Reassessing Loyalty in Contemporary Employment: The Ethics of Hiring Practices, Candidate Treatment, and Organisational Commitment

Abstract

Employee loyalty has traditionally been viewed as a positive quality that the workforce either possesses or lack. Declining loyalty is often explained as the result of the generational differences and changing culture and values. This paper argues that a different explanation is needed. Rather than reflecting a lack of commitment on the part of employees, declining loyalty can be understood as a reasonable response to changes in the way organisations treat their workforce. This paper uses insights from psychological contract theory, social exchange theory, and research on organisational justice, and has evaluated how common hiring practices, including candidate ghosting, opaque communication, revoked offers, and sudden layoffs, violate the trust and commitment of fairness, honesty and mutual respect that shapes the workplace relationship. These practices are evaluated using three ethical perspectives: deontology, utilitarianism, and contractarianism. These three approaches raise concern about employment practices that fail to treat individuals with fairness, transparency, and respect. Such practices can weaken trust in organisations and reduce employees’ willingness to remain committed. The paper concludes with a set of recommendations for ethical hiring practice, arguing that loyalty is a reciprocal relationship and not one-sided expectation on employees. Organisations must demonstrate trust and fairness through their actions for only then they can expect loyalty from the workers. It is essentially a give and take...