Week 12

October 31 – November 5, 2022

Welcome to
 Why Should We Care
Chapter 10 I EMPLOYEE SATISFACTION AND About Employee
Attitudes?
COMMITMENT What Causes
Employees to be
Satisfied with and
Committed to Their
Jobs?

Measuring Job
Satisfaction and
Commitment
Psy 1208 INDUSTRIAL AND ORGANIZATIONAL PSYCHOLOGY Consequences of
Faculty: A. EDWIN B. ARUELO, MBM, DipWLD Dissatisfaction and
1st Sem SY 2022-2023 I [email protected]
Other Negative Work
“Psychology in the Workplace” Attitudes
Why should we care about
1
employee attitudes?
what you
do

what you
think,
feel or
believe
what you
do
"Ice cream is
“the behavior
really great."
of eating ice
cream”
what you
think,
feel or
believe
So, what then is an
“employee attitude?”

what an employee thinks, feels or

believes in his job-related activities
There is a direct link between employee’s
Types of • Job Satisfaction The attitude employees have
Employee • Job Involvement toward their jobs.
• Organizational
Attitudes Commitment

The extent to which an employee involves

himself in the affairs of the organization.

The extent to which an employee is

involved and decides to maintain
relationship with the organization.
 Employee studies showed…
Satisfaction and
Commitment: • satisfied employees tend to be committed to
an organization (Cooper-Hakim & Viswesvaran, 2005),
Relationship • employees who are satisfied and committed
are more likely to attend work (Hackett, 1989),
• stay with an organization (Griffeth, Hom, &
Gaertner, 2000),
• arrive at work on time (Koslowsky, Sagie, Krausz, &
Singer, 1997),
• perform well (Judge, Thoresen, Bono, & Patton, 2001),
• engage in behaviors helpful to the
organization (LePine, Erez, & Johnson, 2002),
• not behave in counterproductive ways (Dalal,
2005), and
• engage in ethical behavior (Kish-Gephart, Harrison,
& Trevio, 2010) than employees who are not
satisfied or committed.
What Causes Employees to be 2
Satisfied with and Committed
to Their Jobs?
 “ I stay because I want to.”
Three
motivational
facets to
ORGANIZATIONAL
COMMITMENT
(Meyer & Allen, 1997) “ I stay because I have to.”

“ I stay because I ought to.”

Antecedents and Consequences of Job Satisfaction and
Organizational Commitment
 • postulates that some
variability in job satisfaction
is due to an individual’s
personal tendency across
situations to enjoy what he
does (each of us has a unique way
to react differently).

Individual Difference Theory

 • Important Findings
• Consistency across jobs
• Consistency across time
• Relationship between life
satisfaction and job
satisfaction
• Why?
• Genetic predispositions
• Core self-evaluations
• self-esteem
• self-efficacy
Individual Differences in • internal locus of control
Employee Satisfaction • optimism/positive
affectivity
• Life Satisfaction 21
Genetic Core self-evaluations
predisposition
Judge, Locke, and Durham (1997) have hypothesized that
“Inherited personality four personality variables are related to people’s
predisposition to be satisfied with their life and jobs:
traits such as negative emotional stability, self-esteem, self-efficacy (perceived
affectivity (the tendency to ability to master their environment), and internal locus of
control (perceived ability to control their environment).
have negative emotions
That is, people prone to be satisfied with their
such as fear, hostility, and jobs and with life in general have high self-
anger) are related to our esteem and a feeling of being competent, are
tendency to be satisfied emotionally stable, and believe they have
with jobs (Ilies & Judge, control over their lives, especially their work
2003). lives. Thus, people happy in life tend to be
happy in their jobs and vice versa.
 Discrepancy Theory in
Employee Motivation and
Satisfaction
“If there is a discrepancy between needs,
values, and expectations and the reality of
the job, employees will become
dissatisfied and less motivated.
When an employee’s expectations are not
met, the results are:
• lower job satisfaction
Are employees job • decreased organizational commitment
expectations met? and
• increased intent to leave the
organization.”
25
Wanous, Poland, Premack, and Davis (1992)
Discrepancy Theories
• Have the employee’s expectations been
met?
• Realistic job previews (RJPs)
• Is the employee a good fit?
• Vocation
• Job
• Organization
• Coworkers and supervisor
• Have the employee’s needs, values and
wants been met?
• Maslow’s Needs Hierarchy
• ERG Theory
• Two-factor Theory

26
 • Five aspects of fit: “When employees consider
how well they “fit” with a job or an organization,
they consider the extent to which their values,
interests, personality, lifestyle, and skills match
those of their vocation (e.g., a career such as
nursing, law enforcement, or psychology), job (its
particular tasks), organization, coworkers, and
supervisor”
(Kristof-Brown, Zimmerman, & Johnson, 2005)

• “needs/supplies fit” : rewards, salary, and

benefits (Cable and De Rue, 2002)

• desire for a particular “work schedule” -

Is the employee a good fit e.g., shift, number of hours. “the better the
fit between an employee’s desired schedule and his
with the job and the actual schedule, the greater an employee’s job
organization? satisfaction, organizational commitment,
performance, and the likelihood to remain with the
organization” (Holtom, Lee, & Tidd, 2002).
 employees indicated that the
nature of the work itself was a
Are the tasks enjoyable? very important factor in their
level of job satisfaction.
- The SHRM 2014 Employee Job Satisfaction and
Engagement survey
 “Satisfaction with
supervisors and coworkers
was related to organizational
and team commitment,
which in turn resulted in
higher productivity, lower
intent to leave the
organization, and a greater
Do employees enjoy willingness to help.
- Bishop and Scott (1997)
working with supervisors
and co-workers?
 Social Information Processing
Theory or the Social Learning
Theory
• postulates that employees
observe the levels of
motivation and satisfaction of
other employees and then
model those levels (Salancik &
Pfeffer, 1977).

Are co-workers outwardly • “One co-worker can affect job

satisfaction.”
happy?
 Equity Theory
“The premise that our levels of
job satisfaction and motivation
are related to how fairly we
believe we are treated in
comparison with others. If we
believe we are treated unfairly,
we attempt to change our
Are rewards and beliefs or behaviors until the
resources given situation appears to be fair.”
equitably?
 Equity Theory
ORGANIZATIONAL JUSTICE Distributive justice
• A theory that if employees • The perceived fairness of the decisions
perceive they are being made in an organization
treated fairly, they will be
more likely to be satisfied Procedural justice
with their jobs and • The perceived fairness of the methods
motivated to do well. used by an organization to make
decisions
Three (3) Aspects of Interactional justice
Organizational Justice: • The perceived fairness of the inter-
Approaches to fairness issues
personal treatment that employees
received in making decisions
 Job Redesign
any work changes that
increase work quality or
productivity

Is there a chance for

growth and challenge
Is there a chance for
growth and challenge?
Increasing Job
Satisfaction
• Hire “Satisfied” Employees
• Eliminate Dissatisfiers
• Express appreciation and
provide proper feedback
• Increase opportunities to
socialize
• Hold special events and friendly
competitions
• Increase humor
• Have surprises
• Assign the right tasks to the
right people
Measuring Job Satisfaction
3
and Commitment
Measuring Job Satisfaction
• Faces Scale
• Job Descriptive Index (JDI)
• Minnesota Satisfaction
Questionnaire
• Job in General Scale
• Nagy Satisfaction Scale
• Custom designed inventories
Measuring Job Satisfaction
• Faces Scale
A measure of job satisfaction in which raters
place
a mark under a facial expression that is most
similar to the way they feel about their jobs.

One of the first methods for measuring job

satisfaction developed by Kunin (1955)
Measuring Job Satisfaction
• Job Description Index (JDI)
A measure of job satisfaction that yields
scores on five dimensions. supervision,
pay, promotional opportunities,
coworkers, and the work itself.

Developed developed by Smith, Kendall,

and Hulin in 1969 and most recently
revised in 2009. Consists of 72 job-
related adjectives and statements that
are rated by employee
• Yes
• No
• ? (Can’t decide)
Measuring Job Satisfaction
• Minnesota Satisfaction
Questionnaire (MSQ)
A measure of job satisfaction that
yields scores on 20 dimensions, with
100 items

Developed by Weiss, Dawis, England,

and Lofquist (1967).
Measuring Job Satisfaction
• Job in General (JIG) Scale
A measure of overall level of job
satisfaction (rather than specific
aspects). The participants are asked to
think about how satisfied they are
with their job in a broad, overall sense.

Developed by Ironson, Smith,

Brannick, Gibson, and Paul (1989)
Measuring Job Satisfaction
• Nagy Satisfaction Scale
A Single-Item Approach to Measure Facet
Job Satisfaction

Developed by J.P. Wanous et al (1997)

Measuring Job Satisfaction
• Custom designed inventories
Measuring Commitment

•Allen and Myer Survey

•Organizational Commitment
Questionnaire
•Organizational Commitment
Scale
Measuring Commitment

•Allen and Myer Survey

Nowadays, the most accepted tool to
measure OC is that of Alan and Meyer
(1990). This questionnaire is composed, in
its full length, of 24 items, eight items in
each of the following claimed dimension:
affective commitment scale (ACS),
continuance commitment scale (CCS) and
normative commitment scale (NCS).
 Level of
Agreement
Measuring Commitment

•Organizational Commitment
Questionnaire
The Organizational Commitment Questionnaire
(OCQ, Mowday, Steers, & Porter, 1979)
was developed to measure employee
commitment to work organizations.
Organizational commitment was defined as
the relative strength of an individual's
identification with and involvement in a
particular organization.
Measuring Commitment

•Organizational Commitment
Scale (OCS)
A nine-item survey developed by Balfour and
Wechsler (1996) that measures three aspects
of commitment: identification, exchange, and
affiliation.

Sample questions include, “I felt like a part of

the family at this organization” and “What this
organization stands for is important to me.”
 The Concept of
Organizational Citizenship
Behaviors (OCBs)
• Behaviors that are not part of an employee’s job but
that make the organization a better place to work (e.g.,
helping others, staying late).
Why is organizational
commitment worth measuring?

“Gaining employee
commitment results in a
greater profits because
enthusiastic employees stay,
contribute discretionary effort
,and engage customers.”
-Harvard Business Review
 4
Consequences of Dissatisfaction
and Other Negative Work
Attitudes
Absenteeism &
Turnover
Actual Employee Excuses for Missing Work
• I was sprayed by a skunk.
• I tripped over my dog and was knocked unconscious.
• My bus broke down and was held up by robbers.
• I was arrested as a result of mistaken identity.
• I forgot to come back to work after lunch.
• I couldn’t find my shoes.
• I hurt myself bowling.
• I was spit on by a venomous snake.
• I totaled my wife’s jeep in a collision with a cow.
• A hitman was looking for me.
• My curlers burned my hair and I had to go to the hairdresser
• I eloped.
• My cat unplugged my alarm clock.
• I had to be there for my husband’s grand jury trial.
• I had to ship my grandmother’s bones to India. (note: she had passed away 20
years ago)

Source: 2004 CareerBuilder.Com Survey 65

Why Employees
Are Absent
Increasing Attendance by Having
Consequences for Missing Work
Increasing Attendance by
Reducing Employee Stress
Increasing
Attendance by
Reducing Illness

69
Types of Wellness Programs
SHRM 2011 Survey

Wellness Program % Offering

Employee assistance program 75
Provide wellness information 75
Health screening programs 42
Smoking cessation program 36
Weight loss program 30
On-site fitness center 24
Stress reduction programs 12

70
Absence Control Surveys
Absence Control Percent Using Effectiveness Rating
Method 2003 2005 2007 2003 2005 2007
Disciplinary action 96 90 89 3.3 3.4 3.4

Performance appraisal 84 79 82 2.9 3.0 2.9

Verification of illness 75 76 74 2.9 3.2 3.2

Paid leave bank 59 67 60 3.6 3.5 3.6

Personal recognition 62 66 57 2.5 2.6 2.6

No-fault systems 62 63 59 3.0 3.0 2.9

Bonus programs 52 57 51 3.1 3.3 3.3

Buy-back programs 548 58 53 3.3 3.5 3.4

71
Why Do Employees Leave?
• Unavoidable Reasons • Escape From
• school ends • people
• job transfer • management
• illness • coworkers
• customers
• family issues
• working conditions
• Advancement • stress
• more responsibility
• Unmet Expectations
• better pay
• organization
• Unmet Needs • job
• career

73
Why Are Your •Exit Interviews
Employees Leaving?
•Attitude Surveys

•Salary Surveys
•pay
•benefits
•time off
74
 The Cost of Turnover
Visible Costs Per Hire Hidden Costs
• Advertising charges • Loss of Productivity
• Agency fees • employee leaving
• Referral bonuses • other employees
• Staff time & benefit (processing • vacant position
applications, interviewing) • new employee (1 year)
• Overhead • Inefficiency
• Travel costs (staff, applicants)
• Overtime
• Relocation costs
• Miscellaneous Costs • Training Costs

78
Compensation Issues

• Match the market

• Use job evaluation to ensure

internal equity

• Offer retention/tenure
bonuses (stay for pay)
Increasing salary
and benefits
will only work if:
• Employees are leaving due
to low compensation or
benefits
• The turnover rate is high
• The salary increase will be
a meaningful amount

81
Selection issues

•Conduct realistic job previews

•Look for person-organization fit
•Study predictors of people who
leave

82
Organizational Issues

•Provide training
•Show appreciation
•Mediate conflicts
•Meet employee needs
• safety
• social
• growth

83
Strategic Use of Benefits to Attract and Retain
Applicants
• By Providing • You Can Attract/Retain
• Health care for • Gay employees
domestic partners
• Daycare benefits • Dual career families and
parents on public assistance
• Meal benefits • Students and retirees
• Paid time-off • Young people
• Flexible schedules • Homemakers/parents
• Tuition/books • Students

84
 Employees may experience job
dissatisfaction and uncommitted to
their jobs for various reason….
… but we, as I/O Practitioners
should work hard to develop
employee satisfaction and
commitment because …