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The purpose of this paper is to develop a conceptual framework that clarifies the construct of pay secrecy.
Abstract
Purpose
The purpose of this paper is to develop a conceptual framework that clarifies the construct of pay secrecy.
Design/methodology/approach
Paralleling organizational justice research, two continua of pay information – a distributive continuum about pay raise outcomes and a procedural continuum of pay raise processes – are crossed to produce a 3 × 3 matrix with nine distinct forms of pay communication.
Findings
Drawing on the substitutability effect from the organizational justice literature, the matrix highlights the importance of considering how the communication of different types of pay information interact with one another as individuals form pay perceptions.
Research limitations/implications
The matrix framework illustrates that not only information content shapes pay perceptions, but also the extent to which different types of pay information are communicated, and how these different types of information interact. As with any conceptual framework, the current manuscript is limited by a lack of empirical testing.
Practical implications
Managers should be cognizant of the many different ways in which pay information can be communicated. A call is made to reconsider the use of traditionally binary terminology (secret or not) in favor of more accurate descriptions of the nuanced ways in which organizations communicate pay information.
Originality/value
The value of the pay communication matrix lies in the nine unique forms of pay communication arising from the interaction of two different forms of pay information – distributive (outcomes) and procedural (process).
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Ingrid Y. Lin and Karthik Namasivayam
The present study aims to examine the different restaurant tipping systems on perceived fairness, distributive justice, and control from employees' perspective.
Abstract
Purpose
The present study aims to examine the different restaurant tipping systems on perceived fairness, distributive justice, and control from employees' perspective.
Design/methodology/approach
Five different written scenarios of tipping systems were depicted in the present study. A total of 205 restaurant employees were assigned to each of the five groups and responded to a written scenario. Data were collected during the restaurants' briefings. Participants were asked to read the scenario and to fill out a survey instrument. Researchers administered surveys to 12 different casual‐dining, full‐service restaurants.
Findings
Results indicate that when the service charge is added onto customers' bill and onto all tips collected for equal distribution among servers, this enhanced the employees' perception of fairness and distributive justice. Further, the traditional (non‐equal sharing) tipping system of keeping tips all to oneself is perceived as most fair and just to participants. However, in terms of equal sharing of tips, employees perceived sharing among all servers as more fair than the other tipping systems that include back‐of‐the‐house employees.
Research limitations/implications
The current study has a number of limitations. First, researchers had very little control with regard to the accuracy of the procedure due to the use of professional‐oriented sample versus student‐oriented sample. Consequently, some demographic data were missing. Second, as much as the authors would like more back‐of‐the‐house participants, the majority of the participants (94 percent) were front‐line servers of the restaurants. Third, the results of this study can only be generalized to restaurant employees in casual full‐service dining restaurants. Finally, there is limited literature available specifically focusing on employees' preferences of different restaurant tipping systems; as a result consider this study as exploratory research.
Practical implications
In order to satisfy FOH employees, restaurant managers should consider implementing tipping systems that permit front‐line servers to keep all the tips they earn to themselves. In some conditions, it is appropriate to include a service charge – the sample indicated this system as the next best choice.
Originality/value
No research has been done investigating the different restaurant tipping systems and on perceived fairness, distributive justice, and control from employees' perspective in actual restaurant settings using professional‐oriented sample, and including front‐ and back‐of‐the‐house employees.
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Jorge Buzaglo and Alvaro Calzadilla
The purpose of this paper is to evaluate the viability for Bolivia of attaining the United Nations millennium development goal established in year 2000, of halving extreme poverty…
Abstract
Purpose
The purpose of this paper is to evaluate the viability for Bolivia of attaining the United Nations millennium development goal established in year 2000, of halving extreme poverty by 2015.
Design/methodology/approach
The study is based in numerical simulation with a model of the Bolivian economy. The model pertains to the (widely defined) family of dynamic input‐output models, and represents in detail income distribution, by size and socioeconomic class.
Findings
The millennium development goal of halving extreme poverty by 2015 seems to be a difficult, but attainable goal for Bolivia. Given the expected debt reduction agreed with international creditors, the goal can be attained by a combination of investment and redistribution policies.
Research limitations/implications
It is implied that a new approach to development strategy is adopted. A new policy consensus is assumed to supplant the Washington Consensus. The new consensus model is based on objectives such as policy autonomy, structural change, and distributive justice. Poverty reduction strategy is a combination of policies associated with these objectives, viz. foreign debt policy, investment policy, and income distribution policy.
Practical implications
The study shows that capital account regulation, investment planning and redistributive policies might conform effective strategies for attaining the millennium development goals.
Originality/value
The study represents a different approach to poverty reduction strategy, which explores the economy‐wide effects of new policy instruments, particularly on growth capacity, output structure, and income distribution.
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Addresses the standardization of the measurements and the labels for concepts commonly used in the study of work organizations. As a reference handbook and research tool, seeks to…
Abstract
Addresses the standardization of the measurements and the labels for concepts commonly used in the study of work organizations. As a reference handbook and research tool, seeks to improve measurement in the study of work organizations and to facilitate the teaching of introductory courses in this subject. Focuses solely on work organizations, that is, social systems in which members work for money. Defines measurement and distinguishes four levels: nominal, ordinal, interval and ratio. Selects specific measures on the basis of quality, diversity, simplicity and availability and evaluates each measure for its validity and reliability. Employs a set of 38 concepts ‐ ranging from “absenteeism” to “turnover” as the handbook’s frame of reference. Concludes by reviewing organizational measurement over the past 30 years and recommending future measurement reseach.
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Pedro Esteban Moncarz and Sergio Victor Barone
Brazil, a large developing economy whose main exports consist of primary commodities, benefited greatly from the boom in commodity prices during the first decade of the current…
Abstract
Purpose
Brazil, a large developing economy whose main exports consist of primary commodities, benefited greatly from the boom in commodity prices during the first decade of the current century. However, with a large share of its population with low and very low incomes, there is a potential for some adverse redistributive effects. The purpose of this paper is to address this issue by simulating the ex ante effects using a mixed endogenous–exogenous social accounting matrix (SAM) price model.
Design/methodology/approach
The methodology consists of two parts. First, using a mixed endogenous–exogenous SAM price model, the authors obtain the elasticities of domestic prices (goods, services and factors) in response to the increase in international prices of three types of commodities: agricultural, oil/gas and minerals. Second, the authors run micro-simulations at the household level on welfare effects, as well as on some distributive indices. Analysis at the regional level is also carried out.
Findings
Following increases in the international prices of primary commodities, the responses of internal prices (goods, services and factors) mean a welfare loss all over the entire distribution of household per capita expenditure; the least affected are those households at the low end and around the median of the distribution. However, the differences among households are not very important. Moreover, once we take into account government transfers and payments from social security, the magnitude of the effects reduces even further. Also, inequality indices and poverty rates show little responsiveness to the simulated shocks. Finally, poorer regions are the most likely to be affected, but also the distribution of effects across households shows differences between regions.
Originality/value
Economies with comparative advantages in the production of primary commodities can benefit at a macro-level from the increase in the international prices of such commodities. However, when a large part of the population spends a high proportion of its income on goods whose prices may be affected by the increase in commodity prices, there is a room for some undesirable effects from a redistributive standpoint. This study provides valuable results about such potential effects for Brazil, a large developing economy.
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Fabio Cassia, Sven A. Haugland and Francesca Magno
While studies about business-to-business (B2B) relationships have mainly addressed buyer–supplier long-term exchanges, focusing on social outcomes such as trust, commitment and…
Abstract
Purpose
While studies about business-to-business (B2B) relationships have mainly addressed buyer–supplier long-term exchanges, focusing on social outcomes such as trust, commitment and cooperation, there is little research that explores the social outcomes which stem from short-term B2B transactions. The purpose of this paper is to explain buyers’ intention to renew a contract after discrete and time-delimited transactions by suggesting a model that complements social exchange theory with theories of fairness. In detail, this study aims to determine how evaluations of economic and social outcomes are complemented by both procedural fairness and distributive fairness.
Design/methodology/approach
The hypotheses are tested in the social couponing industry with a survey of a sample of 199 firms purchasing advertising services from daily deal websites. Data are analyzed using covariance-based structural equation modeling (CB-SEM).
Findings
The findings reveal direct effects of procedural fairness on social outcomes (satisfaction) and distributive fairness on the intention to renew a contract, negative moderating effect of procedural fairness on the relationship between economic outcomes (campaign effectiveness) and social outcomes (satisfaction).
Research limitations/implications
In discrete, time-delimited transactions, high levels of procedural fairness may partially compensate for low levels of economic outcomes and prevent a reduction in social outcomes. Hence, when economic outcomes are influenced largely by external, uncontrollable conditions, the buyer seems to appreciate the supplier’s efforts to behave fairly.
Practical implications
Social outcomes matter even in discrete transactions and considerations of fairness should be integrated in the management of discrete transactions. Sharing economic outcomes fairly is not sufficient to secure the buyer’s intention to renew the contract.
Originality/value
This study proposes and tests a model that complements social exchange theory with theories of fairness and explains contract renewal in discrete, time-delimited transactions, encompassing both economic outcomes and social outcomes.
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Deepu Kurian and Fredrick M. Nafukho
The primary purpose of this study was to determine the relationship between a positive style of leadership, specifically authentic leadership, and organizational justice…
Abstract
Purpose
The primary purpose of this study was to determine the relationship between a positive style of leadership, specifically authentic leadership, and organizational justice perceptions of employees' in the hotel industry. The following research questions guided the study: What relationship existed between hotel employees' perception toward authentic leadership and organizational justice? What relationship existed between hotel employees' perception toward authentic leadership and distributive justice, procedural justice, interactional justice and informational justice dimensions? What relationship existed among hotel employees' perception toward organizational justice, authentic leadership and their demographic background?.
Design/methodology/approach
The study approached the research questions from a quantitative, non-experimental research perspective utilizing a cross-sectional survey and descriptive correlational design, which describes the relationship or association between two or more variables in the study which are authentic leadership and organizational justice.
Findings
The results indicate that authentic leadership has a strong relationship with hotel employees' organizational justice perceptions, and authentic leadership predicted the employees' perceptions of organizational justice. Authentic leadership is a relative new leadership approach rooted in positive psychology emphasizing on the ethical and moral aspects of leadership, and the results of the study found that when employees perceive their leaders to follow the authentic leadership paradigm, they also perceive high levels of organizational justice. Authentic leadership has stronger relationships with informational and interpersonal dimensions of justice which implies that authentic leaders are strategic in their interactions with their employees. The results also imply that when employees perceive justice in terms of procedures and outcomes, they believe that organizations determine those more than their supervisors.
Research limitations/implications
The differences in the strengths of relationship between authentic leadership and structural forms of justice (distributive and procedural), and authentic leadership and interactional forms of justice (informational and interpersonal), have implications for both justice and leadership theories. The results suggest that authentic leader behaviors create a fair climate – an interpersonally and informationally fair climate which promotes all forms of justice perceptions in individual followers. However, it needs to be further researched whether leaders with high interpersonal skills and information-sharing abilities showing consideration and respect to employees may result in higher levels of organizational justice perceptions. Thus, further research is needed to determine the relationship of authentic leadership and each of the organizational justice (distributive, procedural, informational and interpersonal) dimensions, which may provide more insights as to whether leader behavior contains element of justice itself.
Practical implications
The findings showcase the need for organizations in the hotel and hospitality industry to establish programs that focus on leadership practices which improve employees' perceptions of organizational justice and, in turn, lead to positive organizational outcomes including reducing the considerable costs of employee turnover. It is also important that employees are aware of the policies and procedures and have a perception that they can connect and communicate to their supervisors and managers.
Social implications
This study falls into the larger conversation of social justice and how an organization's leadership can be a strong associate for social justice movements by supporting equity within the organization.
Originality/value
The study integrates leadership and justice theories in a hotel context. The results of this study may motivate hospitality/ hotel leaders to include authentic leadership development as an actionable strategy to bolster fairness and mitigate some of the negative features of the industry.
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Paul W. Thurston and Laurel McNall
The purpose of this paper is to explore the underlying structure of employees' justice perceptions in the context of their organizations' performance appraisal practices.
Abstract
Purpose
The purpose of this paper is to explore the underlying structure of employees' justice perceptions in the context of their organizations' performance appraisal practices.
Design/methodology/approach
Ten multi‐item scales were designed to measure the perceived fairness of performance appraisal practices. A nested confirmatory factor analysis of employee responses (n=188) compared the four justice dimensions (i.e. procedural, distributive, interpersonal, informational) to five plausible alternatives. Construct validity was demonstrated through a structural equation model of matched employee and supervisor responses (n=117).
Findings
The confirmatory factor analysis showed evidence of four distinct but highly correlated justice constructs. Results supported hypothesized relationships between procedural justice and helpful behaviors toward the organization via appraisal system satisfaction; distributive justice with appraisal satisfaction; and interpersonal and informational justice and helpful behaviors toward the supervisor via supervisor satisfaction.
Practical implications
This study underscores the importance of fostering perceptions of justice in the context of performance appraisal. The scales developed in this study could be used to isolate potential problems with an organization's performance appraisal practices. Originality/value – The paper integrates prior research concerning the positive effects of procedural, distributive, interpersonal, and informational justice on affective and behavioral responses towards performance appraisals.
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This paper aims to focus on the distributive implications of trade by studying how manufacturing workers’ relative earnings and employment have changed in post–North American Free…
Abstract
Purpose
This paper aims to focus on the distributive implications of trade by studying how manufacturing workers’ relative earnings and employment have changed in post–North American Free Trade Agreement (NAFTA) Mexico (1995-2011).
Design/methodology/approach
Input–Output analysis and inequality analysis were combined to reveal the empirical relationship between trade, wage inequality and employment in the manufacturing sector in post-NAFTA Mexico.
Findings
The results reveal that the manufacturing sectors that produce for the export market tend to pay among the lowest wages and yet employ around half of the manufacturing working population; wages in labor-intensive sectors have not been increasing, while wage inequality has been rising; and employment creation due to trade is not always positive and sustained, hence does not seem to be a stable source of jobs. The paper concludes by discussing policy implications of the findings.
Originality/value
The main focus of the existing literature has been to explain the disconnection between trade and growth. This paper shifts the focus towards the distributive dimension of trade (rather than growth) by focusing on how manufacturing workers' relative earnings and employment have changed in post-NAFTA Mexico (1995-2011). Hence it attempts to contribute to the existing literature on the distributive implications of trade.
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This paper aims to explore the relationship between procedural, interpersonal, informational, and distributive justice and negotiator outcome satisfaction and desire for future…
Abstract
Purpose
This paper aims to explore the relationship between procedural, interpersonal, informational, and distributive justice and negotiator outcome satisfaction and desire for future negotiations (DFNs).
Design/methodology/approach
This research invokes and builds theories suggesting a link between perceptions of fair treatment and counterfactual generation. Data come from freely interacting negotiating dyads comprised of undergraduate students.
Findings
One's own outcomes obtained, procedural, informational, and distributive justice perceptions each uniquely predicted negotiator outcome satisfaction. Procedural and informational justice perceptions also indirectly affected outcome satisfaction through their effect on distributive justice perceptions. In turn, outcome satisfaction, and informational and interpersonal justice perceptions each uniquely predicted DFNs.
Research limitations/implications
While this study reveals an important set of effects for study, it is correlational in nature. Future research should experimentally manipulate fair treatment to provide a true experiment and should also test the proposed mediators.
Practical implications
This paper suggests that listening to the other party, treating him or her with respect and dignity, and explaining oneself can have powerful consequences for the other party's outcome satisfaction and DFNs. Each of these, in turn, can affect one's own long run well‐being.
Originality/value
This is the first empirical study linking procedural and informational justice perceptions and negotiator outcome satisfaction. It is one of the few studies exploring a unique relationship between outcome satisfaction and procedural justice and may be the only one doing so with interactional justice in any setting. It investigates the effects of perceived fair treatment among relative equals rather than in the context of superiors and subordinates.
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