What Legal And Ethical Responsibilities Does A Firm Have To Its Employees When A Decision To Cease Operations Is Made?


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4. What legal and ethical responsibilities does a firm have to its employees when a decision to cease operations is made?

The legal and ethical responsibilities a firm has to its employees when a decision to cease operations is made are:
- The management in Southern Recreational Vehicle Company should be aware of the relocating decision results. Such a decision would lead to Unemployment the staff who can’t work for the company in its new location. So, in his announcement, O’Brian mentioned that he is willing to help the employees to find another jobs.
- Before moving to the new location, the company should give its employees some training programs which will help them a lot to find new jobs easily. The company also should give these employees their financial benefits such as End-of-service bonus. In addition, the company should ease the employees’ resignation process such as clearance letters, experiences letters and recommendation letters.
- The company may suggest other companies which it has business ship with to hire the old employees and take advantage of their experience.

Thus, the company can move to its new location without facing any pressure from its old employees or from the union.

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