Right to Information
Kevin W. Mossholder
The right to information involves access to information that is necessary for the effective discharge of stakeholders’ duties. Stakeholders are entitled to information that permits them to function in roles defined by society or by agreement with others who have a mutual interest in outcomes affected by stakeholder actions. Information is power; it may be used in controlling others or empowering them. To the degree that the free flow of information is restricted by certain stakeholders, the potential for ethical violations of other stakeholders’ rights will tend to increase (see stakeholder theory).
Information has become a ‘‘currency’’ for exchange between the organization and its stake holders. As such, a central issue concerning the right to information is ensuring that an equitable balance is struck among parties in the information exchange process. Though moral and legal principles can be used to help in such determinations, the subjectivity involved in various stake holders’ perspectives precludes finding clear a priori boundaries between the right to know and the right to privacy. The following is an over view of the information rights of key organization stakeholders. It is based on the idea that stakeholder rights are important if organizations are to function effectively.
Employee as Stakeholder
Employees should have access to information that is needed to function effectively in their organizational roles. Because of salary and career related factors, employees have an interest in performing at a satisfactory or greater level. Insufficient access to job relevant information may unfairly inhibit job performance.
Performance, personnel, and other career relevant data that are maintained as part of employees’ permanent records (excluding some information involving other parties’ confidentiality) should be open to inspection. When personnel decisions are made about employees, they should have adequate access to information that helped shape the decision. Employees who are demoted, transferred, or terminated have a right to know why such action was taken.
Maintaining privacy safeguards requires that employees be informed of monitoring efforts by the organization. Employees should also be informed of how personal information that may be collected by the organization will be kept confidential.
Employers also have certain information rights in the context of the employee–employer relationship. In general, employers are entitled to information pertinent to gainful organizational interests. Information employees possess that could affect organizational competitiveness should be communicated. Assuming it has been acquired ethically, information about competitors or unsolicited ideas from outsiders should also be communicated to the employer.
Organizations have the right to information concerning employees’ acquisition of conflicting or competing interests. This right may also apply in cases where employees’ immediate family members are involved in addition to or instead of the employees themselves. If employ ees have or have been asked to engage in behavior that violates organizational ethics codes, organizations are entitled to information bearing on the behavior. Given proper respect of employees’ privacy rights, organizations have the right to information about unsafe employee behavior (e.g., drug use) in safety sensitive jobs. They also may monitor workplace behavior where employees are informed and monitoring protects the organization’s property and trade (see organization ethics).
Consumer as Stakeholder
Consumers have the right to be truthfully and accurately informed of a product’s or service’s content and purpose. This allows consumers to make rational choices among products. Advertising is a principal means of providing consumers with product information. Though advertisements may be designed to influence and persuade, the information communicated by them to consumers should accomplish this end in a manner that does not deceive, conceal, or withhold the truth.
Any information about potential safety defects or health hazards should be disclosed in such a way that it is readily understood by the consumer. Organizations should inform consumers about means of registering valid com plaints, and about procedures to be followed for obtaining compensation for faulty products.
Shareholders and Other Stakeholders
Organization shareholders have a right to information about financial and other related information (e.g., pending lawsuits). They should expect the organization to provide them with reports of how well it has followed the law and protected shareholder investments. Other stake holders having various information rights with respect to the organization may be identified through stakeholder analysis. Unions, suppliers, trade associations, political and advocate groups, the media, and the general public among other entities comprise the potential stakeholder pool. The legitimate information rights of various stakeholder groups should be determined when such groups are identified.
Information Rights and the Law
There are many laws governing information access in organizations. For example, a partial listing of the US laws pertinent to employee stakeholders could consist of the following: Freedom of Information Act, Fair Credit Reporting Act of 1971, Worker Adjustment and Retraining Notification Act of 1988, Poly graph Protection Act of 1988, and ERISA. When identifying stakeholder groups, an organization should be attentive to legal responsibilities they have regarding information availability. Not all rights will be addressed by law; however, applicable laws can help define where organizations can begin the process of meeting the information rights of their stakeholders.
Organizations must continually adapt to the environments in which they operate. In the ‘‘information age’’ an important part of this process necessarily includes addressing stakeholder rights to information. Interconnections through various electronic media will likely increase the scope of information demands on organizations. Given this circumstance, information rights and access will likely expand as an area of focus within the field of business ethics.
Bibliography
Weiss, J. W. (1994). Business Ethics. Belmont, CA: Wadsworth.