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Organizational Justice, Employee Turnover, and Trust in the Workplace: A Study in South Asian Telecommunication Companies
Author(s) -
Farooq Mariam,
Farooq Omer
Publication year - 2014
Publication title -
global business and organizational excellence
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.227
H-Index - 16
eISSN - 1932-2062
pISSN - 1932-2054
DOI - 10.1002/joe.21539
Subject(s) - organizational justice , procedural justice , distributive justice , salary , business , interactional justice , public relations , economic justice , human resource management , perception , turnover , organizational commitment , marketing , psychology , political science , management , economics , law , neuroscience
Most managers develop their strategy around tangible supports (salary and fringe benefits) and human resource practices to manage turnover and other behaviors among employees. This study posits that the perception of organizational justice is also an important factor in determining employees' behavior in the workplace and can be used as an effective strategy to manage people. In examining the impact of distributive and procedural justice on employees' trust in their organizations (organizational trust) and on employee turnover, it suggests that employees are very sensitive to justice‐related issues in their organizations and that organizational trust mediates between organizational justice and employee turnover. Data from 597 employees working in five private‐sector telecommunication companies in South Asia suggest that both distributive and procedural justice increase employees' trust in their organization and decrease employee turnover. The data also reveal that employees are more concerned about procedural justice than distributive justice. ©2014 Wiley Periodicals, Inc.