Honesty Testing at Carter Cleaning Company.
Read the article and answer the questions:
1. What would be the advantages and disadvantages to Jennifer's company of routinely administering honesty tests to all its employees?
2. Specifically, what other screening techniques could the company use to screen out theft-prone and turnover- prone employees, and how exactly could these be used?
3. How should her company terminate employees caught stealing, and what kind of procedure should be set up for handling reference calls about these employees when they go to other companies looking for jobs?

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1. The advantages of routine honesty testing outweigh its disadvantages. Firstly, routine administration of honesty tests to all employees has been proven to produce valid inferences for organizational outcomes ranging from performance to inventory shrinkage. Secondly, it helps to reduce business costs because the company will be able to identify employees who are likely to engage in theft. This will allow Jennifer to replace such employees before they commit these acts. Thirdly, it will help to instill the message that Jennifer highly values integrity in the company’s employees. Routine honesty tests will therefore act as a reminder of the value that the company places on integrity and its expectations of employees.
Another core advantage of routinely administering honesty tests to all employees is that these tests are less likely to differ in results based on differences such as gender or race. Honesty tests show...

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