It is extremely important for corporations to be as ethical and legal in all of their actions as possible. Uber's main selling point -- that nearby drivers are. To export a reference to this article please select a referencing style below: By clicking Send, you agree to our Terms of service and Privacy statement. The engineer complained to . Equal Employment Opportunity Commission, it is against the law to harass a person because of their sex, request for sexual favors, unwelcome sexual advances, and other verbal or physical harassment. 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Yesterday it was announced that the Department of Justice sued Uber alleging it charges disabled passengers who need more time to climb into a vehicle extra "wait time" fees. Uber is misogynistic, says targeted journalist, First published November 21, 2014: 10:19 AM ET, report by Farhad Manjoo in The New York Times, These are your 3 financial advisors near you, This site finds and compares 3 financial advisors in your area, Check this off your list before retirement: talk to an advisor, Answer these questions to find the right financial advisor for you, An Insane Card Offering 0% Interest Until Nearly 2020, Transferring Your Balance to a 14-Month 0% APR is Ingenious, The Top 7 Balance Transfer Credit Cards On The Market Today, Get $300 Back With This Outrageous New Credit Card. All content of the Dow Jones branded indices S&P Dow Jones Indices LLC 2019 and/or its affiliates. A Warner Bros. An Examination of Uber's Responsibility to Their Drivers. Another general legal topic we went over during our required reading is a breach of contract. This resulted in a breach of contract (Prysby, n.d.). The Edge DR Tech Sections Close Back. Former CEO Travis Kalanick set to profit as the main priority it seems. Our professional writers can rewrite it and get you a unique paper. The competitive effects of sharing economy: how is Uber changing taxis. paper. Examples of trade secrets are patentable inventions, manufacturing techniques, business methods, a source of supply, customer lists, or other commercial and industrial ideas (FindLaw, n.d.). As a result of over three years of ongoing research and analysis, this paper is a comprehensive assessment of a number of social issues facing the integration of practices both signified and enacted in an economy driven by apps such as Uber. By continuing, you agree to our Terms and Conditions. (2016, May). What defines a substantially equal job is job content, not the title. Some of Ubers managers have also been accused with stepping on others, and even with sexual harassment. To be successful, Uber must address these issues in its marketing strategy so it can reduce resistance as it expands into other cities. Lyft is positioning itself as the ethical alternative to Uber. Uber has suspended its services in Philippines after the national regulator banned it from operating for one month. Hask-Kelchner, H. (2006). Not a whole lot. From only 29.95 for 12 months web access and the print magazine. Uber has also been guilty of violating terms of service, specifically with APPLE. Students who find writing to be a difficult task. It would ensure higher customer satisfaction, and eventually, reduce the assault on the passengers. Disclaimer: The reference papers provided by totalassignment.com should be used as model papers only. Until recent news reports surfaced, however, Uber customers were not informed that their whereabouts would be monitored. Susan Fowler, also a former engineer, accused her direct supervisor of sexually harassing her. Uber was accused of price-gouging and "siege pricing". Now Amazon is able to use its position to generate the vast profits expected by those that funded its expansion. Uber's 2019-2020 Safety Report states that 99.9% of all Uber rides are completed without incident. Task: Uber leadership is accused of unscrupulous tactics in recruitment (BBC 2014). After all, how does a driver learn about your need in the first place? The investors were being influenced and misinformed to stay away from funding in the venture capital of Lyft company. (2018, October 16). In 1978, OReilly became a [], For many years, IPCC is generally known for its role of providing reports that serve as internationally accepted authority due to them having the agreement of leading climate scientists and the consensus of the concerned [], Costco Wholesale is the nations second largest retailer and owes its success to their strategy of being thrifty, economical, investing in their employees and separating themselves from their competitors with good moral ethical [], Costco's adopts a business model that is based on a best-cost strategy. Pol'y, 20, 1. Eventually, this additional cost will be felt. Wallsten, S. (2015). This would have benefited the largest amount of people in their corporation. The scenario has changed, the attitude hasn't. Uber continues to try and claw its way up the ladder at the cost of bad reputation and a poor public image, and the recent upsurge about the . But Amazon has benefited, throughout its growth, from a trump card: its use of a virtual shopfront makes its overheads significantly lower than bricks-and-mortar rivals. America Economic Review, 107(5), 176-82. Multitasking Drivers. The technique Uber used was called Greyball. Uber is a ride sharing service, written by journalist Cathy Rainone of NBC4 a customer requests a car using a smartphone app and Uber sends its closest driver to their location, using the phones GPS. Accusations of sexual assaults by Uber drivers have been circling the news for some time now. This is a mistake. Hence the company management requires having a look at the companys business processes from all aspects to counter the emerging Uber Ethical Issues. Some 85% of taxi company costs are drivers, cars and fuel, and this applies whether you cover one city or a dozen. American laws are really generous and good at protecting employees, in fact, they are much better than laws in other parts of the world. Here's the strange thing about where I live: When I walk. But even before that, this wildly popular car-sharing service had raised several disturbing ethical issues: 1. In reaching this point, Amazon has itself received plenty of criticism, particularly around its tax arrangements and working conditions in its Orwellian fulfilment centres (warehouse to you and me). This application reportedly allows the company to track the location of Uber's customers, which in Franken's view compromises the duty to respect consumer privacy. Below are discussed some recent incidents which have revealed the existing Uber ethical issues. Uber vs. taxi: A drivers eye view (No. Journal of Management & Organization, 22(6), 859-874. Uber executives stated that they are working on bringing in more women and more people of color into tech (Lussier and Hendon, 2019). Uber's disadvantages include its surge pricing and the negative effects of replacing steady jobs with gig work . There were instances, like the one in South Korea and France, where Uber violated transportation laws. Recently, when a group I was with used Uber to summon a ride, I was impressed by how quickly a car appeared, and how easy the service is to use, since no money exchanges hands. But CEO Kalanick's response suggested lax leadership. Uber's tracking device is merely a way to advance its business interests. Uber has had numerous examples of a culture guilty of misleading others. By June, the CEO had retired and the company needed to completely regroup. 2018 Nov 15 [cited 2023 Mar 1]. It could be inferred from this decision that to address the existing Uber ethical issue, the management and leadership needs to change its tone and approach primarily. Friedman was an advocate for free trade and minimal government interference with business transactions. Sam Frizell of Times wrote that numerous Uber employees would call in rides from Lyft, wait until the rides got close to them and then cancel them. Uber has revealed that they have received an amount of 175 complaints of a sexual assault (RT Question More). Ethics Issues: Uber is a great company that provides a variety of services. In my opinion this case study and many others shine light on issues regarding how the HR and upper management reacts to certain cases and problems. These reference papers are strictly intended for research and reference purposes only. The following are few of the ethical issues which are highlighted: Ethical issues Passenger Safety: According to New York Times, many UBER drivers have been convicted with sexual harassment and sexually assaulting of the passengers. It has also courted controversy in most. All Rights Reserved. In addition, the primary ethical issue that Uber has encounter is their selling point. Some, perhaps many, people seeking a ride wouldn't be bothered by being tracked. Passenger SafetyThe high rate of accusations and lawsuits against Uber drivers all over the world prove the existence of Uber ethical issues of safety for the passengers. Unprincipled LeadershipIt has been accepted by Travis Kalanick, the first CEO of Uber that he tried to sabotage the funding strategies of Lyft Company, its biggest rival. Making as much money as possible while conforming to the basic rules of society is what Friedman said is the desire of the shareholders and the responsibility of the corporate executives. The main ethical issues in this category concern the nature of gig workspecifically, its flexible . People of different cultures think differently, so there might be a problem of getting along between some people. In addition, we discussed Milton Friedmans philosophy and how it potentially influences executives at Uber. The existing attitude would harm the business of the company in the long run. Factset: FactSet Research Systems Inc.2019. Retrieved from Harvard JLOT: https://jolt.law.harvard.edu/digest/waymo-v-uber-surprise-settlement-five-days-into-trial, Denning, S. (2013, June 26). Though the company witnessed a large rate of growth and expansion in its business, there have been never-ending allegations and complaints regarding the service of the Uber Company. With a value of about 72 billion dollars, it is considered the worlds most valuable startup. . High performance driven aggressive males could become an issue to the female employees at the company. Practical Ethics in Public Administration. Recently, Uber has been under fire for a bad corporate culture, which promoted, among other things, sexism and other forms of toxic behavior. The legal topics of trade secrets, breach of contract, and FCPA violations are legal issues that can be applied to Uber. Are you interested in getting a customized paper? Uber is the taxi app that has taken big cities by storm. & Pub. As Andrew Keen suggested Thursday on CNN.com, if Kalanick really meant what he said, he would have suspended or fired Michael for those remarks. If Uber can achieve market dominance before it runs out of funding, the inefficiencies in its model cease to matter. Cramer, J., & Krueger, A. There is a great tendency among commentators to focus on the capabilities of Ubers app, when making sense of its explosive growth across the world. Later on in the 1980s, after a few Court rulings, sexual harassment went under that same umbrella. If it fails to achieve near monopoly status and has to continue to compete against local firms, in my view it has little hope of ever repaying its investors. How CISOs handle the ethical issues around data breaches can make or break their careers. The fare is charged directly to your credit card. The famous modern taxi cab company has been in unethical scandals ranging from sabotaging other ride sharing companies to their drivers sexually assaulting their customers. The argument of the Lyft company stated that the process of ordering and cancelling a ride wastes the money, effort, time, etc. Get your custom essay from professional writers. The website Whos Driving Who explains ubers process for onboarding drivers is dangerously negligent.and Uber doesnt even bother to meet with drivers in person before allowing them to ferry passengers. This is the part that outrages me. As of this writing, Kalanick has not publicly responded to the letter. For customers that travel to different cities frequently, Ubers scale gives them a clear edge. Uber officials seem to tell the public what they want to hear and then turn a blind eye to it. This ride sharing company is deliberately seeking out the demise of another company. Disclaimer. But for this company specifically, the additional cost that is required to look after drivers and customers is likely to be too great. As mentioned in the previous discussion, the management of the company had employed various independent contractors and brand ambassadors who could entice the drivers to Uber Company. Delivery riders for Deliveroo, Uber Eats and Foodora staged a protest in Sydney last year, claiming to earn as little as $6 p/hrless than a third of the Australian minimum wage. Available from: https://gradesfixer.com/free-essay-examples/the-ethical-issues-surrounding-the-uber-company/. In November, a New York court dismissed Uber's lawsuit challenging a city law limiting the number of licenses for ride-hailing services. This essay was donated by a student and is likely to have been used and submitted before, Free samples may contain mistakes and not unique parts. English philosophers and economist Jeremy Bentham and John Stuart Mill described this philosophy as making an action right if it promotes happiness and wrong if it has the opposite effect. Uber has not addressed this issue, as far as I can determine, but perhaps that's not surprising. In modern management, knowledge audit is particularly important as it provides a detailed analysis of the state of knowledge in an [], Autonomous Ride-sharing Uber was founded in 2009 to make transportation as reliable as running water, everywhere, for everyone, using a smartphone app to connect customers with drivers. Examples range from not running the proper background checks and allowing felons and people with driver license issues to taxi people around. Retrieved from Forbes: https://www.forbes.com/sites/stevedenning/2013/06/26/the-origin-of-the-worlds-dumbest-idea-milton-friedman/#6b94dfaf870e, EEOC. National Bureau of Economic Research. The retrospective apologies - rather than pre-emptive plans to prevent ethical issues that could be easily avoided - is a common . This Article is brought to you for free and open access by the Faculty Publications at Loyola eCommons. The Department of Human Resources told Fowler that her direct supervisor was a high performer and they wouldnt feel comfortable punishing him for what was probably an innocent mistake (Isaac, 2017). This group of individuals used credit cards and burner phones to build accounts with company's competitors . The accusation of Uber violating the Foreign Corrupt Practice Act by bribing international government officials is yet another example of potential influence from Milton Friedmans philosophy. NYUJ Legis. It all comes down to the economic model on which Uber is built. Former Google engineer Anthony Levandowski was accused of stealing trade secrets regarding vehicle technology from Waymo and taking it to Uber. All rights reserved. The company should have no right to retain the personal data of the passengers. Below, we will . . reserved. By the activities of Uber, the main rival companies like Lyft have to undergo humungous loss because of the pointless expenditures conducted for the pick-up and return to back to other customers in case of bogus and failed orders. Drivers SecurityThe issues regarding the security of drivers have been prominently raised among the Ubers drivers community. Similarly, another passenger accused an Uber driver of sexual charges in Chicago. Uber, unfortunately, is also guilty of breaching a contract. Uber's relation with drivers deteriorated following a decision to alter the company's revenue-sharing formulawith Uber taking as much as 30 percent of gross fare revenue (depending on driver volume), up from 20 percent previously. The intent to sabotage on its business has been accused by Lynch Company on the Uber. 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