James W. Hesford, Mary A. Malina and Mina Pizzini
We investigate outcomes associated with the turnover of unskilled workers, isolating its effects on revenue, cost, and profit. Little attention from researchers has been given to…
Abstract
Purpose
We investigate outcomes associated with the turnover of unskilled workers, isolating its effects on revenue, cost, and profit. Little attention from researchers has been given to unskilled workers, a significant portion of the workforce.
Methodology/approach
This study investigates the relation between turnover among unskilled workers and financial performance using data from 527 hotels owned by the same lodging chain. The workers in our sample are full-time housekeepers and front desk attendants.
Findings
We find that the relation between turnover and performance differs by turnover type (voluntary vs. involuntary) and category of unskilled worker, reiterating the need to differentiate between turnover type and the importance of context in studying turnover. We challenge the assumption that voluntary turnover is categorically harmful and our results for front desk attendants support the view that organizations choose turnover levels that maximize performance. We also provide new evidence on the effects of involuntary turnover. Contrary to the established notion that dismissing less able employees should improve performance, we find that involuntary turnover has negative consequences.
Research limitations/implications
Our results demonstrate the importance of distinguishing voluntary turnover from involuntary turnover and the need to include both in models predicting turnover’s performance effects.
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In this article we consider the question of discrimination against black workers and female workers. We do not discuss the issue of discrimination as it applies within the ranks…
Abstract
In this article we consider the question of discrimination against black workers and female workers. We do not discuss the issue of discrimination as it applies within the ranks of white males. Analysis of the relationship between earnings and schooling would suggest that discrimination against this latter group mainly takes the form of unequal opportunity in the acquisition of schooling—that is, it occurs prior to labour market entry rather than within the market. Our focus upon blacks and female workers may be justified on the grounds that discrimination against such groups is said to be considerably more widespread. Our analysis is also restricted, for reasons of space, to a consideration of differences in earnings and occupations, omitting questions of unemployment.
The study is concerned with contrasting and explaining the influence of family background on pay in America and Britain. A particular concern of the study is whether Britain is…
Abstract
The study is concerned with contrasting and explaining the influence of family background on pay in America and Britain. A particular concern of the study is whether Britain is too “difficult” for those without family connections in the business world to become managers.
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John G. Sessions and Nikolaos Theodoropoulos
Efficiency wage theory predicts that firms can induce worker effort by the carrot of high wages and/or the stick of monitoring worker performance. Another option available to…
Abstract
Efficiency wage theory predicts that firms can induce worker effort by the carrot of high wages and/or the stick of monitoring worker performance. Another option available to firms is to tilt the remuneration package over time such that the lure of high future earnings acts as a deterrent to current shirking. On the assumption that firms strive for the optimal trade-off between these various instruments, we develop a two-period model of efficiency wages in which increased monitoring attenuates the gradient of the wage-tenure profile. Our empirical analysis, using two cross sections of matched employer-employee British data, provides robust support for this prediction.
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David Lewin and Bruce E. Kaufman
Volume 12 of Advances in Industrial and Labor Relations (AILR) contains eight papers that deal with contemporary and historical aspects of unionism and other forms of union…
Abstract
Volume 12 of Advances in Industrial and Labor Relations (AILR) contains eight papers that deal with contemporary and historical aspects of unionism and other forms of union representation, union-management relations, union political activity, labor market regulation, and interpretations of selected leading labor scholars’ writings about the evolution of welfare capitalism in the U.S. Four of these papers, by Daniel & Siebert, Borgers, Rubinstein, and Pereles, were winners of the 2002 AILR/Industrial Relations Research Association (IRRA) “best papers” competition.1
Kirsten Daniel and W.S Siebert
The study analyses production worker hiring standards based on time series personnel records drawn from matched plants in the U.S., U.K., Italy, the Netherlands and Belgium. Our…
Abstract
The study analyses production worker hiring standards based on time series personnel records drawn from matched plants in the U.S., U.K., Italy, the Netherlands and Belgium. Our hypothesis is that labor market regulation pushes upwards hiring standards for production workers. Labor market regulation is measured both by an employment protection index, and by workforce average tenure as a proxy for insider power. We find that the average tenure variable gives more robust results than the index. Its effect is to increase education standards, but to reduce starting age standards. The expected positive effect of employment protection on hiring standards is found in simple regressions, but is not generally supported by the multivariate analysis once other influences are held constant. However, union density is found to increase hiring standards, and might take over the effect of employment protection as an indicator of overall regulatory pressure. We also find a strong substitutability between recruits’ prior experience and education. This substitutability indicates the power of education to widen job opportunities for inexperienced workers.
Carolina Castagnetti, Luisa Rosti and Marina Töpfer
This paper analyzes the age pay gap in Italy (22%), particularly as it is of interest in an aging society and as it may affect social cohesion. Instead of the traditional approach…
Abstract
This paper analyzes the age pay gap in Italy (22%), particularly as it is of interest in an aging society and as it may affect social cohesion. Instead of the traditional approach for model selection, we use a machine-learning approach (post double robust Least Absolute Shrinkage Operator [LASSO]). This approach allows us to reduce Omitted Variable Bias (OVB), given data restrictions, and to obtain a robust estimate of the conditional age pay gap. We then decompose the conditional gap and analyze the impact of four further potential sources of heterogeneity (workers', sectors', and occupations' permanent heterogeneity as well as sample selection bias). The results suggest that age discrimination in pay is only perceived but not real in Italy for both men and women.
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Magda M. du Preez, Hendrik S. Kriek and Jeremy Albright
Purpose – The aim of this study is to determine the impact of feeling bored on managers' decision-making in the digital age under conditions of increased uncertainty by examining…
Abstract
Purpose – The aim of this study is to determine the impact of feeling bored on managers' decision-making in the digital age under conditions of increased uncertainty by examining the role of personality trait openness and empirically testing such relationships within the context of retail middle managers.
Design/methodology/approach – Feeling bored was defined within a broader Decision-Making Process Model, which included the personality trait openness. An empirical study with retail middle managers was conducted to examine the relationships between feeling bored and decision-making competence (DMC). Regression models were fit to test whether feeling bored affects DMC and whether the associations were moderated by personality trait openness.
Findings – In the relationship between feeling bored and DMC, the moderating role of the personality trait openness was established. Results showed that feeling bored has a significant negative association with middle managers' confidence levels and risk perceptions when making decisions. Results also provided evidence that the learning component of personality trait openness plays a moderating role in the relationship between feeling bored and DMC. Most notably, the learning component of personality trait openness neutralizes the negative effects of feeling bored on managers' ability to remain appropriately confident when making decisions. In addition, the learning and inquisitive components temper the positive association between mood excited and risk perceptions. Limitations to the study are outlined.
Practical implications – Since trait openness (specifically its learning component) benefits decision-making contexts, it makes trait openness a worthy criterion to include when screening aspirant retail middle managers. The benefits of trait openness (specifically its learning component) for middle managers and their teams (especially when they are feeling bored) are indicated, since learning neutralizes the negative effect feeling bored has on appropriate confidence levels in retail management decision-making contexts.
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Jenell L.S. Wittmer, James E. Martin and Amanuel G. Tekleab
This study extends previous literature on social exchange by investigating the mediating effects of leader‐member exchange on the relationship between procedural justice, job…
Abstract
This study extends previous literature on social exchange by investigating the mediating effects of leader‐member exchange on the relationship between procedural justice, job attitudes and turnover in a unionized setting. Past research has shown that procedural justice and subordinate/supervisor exchanges are related to job attitudes and turnover. These relationships have normally been studied in non‐union settings, in which union contextual variables are not considered. The current study uses hierarchical linear modeling to test theoretical models of these relationships in a unionized setting, where procedures and managerial treatment are more clearly defined and regulated. Results reveal that both procedural justice and leader‐member exchange are related to organizational commitment and job satisfaction and leader‐member exchange is related to actual turnover. Leadermember exchange partially mediates the relationship between procedural justice and these job attitudes after accounting for the effects of union commitment (at the individual level) and union‐management relations (at the store level). From a managerial perspective, our results emphasize the importance of proper selection, training and performance appraisal of supervisors, with treatment and support of employees as a main focus.
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We are undergoing a “subtle revolution” (Smith 1979) in the traditional relationship of women to work and family. One indicator of this change is the massive increase in women's…
Abstract
We are undergoing a “subtle revolution” (Smith 1979) in the traditional relationship of women to work and family. One indicator of this change is the massive increase in women's economic activity, especially among married women with children. The total labour force of OECD countries increased by around 30 million in the 1950s and 1960s, and by 43 million in the 1970s. In the first two decades women's contribution to the increase was slightly more than half, whereas in the last decade it amounted to 63.8 per cent. In the European OECD countries women's share of labour force change in the 1970s was even higher and amounted to 96.4 per cent (OECD 1984:10, 11).