Discrimination in the workplace assures
capital markets exchanges at inefficient prices (Donohue, 1994). In
addition, inefficient markets do not offer shareholders a competitive advantage
(Berk & DeMarzo, 2013). Nonetheless,
labor discrimination is still active as of this date.
What one market considers as the efficiency
of a worker does not equal similar markets because of intrinsic belief systems
uncorrelated to productivity. Creating
Civil Right’s laws do not curve the act of discrimination and shareholders
suffer while embracing a corporation’s practice of unjust. In the mean time, communities face the
inequality of value.
The right to profit curves as community
misalignments battle the race to equality.
Efficient markets are non-existent due to the limitations and shield
from the legal systems. The motivator to
markets is profit, period. The mask of
equality through legal systems satisfies individuals benefiting from
inefficiency. Lastly, the benefit does not
relate to efficient markets.
The Measurement. I see two approaches to the true cost of human capital and the results from discrimination - costs or benefits. I am going to write about the true costs associated with discrimination. Considering human capital as an investment, the manager will need to analyze case studies of the stages of termination to a candidate that experienced discrimination.
The Measurement. I see two approaches to the true cost of human capital and the results from discrimination - costs or benefits. I am going to write about the true costs associated with discrimination. Considering human capital as an investment, the manager will need to analyze case studies of the stages of termination to a candidate that experienced discrimination.
The manager can
look at the State Unemployment Insurance (SUI) and relate the cost of payment
to the SUI per employee basis. In addition, analysis is required to
payments made to charities for Public Relations campaigns. The campaigns occur when firms perform a SWOT
analyses and find that the business needs to improve community relations due
organizational fitness not accepted by communities. The misalignment
breaks consumer demand; thus, represent an opportunity cost to shareholders.
Going back to
the charity payments, those payments disburse to terminated employees
indirectly. Stakeholders survive the time of unemployment through
charities attempting to place them into full employment or under employment.
Other programs affected are the food stamps programs. All these
costs and other costs affect the business indirectly or directly.
After the costs
are studied, a manager should derive a cost per basis assessment on
discrimination. The cost per basis has a present value and a future
value. With this in mind, shareholders can derive contracts that guide
managers to perform better in correcting discrimination in the workplace.
References
Berk, J., & DeMarzo, P. (2013). Corporate finance (Third ed.). Boston,
MA: Pearson Education, Inc.
Donohue, J. (1994, August). Employment discrimination
law in perspective: Three concepts of
equality. Michigan Law Review, 92(8), 2583 - 2612. Retrieved from
http://www.michiganlawreview.org/
