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Mutual gains? Is there a role for employee engagement in the modern workplace?

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Bryson, Alex

Institute of Labor Economics, Bonn

IZA - Bonn

2017

32 p.

employees attitude ; management strategy ; decision making ; work performance ; human resources ; occupational psychology

Discussion Paper

11112

Labour relations

http://www.iza.org/

English

Bibliogr.

"I examine the history of employee engagement and how it has been characterised by thinkers in sociology, psychology, management and economics. I suggest that, while employers may choose to invest in employee engagement, there are alternative management strategies that may be profit-maximising. I identify four elements of employee engagement – job 'flow', autonomous working, involvement in decision-making at workplace or firm level, and financial participation – and present empirical evidence on their incidence and employee perceptions of engagement, drawing primarily from evidence in Britain. I consider the evidence regarding the existence of mutual gains and present new evidence on the issue. I find a non-linear relationship between human resource management (HRM) intensity and various employee job attitudes. I also find the intensity of HRM use and employee engagement are independently associated with improvements in workplace performance. I consider the implications of the findings for policy and employment practice in the future."

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