Perceptions and Consequences of Organizational Injustice

1
Perceptions and Consequences of Organizational
Injustice
2
Organizational Practices

• Performance evaluation
• Pay cuts
• Drug testing
• Smoking bans
• Layoffs

3
What Do Employees Consider Fair (Unfair)?

• Distributive justice
• Outcome favorability
• Procedural justice
• Perceptions of the methods and procedures used in
  the decision making process
• Appropriate criteria
• Consistent
• Without personal bias
• Accurate information
• Voice

4
Reactions to Procedural Injustice

• Distancing responses
• Commitment declines
• Intention to quit increases
• High cost of turnover

5
Reactions to Procedural Injustice (cont.)

• Retaliatory responses
• Extending lunch coffee breaks
• Personal work on company time
• Wasting company materials
• Damaging property or processes

6
Reactions to Procedural Injustice (continued)

• Organizational citizenship declines
• Extra-role behaviors (Doing more than is
  required)
• Willingness to recruit for the organization
• Willingness to attend organizational events
• Pitching in to help others
• Neglect responses
• Work effort declines (quantity quality)

7
Fair-process Effect

• The more one considers a resource allocation
  process to be fair, the more one is accepting of
  and satisfied with the decision -- independent of
  the outcome received (favorable or unfavorable)
• People are willing to accept unfavorable outcomes
  when the allocation procedures are fair
• Reactions are particularly negative when outcomes
  are unfavorable and procedures are unfair

8
Performance Appraisal the Fair-process Effect

• Independent of the amount of the raise, employees
  who perceive that performance appraisals are
  conducted in a fair manner, report more
  satisfaction with pay and more satisfaction with
  the appraisal itself

9
Interpersonal Justice

• Quality of interpersonal treatment received
  during the enactment of organizational procedures
• Demonstrating concern for the needs and well
  being of those affected
• empathy
• Treating those affected with dignity and respect
• Polite interaction interpersonal sensitivity

10
Interpersonal Justice (continued)

• Examples of interpersonal injustice in the layoff
  context
• Weve gotten rid of the deadwood and rotten
  apples
• Father and daughter escorted out of the office by
  security guards on bring your daughter to work
  day
• Distinct from procedural justice
• Interpersonal justice and procedural justice
  perceived as unique justice episodes

11
Study of Responses to Interpersonal Injustice

• 15 pay cut at 2 plants for a period of 10 weeks
• Plant A
• ...It really hurts me to do this, the decision
  did not come easily. It hurts me to take away
  what youve worked so hard for
• Stayed for almost an hour answering all employee
  questions
• Plant B
• ...This is an unfortunate fact of life in our
  business. Ill answer one or two questions but
  then I have to leave

12
Responses to Interpersonal Injustice

• Theft turnover during 10 week period
• Plant C (control group)
• 3 theft no turnover
• Plant A (sensitive message)
• 4 theft 2 turnover
• Plant B (insensitive message)
• 8 theft 25 turnover

13
Conclusion

• Employee morale and organizational effectiveness
  can be enhanced to the extent that decisions
  are
• Made following rules of procedural justice
• Enacted with interpersonal sensitivity