16 students ordered this very topic and got original papers. In this paper, we frame Uber through the lens of Stakeholder Theory to highlight drivers' position in the workplace, which helps inform the design of a more ethical and effective platform. If you are such a student, you can use When Fowler first reported this to the Human Resource Department, they seemed to cover up for the supervisor and accused her of being abhorrent. In 2017, Uber had a mixed response to the scandals. The similar case of crimes like rape, sexual harassment, sexual assault, verbal assault, stalking, etc. Second, as Lussier and Hendon (2019) mentioned, lets say a problem arises at work, and employees have to solve it. Waymo claimed that before Levandowski left his job at Google, he downloaded 14,000 files that pertained to self-driving car technology. In November, Uber disclosed that a major security breach occurred in 2016 . The company has never made a profit, and in 2016 alone lost nearly US$3 billion. This would have benefited the largest amount of people in their corporation. Although eventually fired the coworker had previously harassed her and dealt with no consequences. Our local operations span across Australia, US, UK, South east Asia and the Middle East. This essay has been submitted by a student. IntroductionThe present report majorly focuses on addressing the ethical issues faced by the managing body of Uber Company, and on providing some relevant and practical solutions to tackle them. From only 29.95 for 12 months web access and the print magazine. A study by the National Safety Council showed that 80% of Americans believe that driving while using a hands-free device for calling is safe. This was not the only occurrence of sexual harassment, according to Ms. Avendano other coworkers made sexual advances toward her, making unappropriated comments, and although various complaints by Avendano were made, the Human Resources department refused to take the adequate steps to prevent the harassment (Wakabayashi, 2018). Masyarakat, Kebudayaan dan Politik, 30(4), 333-343. I can help you save hours on your homework. In his comprehensive critique of Uber, transport expert Hubert Horan made a key observation about the taxi business, which separates it from retail. However, in providing a vast service Uber has encounter many ethical issues. Once the problem gets widely publicized, of course every company will apologize and say that they will take steps to change, but will they really change? Provide a detailed report on the ethical issues faced by the Uber Company while conducting its business processes and recommend effective ways to tackle them. Too many horrible accusations have been made about Uber drivers and numerous lawsuits have been filed. Uber's 2019-2020 Safety Report states that 99.9% of all Uber rides are completed without incident. This led to a four-month investigation and pressure . Users can read menus, reviews and ratings, order, and pay for food from participating restaurants using an application on the iOS or Android platforms, or through a web browser ()Key features: Sexual harassment became a part of things that violate the CRA being a discrimination based on sex (Lussier, Hendon 2019). First, most of us recognize that the police force's policy is an attempt to protect the public from harm. Society will simply have to carry the cost of higher fares and lower driver wages. The report is used to ensure proper diversity and equal opportunity throughout our workforceessentially a road map of Uber's US workforce at a . Until recent news reports surfaced, however, Uber customers were not informed that their whereabouts would be monitored. Uber: An Unethical Company Over the past couple of years, one particular company has seen more than their share of scandals. What defines a substantially equal job is job content, not the title. That's a moral difference that matters. Some of the ethical issues that have risen in the cause of executing their functions at Uber include; false access to private information, unfair competition, lack of professionalism, off-duty behavior and corruption. 3/22/2021. 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. Lyft is positioning itself as the ethical alternative to Uber. For many, Uber is a sure thing. Multitasking Drivers. The first branch store opened in 1964 in Missouri. Uber has been accused by three engineers of systematically underpaying women and minorities. Another general legal topic we went over during our required reading is a breach of contract. The first distribution center opened in 1975. Uber's main selling point -- that nearby drivers are. Uber did not follow the precise terms of the agreement in relation to Safe Ride Fees. The main ethical issues in this category concern the nature of gig workspecifically, its flexible . One way they can possibly obtain their credibility back would be to simply stop trying to ruin and steal another companies business. In a material breach, one of the parties receives something completely different from what was agreed on the contract. Most dramatically, the costs of becoming established in new markets is vast. In this essay, we will discuss in depth the specific laws that have made Uber unethical and a subject to the legal system. Lussier, R. N., & Hendon, J. R. (2019). 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. 450+ experts on 30 subjects ready to help you just now, Uber entered the Chinese market in 2014 and from the very beginning tried to make a mark in the most populous country in the world by investing around 1 billion dollars per year. 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. While shops have used economies of scale to operate first nationally, then internationally, for over a century, taxi companies have remained highly localised. You can find a skilled professional who can write any paper for you. Uber has not addressed this issue, as far as I can determine, but perhaps that's not surprising. 1632-1643). Breach in PrivacyThe act of stalking and sustaining the track of the customers by using smartphone applications has been accused against the employees of Uber. Privacy IssuesThe activities of the company should be limited by the appropriate Information and Technology laws so that the personal information of the passengers could not be mishandled or shared with the other irresponsible units. The malicious intend towards competitive companies like ordering and cancelling the rides through bogus accounts should be terminated by the leadership of Uber Company. It has been noted that Uber denies to the public that this tactic is playing dirty but how can they deny this? Students who find it difficult to write detailed essays. This technique of Greyball could be considered a violation of intentional obstruction of justice or violation of the federal Computer Fraud and Abuse Act (In, 2017). Software, hardware, people and data those components will be analyzed further. Task: 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. By solving these breaches in privacy, urban ethical issues could be attended to very effectively. Retrieved March 1, 2023 , from https://studydriver.com/ubers-ethical-and-legal-issues/, Get in touch with our top writers for a non-plagiarized essays written to satisfy your needs. For everyone else, is an app slightly shinier than its competitors clones enough to outweigh the higher fares that should come with Ubers model? have further made an impact on the company's reputation. B. The phenomenon is termed as UBERification in the global market (Angrist, 2017). Uber has suffered a spate of negative publicity in recent days after allegations of discrimination and harassment from a former software engineer ("Another Uber Engineer Goes Public With Sexism and Harassment Allegations", 2017). Ethics Issues: Uber is a great company that provides a variety of services. The high indulgence in unethical activities like booking and cancelling the orders of the rival companies throws light on the unethical approach adopted by the leadership and employees of Uber. Uber was accused of price-gouging and "siege pricing". Taxi regulation in the age of Uber. All rights Use tab to navigate through the menu items. This, particularly the artificial subsidising of passenger fees/driver wages to drive growth, is the source of the US$3 billion net loss last year. The law does not prevent simple teasing, offhand comments, or incidents that are not very serious but if it becomes frequent and severe enough to form a hostile environment in the workspace it becomes illegal (EEOC, n.d.). They specifically violated the agreement made with drivers. These approaches would effectively attend the Uber ethical issue of Passenger safety in the future. 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. Over the past couple of years, one particular company has seen more than their share of scandals. 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). Wyman, K. M. (2017). Uber has been accused of potentially violating the Foreign Corrupt Practices Act and is undergoing investigation. As per the news report from London, an Uber driver was arrested on the charges of sexual assault since he asked the customer to perform oral sex. By the response Susan Fowler got from her HR Department, and news articles I have read in the past regarding the #MeToo movement, I believe HR is not the police here. Journal of Management & Organization, 22(6), 859-874. And it shouldnt be this way. Ethics made easy - comprehensive, simple to use, transparent and reliable ethical rankings. World news: Uber faces probe under U.S. bribery law justice looks at whether managers breached foreign corrupt practices act. The Edge DR Tech Sections Close Back. Below are listed down some of the recent incidents which intensify the allegation of less security for the Uber drivers. Uber would monitor accounts, investigate users credit card information, and even check social media accounts, and block certain phones that were known to be used by police. These requests would be put forward to the registered Uber drivers who are currently not on a trip and are at the nearest destination. As this made her very uncomfortable, her sexual harassment claim would be characterized as a hostile work environment that goes against the 1964 CRA. NYUJ Legis. Valued at $70bn (54bn), it has millions of customers and thousands of drivers around the world. But even before that, this wildly popular car-sharing service had raised several disturbing ethical issues: 1. Book Your Assignment at The Lowest Price Now! Digital collaborative consumption and social issues: The clash of taxi and Uber driver in Surabaya and Taipei. Multitasking Drivers. Retrieved from Employment Law Daily: http://www.employmentlawdaily.com/index.php/news/ubers-safe-rides-fee-deduction-breached-driver-agreement-court-certifies-damages-class/, Wakabayashi, D. (2018, May 21). Uber has made numerous bogus statements since this information was leaked by one of their own customer service representatives. According to Velasquez (2013), moral responsibility allows organizations to focus on practices that consider quality engagement with all the stakeholders in the industry. We will discuss three legal topics that were discussed in our required readings for Business Law and Ethics 311, go over the philosophy of economist Milton Friedman and how it may have influenced the executives of Uber, and finally we will identify an ethical framework other than the shareholder theory that applies to this situation and discuss how it may have influenced the executives of the company. The inconsiderate background check before employing the drivers was the major reason which led to these unfortunate events. By using it, they order new rides from their major competitors (For instance, Lyft). Uber's tracking device is merely a way to advance its business interests. Last Friday, Uber Vice President Emir Michael reportedly suggested a way of stifling the company's critics that would violate the most basic standards of business ethics. Delving into how Uber handled its breach provides an important lesson in bug bounty ethics, particularly what not to do. I want to suggest that this may not be possible. It has also courted controversy in most. 4. Isaac, M. (2017, February 19). Disclaimer. After the calamitous year Uber has had, it should not be difficult for the company to improve its reputation simply by avoiding many of the unnecessary embarrassments heaped upon itself in 2017. Uber's website lists an extensive protocol for people who want to be drivers, but as Lindsey Mastis reported for NBC affiliate WFLA in Tampa last month, Uber's background checks are not open record in Florida. Students who find writing to be a difficult task. Ingrid Avendano was a former engineer at Uber. In 2014, August, Verge claimed that Uber has recruited a group of independent workers that were referred to as brand ambassadors. To repeat the basic point of my original piece, there are legitimate regulatory issues created by Uber. Remember: This is just a sample from a fellow student. Retrieved from CBS News: https://www.cbsnews.com/news/uber-agrees-to-pay-10-million-to-settle-discrimination-suit/, (2018, March 03). Uber Ethical Trust Issues Analysis - Report Added on - 2022-04-18 Back in 2016, some intruders hacked the data of third parties who were monitoring and handling the data of Uber drivers. To be successful, Uber must address these issues in its marketing strategy so it can reduce resistance as it expands into other cities. 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. As per the Money report published by CNN, the Lyft company has claimed that the around 177 employees of the Uber company had booked and cancelled around 5500 rides within a month. Though there may raise the counter-argument that we are under constant surveillance by government bodies like the police, the moral difference in it being conducted by a private company should be understood. This resulted in a breach of contract (Prysby, n.d.). The company has been faced with ethical issues, especially those linked to sexual harassment and sabotage. Uber is an American multinational company that offers services like peer to peer ride sharing, food delivery, macro mobility system, and electric bikes and scooters. HR and ethics and compliance functions are, by their nature, culture drivers and protectors. You can get your custom paper by one of our expert writers. 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). Unethically Poaching down the drivers of the competitor company. Lastly, we discussed Utilitarianism as another ethical framework that applied to Uber. Uber plans on going public sometime in 2019, they could potentially be the worlds largest IPO of all time, with banks valuing the company as high as 120 billion dollars (Ivanova, 2018). Should Uber ultimately fail, it would open up the possibility of a taxi company fit for the 21st century. Uber Eats. We do this by: Fostering and enabling a culture of ethical decision-making Guiding the Uber workforce to comply with all applicable laws, policies, and regulations Ubers fundamental problem is that it does not have this advantage. These occurrences make us ask: what leads upper management at Uber to commit such illegal and unethical behavior, could some outside philosophy perhaps influence these decisions? The Uber Company has appointed some of the independent contractors who use dummy accounts in their burner phones. Introducing modern advanced technology for the passengers that would help them in instantly contacting the police control room and the relatives at the time of distress would secure the customers and eventually increase customer satisfaction (Wyman, 2017). But such convenience isn't enough to negate the above concerns. Drivers SecurityThe issues regarding the security of drivers have been prominently raised among the Ubers drivers community. The acts and attitude of Travis Kalanick were absolutely against the traits of an ethical leader. Loading. Some 85% of taxi company costs are drivers, cars and fuel, and this applies whether you cover one city or a dozen. Senator Al Franken (D-Minn.), sent Uber CEO Travis Kalanick a letter accusing the company of a "troubling disregard for customer privacy." The argument of the Lyft company stated that the process of ordering and cancelling a ride wastes the money, effort, time, etc. The true ethical dilemma with driverless cars isn't the trolley problemit's whether we should be testing them on public streets at all. The EEO-1 report, also known as an employer information report, is mandated by the US federal government and requires companies to report employment data by race/ethnicity, gender, and job category. 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. However, since 2017, the company has turned around and stayed under the scandal's radar. It's perfectly reasonable to stand on principle, and some will say it's even ethically required. Website studydriver.com is owned and operated by RATATATA LTD, Bulgaria City of Sofia 1000, District of Sofia (capital); Municipality of Sofia, Triaditsa Region 48, Vitosha Blvd., ground floor. Importance of the Case Current report will assist in analysing the key factors that are associated with corporate governance, risk and ethics. After primarily attending to the security concerns of the passengers, the personal details of every customer should be deleted from the servers of the company (Wallsten, 2015). Start your subscription - find out more For those who missed the story, Buzzfeed reported that Michael had suggested "hiring a team of opposition researchers to dig up dirt on its critics in the media.". In November, a New York court dismissed Uber's lawsuit challenging a city law limiting the number of licenses for ride-hailing services. In August 2014, The Verge alleged that Uber had recruited a team of independent contractors referred to as 'brand ambassadors'. People of different cultures think differently, so there might be a problem of getting along between some people. Ethical issues are a great concern for the company. Retrieved from The New York Times: https://www.nytimes.com/2017/02/19/business/uber-sexual-harassment-investigation.html?module=inline, Ivanova, I. There is an accountability factor with traditional, heavily-regulated cab services that does not seem to be the case with privately owned companies like Uber. As per a case file in the jurisdiction of Chicago in January 2016, an Uber driver was arrested by the police officials for abducting a drunken passenger. Uber leadership is accused of unscrupulous tactics in recruitment (BBC 2014). These have led to the company designing proper . The safe ride fee is something Uber implemented in 2014 to finance their safety program. The major complaints regarding the company which is frequently raised in media are related to safety hazards for the society which is being focused specifically in this report so that effective measures can be taken to enhance the goodwill and reputation of the company. Safety of the passengers During the management of former CEO Travis Kalanick, Uber expanded to more than 70 countries very fast. But it's not been a smooth ride and the firm is engaged in regulatory battles around the world Monday, December 21st, 2015 Uber has raised a lot of money: more than $8bn in fact. Trade secrets are something not generally known. All rights reserved. National Post Retrieved from https://search-proquest-com.ezproxy1.apus.edu/docview/1874145214?accountid=8289, Bershidsky, L. (2017, Nov 30). The engine of Ubers growth to date has been the US$11.5 billion it has raised from banks and investors. The company has grown to be worth at least $28 billion, according to. Let's fix your grades together! Their first years sales were $700,000. Wallsten, S. (2015). Rapid growth saw Uber in 100 cities [], OReilly started as a part store in Missouri in 1957. In a minor breach, the breaching party failed to perform some aspect of the contract. Uber is a brand that has faced both ethical and legal issues. These contractors used burner phones and credit cards to create accounts with Uber's competitors' services, mainly those of its major . 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. ETHICAL ISSUES. 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. All content of the Dow Jones branded indices S&P Dow Jones Indices LLC 2019 and/or its affiliates. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. Available from: https://gradesfixer.com/free-essay-examples/the-ethical-issues-surrounding-the-uber-company/. On ride sharing competition and accessibility: Evidence from Uber, lyft, and taxi. 2022 Cable News Network. This ride sharing company is deliberately seeking out the demise of another company. our extensive database of written samples to find the inspiration or research youre looking The company should understand that any sort of assault is illegal and whoever is involved in it should be prosecuted by law. 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 phone's GPS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. On Wednesday, U.S. One of the plaintiffs, Ms. Medina stated, The sexist and tech bro culture was strong at Uber, I saw it with more females getting passed up for promotions while male engineers in the same organizations were getting the same level of promotions for less work. The U.S. Ensuring HR has a significant seat at the table. 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. Retrieved from https://www.eeoc.gov/laws/types/sexual_harassment.cfm, EEOC. The major security threats were violent attacks from other local drivers, assault, and misbehaviour on behalf of customers, robbery, etc. Even hands-free devices present this problem because all of the activities that go along with receiving a message and responding to it are distracting, even if they take only a few seconds. 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As it expands into other cities Australia, US, UK, South east Asia and the print.. Very fast consumption and social issues: 1 termed as UBERification in the global market (,. From the new York Times: https: //www.cbsnews.com/news/uber-agrees-to-pay-10-million-to-settle-discrimination-suit/, ( 2018, May 21.... Less security for the company has appointed some of the passengers during the Management former! Popular car-sharing service had raised several disturbing ethical issues, especially those to! 2014 to finance their safety program of customers and thousands of drivers have made!
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