the responsibilities of business managers. The second is framing the role of business in society by looking to the values realized by the basic building blocks of contemporary economic activity, i.e., (...) markets and firms. The third is making explicit the basic institutions that structure the background against which business operates. The aim is to develop a plausible framework for managerial decision making that respects the fact of value pluralism in a global economy and that fosters meaningful criticism of current business practices while remaining sufficiently grounded in contemporary circumstances so as to be relevant for managers. (shrink)

Building on John Rawls’s account of the Law of Peoples, this paper examines the grounds and scope of the obligations of transnational corporations (TNCs) that are owned by members of developed economies and operate in developing economies. The paper advances two broad claims. First, the paper argues that there are conditions under which TNCs have obligations to fulfill a limited duty of assistance toward those living in developing economies, even though the duty is normally understood to fall on the governments (...) of developed economies. Second, by extending Rawls’s account to include a right to protection against arbitrary interference, the paper argues that TNCs can be said to have negative and positive obligations in the areas of human rights, labor standards, and environmental protection, as outlined in the U.N. Global Compact. More generally, the paper aims to further our understanding of the implications of Rawls’s account of justice. (shrink)

Building on John Rawls’s account of the Law of Peoples, this paper examines the grounds and scope of the obligations of transnational corporations (TNCs) that are owned by members of developed economies and operate in developing economies. The paper advances two broad claims. First, the paper argues that there are conditions under which TNCs have obligations to fulfill a limited duty of assistance toward those living in developing economies, even though the duty is normally understood to fall on the governments (...) of developed economies. Second, by extending Rawls’s account to include a right to protection against arbitrary interference, the paper argues that TNCs can be said to have negative and positive obligations in the areas of human rights, labor standards, and environmental protection, as outlined in the U.N. Global Compact. More generally, the paper aims to further our understanding of the implications of Rawls’s account of justice. (shrink)

:Building on John Rawls’s account of the Law of Peoples, this paper examines the grounds and scope of the obligations of transnational corporations that are owned by members of developed economies and operate in developing economies. The paper advances two broad claims. First, the paper argues that there are conditions under which TNCs have obligations to fulfill a limited duty of assistance toward those living in developing economies, even though the duty is normally understood to fall on the governments of (...) developed economies. Second, by extending Rawls’s account to include a right to protection against arbitrary interference, the paper argues that TNCs can be said to have negative and positive obligations in the areas of human rights, labor standards, and environmental protection, as outlined in the U.N. Global Compact. More generally, the paper aims to further our understanding of the implications of Rawls’s account of justice. (shrink)

The incomparability of two items is thought to pose a problem for making justified choices and for consequentialist theories that rely on comparing states of the world to judge the goodness of a particular course of action. In response, it has been argued that items thought incomparable by one of the three standard relations, ‘better than’, ‘worse than’ and ‘equally good’, are instead comparable by some fourth relation, such as ‘roughly equal’ or ‘on a par’. Against such accounts, this article (...) argues that values in virtue of which comparisons are made can be ‘clumpy’ and that in comparisons involving clumpy values, we have no reason to accept ‘roughly equal’ or ‘on a par’ as distinct from ‘equally good’. The article supports the possibility of incomparability by arguing for an interpretation of incomparability as an instance of incommensurability. (shrink)

The incomparability of alternatives is thought to pose a problem for justified choice, particularly for proponents of comparativism better than,worse than,equally good,roughly equalon a par. namely, rejection of the transitivity of the relation In this paper, I argue that proponents of comparativism need not incur this cost. I defend the possibility of justified choice between incomparable alternatives on grounds that comparativists can accept. The possibility of incomparability has been met with resistance, in part because of the intuitive appeal of comparativism. (...) By defending the possibility of justified choice between incomparable alternatives on grounds that comparativists can accept, this paper supports further inquiry into the subject of incomparability. (shrink)

The incomparability of alternatives is thought to pose a problem for justified choice, particularly for proponents ofcomparativism– the view that comparative facts about alternatives determine what one rationally ought to choose. As a solution, it has been argued that alternatives judged incomparable by one of the three standard comparative relations, “better than,” “worse than,” and “equally good,” are comparable by some fourth relation, such as “roughly equal” or “on a par.” This solution, however, comes at what many would regard as (...) too high a cost – namely, rejection of the transitivity of the relation “at least as good as.” In this paper, I argue that proponents of comparativism need not incur this cost. I defend the possibility of justified choice between incomparable alternatives on grounds that comparativists can accept. The possibility of incomparability has been met with resistance, in part because of the intuitive appeal of comparativism. By defending the possibility of justified choice between incomparable alternatives on grounds that comparativists can accept, this paper supports further inquiry into the subject of incomparability. (shrink)

ABSTRACT:Of the many developments in business ethics that Thomas Donaldson has helped pioneer, one is the application of social contract theory to address questions about the responsibilities of business actors. InCorporations and Morality, Donaldson develops one of the most sustained and comprehensive accounts that aims to justify the existence of for-profit corporations and to specify and ground their responsibilities. In order to further our understanding about the purpose and responsibilities of productive organizations, and as a contribution to the scholarship on (...) Donaldson’s thought, this paper gathers together the critical responses to Donaldson’s account along with Donaldson’s replies to his critics. The paper argues that we would do well to continue engaging with Donaldson’s account because of its distinctive and challenging conception of the purpose and responsibilities of productive organizations, but that many of the insights to be gained come from reframing the role played by social contract theory. (shrink)

ABSTRACTBusiness actors often act in ways that may harm other parties. While the law aims to restrict harmful behavior and to provide remedies, legal systems do not anticipate all contingencies and legal regulations are not always well-enforced. This article argues that the logic of double effect, which has been developed and deployed in other areas of practical ethics, can be useful in helping business actors decide whether or not to pursue potentially harmful activities in commonplace business activity. The article illustrates (...) how LDE helps to explain the exploitative nature of payday lending, the distinction between permissible and impermissible forms of market competition, and the potential wrong of imposing risk of harm on others. The article also addresses foundational debates about LDE itself. We offer the article as an illustration of the sort of “midlevel” theorizing that can address directly the needs of practitioners. (shrink)

This paper examines the extent to which the voluntary adoption of codes of conduct by multinational corporations (MNCs) renders MNCs accountable for the performance of actions specified in a code of conduct. In particular, the paper examines the ways in which codes of conduct coordinate the expectations of relevant parties with regard to the provision of assistance by MNCs on grounds of rescue or justice. The paper argues that this coordinative role of codes of conduct renders MNCs more accountable for (...) the performance of actions specified in a code of conduct than they would be without a code of conduct. This interpretation of the significance of codes of conduct is contrasted with the view that codes of conduct render MNCs accountable for performing actions specified in a code of conduct by grounding contractual obligations for the performance of such actions. (shrink)

This paper examines the extent to which the voluntary adoption of codes of conduct by multinational corporations rendersMNCs accountable for the performance of actions specified in a code of conduct. In particular, the paper examines the ways in which codes of conduct coordinate the expectations of relevant parties with regard to the provision of assistance by MNCs on grounds of rescue or justice. The paper argues that this coordinative role of codes of conduct renders MNCs more accountable for the performance (...) of actions specified in a code of conduct than they would be without a code of conduct. This interpretation of the significance of codes of conduct is contrasted with the view that codes of conduct render MNCs accountable for performing actions specified in a code of conduct by grounding contractual obligations for the performance of such actions. (shrink)

According to one prominent view of rationality, for the choice of alternative to be justified, it must be at least as good as other alternatives. Michael Jensen has recently invoked this view to argue that managers should act exclusively to maximize the long-run market value of economic enterprises. According to Jensen, alternative accounts of managerial responsibility, such as stakeholder theory, are to be rejected because they lack a single measure to compare alternatives as better or worse. Against Jensen’s account, this (...) paper argues that choosing the alternative that is at least as good as other alternatives need not preclude managers from respecting considerations in addition to long-run market value. The paper argues that such considerations may be incorporated into managerial decision-making by introducing constraints and priorities into the process of maximizing long-run market value and by allowing for “clumpy” values. (shrink)

In a series of articles, Thomas Dunfee defended the view that managers are permitted and at times, required, to utilize corporate resources to alleviate human misery even if this is at the expense of shareholder interests. In this article, I summarize Dunfee's defense of this view, raise some questions about his account and propose ways in which to answer these questions. The aim of this article is to highlight one of Dunfee's contributions to the debate about corporate governance and corporate (...) responsibility. (shrink)

This paper examines the extent to which the voluntary adoption of codes of conduct by multinational corporations (MNCs) renders MNCs accountable for the performance of actions specified in a code of conduct. In particular, the paper examines the ways in which codes of conduct coordinate the expectations of relevant parties with regard to the provision of assistance by MNCs on grounds of rescue or justice. The paper argues that this coordinative role of codes of conduct renders MNCs more accountable for (...) the performance of actions specified in a code of conduct than they would be without a code of conduct. This interpretation of the significance of codes of conduct is contrasted with the view that codes of conduct render MNCs accountable for performing actions specified in a code of conduct by grounding contractual obligations for the performance of such actions. (shrink)

In this paper, I examine the case made by Christopher McMahon for managerial democracy. Specifically, I examine the extent to which McMahon’s account is able to address a series of objections against the case for managerial democracy as articulated by Thomas Christiano. Christiano articulates two sets of objections. First, Christiano argues that McMahon does not succeed in ruling out the possibility that managerial authority is best understood as promissory in its basis, in which case there is no presumption in favor (...) of its democratic exercise. Second, Christiano raises a series of objections to the effect that even if we accept McMahon’s account of the nature of managerial authority, the conclusion for the democratic exercise of that authority by workers at the level of individual economic enterprises does not follow. In the end, I argue that McMahon’s account contains the resources to address these objections if one adopts a specific view about the moral limits to relationships that involve the submission of the will on the part of one person to another. Adoption of this view, however, appears to come at the expense of what I take to be the account’s commitment to liberalism. As such, what I understand this paper to reflect more generally is the apparent difficulty for liberals in arguing that there is something inherently morally troubling about capitalist work relations. (shrink)

In this article, we defend pairwise comparison as a method to resolve conflicting claims from different people that cannot be jointly satisfied because of a scarcity of resources. We consider Michael Otsuka's recent challenge that pairwise comparison leads to intransitive choices for the (someone who believes the numbers should not count in forced choices among lives) and Frances Kamm's responses to Otsuka's challenge. We argue that Kamm's responses do not succeed, but that the threat they are designed to meet is (...) illusory. Once the method of pairwise comparison is understood in a manner consistent with its proposed use, the challenge disappears. In making this argument, we examine questions about the interpretation of pairwise comparison and maintain that it must be understood as a method for ensuring that decisions are justifiable from the perspective of each affected individual. (shrink)

This dissertation concerns justifications for how economic activity is organized. The dissertation considers the role of economic theory in the process of justification and assesses justifications for specific capitalist institutions. The three essays that comprise this dissertation pursue this inquiry by addressing questions respectively in the history of thought, distributive justice, and the ethics of work. ;To advance our general understanding about the development of nineteenth-century Irish political economy in the wake of the Great Irish Famine , the first essay (...) analyzes the Famine's impact on a previously unstudied, yet uniquely authoritative, element of the discipline: the questions given to candidates for the Whately Professorship of Political Economy at Trinity College, Dublin. The essay concludes, contrary to previous arguments, that the Famine did not fundamentally influence the discipline's development. Examining justifications for government responses to the Famine in light of this conclusion, the essay considers the role of economic theory in justifying how economic activity is organized. ;Challenging the position that people morally deserve their market earnings often relies on showing that there is little that people can be said to deserve or that market imperfections undermine desert claims. The second essay argues that even if people can generally be deserving and absent market imperfections, people cannot claim to deserve their earnings with respect to four common desert bases: social contribution, effort, compensation and promise of payment. A principle of fairness that requires fulfilling legitimate expectations might ground a moral claim to market earnings, but it is much weaker than moral desert in limiting income redistribution or in justifying use of the market. ;Given the nineteenth-century American labor movement's objection to the employment relationship on grounds that it was a form of servitude, the third essay assesses the extent to which a similar objection applies in contemporary society. The essay argues that despite changes in employment practices, from the standpoint of legitimate authority the employment relationship represents a form of servitude. Given ethical objections to voluntary servitude more generally, this analysis suggests the need for alternatives to the employment relationship, such as worker-owned cooperatives, in a just economy. (shrink)

Next SectionIn this remark, I first show that a Lewis–Kratzer–von Fintel style semantics of conditionals and modals (Lewis 1973; Kratzer 1991a, b; von Fintel 1994; a.o.) together with the downward-entailing-based (DE-based) approach to the licensing of negative polarity items (NPIs) incorrectly predicts that NPIs are ungrammatical in the if-clause of a conditional with a possibility modal in the main clause (i.e., a conditional of the form if p, ◊q; henceforth, CPM; e.g., If John has ever been to Paris, he might (...) become a good chef). I then list three possible solutions to this problem to be explored in future work. (shrink)

A response to the discussants, Nien-hê Hsieh, Jeffrey Moriarty and J. (Hans) van Oosterhout, who took part in the March, 2005 symposium “The Political Theory of Organizations: A Retrospective Examination of Christopher McMahon’s Authority and Democracy: A General Theory of Government and Management” held in San Francisco as part of the Society for Business Ethics Group Meeting at the Pacific Division Meetings of the American Philosophical Association.

ABSTRACT:The articles in the special issue ofBusiness Ethics Quarterly, “Normative Business Ethics in a Global Economy: New Directions on Donaldsonian Themes,” were written by a set of outstanding scholars: Margaret M. Blair, Joseph P. Gaspar, Nien-hê Hsieh, Peter L. Jennings, Marietta Peytcheva, Andreas Georg Scherer, Amy J. Sepinwall, Andrew Stark, Danielle E. Warren, and Manuel Velasquez. In this commentary I reply to my colleagues, arranging my reply around the following themes: 1) the corporate moral agent; 2) the idea (...) of a social contract for business; 3) managing ethics within corporations; and 4) values in business. I discuss each in turn. However, I reflect first on my idiosyncratic approach to business ethics. (shrink)

Conventional economic theory assumes that people care only about ultimate outcomes and are indifferent to the decision and allocation processes by which outcomes are brought about. Building on Sen (1997), I relax this assumption, and investigate the formal and philosophical issues that arise. I extend the formal apparatus of preference theory to analyse how processes may enter preferences, and investigate whether traditional invariance requirements like the Weak Axiom of Revealed Preference are still satisfied in this new setting. I show that (...) it is, provided certain conditions of separability hold, and I discuss the plausibility of these conditions. Further, I argue that processes are often valued in a mode that diverges from the conventional modes of instrumental and intrinsic/independent valuation. I introduce the notion of dependent non-instrumental valuation, and show how processes could depend on their instrumental function for their value – making their value dependent – and yet derive their value from something else – making it non-instrumental. Dependent non-instrumental value, I argue, can be explained by symbolic and evidential relations between processes and outcomes. (Published Online July 31 2007) Footnotes1 This article is based on the third chapter of my Ph.D. dissertation (Sandbu 2003). I would like to thank Richard Tuck for many discussions over several years, which helped me develop and elaborate the ideas presented here. I am also very grateful to Amartya Sen, Nien-hê Hsieh, Luc Bovens, and Xaq Pitkow for their close readings of various versions of the paper and their incisive comments, questions, and suggestions. Further thanks go to Christopher Avery, Matthias Benz, Jerry Green, Waheed Hussain, David Laibson, Robert Sugden, Alan Strudler, Justin Wolfers, and seminar participants at Harvard University and the Wharton School of Business. Akshay Jashnani provided helpful research assistance. Most of the ideas in the present article were developed while I was the recipient of a doctoral grant from the Research Council of Norway, which I gratefully acknowledge. (shrink)

For years business ethics has limited the moral duties of enterprises to negative duties. Over the last decade it has been argued that positive duties also befall commercial agents, at least when confronted with large scale public problems and when governments fail. The argument that enterprises have positive duties is often grounded in the political nature of commercial life. It is argued that agents must sometimes take over governmental responsibilities. The German republican tradition argues along these lines as does (...) class='Hi'>Nien-Hé Hsieh. Agents in commercial life are bound by positive duties because at some point they become citizens that must take on the responsibilities of the state. In this paper we leave undisputed the claim that corporations must acknowledge positive duties. However, we demonstrate that the political grounding fails, at least in the sense that this theory insufficiently acknowledges a long standing liberal tradition that vindicates apolitical markets and clear borderlines between politics and economics. We carve out an alternative route to the grounding of one specific positive duty—the duty to further justice. Our argument is based on the moral nature of commercial agents and tries to demonstrate that the duty to further justice ensues from liberalism. Taking a Kantian perspective, it conceptualizes the duty to further justice as a moral duty, orientated toward the political domain. It is grounded in the obligation to attain moral autonomy in the civil condition. (shrink)

It is widely held that the possibility of value-incomparability between alternatives poses a serious threat to comparativism. Some comparativists have proposed to avoid this problem by supplementing the three traditional value relations with a fourth value relation, variously identified as "roughly equal" or "on a par", which is supposed to hold between alternatives that are incomparable by the three traditional value relations. However, in a recent article in this journal, Nien-he Hsieh has proposed that the comparisons thought to (...) require rough equality or parity could instead be understood in terms of the concept of "clumpiness". Against this suggestion, Martin Peterson has argued that the concept of clumpiness allows agents to be exploited in money-pumps, and thus that there is no way of linking clumpiness to rational choice. This would remove the central appeal of the concept. In this note, I show that Peterson’s argument fails to establish that the concept of clumpiness allows agents to be exploited in money-pumps. (shrink)

In “The Responsibilities and Role of Business in Relation to Society,” Nien-hê Hsieh challenges Joseph Heath’s “market failure” or Paretian approach to business ethics by arguing for a “Back to Basics” approach. Here, I argue that two basics of Hsieh’s three-basics vision are flawed, because a. ordinary morality is in fact not sufficient for the adversarial realm of the market, and b. the ideal of a Pareto-optimal market economy with perfect competition does in fact provide an adequate (...) basis for normative rules against market failures. (shrink)

The speculative power of theoretical reason is not only incapable of grounding itself, but is also powerless to integrate and unify all of the different aspects of our intellectual and spiritual life. This impotency of what Schelling called negative philosophy gives rise to the demand for a positive philosophy that supplies the integrative grounding in which das Unvordenkliche—that before which nothing can be thought—is rooted. I contrast what Schelling calls an “inverted concept” with Huineng’s account of wu-nien (no-thought) found (...) in the Platform Sutra (Tun-Huang Manuscript). Both Schelling and Huineng advance their respective ideas as not only the necessary basis of their thinking, but as a necessary experience one must undergo in order to realize and thus truly comprehend their teaching. Huineng connects this lived knowing with sudden enlightenment, while Schelling speaks of the exuberant fullness of ecstasy. I close with a brief account of Schelling’s appeal for pluralistic tolerance among different philosophical and religious traditions, in which he argues that such traditions are in error to the degree they lay claim to exclusive and infallible truth. (shrink)