The relationship between ‘high-performance work practices’ and employee attitudes: an investigation of additive and interaction effects

Abstract

In order to improve our understanding of mediating variables inside the ‘black box’ of the firm's labour management, this paper examines the relationship between high-performance work system (HPWS) practices and employee attitudes. Using a randomly selected, national population sample, clear evidence was found for a positive relationship between HPWS practices and the attitudinal variables of job satisfaction, trust in management, and organizational commitment, implying that HPWS can provide win-win outcomes for employees and employers. However, the study also tests – from an employee perspective – the ‘complementarities thesis’ and finds negative interaction effects among HPWS practices. This strengthens the argument that there are likely to be limits to the positive outcomes of HPWSs for employees. Evidence of sequencing in the employee attitudinal responses to HPWSs was also found, with job satisfaction as the key mediating variable.

Keywords:

• High-performance work systems
• bundling
• strategic HRM
• job satisfaction
• trust
• commitment

Acknowledgements

The authors would like to thank Professor J. H. K Inkson and Associate-Professor S. Carr, both of Massey University, and Dr Marc Orlitzky of Auckland University, for their feedback on various aspects of this research. We would also like to thank the hundreds of people who gave freely of their time to participate in this research. The research was funded by a Massey University, College of Business, Business Research Fund grant (no. A02/R/828).