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CLASS 11: INEQUALITY, ORGANIZATIONS AND COVID-19Prof. Dr. Hannah Trittin-Ulbrich Leuphana University LüneburgSummer term 2020Hannah.trittin@leuphana.de

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1. Understand what social inequality is, and why it is important to study in the contextof organizations.

2. Reflect why organizations should have an interest in reducing inequality.3. Recognize the link between inequality and the political role of corporations.4. Understand how organizations create inequality and why organizational practices

that produce inequality are so persistent within organizations.

Learning aims

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Covid-19 is an equaliser, it shows nobody is safe from the virus!

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Wash your hands and keep your distance!

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Inequality: A global grand challenge

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— Inequality can be generally defined as the degree to which people are considered ortreated unequally, or experience unequal outcomes (Bapuji & Mishra, 2015).

— Relevant for organization studies: Demographic and economic inequality (Bapuji,& Mishra, 2015)

What is inequality?Defining inequality

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What is inequality?

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InequalityOrganizations

Organizations and inequality

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Value creationValue appropriationValue distribution

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Source: Bapuji et al. 2018

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Source: Amis et al. 2020

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— Inequality exists on the social but also on the organizational level.— While inequality can take many shapes, demographic and economic inequality are

of most interest to organization scholars.— Organizations affect inequality in society, but also inequality in society impacts

organizations.— Through CSR, organizations contribute to the reduction of inequalities; yet, this

raises crucial questions of accountability.— Through processes of value creation, value appropriation and value distribution,

business firms create inequality.— Institutionalized myths in organizational efficiency, meritocracy and positive

globalization facilitate the persistence of inequality.

Conclusion

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— In the pandemic, a strong focus is laid on the economic responsibilities ofcorporations (providing essential service, keeping their business running). Wheredoes this leave more vulnerable stakeholders, and what does this mean for CSR?

— Does the public debate on “system-relevant occupations” lead to more equalcompensation for low-wage jobs? Which conditions hinder or facilitate this process?

— Does the pandemic provide a sufficient disruption to challenge institutionalizedmyths about the positive sides of globalization and the overall functionality oftoday’s global economic system?

Studying organizations, inequality and Covid-19: New questions

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— Aguirre, M. (2020). The impact of COVID-19 is all down to inequality. Open Democracy,https://www.opendemocracy.net/en/impact-covid-19-all-down-inequality/ (accessed: April 9th, 2020)

— Amis, J. M., Mair, J., & Munir, K. A. (2020). The organizational reproduction of inequality. Academy of Management Annals,14(1), 195-230.

— Bapuji, H., Ertug, G., & Shaw, J. D. (2020). Organizations and societal economic inequality: a review and way forward.Academy of Management Annals, 14(1), 60-91.

— Bapuji, H., Husted, B. W., Lu, J., & Mir, R. (2018). Value creation, appropriation, and distribution: How firms contribute tosocietal economic inequality. Business & Society, 57(6), 983-1009.

— Scherer, A. G., Palazzo, G., & Trittin, H. (2015). The changing role of business in global society: Implications for governance,democracy, and the theory of the Firm. In Lundan, S. (Ed.). Transnational corporations and transnational governance (pp. 355-387). Palgrave Macmillan, London.

List of references

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Contact

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Leuphana University of LüneburgInstitute for Management and OrganisationProf. Dr. Hannah Trittin-UlbrichAssistant Professor for Business Administration, particularly Business EthicsUniversitätsallee 121335 Lüneburg

Hannah.trittin@leuphana.dehttps://www.leuphana.de/en/institutes/imo/persons/hannah-trittin.htmlTwitter: @HaTrittin