The Impact of Employment Practices Change on Permanent Employees
Date Issued
2008
Date
2008
Author(s)
Huang, Ju-Yen
Abstract
Over the past two decades, employees have faced dramatic changes in working life in the western industrialized countries as well as in the newly developing countries in Asia. Under the pressure of competition, many organizations have changed their human resource practices in order to be more flexible and improve competitiveness, and thus have greatly affected its permanent employees. This article focuses on how do human resource practices (i.e. using nonstandard workers and layoff) influence permanent employees’ affective commitment, job satisfaction, perceptions of relations between managers and employees and perceived job security. This study finds that the extent of using nonstandard workers would positively affect permanent employees’ feelings of being replaced by nonstandard workers, but it did not have effects on other independent variables. The extent of layoff would also positively affect permanent employees’ feelings of being replaced by nonstandard workers, and negatively affect their perceptions of relations between managers and employees, though the effect was marginally significant. The extent of layoff did not have effects on other independent variables. The present study also considered the extent of using nonstandard workers as a moderator. According to the results of regression models with interaction term, this study finds that the extent of using nonstandard workers had a negative effect on permanent employees’ job satisfaction and the perceptions of relations between managers and employees. The extent of layoff had a negative effect on permanent employees’ job satisfaction and the perceptions of relations between managers and employees while it also had a positive effect on permanent employees’ worries about losing their jobs. Besides, the extent of using nonstandard workers would mitigate the effect of the extent of layoff on permanent employees’ job satisfaction, the perceptions of relations between managers and their worries about losing jobs. This result reveals that, in Taiwan, using nonstandard workers will not necessarily have negative effects on permanent employees in the workplace.
Subjects
nonstandard workers
layoff
working life
affective commitment
job satisfaction
industrial relations
job security
Type
thesis
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