Reference no: EM132539758

A Washington Post story about firing employees relates that some companies use "the surgical method: terminations that last about 15 seconds, after which former employees are ushered off company property." It does not have to be that way, though. For about $2,000 per fired employee, the outplacement company Five O'Clock Club will help employers manage the actual termination moment more compassionately. Later on, the fired worker receives a year of career coaching to help get back on track. What do the Five O'Clock Club recommend managers do at the critical moment when giving the bad news? To answer, according to the Post, they offer a booklet titled How to Terminate Employees While Respecting Human Dignity, which "asks managers to approach layoffs with the understanding that, 'unlike facilities and equipment, humans have an intrinsic worth beyond their contribution to the organization." The Five O'Clock Club helps workers feel better when they are fired, and helps them get on with their lives. Meanwhile, employers get a hedge against lawsuits. The outplacement service, according to the Five O'Clock Club literature, "can redirect anger or anxiety away from the organization and...encourage the newly-fired to sign their severance agreements so they can get on with their lives."

Probably, everyone agrees that humans are not just machines that can be installed and replaced. But can an ethical argument be made to treat people in the workplace as machines-that is, to abruptly hire them when they are useful and fire them when they are not?

Question:

Is there a place for compassion in business? From a manager's perspective, how should compassion be defined within a business context?