Consequences of Unfair Job Promotions in Companies

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216224%3A14560%2F20%3A00115221" target="_blank" >RIV/00216224:14560/20:00115221 - isvavai.cz</a>

Výsledek na webu

<a href="https://www.edt-conference.com/images/Smart%20Governments_Regions_and_Cities_.pdf" target="_blank" >https://www.edt-conference.com/images/Smart%20Governments_Regions_and_Cities_.pdf</a>

DOI - Digital Object Identifier

—

Jazyk výsledku

angličtina

Název v původním jazyce

Consequences of Unfair Job Promotions in Companies

Popis výsledku v původním jazyce

Companies, particularly large organizations with several hierarchical levels, often need to fill a vacant managerial position to maintain efficient operations. When the decision is to use internal resources rather than hire a candidate from the outside, companies usually fill the position by promoting a lower-ranking employee. The promotion to the managerial level comes with an increase in salary, a change in professional duties, and a shift in the career path and in the company hierarchy. Since all of these are usually perceived as desirable, a promotion can cause strong emotional reactions both from the employee who was promoted and from employees who were not. If the promotion of an employee to a managerial position is perceived by the non-promoted employees as undeserved or unfair, the non-promoted ones might become demotivated and might decrease their productive effort. A decrease in productive efforts and other unethical behaviors are often difficult to measure in the workplace. Experimental economics provides a suitable tool for studying (i) the behavior of individuals under controlled conditions when promotions perceived as unfair happen in companies; (ii) the reactions of promoted and non-promoted individuals; and (iii) the changes in productivity. The analysis of the information gathered via conducted laboratory experiment shows that when remuneration of employees is perceived as unfair their productivity decreases. Moreover, experimental design studying the reaction of promoted versus non-promoted employees was proposed to be able to deepen the knowledge of unfair job promotions in companies.

Název v anglickém jazyce

Consequences of Unfair Job Promotions in Companies

Popis výsledku anglicky

Companies, particularly large organizations with several hierarchical levels, often need to fill a vacant managerial position to maintain efficient operations. When the decision is to use internal resources rather than hire a candidate from the outside, companies usually fill the position by promoting a lower-ranking employee. The promotion to the managerial level comes with an increase in salary, a change in professional duties, and a shift in the career path and in the company hierarchy. Since all of these are usually perceived as desirable, a promotion can cause strong emotional reactions both from the employee who was promoted and from employees who were not. If the promotion of an employee to a managerial position is perceived by the non-promoted employees as undeserved or unfair, the non-promoted ones might become demotivated and might decrease their productive effort. A decrease in productive efforts and other unethical behaviors are often difficult to measure in the workplace. Experimental economics provides a suitable tool for studying (i) the behavior of individuals under controlled conditions when promotions perceived as unfair happen in companies; (ii) the reactions of promoted and non-promoted individuals; and (iii) the changes in productivity. The analysis of the information gathered via conducted laboratory experiment shows that when remuneration of employees is perceived as unfair their productivity decreases. Moreover, experimental design studying the reaction of promoted versus non-promoted employees was proposed to be able to deepen the knowledge of unfair job promotions in companies.

Druh

D - Stať ve sborníku

CEP obor

—

OECD FORD obor

50204 - Business and management

Projekt

—

Návaznosti

S - Specificky vyzkum na vysokych skolach

Rok uplatnění

2020

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název statě ve sborníku

2nd Scientific Conference on Economics of Digital Transformation - Smart Governments, Regions and Cities

ISBN

9789537813567

ISSN

—

e-ISSN

—

Počet stran výsledku

12

Strana od-do

19-30

Název nakladatele

University of Rijeka: Faculty of Economics and Business

Místo vydání

Rijeka

Místo konání akce

Opatija, CROATIA

Datum konání akce

1. 1. 2019

Typ akce podle státní příslušnosti

WRD - Celosvětová akce

Kód UT WoS článku

000589579700001