Skip to main content Accessibility help
×
Hostname: page-component-78c5997874-8bhkd Total loading time: 0 Render date: 2024-11-05T09:27:47.254Z Has data issue: false hasContentIssue false

25 - Implications of the Changing Nature of Work for the Employee–Organization Relationship

from Part III - Implications for Talent Management and Impact on Employees

Published online by Cambridge University Press:  02 April 2020

Brian J. Hoffman
Affiliation:
University of Georgia
Mindy K. Shoss
Affiliation:
University of Central Florida
Lauren A. Wegman
Affiliation:
University of Georgia
Get access

Summary

Many writings on the changing nature of work portray the employee–organization relationship as a casualty of the modern workplace. This chapter reviews social exchange models of the employee–organization relationship as captured in organizational support and psychological contract theories. We explore the evidence of the extent to which the employee–organization relationship has changed as a result of changes in employment practices over the past several decades. Our analysis considers both overall trends in the employee–organization relationship as well as specific issues tied to temporary and part-time work, independent contractors, tripartite employment relationships, job insecurity, job hopping, and income inequality. The evidence suggests that while certain employment practices threaten the quality of the employee–organization relationship, social exchange models provide useful and relevant frameworks through which to understand the nature of these changes and employees’ reactions to them.

Type
Chapter
Information
Publisher: Cambridge University Press
Print publication year: 2020

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Adams, J. S. (1965). Inequity in social exchange. Advances in Experimental Social Psychology, 2, 267299.Google Scholar
Anderson, S., & Klinger, S. (2016, December 15). As working families face rising retirement insecurity, CEOs enjoy platinum pensions. Institute for Policy Studies. Retrieved from https://ips-dc.org/report-tale-two-retirementsGoogle Scholar
Arthur, M. B. (1994). The boundaryless career: A new perspective for organizational inquiry. Journal of Organizational Behavior, 15(4), 295306.CrossRefGoogle Scholar
Auguste, B. (2018, July 5). Skills and tomorrow’s job report: The usual suspects. Retrieved from www.forbes.com/sites/byronauguste/2018/07/05/skills-and-tomorrows-jobs-report-the-usual-suspects-warning-spoilers/#2cf3935e2af8Google Scholar
Bapuji, H. (2015). Individuals, interactions and institutions: How economic inequality affects organizations. Human Relations, 68(7), 10591083.Google Scholar
Baron, J. N., & Pfeffer, J. (1994). The social psychology of organizations and inequality. Social Psychology Quarterly, 57(3), 190209.Google Scholar
Bergman, M. E., & Jean, V. A. (2015). Where have all the “workers” gone? A critical analysis of the unrepresentativeness of our samples relative to the labor market in the industrial–organizational psychology literature. Industrial and Organizational Psychology, 9, 84113.CrossRefGoogle Scholar
Bidwell, M., Briscoe, F., Fernandez-Mateo, I., & Sterling, A. (2013). The employment relationship and inequality: How and why changes in employment practices are reshaping rewards in organizations. Academy of Management Annuals, 7(1), 61121.Google Scholar
Blau, G. (2007). Does a corresponding set of variables for explaining voluntary organizational turnover transfer to explaining voluntary occupational turnover? Journal of Vocational Behavior, 70(1), 135148.Google Scholar
Blau, P. M. (1964). Exchange and power in social life. New York, NY: Wiley.Google Scholar
Bloom, M. (1999). The performance effects of pay dispersion on individuals and organizations. Academy of Management Journal, 42(1), 2540.CrossRefGoogle Scholar
Bobb, C. (2016, May 17). CEOs paid 335 times average rank-and-file worker; Outsourcing results in even higher inequality. The American Federation of Labor and Congress of Industrial Organizations. Retrieved from https://aflcio.org/2016/5/17/ceos-paid-335- times-average-rank-and-file-worker-outsourcing-results-even-higherGoogle Scholar
Bureau of Labor Statistics, US Department of Labor. (2018a). Job openings and labor turnover – May 2018. Retrieved from www.bls.gov/news.release/pdf/jolts.pdfGoogle Scholar
Bureau of Labor Statistics, US Department of Labor. (2018b). Job openings and labor turnover survey (JOLTS) [Database]. Retrieved from www.bls.gov/jlt/data.htmGoogle Scholar
Bureau of Labor Statistics, US Department of Labor. (2018c). Labor force statistics from the Current Population Survey [Database]. Retrieved from www.bls.gov/webapps/legacy/cpsatab11.htmGoogle Scholar
Bureau of Labor Statistics, US Department of Labor. (2018d). Usual weekly earnings of wage and salary workers (quarter). Retrieved from www.bls.gov/cps/earnings.htmGoogle Scholar
Charles-Coll, J. A. (2011). Understanding income inequality: concept, causes and measurement. International Journal of Economics and Management Sciences, 1(3), 1728.Google Scholar
Chen, C. A., & Brudney, J. L. (2009). A cross-sector comparison of using nonstandard workers: Explaining use and impacts on the employment relationship. Administration and Society, 41(3), 313339.Google Scholar
Chernyak-Hai, L., & Rabenu, E. (2018). The new era workplace relationships: Is social exchange theory still relevant?. Industrial and Organizational Psychology, 11, 456481.Google Scholar
CIETT (2015). “Economic report,” International Confederation of Private Employment Services (based on data of 2013/2014)Google Scholar
Claes, R. (2005). Organization promises in the triangular psychological contract as perceived by temporary agency workers, agencies, and client organizations. Employee Responsibilities and Rights Journal, 17(3), 131142.Google Scholar
Colquitt, J. A. (2001). On the dimensionality of organizational justice: A construct validation of a measure. Journal of Applied Psychology, 86(3), 386400.Google Scholar
Connelly, C. E., & Gallagher, D. G. (2006). Independent and dependent contracting: Meaning and implications. Human Resource Management Review, 16(2), 95106.Google Scholar
Conway, N., & Briner, R. B. (2005). Understanding psychological contracts at work: A critical evaluation of theory and research. Oxford, UK: Oxford University Press.Google Scholar
Cotterell, N., Eisenberger, R., & Speicher, H. (1992). Inhibiting effects of reciprocation wariness on interpersonal relationships. Journal of Personality and Social Psychology, 62(4), 658668.Google Scholar
Cowherd, D. M., & Levine, D. I. (1992). Product quality and pay equity between lower-level employees and top management: An investigation of distributive justice theory. Administrative Science Quarterly, 37(2), 302320.Google Scholar
Coyle-Shapiro, J. A.-M. & Kessler, I. (2002). Contingent and non-contingent working in local government: Contrasting psychological contracts. Public Administration, 80(1), 77101.Google Scholar
Cropanzano, R., & Mitchell, M. S. (2005). Social exchange theory: An interdisciplinary review. Journal of Management, 31(6), 874900.Google Scholar
Davis, G. (2009). The rise and fall of finance and the end of the society of organizations. The Academy of Management Perspectives, 23(3), 2744.Google Scholar
De Cuyper, N., De Jong, J., De Witte, H., Isaksson, K., Rigotti, T., & Schalk, R. (2008). Literature review of theory and research on the psychological impact of temporary employment: Towards a conceptual model. International Journal of Management Reviews, 10(1), 2551.CrossRefGoogle Scholar
De Cuyper, N., & De Witte, H. (2006). The impact of job insecurity and contract type on attitudes, well-being and behavioural reports: A psychological contract perspective. Journal of Occupational and Organizational Psychology, 79(3), 395409.Google Scholar
De Cuyper, N., & De Witte, H. (2007). Job insecurity in temporary versus permanent workers: Associations with attitudes, well-being, and behaviour. Work & Stress, 21(1), 6584.Google Scholar
De Cuyper, N., Notelaers, G., & De Witte, H. (2009). Job insecurity and employability in fixed-term contractors, agency workers, and permanent workers: Associations with job satisfaction and affective organizational commitment. Journal of Occupational Health Psychology, 14(2), 193205.Google Scholar
Dobbin, F., & Kelly, E. L. (2007). How to stop harassment: professional construction of legal compliance in organizations. American Journal of Sociology, 112(4), 12031243.Google Scholar
Eisenberger, R., Cummings, J., Armeli, S., & Lynch, P. (1997). Perceived organizational support, discretionary treatment, and job satisfaction. Journal of Applied Psychology, 82(5), 812820.Google Scholar
Eisenberger, R., Huntington, R., Hutchison, S., & Sowa, D. (1986). Perceived organizational support. Journal of Applied Psychology, 71(3), 500507.CrossRefGoogle Scholar
Eisenberger, R., Rockstuhl, T., Shoss, M.K., Wen, X., & Dulebohn, J. (2019). Is the employee–organization relationship dying or thriving? A temporal meta-analysis. Journal of Applied Psychology, 104(8), 10361057.Google Scholar
Eisenberger, R., & Stinglhamber, F. (2011). Perceived organizational support: Fostering enthusiastic and productive employees. Washington, DC: American Psychological Association.Google Scholar
Farber, H. S. (2008). Employment insecurity: The decline in worker–firm attachment in the United States (Working Paper No. 530). Princeton, NJ: Princeton University Industrial Relations Section.Google Scholar
Festinger, L. (1954). A theory of social comparison processes. Human Relations, 7(2), 117140.CrossRefGoogle Scholar
Foa, E. B., & Foa, U. G. (2012). Resource theory of social exchange. In Handbook of social resource theory (pp. 1532). New York, NY: Springer.Google Scholar
Fragoso, J. L., & Kleiner, B. H. (2005). How to distinguish between independent contractors and employees. Management Research News, 28(2), 136149.CrossRefGoogle Scholar
Gakovic, A., & Tetrick, L. E. (2003). Perceived organizational support and work status: A comparison of the employment relationships of part-time and full-time employees attending university classes. Journal of Organizational Behavior, 24(5), 649666.Google Scholar
Gallagher, D. G., & Parks, J. M. L. (2001). I pledge thee my troth ... contingently: Commitment and the contingent work relationship. Human Resource Management Review, 11(3), 181208.CrossRefGoogle Scholar
Gallie, D., Felstead, A., Green, F., & Inanc, H. (2017). The hidden face of job insecurity. Work, Employment and Society, 31(1), 3653.Google Scholar
GAO (General Accounting Office) (2000, December 29). Unemployment insurance: Role as safety net for low-wage workers is limited. Washington, DC: US General Accounting Office.Google Scholar
George, E., & Chattopadhyay, P. (2017). Understanding nonstandard work arrangements: Using research to inform practice. SHRM-SIOP Science of HR Series. Retrieved from www.siop.org/siop-shrm/Google Scholar
Ghiselli, E. E. (1974). Some perspectives for industrial psychology. American Psychologist, 29(2), 8087.Google Scholar
Gouldner, A. W. (1960). The norm of reciprocity: A preliminary statement. American Sociological Review, 25(2), 161178.Google Scholar
Hall, D. T. (1996). Protean careers of the 21st century. The Academy of Management Executive, 10(4), 816.Google Scholar
Hall, J. V, & Krueger, A. B. (2016). An analysis of the labor market for Uber’s driver-partners in the United States. Industrial and Labor Relations Review, 71(3), 705732.Google Scholar
Harrison, D., & Morath, E. (2018, July 4). In this economy, quitters are winning. Wall Street Journal. Retrieved from www.wsj.com/articles/in-this-economy-quitters-are-winning-1530702001Google Scholar
Kalleberg, A. L. (2000). Nonstandard employment relations: Part-time, temporary and contract work. Annual Review of Sociology, 26, 341365.CrossRefGoogle Scholar
Kalleberg, A. L. (2009). Precarious work, insecure workers: Employment relations in transition. American Sociological Review, 74(1), 122.Google Scholar
Katz, L. F., & Krueger, A. B. (2016). The rise and nature of alternative work arrangements in the United States, 1995–2015 (No. w22667). Cambridge, MA: National Bureau of Economic Research.Google Scholar
Keim, A. C., Landis, R. S., Pierce, C. A., & Earnest, D. R. (2014). Why do employees worry about their jobs? A meta-analytic review of predictors of job insecurity. Journal of Occupational Health Psychology, 19(3), 269290.Google Scholar
Keys, B. J., & Danziger, S. H. (2008). The risk of unemployment among disadvantaged and advantaged male workers, 1968–2003. In Newman, K. S. (Ed.), Laid off, laid low: Political and economic consequences of employment insecurity (pp. 5673). New York, NY: Columbia University Press.Google Scholar
Kim, K. Y., Eisenberger, R., & Baik, K. (2016). Perceived organizational support and affective organizational commitment: Moderating influence of perceived organizational competence. Journal of Organizational Behavior, 37(4), 558583.Google Scholar
Kondrasuk, J. N., Reed, L. J., & Jurinski, J. J. (2001). The dangers of misclassifying “employees”: Microsoft litigation emphasizes distinctions between employees and nontraditional workers. Employee Responsibilities and Rights Journal, 13(4), 165173.Google Scholar
Kurtessis, J. N., Eisenberger, R., Ford, M. T., Buffardi, L. C., Stewart, K. A., & Adis, C. S. (2017). Perceived organizational support: A meta-analytic evaluation of organizational support theory. Journal of Management, 43(6), 18541884.Google Scholar
Lake, C. J., Highhouse, S., & Shrift, A. G. (2018). Validation of the job-hopping motives scale. Journal of Career Assessment, 26(3), 531548.Google Scholar
Lee, J., & Peccei, R. (2007). Perceived organizational support and affective commitment: The mediating role of organization-based self-esteem in the context of job insecurity. Journal of Organizational Behavior, 28(6), 661685.Google Scholar
Liden, R. C., Wayne, S. J., Kraimer, M. L., & Sparrowe, R. T. (2003). The dual commitments of contingent workers: An examination of contingents’ commitment to the agency and the organization. Journal of Organizational Behavior, 24(5), 609625.Google Scholar
Lübke, C., & Erlinghagen, M. (2014). Self-perceived job insecurity across Europe over time: Does changing context matter?. Journal of European Social Policy, 24(4), 319336.Google Scholar
Maltarich, M. A., Nyberg, A. J., & Reilly, G. J. (2010). A conceptual and empirical analysis of the cognitive ability–voluntary turnover relationship. Journal of Applied Psychology, 95(6), 10581070.Google Scholar
March, J. G., & Simon, H. A. (1958). Organizations. New York, NY: Wiley.Google Scholar
Martin, J., & Harder, J. W. (1994). Bread and roses: Justice and the distribution of financial and socioemotional rewards in organizations. Social Justice Research, 7(3), 241264.Google Scholar
Matos, K., Galinsky, E., & Bond, J. T. (2017, March 8). National Study of Employers. The Society for Human Resource Management. Retrieved from www.shrm.org/hr-today/trends-and-forecasting/research-and-surveys/pages/national-study-of-employers.aspxGoogle Scholar
McCall, L., & Percheski, C. (2010). Income inequality: New trends and research directions. Annual Review of Sociology, 36, 329347.Google Scholar
Millward, L. J., & Hopkins, L. J. (1998). Psychological contracts, organizational and job commitment. Journal of Applied Social Psychology, 28(16), 15301556.Google Scholar
OECD (Organisation for Economic Co-operation and Development)(2018). Part-time employment rate (indicator). doi: 10.1787/f2ad596c-enGoogle Scholar
Pfeffer, J. (1994). Competitive advantage through people: Unleashing the power of the work force. Boston, MA: Harvard Business School Press.CrossRefGoogle Scholar
Pfeffer, J., & Langton, N. (1993). The effect of wage dispersion on satisfaction, productivity, and working collaboratively: Evidence from college and university faculty. Administrative Science Quarterly, 38(3), 382407.Google Scholar
Rousseau, D. M. (1990). New hire perceptions of their own and their employer’s obligations: A study of psychological contracts. Journal of Organizational Behavior, 11(5), 389400.Google Scholar
Rousseau, D. M. (1995). Psychological contracts in organizations: Understanding written and unwritten agreements. Thousand Oaks, CA: Sage.Google Scholar
Rousseau, D. M. (2001). Schema, promise and mutuality: The building blocks of the psychological contract. Journal of Occupational and Organizational Psychology, 74(4), 511541.Google Scholar
Rousseau, D. M., & Wade-Benzoni, K. A. (1995). Changing individual–organization attachments: A two-way street. In Howard, A. (Ed.), The Jossey-Bass social and behavioral science series: The changing nature of work (pp. 290321). San Francisco, CA: Jossey-Bass.Google Scholar
Saez, E. (2016, June 30). Striking it richer: The evolution of top incomes in the United States. Retrieved from https://eml.berkeley.edu/~saez/saez-UStopincomes-2015.pdfGoogle Scholar
Schein, E. H. (1980). Organizational psychology. Englewood Cliffs, NJ: Prentice Hall.Google Scholar
Schor, J. B. (1998). The overspent American. New York, NY: Basic Books.Google Scholar
Shore, L. M., Coyle-Shapiro, J. A., & Tetrick, L. E. (Eds.) (2012). The employee–organization relationship: Applications for the 21st century. New York, NY: Routledge.Google Scholar
Shore, L. M., & Tetrick, L. E. (1994). The psychological contract as an explanatory framework. In Trends in organizational behavior (pp. 91109). Hoboken, NJ: John Wiley & Sons Ltd.Google Scholar
Shore, L. M., Tetrick, L. E., Lynch, P., & Barksdale, K. (2006). Social and economic exchange: Construct development and validation. Journal of Applied Social Psychology, 36, 837867.Google Scholar
Shoss, M. K. (2017). Job insecurity: An integrative review and agenda for future research. Journal of Management, 43(6), 19111939.Google Scholar
Smith, T. W., Davern, M., Freese, J., & Hout, M. (2018). General social surveys, 1972–2016 [Data file and code book]. Retrieved from http://gss.norc.org/get-the-data/spssGoogle Scholar
Somashekhar, S. P., Sepúlveda, M. J., & Norden, A. D. (2017). Double-blind concordance study of breast cancer treatment recommendations between multidisciplinary tumour board and an artificial intelligence advisor – Watson for Oncology. Journal of Cancer Research & Therapeutics, 13, pS100–S100.Google Scholar
Sverke, M., & Hellgren, J. (2002). The nature of job insecurity: Understanding employment uncertainty on the brink of a new millennium. Applied Psychology: An International Review, 51, 2342.Google Scholar
Thurman, J. E., & Trah, G. (1990). Part-time work in international perspective. International Labour Review, 129, 2340.Google Scholar
Tsui, A. S., Pearce, J. L., Porter, L. W., & Tripoli, A. M. (1997). Alternative approaches to the employee–organization relationship: Does investment in employees pay off? Academy of Management Journal, 40, 10891121.Google Scholar
Van Bastelaer, A., Lemaître, G., & Marianna, P. (1997). The definition of part-time work for the purpose of international comparisons. OECD Labour Market and Social Policy Occasional Papers no. 22. Paris: OECD.Google Scholar
Vander Elst, T., De Cuyper, N., Baillien, E., Niesen, W., & De Witte, H. (2016). Perceived control and psychological contract breach as explanations of the relationships between job insecurity, job strain and coping reactions: towards a theoretical integration. Stress and Health, 32, 100116.Google Scholar
Van Dyne, L., and Ang, S. (1998), Organizational citizenship behavior of contingent workers in Singapore. Academy of Management Journal, 41, 692703.Google Scholar
Walker, I. & Smith, H. J. (2002). Relative deprivation: Specification, development, and integration. Cambridge, UK: Cambridge University Press.Google Scholar
Weaver, C. N. (2015). Worker’s expectations about losing and replacing their jobs: 35 years of change (Monthly Labor Review). Washington, DC: Bureau of Labor Statistics. Retrieved from www.bls.gov/opub/mlr/2015/article/workers-expectations-about-losing-and-replacing-their-jobs.htmGoogle Scholar
Wilkin, C. L. (2013). I can’t get no job satisfaction: Meta-analysis comparing permanent and contingent workers. Journal of Organizational Behavior, 34, 4764.Google Scholar
Woo, S. E. (2011). A study of Ghiselli’s hobo syndrome. Journal of Vocational Behavior, 79, 461469.Google Scholar

Save book to Kindle

To save this book to your Kindle, first ensure [email protected] is added to your Approved Personal Document E-mail List under your Personal Document Settings on the Manage Your Content and Devices page of your Amazon account. Then enter the ‘name’ part of your Kindle email address below. Find out more about saving to your Kindle.

Note you can select to save to either the @free.kindle.com or @kindle.com variations. ‘@free.kindle.com’ emails are free but can only be saved to your device when it is connected to wi-fi. ‘@kindle.com’ emails can be delivered even when you are not connected to wi-fi, but note that service fees apply.

Find out more about the Kindle Personal Document Service.

Available formats
×

Save book to Dropbox

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Dropbox.

Available formats
×

Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

Available formats
×