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Revista de Psicología del Trabajo y de las Organizaciones ISSN: 1576-5962 [email protected] Colegio Oficial de Psicólogos de Madrid España Tziner, Aharon; Oren, Lior; Bar, Yaki; Kadosh, Gal Corporate Social Responsibility, Organizational Justice and Job Satisfaction: How do They Interrelate, If at All? Revista de Psicología del Trabajo y de las Organizaciones, vol. 27, núm. 1, abril, 2011, pp. 67-72 Colegio Oficial de Psicólogos de Madrid Madrid, España Available in: http://www.redalyc.org/articulo.oa?id=231318905007 How to cite Complete issue Scientific Information System More information about this article Network of Scientific Journals from Latin America, the Caribbean, Spain and Portugal Journal's homepage in redalyc.org Non-profit academic project, developed under the open access initiative Corporate Social Responsibility, Organizational Justice and Job Satisfaction: How do They Interrelate, If at All? Responsabilidad Social Corporativa, Justicia Organizacional y Satisfacción Laboral: ¿Como se Relacionan? Aharon Tziner Lior Oren Netanya Academic College Ariel University Center of Samaria Yaki Bar Gal Kadosh Netanya Academic College Netanya Academic College Abstract. Although recent years have seen considerable theoretical attention devoted to corporate social responsibility (CSR), a multi-dimensional construct encompassing commitment to society, employees, customers, and the government, the relationship between CSR and employee attitudes has not been suffi- ciently studied. This study therefore examines the connections between the macro concept of CSR and micro research in the employee dimensions of organizational justice and job satisfaction. Questionnaires measuring CSR, organizational justice, and job satisfaction were completed by 101 employees. Results show that CSR is positively related to both organizational justice and job satisfaction. In addition, the rela- tionship between CSR and job satisfaction was found to be mediated by organizational justice. The dis- cussion stresses the value of CSR as a business strategy. Keywords: corporate social responsibility, organizational justice, job satisfaction, structural equation mod- elling. Resumen. Aunque en los últimos años ha habido un considerable esfuerzo dedicado a la responsabilidad social corporativa (RSC), un constructo multidimensional que incluye el compromiso con la sociedad, los empleados, los clientes y el gobierno, la relación entre la RSC y las actitudes de los empleados no ha sido suficientemente estudiada. Este estudio examina las conexiones entre el macro concepto de RSC y la micro investigación en las dimensiones de justicia organizacional y satisfacción laboral. La muestra estaba com- puesta por 101 empleados que cubrieron cuestionarios que medían RSC, Justicia organizacional y satis- facción laboral. Los resultados muestran que la RSC se relaciona positivamente con la justicia organiza- cional y la satisfacción laboral. Además, se encontró que la relación entre la RSC y la satisfacción laboral está medida por la justicia organizacional. La discusión destaca el valor de la RSC en una estrategia de negocio. Palabras clave: responsabilidad social corporativa, justicia organizacional, satisfacción laboral, modelos de ecuaciones estructurales. Corporate social responsibility (CSR) is believed to responsibility, that is, their commitment and responsibil- have a variety of benefits for organizations, enhancing ity toward the environment in which they operate (Bar- employee attitudes and ultimately profitability. Yet lit- Zuri, 2008). CSR relates to the ‘‘economic, legal, ethical, tle is known about the way in which CSR impacts and discretionary expectations that society has of organ- employees. The current study therefore presents a izations at a given point in time’’ (Carroll, 1979, p. 500), model depicting the manner in which CSR may affect and has been defined as “corporate behaviors that aim to work attitudes both directly and indirectly. affect stakeholders positively and that go beyond its eco- nomic interest” (Turker, 2009a, p. 413). According to Turker (2009a), a company has four stakeholders or Corporate social responsibility interest groups. The first consists of society at large, the environment, the next generations, and NGOs. The sec- Recent years have seen the emergence of a new man- ond comprises the employees, for whom CSR policy is agerial approach that evaluates businesses not only by manifested in fairness and transparency in respect to the financial success, but also in view of the way in which decisions that directly affect them. The third are the cus- they manage their businesses in terms of corporate social tomers, for whom CSR is measured by fairness and transparency with regard to pricing, product quality, etc. The final interest group is the government, for which Correspondece on this article should be sent to Aharon Tziner, Schools of Behavioral Studies and Business Administration, Netanya CSR is manifested, for example, in paying taxes and Academic College, Jerusalem, Israel. E-mail: [email protected] obeying the law. Copyright 2011 by the Colegio Oficial de Psicólogos de Madrid Revista de Psicología del Trabajo y de las Organizaciones ISSN: 1576-5962 - DOI: 10.5093/tr2011v27n1a7 Vol. 27, n.° 1, 2011 - Págs. 67-72 68 CSR, ORGANIZATIONAL JUSTICE, AND JOB SATISFACTION Although implementing CSR policies involves values and satisfaction with the workplace on the heavy costs, it is generally believed to be profitable for other, among nine DHL workers. Lee and Chang organizations (McGuire, Sundgren, & Schneweis, (2008) found that external recognition of the organiza- 1998; Soloman & Hansen, 1985). The literature con- tion is a vital factor in employee satisfaction because, tains empirical evidence of positive relations between according to the social identity theory, employees are CSR and organizational measures such as reputation, proud to identify with organizations that have favor- customer loyalty, competitiveness, and sustainability able reputations (Peterson, 2004). (Porter & Kramer, 2002; 2004). However, only a lim- Furthermore, Weiss, Dawis, England, and Lofquist ited number of investigations have examined how cor- (1967) claim that the organization’s moral values are porate social activities affect employees. The few stud- among the most influential parameters in determining ies that have been conducted (e.g., Greening & Turban, employee satisfaction. More recently, it has been sug- 2000) have found that CSR creates a good reputation gested that perceptions of a firm’s ethics, values, and for a business, thus increasing its attractiveness as an social responsiveness play a significant role in shaping employer for prospective job applicants. A positive the perceived attractiveness of an organization for relationship has also been found between CSR policies potential employees (Greening & Turban, 2000). and organizational commitment among current employees (Brammer, Millington & Rayton, 2007; Turker, 2009b), leading to a rise in employee perform- Organizational justice ance, along with a drop in personnel turnover and employee burnout, both of which are costly for organ- The construct of organizational justice is generally izations (Aguilera, Rupp, Williams, & Ganapathi, said to contain three components: distributive justice, 2007; Soloman & Hansen, 1985). Initial indications of procedural justice, and interactional justice (Colquitt, employee satisfaction as a result of CSR have also Noe, & Jackson, 2002). Distributive justice relates to been found, but this dimension requires further empir- the feeling that decisions are just and proper, and is ical study, especially in contexts outside the USA and based on the assumption that the method of exchange Europe (Turker, 2009b).The current study therefore is grounded in the perceived fairness of the rewards sought to expand our understanding of the affect of people receive in exchange for their efforts (Adams, CSR on employee attitudes by examining the relation- 1963). Thus, in the organizational framework, distrib- ships between CSR, job satisfaction, and organization- utive justice refers to the perceived fairness of resource al justice. allocation in respect to the balance between employ- ees’ contributions and rewards (Lee, 2001), a percep- tion derived from a comparison of the distribution of Job satisfaction resources to comparable others and to oneself (Cropanzano, Rupp, Mohler,& Schminke, 2001). Job satisfaction is defined as the pleasurable or pos- Procedural justice relates to the perceived fairness of itive emotional state resulting from the overall evalua- the procedures through which decisions are reached tion of one’s job or job experiences (Locke, 1976), and and the employee’s feelings about the process of orga- is a factor of the extent to which individual needs are nizational decision-making (Cropanzano et al., 2001). met in the work setting (Tziner, 2006). Consequently, Interactional justice is divided into two main compo- it can be both intrinsic, deriving from internally medi- nents: interpersonal justice, that is, the nature of the ated rewards such as the job itself, and extrinsic, result- employee-organization relationship and the degree to ing from externally mediated rewards such as satisfac- which employees are treated properly and respectfully tion with pay (Porter & Kramer, 2004). by the organization and its managers (Tyler & Bies, Moreover, increased job satisfaction has been 1990); and informational justice, i.e., the nature of the shown