When do employers cross the line? UM\u2019s Jae Yun Kim tells us how to do the right thing in business
A request to work the weekend, without pay. A passed\u2011over promotion, with the advice to \u201clean in.\u201d A hiring decision where \u201cbeing a good fit\u201d trumps qualifications.
They don\u2019t scream scandal but are the kind of quiet, everyday dynamics that shape today\u2019s workplaces, and they\u2019re at the centre of Jae Yun Kim\u2019s work in the Asper School of Business.
He\u2019s four years into his role as the Richard Morantz and Sheree Walder Morantz Professor of Business Ethics, established to develop research in this growing discipline and give UM students
a stronger foundation for the choices they\u2019ll make as business leaders.
\u201cThe problems we face today are even more complex than the problems we had in the past,\u201d Kim says.<\/p>\n
Namesake Sheree Walder Morantz [BA\/80, LLB\/84] <\/strong>experienced her own ethical dilemma early in her career as a family lawyer. In her first trial, her client lied under oath. Sheree knew that if she continued, the lie could win the case\u2014and get a young child returned to a mother who wasn\u2019t ready to parent. For Richard Morantz [BComm(Hons)\/81]<\/strong>, a long-time real-estate developer and owner of Globe Capital Management, the 2008 financial crisis sharpened this same conviction. Scenario 2: \u201cShe just needs to lean in\u201d<\/strong>
\u201cI had to make the decision to withdraw as counsel,\u201d Sheree says. \u201cThat was really a lesson to me that no matter how far into the process you are, no matter how much you want to win, the truth governs. It counts for more than the scorecard.\u201d
She pondered how, in law, you must pass an ethics program before you practise, and a governing body holds you accountable afterwards\u2014but, what about in business?<\/p>\n
\u201cPeople had a very short\u2011term outlook,\u201d Richard says. \u201cThey needed to get the results done for the next quarter so they would get their bonuses, and there was really very little thought to their client\u2019s long\u2011term, rational self\u2011interest. Encouraging the study of ethics in business seemed a way to counteract that\u2014to make people think twice about what they\u2019re doing.\u201d
Events of the past 40 years have cast an even brighter spotlight on questionable business ethics, Richard Morantz says. Stock traders with insider knowledge look to reap rewards through short selling\u2014a strategy where they bet on, and benefit from, a drop in a stock\u2019s value. \u201cThere are reports that some may have had non-public information relating to certain industries, and sold shares of the companies in those industries short, only to buy them back at depressed prices at the opportune time,\u201d he says. \u201cHuman nature is human nature, and there will always be those trying to take advantage of the system. So, an education that includes a solid grounding in business ethics is one way to minimize the negative effects of these types of decisions going forward.\u201d<\/p>\n
Established 10 years ago through a $5-million gift from the couple, the professorship was one of the first of its kind in Canada. In 2021, it brought Kim to UM from China\u2019s Southern University of Science and Technology, with a portfolio of research in leading journals. Here we invite him to walk us through some of the ethical issues explored in his research. Have you seen them play out in your own workplace? Read on to find out.
Scenario 1: \u201cYou\u2019re so passionate about this\u201d<\/strong>
At a small non-profit, a junior staff member consistently goes above and beyond\u2014volunteering for events, offering ideas in meetings and expressing how much the cause means to them. When a major donor event comes up on a weekend, their manager asks if they can cover, without pay.
\u201cYou\u2019re so passionate about this,\u201d the manager says. \u201cYou\u2019d be perfect.\u201d
Kim calls this \u201cpassion exploitation.\u201d
\u201cThe manager who believes the worker is extremely passionate about the cause may see the work as already compensated by the pursuit of passion,\u201d Kim says. \u201cTherefore, the extra work without extra pay is not necessarily problematic because it\u2019s subjectively compensated.\u201d
In most cases, the manager isn\u2019t trying to harm the worker, Kim says. But there is still a kind of mental gymnastics at play, as the manager rationalizes to themselves why the request feels fair.
Non-profit and arts-related employees are particularly vulnerable.
\u201cThe cause you\u2019re pursuing, the art you\u2019re pursuing\u2014those make it easier for people to rationalize and legitimize what\u2019s being asked of these workers.\u201d<\/p>\n
After a junior female staff member is passed over for a leadership opportunity, her manager is discussing the situation with another team lead. \u201cShe\u2019s talented,\u201d the manager says, \u201cbut she just needs to lean in more and show she wants it.\u201d
The manager\u2019s comment echoes a wider cultural script, Kim says, one popularized by Sheryl Sandberg\u2019s book Lean In<\/em> and a wave of self\u2011improvement advice urging women to claim their place at the table.
In workplaces, these messages can shift the focus entirely to personal effort. Instead of examining structural barriers, they suggest that with enough self\u2011improvement, anyone can rise.
\u201cThe message would be something like: If you work harder, if you improve yourself further, then you can become the leader,\u201d Kim says. \u201cAnd once you become the leader, then you can help other women.\u201d
This framing is used to explain away inequality.
\u201cIn this scenario, it\u2019s just rationalizing not giving her a promotion because of her sex or gender,\u201d
Kim says.
Scenario 3: \u201cNot quite the right fit\u201d<\/strong>
A company is hiring a new team lead during a period of financial uncertainty. The strongest candidate is a Black woman with experience leading progressive workplace policy initiatives. While her qualifications are exceptional, some on the hiring panel express concern that her leadership style might not mesh with the current team and say she\u2019s \u201cnot quite the right fit for where we\u2019re at right now.\u201d
Kim says situations like this can reflect a deeper dynamic he has studied around uncertainty and decision\u2011making.
\u201cWith all the uncertainty going around, people are likely to feel that they have low control,\u201d Kim says. \u201cSo they\u2019re less likely to want to work with people who are different from themselves.\u201d That instinct can make \u201cfit\u201d a stand\u2011in for comfort, especially in hiring. In the moment, the choice can feel safe and even practical. But over time, Kim says, one of the trade\u2011offs is diversity.
\u201cIt will definitely hurt diversity\u2014diversity in terms of the ideas or cultural backgrounds or even the education of employees,\u201d Kim says.
A homogenous team may offer short\u2011term stability, but another long-term trade\u2011off is innovation.
\u201cIf you have people who are pretty much the same, have the same style, have the same mental models, then you have a big problem in terms of creativity.\u201d
It was at UM where Sheree Walder Morantz says she found a love for psychology and law. \u201cI had some incredibly passionate professors. I learned a tremendous amount about human behaviour, which has served me very well as a family lawyer. The impact a passionate professor\u2014who really cares about his or her students\u2014can have on long-term development in your career is pivotal.\u201d<\/p>\n
Sheree Walder Morantz and Richard Morantz believe in a future fuelled by generosity. What does that look like? It\u2019s in the faces of new graduates with big ideas, in bold research solutions for Manitoba and the world, and in community initiatives coming to life in collaborative ways. Here, a legacy of philanthropy is shaping the leaders, innovators and change-makers of tomorrow. Learn how you can get involved<\/a>.<\/em>
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