national drilling company ships its only pump to american hydraulics corporation, the manufacturer, for repair. national hires overland transport, inc., to take the pump to american hydraulics and to return it to national as soon as the repair is complete. national is forced to suspend operations without a pump, but overland does not know this. national expects to be without the pump for five days and to lose profits of $5,000. when the pump is not returned by the end of the fifth day, national rents a pump at a cost of $100 per day. overland delays five more days before returning the pump. national files a suit against overland, asking for compensatory, consequential, and punitive damages. will national recover?

Ethics refers to fundamental principles of right and wrong; ethical behavior is behavior that is consistent with those principles. hrm decisions should be ethical, but the evidence suggests that is not always the case. many ethical issues in the workplace involve hrm. in the context of ethical human resource management, hr managers must view employees as having basic rights. in this activity, you will look at the four principles for ethical behavior and the basic rights employees should expect in the work environment. hr managers must view employees as having basic rights, for such a view reflects ethical principles embodied in the u.s. constitution and bill of rights. organizations often face situations in which the rights of employees are affected. ethical, successful companies act according to four principles: emphasizing mutual benefits, employees assuming responsibility for the actions of the company, companies having a sense of purpose or vision that employees value, and emphasizing fairness.