Are quota system designed to redress past injustices ethical

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Reference no: EM131020310

Case: Should Execs Be Penalized for Failing to Appoint Women to Senior Positions?

The Business Council of Australia (BCA) claims that "chief executives should be challenged for explanations and even have their pay cut if they fail to appoint women to senior positions." The BCA, the representative body of the chief executives of Australia's 100 largest companies, is urging its members to adopt a "checklist of reforms" aimed at addressing the under-representation of women in senior positions, and to consider docking CEO pay if they do not implement the reforms. In Australia, women have been outpacing men in earning college degrees since 1985 and make up 46% of the workforce, but hold only 16% of board positions and 3.5% of chief executive roles. The BCA aims to double the number of women in senior positions in the next 10 years, and claims this isn't just an equality issue, but also an economic issue. The BCA claims, "We risk not getting the best talent for the job."

1. Is tying executive compensation to the promotion of women ethically problematic?

2. Do firms have a moral obligation to hire more women to achieve demographic equality?

3. Are quota systems designed to redress past injustices ethical?

Reference no: EM131020310

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