Company interests vs. employee interests

- Shareholders are the owners of the company. … And for a long time, modern corporate theory held … that it's their best interest … that people should have in mind when making decisions. … But, over the last few decades we've seen a move … from shareholder focus to stakeholder focus. … And stakeholders are any other group that has a stake … in what goes on in the company. … So, employees, customers, suppliers, even the community … they work in are obvious stakeholder groups. … And oftentimes their best interests are in conflict … with each another. … Now, in this scenario we're going to look at a situation … where what's best for the shareholders and the employees … might be different. … So, imagine Louis, the payroll clerk … at a manufacturing company, is set to retire … at the end of the month. … And they've hired a woman named Shirley to replace him. … Well, while Shirley's getting trained she notices … that the timecards show that some … of the second shift employees were getting paid …