Christian Grund, Dirk Sliwka and Krystina Titz
We analyze the role of works councils for the use of performance appraisals (PA). We distinguish between the incidence of PA systems as intended by the firm and their actual…
Abstract
Purpose
We analyze the role of works councils for the use of performance appraisals (PA). We distinguish between the incidence of PA systems as intended by the firm and their actual implementation on the level of the individual employee.
Design/methodology/approach
We draw on two complementary data sets. These are the German Linked Personnel Panel (LPP), which combines firm-based information with information provided by several of those employees, and the German Socio-Economic Panel (SOEP), which is a representative longitudinal study of persons living in Germany.
Findings
We find that works councils tend to promote rather than restrict PA. Employees working in establishments with a works council are more likely to face a formal PA procedure. Works councils also act as a transmission institution for the actual use of an existing PA system – i.e. among the firms that claim to implement PA for all their employees, the likelihood of their employees actually having regular appraisals is substantially larger when works councils are in place. Moreover, the existence of works councils is positively related particularly to PA systems, which affects bonus payments.
Research limitations/implications
We contribute to the understanding of the work of works councils in firms. In more general, we shed light to the relation of industrial relations and human resource management in firms.
Practical implications
This result hints at a higher acceptance of PA systems in firms with works councils. It seems likely that the stronger formalization of such systems necessitated by codetermination laws increases the likelihood of supervisors consistently carrying out such appraisals.
Originality/value
We are the first who complement the analysis of the existence of HR practices (PA system) with its actual use for employees.
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Benedikt Gerst and Christian Grund
Career interruptions of employees imply important issues for both firms and individuals, including a possibly lower compensation after returning to a job. Different compensation…
Abstract
Purpose
Career interruptions of employees imply important issues for both firms and individuals, including a possibly lower compensation after returning to a job. Different compensation components are explored, as bonus payments frequently complement fixed salaries for many employees, making various channels of lower compensation possible. This paper aims to discuss this issue.
Design/methodology/approach
This study is based on a yearly salary survey among a rather homogeneous group of professionals and middle managers from the German chemical sector, which contains detailed information on compensation components next to individual and job characteristics. The incidence and duration of past career interruptions act as the most important independent variables. Mincer-type wage regressions are complemented by estimations on wage increases.
Findings
The results show that career interruptions are more related to lower subsequent bonus payments than they are to fixed salaries. Furthermore, interruptions caused by unemployment are associated with higher interruption pay gaps than those resulting from other reasons such as parental leave. The results even hint for catch-up effects following parental leave with regard to higher wage increases compared to individuals without interruptions. Career interruptions are more prevalent for female managers offering an explanation for a considerable part of gender pay gaps. Wage losses after career interruptions are more pronounced for male employees than they are for females, though.
Originality/value
This study extents the literature by disentangling the relation of career interruptions and different compensation components, bonus payments next to fixed salaries in particular. The role of interruption type and gender are also taken into account so that the paper deepens the understanding of the role of past career interruptions for employees’ remuneration.
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Christian Grund and Niels Westergaard‐Nielsen
Given the ongoing demographic change in European countries, this paper aims to explore empirically the link between age structures of employees in firms and firm performance.
Abstract
Purpose
Given the ongoing demographic change in European countries, this paper aims to explore empirically the link between age structures of employees in firms and firm performance.
Design/methodology/approach
Based on theoretical considerations, the paper examines the link between both the average age and the standard deviation of employees' age and firms' value added per employee. Linked employer employee data of all private‐sector firms in Denmark with at least 20 employees is used.
Findings
A pyramidal or inverse U‐shaped interrelation is found between mean age and standard deviation of age and value added per employee, respectively.
Research limitations/implications
It would be interesting to determine whether the results hold for different countries with other institutional environments.
Originality/value
This is the first paper to examine the link between corporate age structures and firm performance for a whole country. The paper gives insights for both academic scholars and practitioners, who may take the results into account in formulating an efficient personnel policy.
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Nobody concerned with political economy can neglect the history of economic doctrines. Structural changes in the economy and society influence economic thinking and, conversely…
Abstract
Nobody concerned with political economy can neglect the history of economic doctrines. Structural changes in the economy and society influence economic thinking and, conversely, innovative thought structures and attitudes have almost always forced economic institutions and modes of behaviour to adjust. We learn from the history of economic doctrines how a particular theory emerged and whether, and in which environment, it could take root. We can see how a school evolves out of a common methodological perception and similar techniques of analysis, and how it has to establish itself. The interaction between unresolved problems on the one hand, and the search for better solutions or explanations on the other, leads to a change in paradigma and to the formation of new lines of reasoning. As long as the real world is subject to progress and change scientific search for explanation must out of necessity continue.
The authors review the German voluntary turnover literature and examine how it reflects and extends the overall knowledge of employee turnover. First, the authors describe legal…
Abstract
The authors review the German voluntary turnover literature and examine how it reflects and extends the overall knowledge of employee turnover. First, the authors describe legal, institutional, and cultural influences specific to Germany that may affect voluntary turnover and its relationships with antecedents and outcomes. The authors then explain how research paradigms, which in German turnover research are primarily embedded in sociology and labor economics and to a lesser degree psychology and management, affect the lens by which voluntary turnover is examined. For instance, the variety of research perspectives leads to a variety of research questions, theories, data, and methodological approaches. Using these diverse perspectives, the authors explain how measurement and data quality concerns may hamper the understanding of turnover in cross-country/cross-cultural comparisons. This review further reveals many similarities with US-based turnover research, regarding the theories, methods, and results. The authors also find that turnover levels are, on average, considerably lower in Germany than in Anglo-Saxon labor markets. The authors suggest that the industry structure in Germany, coined by its strong and traditionally organized “Mittelstand” companies, may partly drive these findings. The authors close by identifying several research opportunities, available through advances in technology to improve the matching process, nonstandard work arrangements (such as in the gig economy), and a broader perspective on institutional peculiarities.
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Samantha A. Conroy, Nina Gupta, Jason D. Shaw and Tae-Youn Park
In this paper, we review the literature on pay variation (e.g., pay dispersion, pay compression, pay range) in organizations. Pay variation research has increased markedly in the…
Abstract
In this paper, we review the literature on pay variation (e.g., pay dispersion, pay compression, pay range) in organizations. Pay variation research has increased markedly in the past two decades and much progress has been made in terms of understanding its consequences for individual, team, and organizational outcomes. Our review of this research exposes several levels-related assumptions that have limited theoretical and empirical progress. We isolate the issues that deserve attention, develop an illustrative multilevel model, and offer a number of testable propositions to guide future research on pay structures.
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Kristin L. Cullen-Lester, Caitlin M. Porter, Hayley M. Trainer, Pol Solanelles and Dorothy R. Carter
The field of Human Resource Management (HRM) has long recognized the importance of interpersonal influence for employee and organizational effectiveness. HRM research and practice…
Abstract
The field of Human Resource Management (HRM) has long recognized the importance of interpersonal influence for employee and organizational effectiveness. HRM research and practice have focused primarily on individuals’ characteristics and behaviors as a means to understand “who” is influential in organizations, with substantially less attention paid to social networks. To reinvigorate a focus on network structures to explain interpersonal influence, the authors present a comprehensive account of how network structures enable and constrain influence within organizations. The authors begin by describing how power and status, two key determinants of individual influence in organizations, operate through different mechanisms, and delineate a range of network positions that yield power, reflect status, and/or capture realized influence. Then, the authors extend initial structural views of influence beyond the positions of individuals to consider how network structures within and between groups – capturing group social capital and/or shared leadership – enable and constrain groups’ ability to influence group members, other groups, and the broader organizational system. The authors also discuss how HRM may leverage these insights to facilitate interpersonal influence in ways that support individual, group, and organizational effectiveness.
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To determine where, when, how, and wherefore European social theory hit upon the formula of “the True, the Good, and the Beautiful,” and how its structural position as a skeleton…
Abstract
Purpose
To determine where, when, how, and wherefore European social theory hit upon the formula of “the True, the Good, and the Beautiful,” and how its structural position as a skeleton for the theory of action has changed.
Methodology/approach
Genealogy, library research, and unusually good fortune were used to trace back the origin of what was to become a ubiquitous phrase, and to reconstruct the debates that made deploying the term seem important to writers.
Findings
The triad, although sometimes used accidentally in the renaissance, assumed a key structural place with a rise of Neo-Platonism in the eighteenth century associated with a new interest in providing a serious analysis of taste. It was a focus on taste that allowed the Beautiful to assume a position that was structurally homologous to those of the True and the Good, long understood as potential parallels. Although the first efforts were ones that attempted to emphasize the unification of the human spirit, the triad, once formulated, was attractive to faculties theorists more interested in decomposing the soul. They seized upon the triad as corresponding to an emerging sense of a tripartition of the soul. Finally, the members of the triad became re-understood as values, now as orthogonal dimensions.
Originality/value
This seems to be the first time the story of the development of the triad – one of the most ubiquitous architectonics in social thought – has been told.
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Kristina Langnäse, Inga Asbeck, Mareike Mast and Manfred J. Müller
The objective of this paper is to assess the effect of the socio‐economic status (SES) on long‐term outcomes of a family‐based obesity treatment intervention in prepubertal…
Abstract
The objective of this paper is to assess the effect of the socio‐economic status (SES) on long‐term outcomes of a family‐based obesity treatment intervention in prepubertal children. A total of 52 overweight and 26 normal weight children were investigated. Nutritional status, intake of fruit, vegetables and low fat foods, in‐between meals, sports club membership, frequency of exercise and daily television viewing were measured before intervention (t0 and after a mean period of 1.3 years (t1. The result obtained indicate that a low SES may serve as a barrier against family‐based intervention. The data provide evidence for the idea that there is need for social stratification of future measures of health promotion within families.
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Christian Julmi, José Manuel Pereira, Jack K. Bramlage and Benedict Jackenkroll
Although the literature shows that ethical leadership reduces the risk of burnout, research still lacks a comprehensive understanding of the mediating effects between ethical…
Abstract
Purpose
Although the literature shows that ethical leadership reduces the risk of burnout, research still lacks a comprehensive understanding of the mediating effects between ethical leadership and burnout. As media reports on working conditions in the academic context often tie the problem of unethical leadership practices to illegitimate tasks, this study focuses on illegitimate tasks as a mediator between ethical leadership and burnout.
Design/methodology/approach
The research model is tested using structural equation modeling and data from 1,053 doctoral and postdoctoral students in randomly selected German state universities.
Findings
The results significantly support all hypothesized effects, showing direct correlations between (1) ethical leadership and illegitimate tasks, (2) ethical leadership and burnout facets and (3) illegitimate tasks and burnout facets. The relationship between ethical leadership and burnout is thus partially mediated by illegitimate tasks.
Practical implications
The authors recommend three major fields of action for practice. These fields comprise (1) the leadership situation, (2) the leader and (3) the follower.
Originality/value
The presented model is the first that connects the relationship between ethical leadership and burnout with illegitimate tasks and looks at ethical leadership from a stress-as-offense-to-self (SOS) perspective.