Author Question: During the last two decades, labor unions have grown by about 15 percent in the United States. ... (Read 74 times)

2125004343 · **on:** Jun 24, 2018

During the last two decades, labor unions have grown by about 15 percent in the United States.
Indicate whether the statement is true or false

Question 2

Give your opinion on the ethics of businesses converting employees to independent contractors to reduce or eliminate costs, such as health and retirement benefits, vacations, overtime, and maintenance and proper insurance of motor vehicles.

af · **Reply #1 on:** Jun 24, 2018

Answer to Question 1

F

Answer to Question 2

It is often necessary for employers to use independent contractors to do work for them when employers do not have qualified or sufficient employees or the proper machinery to perform necessary tasks. Sound business judgment may also necessitate converting employees to independent contractors. The ethical principles of fairness and loyalty may weigh on an employer facing such a decision, but in the end, the need to cut costs to stay in business may compel the employer to convert employees to independent contractors.
(Students may have examples of relatives who have suffered the economic consequences of such a changeover and may be willing to share the stories with the class.) The ethics of such decisions are best determined on an individual basis. Bakery, milk, furniture delivery drivers, and taxi drivers, often have their status changed by their employers to dramatically reduce costs. However, if the employers continue to exercise control over the former employees, the employers may be vicariously liable for the torts of these individuals.