The key debates concern whether businesses must prioritize workers’ rights and fair treatment over lower costs and higher profits. Fair trade asks what producers deserve, while child labour raises conflicts between protecting children and responding to poverty.
Fair trade
Fair trade aims to provide producers with fairer prices, safer working conditions and stable trading relationships. A utilitarian may support it because improved wages can increase overall welfare for workers, families and communities. Critics argue that higher prices may reduce demand or benefit only certified producers.
From a deontological perspective, businesses must treat producers as ends in themselves rather than merely as inexpensive labour. The debate also concerns distributive justice: whether profits and opportunities are shared fairly across global supply chains.
Child labour
Child labour may violate children’s rights to education, safety and healthy development. Deontological ethics therefore often condemns exploitative labour regardless of the profits or consumer benefits it creates.
The utilitarian position is more complex. A ban could protect children from harm, but it might also remove income from families in severe poverty. Ethical policy may therefore require both prohibition of harmful work and action against its causes, including low adult wages and inadequate education.
| Ethical issue | Argument for intervention | Main complication |
|---|---|---|
| Fair trade | Fair wages respect dignity and improve welfare | Certification may raise prices or exclude some producers |
| Child labour | Children have rights to safety and education | Sudden bans may deepen household poverty |
| Corporate responsibility | Firms should prevent exploitation in supply chains | Responsibility is disputed when suppliers are independent |
Common misconception: business ethics is simply morality versus profit. Ethical analysis instead tests duties, consequences, rights and justice; responsible conduct may also support trust and sustainability.
Exam technique
For IB Philosophy, define the issue, apply two contrasting theories, state an objection and reach a justified conclusion. Do not merely describe the practices; evaluate whether an action is morally right and why.
