Equity

EQUITY

 

This principle tells that the managers should treat their subordinates in a just and kind manner so that they develop a feeling of dedication and attachment for their work. All the employees should be treated equally and impartially. Similar to the the subordination of individual interests to the common good, this principle proposes that organizations require employee commitment and compliance.

Fayol tells us in connection with this principle that there should not be any equality of treatment between a person whose work is really good and a person who is a shirker by nature. Rather, the latter should be treated sternly. Doing so would be equitable. It is because of this point of view that Taylor has presented his differential remuneration method.

“Equity and equality of treatment are aspirations to be taken into account in dealing with employees”, Fayol says. Clearly, this standard is not easily achieved, however, today’s work environment is arguably more equipped to tackle this issue than previous generations of corporations.

Now in society, to obtain high commitment, an organization must strongly consider the interests of its employees. In high commitment organizations, the relationship between labor and the organization is expanded well beyond the traditional arrangement. The employee becomes committed to the organization develops a sense of ownership among its employees. Today, US organizations are more committed to their employees’ welfare and to developing a greater sense of ownership among them than in the past.