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Purpose - The purpose of this paper is to test the mediating effects of procedural justice and job satisfaction on the relationship between perceived organizational politics and turnover intentions. No moderator was used for the study.
Design/ methodology/approach - An online questionnaire was floated and passed on to employees working in mostly private sector organizations asking about their comfort, happiness with the job, perception of fairness of the procedures followed by the organization and intention to quit the current job. The results of the questionnaire were analysed using regression analysis.
Findings - Job satisfaction was confirmed to be a mediator for the relationship between perceived organizational politics and turnover intentions whereas mediation effect of procedural justice could not be established.
Research limitations/ implications - As the questionnaire contained 19 items, responses could not be obtained from higher level management due to their busy time schedules. Thus, impact of politics could not be studied at higher levels. The proportion of females to males was less, so moderation effect could not be studied.
Practical implications - This analysis will help managers in identifying the reasons for high turnover in organizations. Accordingly, suitable steps like fair, ethical procedures and mechanisms to ensure that politics does not take place , should be in place. This will ensure that organizations retain their best talent.
Originality value - The research aimed at studying the given relationship in the Indian context. The literature available examined individual relationships of the constructs but an overall effect was not analyzed before.
Keywords - Politics, Job satisfaction, Procedural justice, Turnover intentions.
Paper type - Research paper
In today's challenging and competitive global environment , talent retention has become vital for an organization to survive and generate profits on a sustained basis. The most important assets of an organization are its intangible assets, the employees .India, post liberalization , has made rapid strides and has access to large human capital. So, for the continued success of India's growth story, organizations in India need to ensure that their workforce attains high levels of job satisfaction and do not have intentions to quit(turnover intention).
Politics in organizations has been an area which has been subjected to a lot of research, especially in countries abroad. Researchers have also tried to analyse how organizational politics affects various job related constructs like workplace happiness, job satisfaction, justice perceptions , etc.The need to analyse the relationship between organizational politics, justice perceptions, job satisfaction and turnover intentions is extremely important for managers, given the high rates of attritions prevailing in organizations belonging to different sectors in India.
Several studies have defined the organizational politics differently. But the common attributes of the politics can be found across the studies. First is that the actor is concerned about his own benefit, rather than the benefit of organization. That is, the actor has a selfish motive which has a negative connotation by others. When defining the organizational politics another important thing is that the actor acts to pursue his own selfish interest at the expense of the organization goals or organization resources. Examples of political behaviour include the employees praising their superiors or peers in order to get selfish motives fulfilled ( selfish motives in this case may include getting promotions or getting resources), taking credit of the work done by others, blaming others for the faults, going along with others to get ahead(Kacmar , et. al. , 1997). Going along to get ahead refers to inaction on the part of the individuals. Going along to get ahead is considered as a political behaviour because the intent of avoiding conflict by the individual is to receive accolades from others in order to get ahead in an organization. Another aspect of politics is that it is aimed at those who are decision makers(Kacmar et al, 1997) or who can provide rewards that will promote the selfish interests of employees.
The organizational politics in our research is captured using 4 questions which are(Hoch warter, et. al. , 2003)
- There is a lot of self serving behaviour going on
- People do what's best for them, not what's best for the organization
- People spend too much time sucking up to those who can help them
- People are working behind the scenes to ensure that they get their piece of pie
Organizational justice can be defined by the following components
- Procedural justice
- Distributive justice
- Interpersonal justice
- Informational justice
Colquitt, in his article had established the relationship between organizational justice and job satisfaction. He had found organizational justice to be a consistent and strong predictor of job satisfaction. Justice is essentially a perception among the employees in an organization.
Distributive justice (Deutsch, M,1975). is primarily concerned with the outcomes which occur as a consequence of distribution of resources in equitable and equal manner.It tries to find out if the outcome of a particular task is a reflection of the amount of work one has put .It also asks whether the outcomes are appropriate and justified.
Procedural justice (Leventhal, et al, 1980,) , on the other hand is more concerned with the procedures or processes that have been used ,i.e, the means through which the outcomes have been achieved.It identifies whether the procedures have been fair., whether there has been consistency or the lack of it in these procedures (Leventhal, 1976). Also, whether the procedures have been accurate enough and concerns about ethical issues are captured using procedural justice.
Interpersonal or interactional justice (Bies, R. J., & Moag, J. F. 1986) refers to the way the people or employees, in an organization, are treated when the procedures in an organization are carried out. It talks about things such as the degree of politeness (Bies, R. J., & Shapiro, D. L. 1987) with which the employees are treated in an organization. It tries to relate different characteristics like the amount of dignity and respect with which the employees were treated by the authority figure,
Informational justice (Greenberg, J, 1993 ) is more concerned with the communication related aspects of the authority figure. It tries to relate things such as the candidness shown by the authority figure while communicating with the employees, the timely manner in which things are communicated and the detail in which they are communicated. It also tries to relate how the specific needs of different employees are considered while the procedures are carried out
Job satisfaction has been defined as a pleasurable or positive emotional state resulting from an appraisal of one's job or job experiences (Locke, 1976). Even though job satisfaction has been defined as an emotional state, like satisfaction with other life domains (e.g., marital satisfaction), job satisfaction is related to the attitude of a person reflecting the evaluation of his or her job.
Job satisfaction can be determined by an accumulation of the different facets of the job or as a global response termed general satisfaction (Griffeth, Hom & Gaertner 2000, Wright & Bonett 2007).
Another definition says that job satisfaction can be measured as a summation of the perceived satisfaction individuals derive from the job.
The emotional aspect of job satisfaction has been mostly underemphasized while measuring the same, compared to the cognitive aspect (e.g., Brief & Robertson, 1989; Fisher, 2000; Weiss, Nicholas, & Daus, 1999). Also, job satisfaction has been generally measured with one shot, retrospective surveys that are better positioned to capture the cognitive aspect of the job than affective experiences on the job (Ilies & Judge, 2002).
Organisations should design the work environments that improve employee job satisfaction, and also ensure that the employees are happy with the jobs assigned to them, and see such jobs as part of their self definition.
It was found empirically that job satisfaction is positively related to procedural justice. Also Curry et al. (1986) found that job satisfaction and organizational commitment shared similar antecedents, and their structural equation models showed distributive justice to be a key shared predictor. Furthermore, standalone relationships between job satisfaction and turnover intentions (negatively correlated) and politics and job satisfaction (negatively correlated) have been empirically and conceptually derived.
Some recent studies have conceptually established the view of affect and cognition as antecedents of job satisfaction, and for the contention that experiences throughout the working day are an important determinant of job satisfaction. It was also established that pleasant mood is a stronger mediator of the affectivity - job satisfaction relationship when the latter is assessed by the experience-sampling approach.
Today, the word "employee turnover intention" is of great importance to managers faced with lack of employees because of increased number of people quitting the organization and to organizations that spend huge money in hiring, training and recruiting their employees. Excessive employee turnover is harmfull for the organization as it effects efficiency, its brand value and ability to compete with others in the industry (Hinkin and Tracey, 2000). Initially, people thought that the turnover always leads to a negative outcome. But recent studies have found that, though turnover is bad for the organizations, sometimes turnover may also positively affect the organizations by helping them get rid of employees who are neither getting benefited nor benefiting the organization ( Lowery et. al, 2000).
Earlier studies have been done on the effect of job-related and demographic variables on turnover intention of employees. But, the study by Lowery et. al, 2000 focused on the effect of human resource management practices on turnover intention of the employees.
In the research by Hemdi and Nasurdin, 2006 a study was conducted on employee's perception about organization linked variables like human resource practices and turnover intention among the employess. Their model studied the impact of human resource management practices in an organization on turnover intention through the perception of trust. Their results showed that the presence of good and transparent human resource practices like transparency in promotion, availability of time to time training programmes, fair and objective performance appraisals etc. results in employees developing trust towards the organization and presence of trust decreases the turnover intention of the employees. In brief, according to the study (Hemdi and Nasurdin, 2006), human resource management has a positive correlation with the trust and in turn trust is negatively correlated with the turnover intention of the employees.
In our study, the definition and understanding of the word "turnover intention" is same as that found in other research papers. We have used this definition if turnover to study the effect of organizational politics on turnover intentions.
Organizational Politics and Turnover Intention:
Organization politics can be defined as a behavior of people in organization for pursuing personal interests and selfish motives. When employees in an organization are asked to define organization politics, usually they list actions that are manipulative and self-serving (Cropanzano et. al, 1999). According to the model employed by Cropanzano et. al, 1999 Politics in the organization increase the risk associated with the organization. Hence, they argue that politics should lead to lower performance on job and reduced OCB. In their research paper by Cropanzano et. al, they argue that there are two varieties of organizational commitment. First kind of commitment is called "affective". It shows basically the amount of emotional attachment an employee has towards organization. The other kind of commitment is called "calculative" commitment. It is basically a decision taken by the employee based on his calculation of the economic losses he will have to undergo if he leaves his existing place of work. Hence, they go on to argue that since calculative commitment is more related to economic factors, politics has got nothing to do with politics in an organization. They have also arrived at the result that the perceived organizational politics is uncorrelated to calculative commitment. In their research paper they also talk about the organizational support. The organizations that are supportive compensate their employees fairly and look after their needs properly. Increasing support seems to nurture positive work attitudes in the organization. Also, field studies by Cropanzano et al. (1997) and Wayne et al. (1997) both found that perceived support is negatively correlated with turnover intentions. In their research paper Cropanzano et. al, they have checked the impact of organization support on turnover intentions and they conclude that perceived organizational support is negatively correlated with turnover intentions.
Sometimes, an individual's commitment towards an organization might motivate an employee to stay with the organization for long and hence avoid turnover. Again, as Cropanzano et. al, have shown that perceived organizational support is negatively correlated to turnover intentions, in our research paper we test the effect of perceived organizational politics on turnover intentions.
In this paper, the research was conducted in USA. Hence it becomes little difficult to apply the above results in the India context. In the above study, the focus has been of the effect of organizational politics on job satisfaction and turnover intention through organizational support. That is, organizational support has been considered as the mediator variable.
Also, in one of the research paper by Khatri et. al, they have tested the effect of demographic factors, satisfaction with pay, satisfaction with supervisors, availability of alternative employment and job hopping on turnover intentions. They found out that satisfaction with pay was important only in the retail industry and supervision was important only in food and beverage industry. Also, demographic factors contributed to turnover intentions. They also show that availability of alternative employment was a poor indicator of turnover intentions.
There are lots of research papers which discuses about the turnover intention in an organization. Above discussed literatures, test the effect if various factors on turnover intentions in an organization. In our research paper, we focus on the effect of perceived organizational politics on turnover intention in an organization. Hence, our hypothesis:
Organizational politics has a positive correlation with turnover intention.
Organizational Politics and Job Satisfaction:
There are two types of political behaviour: Self-promotion and ingratiation. When an organization is perceived as highly political, the more a person will make use of these political behaviours the more he/she will be satisfied with the job.
Satisfaction can be of two types:
Satisfaction with job in general
It has been empirically verified that as the perceived level of politics increases, the job satisfaction level decreases. It has also been argued that the degree to which perceptions of politics will contribute to job dissatisfaction is a function of whether politics in the organization is viewed as threatening and aversive. Hence it can be inferred that individuals perceiving politics as averse exhibit dissatisfaction with the job in general as a consequence of a highly political environment.
Satisfaction with supervision
Supervisor's behaviour influences the subordinates in terms of perception of politics and attitudes toward the supervisor.
The perceptions of unfairness are directed toward supervisors as the political environment is thought to be associated and influenced by them. The analyses provided by Drory reinforced the negative relationship between perceptions of politics and satisfaction with supervisor.
The article suggests that with the increase in perceived organizational politics the satisfaction with supervision decreases under low ingratiation levels and remains unchanged with change in levels of self-promotion.It is also inferred that individuals perceiving the organizational environments as highly political and reluctant to leave the organization, indulge in political behaviour as a mechanism of control through which the situation becomes 'bearable' for them. On the other hand, dissatisfied employees who are forced to stay in the organization indulge in lesser political behaviour and might get involved in withdrawal behaviours such as absenteeism or shirking as responses to a highly political environment.
Ingratiation may lead to increased supervisor liking of the subordinate but the self-promotion behaviours may be more effective in attaining tangible outcomes like promotions and raises that depend, to some degree, on the supervisors' assessments of subordinate competence. The lack of advancement in career and salary may lead to dissatisfaction.
Decisions related to performance appraisal, promotion, and salaries are susceptible to informal influence and deliberate political manipulation by both the decision maker and the subordinate. This influenced human resource decision-making is obviously not the valid, rational, and systematic process traditionally assumed to be the norm in organizations. The individuals who are rewarded and promoted may not be those who deserve, but rather those who can behave politically. Such decisions would not only lead to employee dissatisfaction but also affect organizational efficiency and competitiveness in an environment wherein work requires higher knowledge and skill levels than ever before. Thus the second hypothesis can be stated as follows:
Organizational politics has a negative correlation on job satisfaction.
Organizational Politics and Job Satisfaction:
Organizational politics and organizational support were found to be related with job satisfaction, commitment, turnover intentions and supervisor ratings of organizational citizen behaviour (OCB). It was also examined that whether organizational politics and organizational support were two different constructs. And the evidence was found to be ambiguous. The two factor model showed a fit between these two constructs.
Procedural Justice affects organizational citizenship behaviour by influencing perceived organizational support, which in turn prompts employees to reciprocate with organizational citizenship behaviours. Results suggested that procedural justice is an antecedent to perceived organizational support which in turn fully meditates relationship between three to four organizational citizenship behaviour dimensions.
Based on the above results of different studies the hypothesis (Moorman, et. al., 1995)that organizational politics influences procedural justice is derived from two arguments(Randall, 1999)
- Since organizational politics and organizational support affected the dimensions of OCB and procedural justice was found to be an antecedent to perceive organizational support in another study finally affecting the OCB dimensions, it is concluded that procedural justice is an antecedent to procedural justice as well.
- In a study it was found that using a particular model a fit was found between organizational politics and organizational support. Also, it was found that the organizational politics and organizational support are found to be more similar than was previously believed. In another study procedural justice was found to be antecedent to organizational support. Since, organizational support and politics were found to be similar, we can say that organizational politics influences organizational justice.
In another study(Harris, et. al., 2007) it was found through the empirical research that political actions may be prohibiting the fair procedures from being followed. Thus, it can be inferred that organizational politics influences procedural justice. In a study the interactive effect of the distributive justice and procedural justice was found out on the affect of the organizational politics on workplace attitudes. In our study we intend to study the affect of procedural justice alone and to what extent it is influenced by organizational politics.
Hence we propose the following hypothesis
Organizational politics influences perception of procedural justice negatively.
Procedural justice and job satisfaction
There has been lot of research conducted in the area of job satisfaction and how it is affected by organizational justice.There have been various studies trying to find out which component of organizational justice is most effectively related to job satisfaction.
A model which explains the effect of procedural justice on job satisfaction is the group- value model( Lind, E. A, et. al., 1990). It states that procedural justice is a key predictor of job satisfaction. This model is based on the social identity theory, which says that self-esteem is gained by individuals, when they feel that they are valuable members and the group in which they are present is also valued. The model says that if procedures are enacted in a fair manner, it increases the respect people have on the authorities, which in turn increases self-esteem (Lind, E. A., and Tyler, T. R. 1988 ).It says that procedural justice has an influence, whose scope is much beyond the related outcomes.
Also , in a research study conducted by Warner, Reynolds and Roman (Clay-Warner, et .al. , 2005), it was found that procedural justice was a significant predictor of job satisfaction. It found that procedural justice had a much greater impact on job satisfaction than distributive justice. This research was conducted among a sample of workers from the United States. The sample was representative of the entire nation. The results indicated that managers needed to ensure that procedural justice was practised, to ensure job satisfaction was achieved among the employees. It also concluded that distributive justice was relatively less significant than procedural justice when it came to influencing job satisfaction. There was a positive correlation between procedural justice and job satisfaction. However, this research took only one factor ,i.e, downsizing of employees, into account while establishing the relationship between organizational justice and job satisfaction. Also, this research holds true in the case of the United States, where the culture in organizations may be different from that of other countries. Similar research was conducted in Hong Kong (Fields, Dail et. al. 2000). Our research is restricted to the study of the organizations in the Indian domain. Hence , it is different from the earlier research. Hence, in the Indian scenario, we are proposing the hypothesis for empirical testing.
Hence, the hypothesis
Perception of procedural justice influences job satisfaction.
Procedural justice and turnover intentions:
The past researches have studied the effect of procedural justice on turnover intentions through some variables e.g. commitment, perceived organizational support etc. The direct relationship between the procedural justice and turnover intentions has not been studied.(Karim, 2008)
One study conducted among salespersons indicated that procedural justice affects the perceived organizational support among the employees which in turn increased in organizational commitment among the employees and this decided whether the employee would stay in an organization or not.(DeConinck et. al. 2007)
In another study the affect of the distributive justice, procedural justice on turnover intentions was found out. It was found that unless the employees get rewarded their turnover intentions were high. This means that the process through which rewards are determined (procedural justice) remains relatively insignificant than the event of the employees being rewarded (distributive justice). It can be inferred that the distributive justice has a stronger affect on turnover intentions than the procedural justice. But few studies conducted earlier also concluded that both distributive justice and procedural justice had equal affect on turnover intentions.(Harris, et. al., 2007)
In another study done in Chinese context, the study showed that the distributive and interactional justice has higher impact on turnover intentions. Since in the study the affect of procedural justice was also studied on turnover intention but only the other two justices were found to have significant impact.(Agarwal et.al., 2009)
Therefore, we can infer from the following arguments that there is little or no affect of procedural justice on turnover intentions
- As employees regarded the event of getting rewards more significant than the process by which they are allocated, the affect of procedural justice is quite low on turnover intentions.
- As the procedural justice may affect turnover intentions through some other outcome variables, but not directly, so it is inferred that there is not direct affect of procedural justice on turnover intentions.
- In different context (Chinese) the affect of interactional and distributive justice was significant on turnover intentions than the affect of procedural justice. As if the organizations communicate to the employees about the policies and it distributes rewards, the effect of process followed is found to be rather insignificant.
- According to social exchange theory, if people perceive a higher level of organizational justice they would be less likely to leave the organization. So, it can be inferred that if employees perceive that the procedures are not fair then the employees may quit the organization. And this intention to quit is turnover intention for our project. Hence, if there is an affect of procedural justice on turnover intention, it would be negative, as higher the perceived procedural justice, lower is the turnover intention.
Since we would like to study the effect of procedural justice on turnover intention in Indian context, hence we propose the following hypothesis
Perception of procedural justice affects the turnover intentions negatively.
Procedural justice and turnover intention:
Employee Turnover is one of the major problems faced by the organizations. Employee Turnover is the rate at which the average numbers of employees leave the organization (Usually expressed in per year basis). Employee Turnover can be a costly affair for organizations as huge money is spent in recruiting and training employees.
In the literature by ....the authors have tested the effect of job satisfaction of turnover intentions. The mediating variable considered in their model is "role centrality". They have defined role centrality as the importance of the existing role of an individual to his identity. Using the information and data from approximately four hundred individuals from a new generation bank based out of Lagos, Nigeria, the inter-relationship among job satisfaction, life satisfaction, role centrality and turnover intention was studied. In their study they concluded that job satisfaction has a negative effect on the turnover intention.
Research was conducted on nurses in Canada (Isik U. Zeytinoglu et.al., 2007). The aim was to establish the relationship between deteriorated work environment, job satisfaction and turnover intention. In this, the relationship between retention and turnover was also examined. The empirical data showed that the factors which had a positive correlation with employee relation, had a negative correlation with employee turnover .In other words, an increase in employee retention lead to a decrease in employee turnover. The reasrch model was based on Mobley's turnover theory.In 1977, Mobley (Mobley, W.H. 1977) had studied the relationship between job dissatisfaction on turnover intention. Mobley found that job dissatisfaction had a significant impact on an employee's thoughts about quitting the organization.
Research conducted in India also tried to test the relationship between job satisfaction and turnover intention .However, in this research, the model contained psychological climate as the independent/predictor variable.Job satisfaction and job involvement were used as mediating variables and the dependent variable was turnover intention. The resulting analysis showed that job satisfaction was a quasi- mediator,having a negative correlation with turnover intention.The results also showed that the predictor variable which had a significant impact on job satisfaction among employees was psychological climate. The study also concluded that an individual tried to relate the extension in the number of years he stayed with a company to the satisfaction he derived from his job. This also had a significant impact on organizational commitment.
Job satisfaction has been defined as "a pleasurable or positive emotional state resulting from the appraisal of one's job or job experience( Locke ,E A 1976).
This relationship between job satisfaction and turnover ideally should be in line with the balance theory (Heider 1958) and the cognitive dissonance theory. In our research study, we have studied if job satisfaction has a positive impact, i.e. a negative correlaion on turnover intention. Hence, our hypothesis is:
Job satisfaction has a positive influence on turnover intention.
Overall analysis of gaps in literature:
Overall, based on the literature review done on all the constructs and their relationships, we have found the following gaps.
- Majority of the research has focused on the study of individual relationships between the various constructs. There has been little focus on the overall relationship between all the four constructs, i.e, organizational politics, job satisfaction, procedural justice and turnover intention.
- Even in certain cases, where the relationship between all these four variables which have been studied, there have been additional variables like organizational commitment behavior, work attitudes, human resource practices, etc whose effects have been studied. In other words, the relationship between these four variables, have not been studied exclusively.
- Most of the research in this area has taken place in the United States, Europe, China and Hong Kong. There has been little research done in this area in the Indian context.
- The respondents in the research study have been restricted to a single professional domain, i e , the surveys were administered only to certain exclusive groups like salesperson, nurses, etc. Surveys were not administered to wide encompassing set of professionals which includes employees belonging to different industries and sectors.
Our research aims to bridge the above mentioned gaps in literature to the extent possible.
Data collection and sample:
The questionnaire used is structured and undisguised. An 18 item self administered questionnaire was floated via the internet (online survey) to employees belonging to the private sector in India. As the survey included sensitive questions about intention to quit and politics in the organization, the respondents were given an optional choice to reveal their name and organization, i.e., name and organization was not compulsory.
The objective was to get responses from people belonging to various levels in the organization. But due to the busy work schedules of the managers, who found it difficult to take time out to respond to the questionnaire, most of the respondents were employees belonging to the lower level in the hierarchy.
The survey was floated to around 250 respondents. Overall, there were 162 entries received out of which 44 were female and 128 were female. The survey was floated to people who had an earlier contact with the researchers and their friends. Non probability and convenience (purposive) sampling technique was used.
The following constructs were measured by Likert scales with responses ranging from 1 ("Strongly Disagree") to 5 ("Strongly Agree").
Organizational Politics: Perceived organizational politics was measured using a 4-item scale developed by Kacmar et al. (2003). A sample item is "People do what's best for them, not what's best for the organization".
Procedural justice: Procedural justice was measured using a 7-item scale developed by Leventhal et al. (1980). A sample item is "Have those procedures been free of bias?"
Job Satisfaction: Job satisfaction was measured using a 5-item scale developed by Brayfield and Rothe (1951). A sample item is "I feel fairly satisfied with my present job".
Turnover intention: Turnover intention was measured using a 5-item scale developed by Cummann et al. (1979). A sample item is "I often think about quitting."
In our model, we have considered "organizational politics" as the predictor variable. The criterion variable is "turnover intention". We consider the effect of predictor variable on criterion variable through two mediator variable, "job satisfaction" and "procedural justice".
In our model we use three steps for analysis. In the first step, perceived organizational politics is the predictor variable, job satisfaction is the criterion variable and perceived procedural justice is the mediator. In the second step, perceived organizational politics is the predictor variable, turnover intention is the criterion variable and perceived procedural justice is the mediator. In the third step, perceived organizational politics is the predictor variable, turnover intention is the criterion variable and perceived procedural justice and job satisfaction are the mediators.
We have calculated mean, standard deviation, correlation and internal consistency (using Cronbach 's alpha coefficient) of the variables of our research study. We observe that the scales used for measuring job satisfaction, perceived organizational politics, procedural justice and turnover intentions are internally consistent as Cronbach's alpha coefficient is greater than 0.7 for each scale.
We also observe by the correlation data that perceived organizational politics is negatively correlated to job satisfaction and procedural justice. This is coherent with the theoretical findings that with more perceived organizational politics job satisfaction and perceived procedural justice are less. Procedural justice is found to be positively correlated with job satisfaction and negatively correlated with turnover intentions. This indicates that with more procedural justice, job satisfaction among employees is more and turnover intentions are less. Also it is observed that with increase in organizational politics, turnover intentions among employees are less as organizational politics is negatively correlated with turnover intentions. Since, job satisfaction is negatively correlated with turnover intentions; we find that with increase in job satisfaction reduces turnover intentions among the employees.
Regression Result for Model I
Regression was carried out with organizational politics being the predictor and job satisfaction being the criterion variable. Direct effect of organizational politics on job satisfaction was determined and the significance value was found out to be 0.011 with a standardized co-efficient value of -0.198. This value indicates negative correlation between organizational politics and job satisfaction which is consistent with the earlier research carried out.
The effect of both organizational politics and perceived procedural justice on job satisfaction was studied with both organizational politics and perceived procedural as predictor variable and job satisfaction as a criterion variable. The value of significance was 0.35 for organizational politics and 0.035 for procedural justice. The standardized coefficient value of organizational politics was -0.087 and that of procedural justice was 0.197 .As organizational politics is insignificant here and is significant when its effect is separately considered on job satisfaction, we can say that procedural justice fully mediates the relation between the organizational politics and job satisfaction.
Regression Result for Model II
Regression was first carried out between organizational politics and turnover intention. Direct effect of organizational politics on turnover intention was determined and the significance value was found out to be 0 with a standardized co-efficient value of 0.295. This value indicates positive correlation between organizational politics and turnover intention.
The effect of both organizational politics and perceived procedural justice on turnover intention was studied with both organizational politics and perceived procedural as predictor variable and turnover intention as a criterion variable. The value of significance was 0.003 for organizational politics and 0.7 for procedural justice. The standardized coefficient value of organizational politics was 0.275 and that of procedural justice was - 0.035.As procedural justice is not significant, it indicates a suppressor or confounder effect where in the mediating effect of procedural justice has been suppressed in the relationship between organizational politics and turnover intention. Therefore, there is no mediation effect of procedural justice on job satisfaction.
Regression Result for Model III
As the effect of organizational politics on turnover intentions was already measured in step two above, we have measured the effect of procedural justice and job satisfaction on turnover intention. Direct effect of procedural justice on turnover intention was determined and the significance value was found out to be 0 .015 with a standardized co-efficient value of -0.191. This value indicates negative correlation between procedural justice and turnover intention. The effect of both job satisfaction and perceived procedural justice on turnover intention was studied with both job satisfaction and perceived procedural justice as predictor variable and turnover intention as a criterion variable. The value of significance was 0 for job satisfaction and 0.19 for procedural justice. The value of 0.19 re-affirms the earlier finding that effect of procedural justice has been suppressed. The value of standardized coefficient for justice was -0.098 and job satisfaction was -0.375. This indicates that there is a negative correlation between job satisfaction and turnover intention.
Discussion and implications:
Thus, the overall analysis reveals the following:
The effect of organizational politics on job satisfaction is fully mediated through procedural justice. Organizational politics has a negative correlation with job satisfaction. This indicates that the increase in the presence of organizational politics leads to lesser job satisfaction. This result is in line with the results found by Cropanzano et. al, 1999. Organizational politics leads to the perception of unfair procedures being employed in the organization and hence leads to employees losing interest in their job which in turn leads to decrease in job satisfaction. Thus, it becomes a challenge for management to design HR practices in organization which are considered fair and just by their employees. This will lead to employees being more satisfied with their job.
We also found that there is no mediation effect of procedural justice in the relationship between organizational politics and turnover intention. Also, we found that there is a positive correlation between organizational politics and turnover intention. This again is consistent with the earlier research conducted by Cropenzano et. al (1999). This shows that with increase in politics in the organization, the job hopping becomes common. This is one of the important inputs which can be taken by line managers and HR managers, which will help them to keep their employees, continue with their present job and hence contribute towards the organization.
Job satisfaction has a mediating effect on the relationship between organizational politics and turnover intention. Job satisfaction has a negative correlation with turnover intention. This result is consistent with the study by Amah, O. E. (2009). This goes on to show that higher the politics in the organization, lower is the job satisfaction and hence, higher is the turnover intention. Employee Turnover is one of the major problems faced by the organizations. Employee Turnover can be a costly affair for organizations as huge money is spent in recruiting and training employees. Hence, our research can be of use to managers in organizations, especially for organizations which constantly face high attrition rate. One of the steps managers can take, along with other steps; to decrease attrition/turnover intention among employees is to keep organizational politics in check. The kind of the work in the organization might really......, but if employees sense the presence of self-serving behavior in the organization, they lose interest in their job and hence might think about changing their job/ joining a new organization. Hence designing procedures which will keep organizational politics in control and makes the entire process transparent is of utmost important for organizations.
The turnover intention scale consisted of questions like "I often think about quitting" (Cummann et al,1979). This does not capture the necessary reason behind quitting the job. Organizational politics or perception of procedural justice might not be the only reason or may not be the reason at all when the person says that he wants to quit the job. Hence, our scale and model does not capture any other factors, apart from Organizational politics and perception of procedural justice, which might actually be the reason for the person thinking of quitting the job.
The study we have conducted is a cross-sectional study. Over the period a lot of factors, including organizational politics and the perception of procedural justice/procedures followed in an organization, may change and the intention of an employee to quit or his disliking towards the job might change. Our study does not account for this.
In our survey, out of 162 respondents, numbers of female respondents were 44. Due lower number of female respondents being captured in the survey, we could not find the moderating effect of gender in the survey. So the results of our survey cannot be blindly generalized to both the genders and hence care must be taken before generalizing this survey when the question involved is related to gender as well.
Most of our respondents were from the lower hierarchy in an organization. There were very few from upper hierarchy in an organization who participated in our survey. The way upper hierarchy employees perceive justice in an organization might be totally different from the way lower level employees perceive justice in an organization. Also the factors the employees form upper heirarchy consider for judging their job may be different from the factors the employees form lower level in an organization consider. Hence our study again cannot be blindly generalized to all the levels in an organization
Again, almost all the respondents of our survey were form private sector organizations including IT and manufacturing. We could not get the survey done among the public sector employees. Hence, the results of our survey are more applicable for employees from private sector organizations than public sector organizations.
- Since the research was carried out only among employees belonging to the private sector, future research can be extended to public sector organization and the moderating effect can be studied.
- This research focuses only on the procedural justice component of organizational justice.The other forms of organizational justice like distributive, interpersonal and informational justice and their impact on the model can be studied.
- Subject to the availability of sufficient sample size, the moderating effect of gender on the model can be studied.
- Since our research was restricted to employees, who mostly belonged to the lower level in the hierarchy, future research can be carried out on people belonging to the higher management levels, as there might be increased role of politics as one moves up the ladder in the organization.