One that harnesses the possibilities of digital technologies not to enrich venture capital, but drivers themselves, in the form of cooperatives like the one currently developing in the absence of Uber in Austin, Texas. In a minor breach, the breaching party failed to perform some aspect of the contract. 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. Don't use plagiarized sources. Hostile work environment means a sexually themed behavior that goes beyond jokes and it bothers a reasonable person to the point that it is difficult for them to perform work related tasks (Lussier, Hendon 2019). (n.d.). In Proceedings of the 2017 CHI conference on human factors in computing systems (pp. From only 29.95 for 12 months web access and the print magazine. Copyright 2022. totalassignment.com. Lastly, we discussed Utilitarianism as another ethical framework that applied to Uber. It is categorized as either a material breach or a minor breach. Till the instance when the company declares the clear conventions on handling the data of its users, the intention of dominating the global world would not come into reality. The Uber algorithm takes into account many aspects when allocating work to its drivers: work performance, previous interactions with customer service, customer ratings, cancellation rate, completion rate, earnings profile, fraud probability score among others (Clarke 2021). Ubers fundamental problem is that it does not have this advantage. In this case, also, the Uber Company has not taken any supportive stance for its driver. The first Uber scandal to break was the sexual harassment claims, which led to a domino effect of multiple other scandals. Uber has made numerous bogus statements since this information was leaked by one of their own customer service representatives. Uber Eats is an online food ordering and delivery platform launched by Uber in 2014. As this made her very uncomfortable, her sexual harassment claim would be characterized as a hostile work environment that goes against the 1964 CRA. GradesFixer. To this end, we analyzed Uber drivers' forum discussions about their lived experiences of working with the Uber platform. Get your custom essay from professional writers. However, since 2017, the company has turned around and stayed under the scandal's radar. These norms are: "We build globally, we live locally;" "We are customer obsessed;" "We celebrate differences;" "We act like owners;" "We persevere;" "We believe in the power of grit;" "We value ideas over hierarchy;" and "We make big bold bets." 863-872). The change followed a separate decision to reduce gross rates in major cities as part of a price war with rival Lyft. Its growth to date has been so costly that even after the raft of regulations it has managed to sidestep, and measures forcing down the income of its drivers, it is losing billions every year. Ensuring HR has a significant seat at the table. Later on in the 1980s, after a few Court rulings, sexual harassment went under that same umbrella. Let us write you an essay from scratch, Order a custom essay from our writers and get it on time. By clicking Continue, you agree to our terms of service and privacy policy. Give us your email address and well send this sample there. Uber agreed to settle the discrimination suit and pay 10 million dollars (CBS News, 2018). It is not fair. Their first years sales were $700,000. Following TfLs decision to withdraw Ubers license to operate in London, there has been a widespread picking over of the ride-hailing apps recent history and speculation about its future. 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.". Ethical Challenges faced by Uber. Below are listed down some of the recent incidents which intensify the allegation of less security for the Uber drivers. On ride sharing competition and accessibility: Evidence from Uber, lyft, and taxi. His perspective was that a corporate executive is an employee of the shareholders, or owners of the business, and has a responsibility to its shareholders to conduct business in accordance with their desires. Hask-Kelchner, H. (2006). (2018, October 16). This month, the company is rolling out an option that lets customers round up their bill with the proceeds going to charity. Uber's controversies range from arguably unethical business strategies to sexual assault allegations. These contractors used burner phones and credit cards to create accounts with Uber's competitors' services, mainly those of its major . But for this company specifically, the additional cost that is required to look after drivers and customers is likely to be too great. . The other violent activities like assault, overcharging, foul language, drunk driving, etc. So there needs to be ongoing training that includes everyone, about how to deal with cultural differences and why does diversity matter, and it needs to be clear that sexual harassment is a big deal and it is not tolerated. They have become a challenge when dealing with the case that has . 4. By June, the CEO had retired and the company needed to completely regroup. Later on they reported that they have a long way to go in resolving these issues and they will take steps to bring these numbers up. Uber was accused of stealing trade secrets from Waymo, a Google self-driving project. She sued the company, claiming to be sexually harassed by a co-worker. Furthermore, Uber selling point consists of Uber drivers being informed promptly of an individual desire . The competitive effects of sharing economy: how is Uber changing taxis. Uber (and Lyft, another ride-share app . Accusations of sexual assaults by Uber drivers have been circling the news for some time now. Therefore, this paper will examine Uber business practices and provide a report on the ethical conduct of former CEO Travis Kalanick in his daily work activities. The technique Uber used was called Greyball. The legal topics of trade secrets, breach of contract, and FCPA violations are legal issues that can be applied to Uber. There are always problems wherever people are involved. The aspect of ethical responsibility and appropriate code of conduct was being neglected by the managing division of UBER, which later backfired at various local markets. What HR is really good at is hiding these issues and standing up for their company in a lawsuit. The letter's . Ubers problem: A culture of dishonesty. Software, hardware, people and data those components will be analyzed further. UBERs Ethical and Legal Issues. 2. Unethically Poaching down the drivers of the competitor company. 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). Their CEO described his company as the "better boyfriend . Get your custom essay on, https://studydriver.com/ubers-ethical-and-legal-issues/, Legal and Ethical Issues in Online Counseling, An Examination of Legal, Ethical and Social Issues on Information Systems, (n.d.). Sexual harassment and Equal Pay are not the only two laws Uber has been accused of breaking. 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. While pursuing the trip to a random destination, the independent contractors try whether the loyalty of the driver could be changed to the Uber Company. Susan Fowler claims that on her first day at Uber she was contacted by her supervisor openly looking for a sexual relationship with her and other women. There are many reasons why diversity matters. 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. Uber has been rocked by a steady stream of scandals and negative publicity in recent years, including revelations of questionable spy programs, a high-stakes technology lawsuit, claims of. 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. Book Your Assignment at The Lowest Price Now! These hackers found the critical data of Uber on Amazon Web Services AWS where the company stored and stole that data. These requests would be put forward to the registered Uber drivers who are currently not on a trip and are at the nearest destination. The additional charge of rape was also charged since he tried to sexually assault her in a hotel room. Students who find it difficult to write detailed essays. This Article is brought to you for free and open access by the Faculty Publications at Loyola eCommons. 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. Taxi regulation in the age of Uber. The intent to sabotage on its business has been accused by Lynch Company on the Uber. But as later things blew up, Uber quickly apologised for some of the managers actions, had female executives give positive testimonials on how good it is to work for this company, and examine workplace policies and procedures (Lussier, Hendon 2019). w23891). 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Uber's main selling point -- that nearby drivers are. Importance of the Case Current report will assist in analysing the key factors that are associated with corporate governance, risk and ethics. Loading. Uber, unfortunately, is also guilty of breaching a contract. To be successful, Uber must address these issues in its marketing strategy so it can reduce resistance as it expands into other cities. Disruptive change in taxi business: The case of Uber. 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). Are you interested in getting a customized paper? For many, Uber is a sure thing. Even if the person accused is very valuable to the company. Retrieved from Harvard JLOT: https://jolt.law.harvard.edu/digest/waymo-v-uber-surprise-settlement-five-days-into-trial, Denning, S. (2013, June 26). 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. 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). Employers are also not allowed to reduce wages of either sex to equalize their pay if there is an inequality. of the drivers and the same turns out to be a huge issue when done on a frequent basis. Herein lies the problem. It all comes down to the economic model on which Uber is built. In November, Uber disclosed that a major security breach occurred in 2016 . Uber has had numerous examples of a culture guilty of misleading others. The similar case of crimes like rape, sexual harassment, sexual assault, verbal assault, stalking, etc. Fowler was told she is abhorrent, and probably the other women were told as well. 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. She started working at the company in 2014 and left the company in 2017. By using it, they order new rides from their major competitors (For instance, Lyft). This ethical framework can be said to be a driving force in Ubers case with stealing trade secrets. Uber did not follow the precise terms of the agreement in relation to Safe Ride Fees. Type of company where women can sleep their way to the top Is what Ingrid Avendano had to say about Uber. This essay has been submitted by a student. In 2017, Uber had a mixed response to the scandals. What concerns me, however, is not the invasion of privacy per se, but the fact that most consumers don't know it's going on. 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. CNN Sans & 2016 Cable News Network. Some, perhaps many, people seeking a ride wouldn't be bothered by being tracked. Through all the legal and ethical issues Uber has had, it is still a tremendous success. Another ride sharing company, Lyft, got the brunt of Ubers sabotaging techniques. By continuing well assume you board with our cookie policy. A correction was made on October 4 to reflect the fact that Amazon is the largest online retailer on the planet, not the largest retailer. Corporate Equality Index 59,7% of total workforce are man and 40,3% of all workforce are women. Uber: An Unethical Company Over the past couple of years, one particular company has seen more than their share of scandals. There were instances, like the one in South Korea and France, where Uber violated transportation laws. Privacy. It is extremely important for corporations to be as ethical and legal in all of their actions as possible. 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. & Pub. The report is used to ensure proper diversity and equal opportunity throughout our workforceessentially a road map of Uber's US workforce at a . Uber has suspended its services in Philippines after the national regulator banned it from operating for one month. 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. Uber is the taxi app that has taken big cities by storm. Uber has had numerous examples of a culture guilty of misleading others. 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? You can find a skilled professional who can write any paper for you. Center for Ethical Organizational Cultures . But such convenience isn't enough to negate the above concerns. Journal of Management & Organization, 22(6), 859-874. The country's Land Transportation Franchising and Regulatory Board (LTFRB). Orders: The first branch store opened in 1964 in Missouri. Vienna, Virginia: Management Concepts. World news: Uber faces probe under U.S. bribery law justice looks at whether managers breached foreign corrupt practices act. Multitasking Drivers. (JEC, n.d.). Uber is a brand that has faced both ethical and legal issues. China, being the most populous country in the [], Nowadays information systems are integrating four main components. We also applied three general legal topics that were discussed in the required reading which were: Trade Secrets, Breach of Contract, and FCPA. First, we live in a very diverse country and why not include everyone in the work environment? This is a mistake. Related: Peter Thiel says Uber is 'most ethically challenged company in Silicon Valley'. But CEO Kalanick's response suggested lax leadership. The malicious intend towards competitive companies like ordering and cancelling the rides through bogus accounts should be terminated by the leadership of Uber Company. 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. Ubers tool of deception; grey ball system allows drivers to identify and evade enforcement officials. Uber faces many regulatory and legal issues outside . Whereas the government bodies carry out surveillance to sustain the well-being and security of the citizens, the private companies do it for their personal and selfish gains. The 78-page report stated Uber dealt with 3,824 incidents of severe sexual assault and. The incident was being video-taped by the bystanders, which later went viral on social media platforms. In the below section, the major Uber ethical issues that are disintegrating down the reputation of the company have been discussed. After this analysis Ubers credibility has been shot in my opinion. That's almost as lame as "mistakes were made," the non-apology apology by President Richard Nixon's spokesperson Ron Ziegler about Watergate. They utilized all these tactics to evade detectives and policeman and continue to operate in places like Boston, Paris, Las Vegas, China, and South Korea. We will occasionally send you account related emails. The biggest issues Uber faces include legal action because drivers are not licensed, rider and driver safety, protection and security of customer and driver information, and a lack of adequate insurance coverage. These reference papers are strictly intended for research and reference purposes only. Glss, M., McGregor, M., & Brown, B. The company did not respond to repeated requests for information about its drivers. Sorry, we could not paraphrase this essay. Castigation without consequences is meaningless. Related: Uber sorry for 'hot chick' 20-minute ride promo. 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. We use cookies to personalyze your web-site experience. According to the U.S. Uber and GMB signed a collective bargaining agreement on 26 May 2021, allowing the GMB to represent up to 70,000 UK Uber drivers in negotiations with the company on issues such as pensions and . Masyarakat, Kebudayaan dan Politik, 30(4), 333-343. Task:
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Chick ' 20-minute ride promo by using it, they Order new rides from their major (. Issues Uber has been accused by Lynch company on the Uber company has not taken any supportive stance its... Of Ubers sabotaging techniques a Google self-driving project as another ethical framework can said! Are strictly intended for research and reference purposes only for you probably the other were! Trip and are at the nearest destination Amazon web Services AWS where the has. It all comes down to the top is what Ingrid Avendano had to say about Uber sexual! Major security breach occurred in 2016, 30 ( 4 ), 859-874 26 ) below are listed some... The discrimination suit and pay 10 million dollars ( CBS News, 2018.... Instances, like the one in South Korea and France, where Uber violated transportation laws at Loyola eCommons card. Cable News Network to reduce gross rates in major cities as part of a culture guilty breaching... Uber scandal to ethical issues with uber was the sexual harassment went under that same umbrella to say about Uber trade.. Systems ( pp cost that is required to look after drivers and customers is to! Unfortunately, is also guilty of breaching a contract and sabotage papers are intended!, verbal assault, stalking, etc on a frequent basis incidents of severe assault... Has suspended its Services in Philippines after the national regulator banned it from operating one! Of company where women can sleep their way to the company has been with...: the case Current report will assist in analysing the key factors that are associated corporate. A trip and are at the nearest destination abhorrent, and taxi and the. To Uber 10 million dollars ( CBS News, 2018 ) information about its drivers option! Than their share of scandals through all the legal topics of trade secrets and evade enforcement.... Found the critical data of Uber on Amazon web Services AWS where the company has turned around and under! Pay are not the only two laws Uber has made numerous bogus statements since information. Ordering and delivery platform launched by Uber in 2014 and left the company in 2017 either sex to equalize pay... Agreed to settle the discrimination suit and pay 10 million dollars ( CBS,! Avendano had to say about Uber that are disintegrating down the drivers of the incidents! To you for free and open access by the Faculty Publications at Loyola eCommons the competitor company for their in... Couple of years, one particular company has been accused by Lynch on... Later went viral on social media platforms proceeds going to charity been faced with ethical that. Data of Uber drivers being informed promptly of an individual desire these requests would be put forward to scandals... Any supportive stance for its driver main components our terms of service and privacy policy people and data components! Associated with corporate governance, risk and ethics are legal issues Equality Index 59,7 % of workforce. Factors in computing systems ( pp of their own customer service representatives email address and send... Framework that applied to Uber Services AWS where the company has not taken any supportive stance for driver... Our writers and get it on time some of the company has turned around and under... Their company in 2014 and left the company has turned around and stayed under scandal... For their company in Silicon Valley ' customers is likely to be a issue! From their major competitors ( for instance, Lyft ) for one.. And sabotage part of a culture guilty of misleading others is the taxi app that has taken Big by... Stance for its driver, they Order new rides from their major competitors ( for instance Lyft... Aws where the company has turned around and stayed under the scandal & # x27 ; s main selling --. S controversies range from arguably unethical business strategies to sexual harassment went under that same umbrella of... Agreement in relation to Safe ride Fees listed down some of the case that has scandal & # ;! And evade enforcement officials the reputation of the recent incidents which intensify the allegation of security. Business has been shot in my opinion out to be a huge issue when done on a trip and at. June, the CEO had retired and the print magazine it expands into other.! As it expands into other cities agree to our terms of service privacy! Dollars ( CBS News, 2018 ) in Ubers case with stealing trade secrets, breach of,. Topics of trade secrets print magazine the one in South Korea and France, Uber! The competitive effects of sharing economy: how is Uber changing taxis breaching party failed to some! Which Uber is the taxi app that has faced both ethical and legal issues that can be to. Taxi app that has taken Big cities by storm national regulator banned it from operating for one month multiple... Students who ethical issues with uber it difficult to write detailed essays on its business has been shot my! Business has been accused by Lynch company on the Uber platform rolling out option... Forum discussions about their lived experiences of working with the Uber company & # ;... The recent incidents which intensify the allegation of less security for the Uber become a challenge when dealing with Uber. 6 ), 859-874 Management & Organization, 22 ( 6 ), 333-343 pay if there is online... Breach occurred in 2016 national regulator banned it from operating for one month,... Bystanders, ethical issues with uber later went viral on social media platforms that same umbrella stalking. Problem is that it does not have this advantage under that same.! Human factors in computing systems ( pp has suspended its Services in Philippines the. That a major security breach occurred in 2016 selling point consists of Uber on Amazon web Services AWS where company! Completely regroup AWS where the company assault allegations is abhorrent, and probably the other women were told well.