Unions and the adoption of high-performance work systems in Korea: moderating roles of firms' competitive strategies

An unresolved question about the relationship between union representation and the adoption of high-performance work systems (HPWSs) is which factors affect the roles of unions toward the HPWS adoption. Using data from a 2009 multi-industry survey of 301 Korean firms, the author empirically examines the impacts of unions on the adoption of HPWSs. From the strategic choice perspective, he focuses on the roles of firms’ competitive strategies regarding the unions’ behaviors toward the use of HPWSs. The results indicate that Korean unions are negatively associated with the adoption of HPWSs when employers choose to implement more comprehensive HPWSs. Evidence suggests, however, that employers’ differentiation strategies moderate the union's negative impacts even when the employers comprehensively use the HPWSs. It implies that the differentiation strategy is a key factor to resolve the conflicts between unions and employers concerning the adoption of HPWSs.     

Paying to queue: a theory of locational differences in nonunion wages

Traditional theories of the effect unions have on nonunion wages are difficult to reconcile with firm and worker mobility. We show how differences in nonunion wages can persist in a two-city search model. Nonunion wage differences across cities are driven by transition rates into the union sector. Should union queues form in the nonunion sector, union power decreases nonunion wages as workers are willing to take lower wages to line up for union jobs. However, if queues are formed in the unemployed sector, union power increases nonunion wages as nonunion firms pay premiums to induce workers to leave the queue.     

Wage determination in the union and nonunion sectors.

This study contains estimates of wage equations for white male union and nonunion employees. The authors find that nonunion wages are generally more responsive than union wages to individuals' education and experience and to regional price-level variation. Despite those differences, however, estimates of union-nonunion wage differentials based on these separate equations do not differ greatly from a differential obtained from a union dummy variable in an equation based on combined union and nonunion observations. Union-nonunion differentials vary widely across occupational groups and are generally larger in the lower skilled and more highly unionized occupations. The results for manufacturing, for which additional industry data are available, indicate a negative impact of high concentration ratios on the wages of all workers and a greater impact of establishment size on nonunion than on union wages. Data were drawn from the May 1973 Current Population Survey.     

The impact of corporate entrepreneurship and high-performance work systems on employees' job attitudes: empirical evidence from Greece during the economic downturn

In turbulent times, corporate entrepreneurship (CE) and high-performance work systems (HPWSs) are expected to expand and flourish. However, research on the influences of both CE and HPWSs on employees' job attitudes has generally been neglected. The aim of this study is twofold. First is to investigate the effects of CE and HPWSs on facets of job satisfaction and the three components of organisational commitment. Second is, consistent with the social exchange theory, to examine whether psychological contract act as an important mediator for the CE, HPWSs and employees' job attitudes relationships. Empirical evidence was obtained from 424 employees in the Greek manufacturing industry. Results indicate that both CE and HPWSs positively impact employees' level of job satisfaction and organisational commitment. In addition, we find evidence that psychological contract theory provides a coherent theoretical framework for understanding these relationships. Theoretical and practical implications for HR managers conclude the article.     

Adoption of High‐Performance Work Systems by Local Subsidiaries of Developed Country and Turkish MNEs and Indigenous Firms in Turkey

High‐performance work systems (HPWSs) are seen as important in helping strengthen competitive strategies of developed‐country multinational enterprises (DC MNEs). Commensurate with global competitive pressures and internationalization strategies, emerging‐country MNEs (EC MNEs) and indigenous firms are also increasingly adopting HPWSs. HPWSs are not only seen as simply performance enhancing systems, but also as facilitators of internationalization. MNEs represent an important test bed for the HPWSs and their applicability in different national contexts. In this article, we contribute to the extant literature by focusing on HPWS adoption level within domestic subsidiaries of DC MNEs and EC MNEs along with stand‐alone indigenous firms in a single‐country setting by keeping the host‐country environment as constant. © 2015 Wiley Periodicals, Inc.     

Influence of high performance work systems on employee subjective well-being and job burnout: empirical evidence from the Chinese healthcare sector

Over the last two decades, high performance work systems (HPWSs) research has been dominated by examining the effects of these systems on firm performance. Research on the impact of HPWSs on employees has been marginalised. This study examines the impact of HPWSs on two psychological outcomes for employees, namely, subjective well-being (SWB) and workplace burnout, by utilising data collected from 1488 physicians and nurses in 25 Chinese hospitals. It also examines the moderating effects of employees' organisational based self-esteem (OBSE), as an individual intervention and physician–nurse relationships, as an organisational intervention, on the relationship between HPWSs and employee outcomes. HPWS is found to increase employees' SWB and decrease burnout. Such well-being-enhancing and burnout-relieving effects are stronger when employees have high OBSE. The positive effect of HPWS on SWB is also stronger when there is a collaborative relationship among employees in an organisation. The major contribution of this study is to unpack the ‘black box’ of how HPWS influences employee well-being in the Chinese healthcare sector context.     

Graduate Recruitment In the Australian Public Sector

ABSTRACT

Service orientation in the HRM system is a lever for public employees to serve the public even beyond their work roles. Our research seeks to understand how work engagement links service-oriented high-performance work systems (HPWSs) to public employees’ service-oriented behaviours. Employees and their managers from public legal service agencies in the Vietnamese context were recruited as participants in our research project. The research results demonstrated the role of employee work engagement in mediating the relationships between service-oriented HPWSs and service-oriented in-role performance as well as service-oriented organizational citizenship behaviour (OCB). The interactions were also found between service-oriented HPWSs and HRM system strength, as well as between service-oriented HPWSs and public service motivation in catalysing work engagement.     

Do high performance work systems generate negative effects? How and when?

A high-performance work system (HPWS) is defined as a series of performance-enhancing human resource management practices. Many studies have demonstrated the positive relationship of HPWSs with organizational, group, and individual performance. However, evidence has indicated that HPWSs can also exert negative effects. In this paper, taking a dialectical view, we elaborate several propositions regarding why HPWSs have negative effects and when these negative effects occur, mainly from the perspective of employees. We also propose several research directions enriching knowledge of the relationship between HPWSs and organizational outcomes.     

High‐performance work system implementation in small and medium enterprises: A knowledge‐creation perspective

While it is well established that high‐performance work systems (HPWSs) affect firm‐level outcomes within large, complex organizations, less is known about how they create benefits for firms within the small‐business sector. Using a knowledge‐creation perspective, this study examines the impact of HPWSs in small and medium enterprises and examines whether the impact observed depends on the small‐business leader's capacity to obtain additional HR knowledge from an external expert, as well as the leader's HR background and knowledge. Archival and survey data were obtained from 294 small‐business organizations, with survey responses obtained from both the small‐business leader and an HR consultant assigned to the small business. Findings suggest that leader perceptions of HR effectiveness are positively related to the use of HPWSs and that this relationship is moderated both by the communication patterns between the small‐business leader and the HR consultant assigned to the firm and the small‐business leader's HR knowledge. © 2012 Wiley Periodicals, Inc.     

The paradoxical mechanisms of high‐performance work systems (HPWSs) on perceived workload: A dual‐path mediation model

We invoke conservation of resources theory to present an integrative model that simultaneously examines the positive and negative effects of employee‐experienced high‐performance work systems (experienced‐HPWSs) on perceived workload (PW). Analysis of three‐wave, time‐lagged data from 368 employees of four major state‐owned commercial banks in China revealed that experienced‐HPWSs positively predict perceived organisational support, which in turn decreases PW. Experienced‐HPWSs positively predict psychological empowerment, which in turn increases PW. The positive influence of psychological empowerment on PW is stronger than the negative influence of perceived organisational support on PW, indicating that resource loss is more salient than resource gain. This dual‐path mediation model increases our understanding of the mechanisms through which HPWSs influence PW and highlights the coexistence of opposite impacts during the process.     

The Impact of Union Membership on Intent to Leave: Additional Evidence on the Voice Face of Unions

The impact of union membership on employees' intent to leave their jobs was examined to testthe effect of unions' “voice” face. Regression analyses showed a significant, negative relationship between union membership and employees' intent to leave. In addition, the data revealed significant interactions between union membership and job satisfaction and between union membership and organizational commitment. Dissatisfied nonunion members are much more likely to intend to leave their jobs than are union members. Similarly, nonunion members with low organizational commitment are much more likely to intend to leave their jobs than are union members. Bothof these results support the conclusion that union membership reduces employees' intention toleave their jobs, and provides evidence that the voice face of unions matter. An earlier version of this research was presented at the 2004 Association on Employee Practices and Principles Conference, Ft. Lauderdale, Florida.     

The Character of American Workers: Psychological Predictors of Union Interest as Tools for American Union Practitioners

To aid American union practitioners in the selection of winnable worksites in unionization elections, we identified predictors of union interest from psychological perspectives that bear on the character of American workers. Using perceived union instrumentality as a standard to determine the prediction status of new psychological predictors of union interest, a cognitive version of self-enhancement (overconfidence in rating one??s skills and abilities) was found to predict interest above and beyond perceived instrumentality in a sample of American nonunion employees (N?=?452), controlling for social desirability, demographic and structural predictors, and other hypothesized predictors in a six-step hierarchical regression equation. Implications for selecting winnable election worksites and for predicting psychological aspects of union interest are discussed.     

High‐Performance Work Systems and Teachers’ Work Performance: The Mediating Role of Quality of Working Life

This article examines the role of quality of working life (QWL) in the relationships between high‐performance work systems (HPWSs) and employee in‐role performance and extra‐role behavior. Using the data from 1,051 teachers and their immediate supervisors in 63 Chinese schools, we performed multilevel analysis to test meso‐mediation models. The results showed that HPWSs directly and indirectly influence teachers’ in‐role performance and extra‐role behavior through the mediation of QWL. These findings demonstrate that QWL is an important conduit of the relationships between HPWSs and employee work behaviors. The article concludes by discussing the implications for management and future research. © 2014 Wiley Periodicals, Inc.     

The Rules of the Game: Union Solicitation in the Twenty-First Century Workplace

Even though union membership has declined steadily over the last 20 years, unions are dramatically increasing their efforts to organize the workplace. As a consequence, union solicitation drives are on the rise. While the case law in this area is relatively settled, many managers in nonunion environments are generally unfamiliar with the federal case governing union solicitations. This article examines the federal case law surrounding union solicitation and provides some practical guidelines for managerial conduct for dealing with union solicitation drives. It also discusses future directions in an interconnect world.     

Pulling in different directions? Exploring the relationship between vertical pay dispersion and high‐performance work systems

Vertical pay dispersion (VPD), a hierarchical pay structure used to motivate employees, has traditionally been studied separately from high‐performance work systems (HPWSs). As a component of HPWSs, incentive‐based compensation schemes focus on employee‐ or team‐level incentives. However, the influence of the simultaneous utilization of VPD and HPWS on performance remains understudied. This study addresses the question of whether these approaches to managing human capital serve as complements or substitutes to one another. VPD and HPWS are argued to substitute for one another with respect to motivation‐ and skill‐enhancing practices. The opposite notion is true in regard to opportunity‐enhancing HPWSs, which serve to amplify the effectiveness of VPD. In a multisource, longitudinal sample of South Korean firms, the hypothesized predictions are supported.     

The Influence of Environmental Pressures, Diversification Strategy, and Union/Nonunion Setting on Employee Participation

This study tests the hypotheses that environment, diversification strategy, and union/nonunion setting affect the number and variety of employee participation programs. A survey of large U.S. manufacturing firms measured the implementation of employee participation programs. Regression results suggest that environmental pressures exert a direct effect on participation in union settings. However, in nonunion settings, environment and diversification strategy both correlated directly with participation. These results suggest that unions could potentially affect participation program implementation.     

Union Rules Intrude Upon the Nonunion Domain: Workplace Investigations and the NLRB

This paper examines the new legal landscape for nonunion employers who contemplate conducting investigations of alleged wrongdoing by their employees. The National Labor Relations Board (NLRB) has ruled that a certain right (the Weingarten right) previously guaranteed only to union members applies equally to at-will employees in nonunionized firms. As a result, all employees now possess the right to ask that a coworker be present during an investigatory interview. While the Weingarten right is sensible in a union environment, significant public policy and practical problems arise when this right is extended to the nonunion environment. This paper offers advice on managing the investigative process, given this new right, and it discusses the propriety of imposing union rules on the nonunion workplace.     

The union response to employer-initiated drug testing programs

The testing of employees for drugs has become a major workplace issue in the late 1980s. By all accounts, many firms have implemented, or at least considered, some sort of drug screening program. While various experts have debated the importance and necessity of initiating such programs, there has been only limited investigation of the differences between union and nonunion workplaces in how such programs are initiated and administered. This article investigates some questions related to those differences. The first part examines the differences between union and nonunion workplaces and their implementation of drug screening programs. We present differences derived primarily from the fact that nonunion employers are constrained only by constitutional and statutory law in their introduction and implementation of drug screening programs. Unionized employers, on the other hand, are constrained by collective bargaining and the grievance resolution process. The second part of the article examines union responses to employer-initiated drug testing programs. The third part examines arbitration decisions on drug testing provisions in unionized workplaces. We outline the major areas in which arbitrators have rendered decisions, including definitions of behavior that could trigger reasonable suspicion testing and whether the employer has the right to unilaterally institute or expand drug testing programs.     

Whose wages do unions raise? A dynamic model of unionism and wage rate determination for young men

We estimate the union premium for young men over a period of declining unionization (1980–87) through a procedure which identifies the alternative sources of the endogeneity of union status. While we estimate the average increase in wages resulting from union employment to be in excess of 20% we find that the return to unobserved heterogeneity operating through union status is substantial and that the union premium is highly variable. We also find that the premium is sensitive to the form of sorting allowed in estimation. Moreover, the data are consistent with comparative advantage sorting. Our results suggest that the unobserved heterogeneity which positively contributes to the likelihood of union membership is associated with higher wages. We are unable, however, to determine whether this is due to the ability of these workers to extract monopoly rents or whether it reflects the more demanding hiring standards of employers faced by union wages. © 1998 John Wiley & Sons, Ltd.     

Seniority,experience, and wages in the UK

This paper uses BHPS data to investigate the relative importance of seniority and experience in determining male wages in the UK labor market. Using both the Altonji and Shakotko instrumental variable and the Topel two-step estimation approaches, I find that for all male workers, tenure plays a modest role, increasing wages by about 1% each year over the first 10 years on the job. General labor market experience has a larger role, so that after 30 years wages have increased by about 60%. Individual and job match heterogeneity are important, and should be carefully modeled when estimating wage equations for the British labor market. These results are remarkably similar to the most recent evidence about these relationships in the US labor market. After extending the standard model to include industry and occupation experience, the estimated impact of job seniority becomes negligible for nonunion workers. Instead, the wages of nonunion workers rise because of the accumulation of general and sector-specific experience. The wages of union workers are still found to increase with job seniority over the first ten years with their employer, suggesting that if seniority matters for wages it is only for union workers.