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There is growing scholarly interest in the use of penalty in employment contracts which reduce employees' pay if the employee's performance does not meet a pre-specified performance threshold. Prior accounting research has focused exclusively on the effect of penalty on employee performance. In this study, the authors extend earlier research by examining how penalty affects the employers' wage offers. Prior research suggests that employers' generous wage offers in employment contracts are normally translated as trust by employees who in turn reciprocate with higher effort. The authors present a theory that predicts penalty reduces employers' wage offers. Then, the authors propose unrestricted communication between employers and employees as a potential moderator for the negative effect of penalty on trust and reciprocity.

The authors implement a controlled lab experiment with a 2 × 3 experimental design (Penalty: Present and Absent; and Communication: None, One-Way and Two-Way).

The authors develop their predictions by utilizing insights from motivational-crowding and organizational communication theories. The authors hypothesize and find evidence that employers' ability to penalize employees can reduce employers' motivation to offer generous wages. As a result, reduced trust demotivates employees to provide high effort. However, the authors find that a two-way communication moderates the negative effect of penalties by restoring trust, thereby, increasing reciprocity. Finally, the authors find evidence that relationship-oriented messages explain the moderating effect of communication.

This study is subject to limitations inherent in all experimental studies. The decisions in the study experiment are less complex than those found in practice. Moreover, there are significantly higher costs and potential benefits to shirk on effort in practice. The authors encourage future research on other organizational features that would influence the generalizability of their theory and results. Nonetheless, this study makes an important contribution to the literature on trust, reciprocity, gift-exchange contracts, managerial controls and communication.

This paper has several important implications for theory and practice. The authors show that the presence of penalty may not automatically result in increasing employees' effort level, contrary to traditional economic theory predictions. This effect is driven mainly by the crowding out effect of a penalty on employers' desire to signal trust. Therefore, the presence of an open communication channel may become an important tool to reverse the psychological effect of reduced trust when penalty is present. Therefore, the study's findings contribute to the trust–reciprocity literature on how management control system influences employers' and employees' behavior. These findings are especially germane given the trend in the workplace toward establishing open communication at different levels within the firm hierarchy. The study also contributes to the literature on trust–reciprocity as critical informal controls and social norms in accounting practices (Bicchieri, 2006; Stevens, 2019), shedding light on how firms may influence employees' reciprocity in management control practices and induce them to act in line with the firm's objectives by opening communication channels.

Prior accounting research document that penalty in employment contracts increases employee performance due to loss aversion. The study, however, demonstrates that the positive effect of penalty is not sustained in a gift-exchange contract. Specifically, the study's experimental results provide evidence that the availability of penalties can psychologically change the way employers perceive their decisions on offering generous wages (i.e. trust) and consequently reduce employees' reciprocation of high effort levels. Yet, the authors propose a two-way communication as a restorative mechanism for the lost trust. Implications for theory and practice are discussed.

The purpose of this paper is to propose an “extended conceptualization of the business case” including both organizational characteristics and institutional conditions to analyse employer involvement in extra statutory childcare and leave arrangements. Special attention is given to Central and Eastern European (CEE) countries.

The (multi‐level) multinomial regression analyses included company‐level data on human‐resource practices of 2,865 firms nested in 19 countries, representing all European welfare state regimes.

The extended business case appeared fruitful in order to explain variations in employer involvement. Particularly, state support was found to be negatively related to employer involvement. In the liberal regime, employer involvement was high, but variations across organizations were significant. In CEE‐countries, employer involvement was lowest, and did not vary by organizational business‐case factors.

The paper used data from a cross‐sectional survey. To capture the long‐term trends, dynamics and nuances in employer involvement within and across various institutional contexts, a longitudinal in depth study is needed.

While state support in many CEE countries is declining, the analyses showed that employers will not automatically step in by providing additional work‐family arrangements. Social partners could use institutional pressure to stimulate a balance between state support and employer involvement.

The extended business‐case perspective contributes to the theory on the institutional embeddedness of decision making of employers. Moreover, it adds to the knowledge on employer involvement in institutional contexts which have hardly been studied before.

We discuss workforce management, related to those aged 50+ , in the United Kingdom and the Republic of Korea. With international competitiveness becoming increasingly crucial, retaining the ‘right’ mix of employees to achieve strategic organisational goals is likely to determine organisational success. However, we argue that workforce management is not only influenced by organisational-level strategy but also by national institutional and sectoral policies. Decisions on whether and how to retain older workers are therefore (co-)determined by institutional incentives and barriers to doing so.

We find that British and Korean governments have legislated in favour of extended working lives and, hence, the retention of ageing workforces. In the United Kingdom, pension eligibility ages are being increased and in Korea mandatory retirement age has been raised to age 60. While changes to the UK pension systems leave individuals with the (financial) risks associated with extended working lives, the Korean government tries to protect individuals from financial hardship by enabling them to remain longer in their primary career. However, whether and how government regulation plays out depends on how organisations react to it. The Korean discussion, in fact, shows that there might be leeway: organisations might continue to externalise their employees early framed as honourable, or voluntary, early retirement, which might not be in the interest of the individual but very much in the interest of the organisation. It therefore appears as if the retention of ageing staff is not (yet) considered to be of strategic importance by many organisations in these countries.

Having discussed the growth and current status of company occupational pensions and the claimed role of pension provision in fostering employee loyalty to an organisation, this paper reports the findings of a research study that investigated employees’ perceptions of these types of pension scheme, a perspective that has hitherto been somewhat neglected. The findings show that, although employees had joined a company scheme largely automatically as a concomitant of employment, their current assessments of, and concerns about, different aspects of occupational pension schemes are framed in more nuanced, instrumental and individualistic terms: the attractive features of these schemes are not so much those that provide security for the employee as “breadwinner” and their dependants as those that offer a cost‐effective way for the individual to build up a fund for their own, possibly early, retirement. Company pension schemes are seen more as contingent private transactions than as part of long‐term stable commitments by and to an employer. On the basis of this evidence, it is argued that, if the employer is perceived as merely one possible pension provider among many, any link between pension provision and employee loyalty or commitment, a link that was always tenuous, is extremely fragile.

Increasing proportions of students are working part‐time in industries such as hospitality. To understand more about this phenomenon, 11 case studies of hospitality establishments employing a significant proportion of students were compiled by matching data provided by managers and students working in these establishments. Concludes that employers’ employment of student labour could be a combination of strategic choice and pragmatic response ‐ a kind of pragmatic strategy that may be tantamount to a “coincidence of varying interests”.

The changing demographics of talent market calls for a better understanding of the expectations of diverse job seekers. However, there is limited research on employer attractiveness (EA) factors which cover the expectations of new generation job seekers. The purpose of this paper is to examine the effect of career growth opportunities (CGO), work–life benefits (WLB) and corporate social responsibility (CSR) reputation on the perceived attractiveness of an organization as an employer and the job pursuit intention (JPI) of job seekers.

A 2 (CGO: many vs limited)×2 (WLB: many vs limited)×2 (CSR reputation: high vs low) between-subjects experimental design was used for this study. A total of 240 respondents participated in the study.

The results showed that provision of CGO had the highest effect on both EA and JPI. This effect was strong enough to compensate for limited WLB and a low CSR reputation. A significant interaction effect between CGO and CSR reputation revealed that the effect of CSR reputation on EA depends on the availability of many or limited CGO.

The study contributes and expands literature on attributes relevant in job choice decisions by providing useful insights regarding how job seekers weigh these attributes while making an employment choice. Also, the study offers suggestions for designing organizations’ recruitment strategy for attracting talent.

Men and women are now being admitted to membership of the major UK professional accountancy bodies in approximately equal numbers. This trend has focused attention on the ways in which professional accountants combine careers and family life, particularly when women have children. Recognising the limitations inherent in the widely‐used term “work‐life balance” that polarises life and work, this paper instead seeks to consider the “work‐lifestyle choices” made by female accountants. Work‐lifestyle choices refer to the ways in which people place different emphases on the work and private spheres, according to their individual circumstances. Feminist researchers have argued that women's work‐lifestyle choices have been limited by structural constraints. Over the past decade, a newer argument, preference theory, has emerged, suggesting that women's choices owe less to inequalities in the workplace and more to the preferences of individuals, particularly, but not exclusively, women. The purpose of this paper is to explore the work‐lifestyle choices made by female members of The Institute of Chartered Accountants of Scotland (ICAS), in terms of both structural constraints and preferences, in order to present a more holistic understanding of the work‐lifestyle choices made by this particular group of well‐educated, middle‐class women.

The paper combines feminist theory and preference theory in the context of the results of a questionnaire survey of female members of ICAS and 14 interviews with female members of ICAS.

The responses of these accountants suggest that, while structural constraints are evident, many work‐lifestyle choices were driven by a desire to spend more time with children, and by women's perceptions of their mothering role. Most women, while recognising the opportunities forgone, were nonetheless happy with the choices that they had made.

The paper contributes to the literature by examining the voices of female accountants in order to explore how perceived gender roles impact on career decisions and work‐lifestyle choices.

Purpose: The purpose of this chapter is to explore the use of employer branding as a key strategy in talent management, in an effort to retain employees in the context of the Irish hotel industry.

Methodology/Approach: This chapter was part of a wider body of research, and combines this discussion with a sequential mixed-method approach. Semi-structured interviews were conducted with 18 hotel general managers in Cork City/County, and these were combined with 417 employee questionnaires conducted in the same hotels.

Findings: This chapter finds that hoteliers in Ireland are aware of the necessity to tackle the area of employee retention, are conscious of the importance of positive employer branding to aid in decreasing employee turnover, but that many are just at the genesis of their journey in the area of talent management. Indeed, many hotels have not yet implemented a talent management plan into their organisation and need to be more innovative in their approach to talent management through positive employer branding.

Practical implications: Employees strongly believe that those hotels which possess a positive employer brand have more committed employees, while those with negative reputations in terms of their employment affect an employee’s intentions to leave the business. Therefore, employers must put strategies in place to enhance their employer brand if they are to attract and retain employees.

Social implications: The chapter makes recommendations to hotel managers as to how employer branding can be utilised as part of their overall talent management strategy to increase employee retention in a challenging employment market, improving overall performance, and leading to sustained competitiveness. The areas of talent management, employer branding, and employee retention are interlinked, and it is imperative that hotels implement strategic initiatives in these key areas.

Originality/value of paper: This chapter contributes to the overall talent management area, offering further guidance to operators who are embarking on this strategic direction. It supports the link between talent management and employer branding.

This study aims to explain the relationship between employer branding, social media, online reviews and intention to apply for a job vacancy (IAJV), which organizations should ponder upon while designing branding campaigns.

The sample belongs to 385 final-year management graduates and postgraduates enrolled in central universities in the state of Uttar Pradesh, India. The dual mediation model is tested by regression and PROCESS macro.

Out of five employer branding dimensions, three (corporate social responsibility, healthy work atmosphere and training and development) were found to be significant predictors of IAJV. On the other hand, the dimensions of compensation and benefits and work-life balance did not influence candidates’ intention to apply for a job. The findings indicate that social recruiting could act as an effective tool for leveraging an organization’s image as an employer and could communicate unique brand values to the target market. Moreover, review whether positive, negative or neutral attributes could help job seekers affirm and reaffirm employer branding attributes before applying for a job.

Studies in social media and employer branding areas lag far behind in practice, and the present research attempts to fill this research gap. A further contribution of this research work will be to assess the role of reviews for a meaningful analysis of potential employees’ intentions to apply in an organization.

This paper aims to set out to add to extant knowledge by delineating the content of employer of choice (EOC) regardless of sector and shedding light on the role of gender in the EOC profile. Becoming an employer of choice (EOC) is a strategy that can help organizations manage current and prospective employee expectations of their employment relationship.

Responses were gathered from 896 working adults. The questionnaire was developed by the researchers to reflect the employment experience. Parallel analysis and factor analysis were used to analyze the content of the EOC, and t-tests compares EOC factors between male and female individuals.

The results verify the multi-dimensionality of EOC and enrich its content. The most important facets of EOC for employees are the quality of workplace relationships, work prerequisites and satisfying work setting as the most important. With regards to how male and female employees perceive the EOC, both differences and similarities were found.

Key limitations pertain to its cross-sectional design, the fact that gender is examined in isolation of other forms of identity that may interact with gender, and the fact that all respondents were Greek and white-collar.

The findings can support HR and marketing managers in their effort to attract talented individuals and retain and activate talented employees.

Existing evidence identifies the profile of EOCs within specific sectors, while we construct an EOC profile that crosses sector boundaries. Moreover, it is the first time that research into EOC takes gender into consideration in a structured way to offer a clearer understanding of what is valued by individuals.