Gender Pay Gap in Pinnacle Housing: Impact and Recommendations

Case study
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Table of Contents
PART 1............................................................................................................................................3
a) Why this issue needs to be look?.............................................................................................3
b) Two ethical theories................................................................................................................5
PART 2............................................................................................................................................7
REFERENCES..............................................................................................................................10
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PART 1
a) Why this issue needs to be look?
It is necessary for Pinnacle Housing to look after this issue because there is clearly gender
pay gap observed which is unethical practice. The men and women are not treated equally and
discrimination is been done. Moreover, a company must be always work in ethical way so that
they are able to sustain for long term. However, it enables them to build reputation in society.
If there is any unethical practice followed by company then it highly impact on their
image. This is because they are doing that thing which is illegal for society. So, this impact on
society in negative way. (Adewole, 2015 ) Furthermore, in society both men and women are
considered as equal. Hence, both are having equal right to contribute towards society. In similar
way, Pinnacle Housing public image will also be impacted in society. This is because they are
paying more to men as compared to women. So, if in society it gets to known that there exists
gender pay gap it will create a negative image in minds of people. They will not allow women to
work in that company. In addition, protest can be done against them. This may lead to taking
legal action against Pinnacle Housing. Therefore, their public image will be highly influenced in
negative way.
A business plays significant role in society. This is because they provide products and
services to fulfil people needs. Also, they contribute towards society through various things such
as CSR, etc. However, business has a set purpose that allows them to exists in society. Business
role in society is wide as they not only fulfil needs of people but also help in improving social
life and providing other benefits as well.
However, there are several ways a business can think for society. In that they can
contribute by implementing effective CSR policies. Beside this, by conducting business activities
in ethical way they can set a positive image. Alongside, another alternative way is by
maintaining equality within business (Ghani, and Shaari, 2016). They can provide equal growth
opportunities to both men and women and equal pay. Apart from it, by eliminating
discrimination business role is to state that they value both men and women.
Business consists of both internal and external stakeholders. The internal are managers,
employees, etc. and external are government, customers, etc. The stakeholders are closely
engaged with business. Thus, any affect on business operation highly impact on stakeholder as
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well. Due to this public image is also been impacted. When any unethical practices are followed
by business the stakeholders are responsible for it. Likewise, in current scenario the stakeholder
that are impacted is senior management and employees. The managers are impacted in negative
way as they will get to know about gender pay gap. Therefore, it will create a bad image of
manager on external stakeholders. In addition, BOD may take legal action against them. Another
stakeholder that is impacted is employees. There will be negative image created in mind of
women when they get to know that they are been paid less. Along with it, in men staff mind as
well negative image is developed. This will affect on their efficiency and overall business
productivity. However, relationship between staff and management will not be strong. It may
lead to rise in conflict.
It has been analysed that business has to be responsible towards society. This enables in
benefiting them and creating a positive image. When a business takes good initiative it results in
their growth and development (Ikuabe, 2015). It can be in either to improve work culture or to
contribute towards society. Moreover, when things are done in favour of public there is rapid
growth and development. Furthermore, social development also occurs as way of living of
people is enhanced. Society becomes familiar with business actions and initiatives and support
them as well. The stakeholders are also involved in it and they start taking initiative.
Additionally, if I society business develop a reputed image then they are able to sustain for long
term. For example- IKEA has taken initiative to provide clean electricity to India and South
Africa. Through this, they have created a positive image in society. The company provided
electricity to over 1 million people in both countries. Thus, it shows that making a good choice
benefit companies. Another example can be taken of Ben and Jerry an ice cream company where
they contributed $1.8 million in community fund. The foundation was formed to support
community and social change. Also, the company have taken certain sustainability initiatives in
US. This benefited in favour of company as they set a positive image. However, many people get
to know that in what way business in contributing. With this there was rise in sales and revenue
of Ben and Jerry. The market value was increased and it resulted in building brand image in
mind of people. From previous research it is identified that Coca Cola also took an initiative in
1984 by forming Coca cola foundation. Since, then they have donated $820 million in women
empowerment. Furthermore, they provided clean drinking water and youth development.
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