This experiment was a 2X2X2X2 factorial design field simulation that examined the effects of four independent variables on perceived invasion of privacy. The objectives of this research were to determine whether employees were more likely to perceive an invasion of privacy when (a) personal information was given freely without (vs. with) their permission, (b) the disclosure of personal information produced unfavorable (vs. favorable) consequences, (c) personality (vs. performance) information was disclosed, and (d) personal information was disclosed to external (vs. internal) recipients. Employees (A' = 2,047) of five major corporations were randomly selected from the available pool of employees on location and were randomly distributed in the research design. Subjects read one of 16 hypothetical situations describing an employee who had applied for a new job that was a promotion and responded to a series of questions designed to assess their perceptions of the situation. The results of the study support its hypotheses. Specifically, the subjects perceived a greater invasion of privacy with personality information than with performance information, with no permission for disclosure than with permission, with unfavorable consequences of disclosure than with favorable consequences, and with external disclosure than with internal disclosure. Eta-squared values revealed that permission was the most important main effect, location of disclosure second, consequences third, and type of information least important. The results are discussed, and suggestions for future research are offered.In July 1977, the Privacy Protection Study hearings on employee privacy in the work-Commission issued the results of its exten-place. The Department of Labor hearings sive investigation of the individual right to included the testimony of both scholars and privacy and of record-keeping practices in managers and underscored the current demany environments. In addition, the U.S. bate as to whether there should be federal Department of Labor recently completed legislation regulating the collection and dissemination of employee personnel informa----:--,,,... .--tion by employers (McChriston, Note 1; Portions of this article were presented at the National c ». . ", : M ... Academy of Management Convention, Detroit, Michi-&tone -Note £ Westin, Not& 5). gan, August 1980. At present, legislation regulating to vary-This research was funded by a grant from the Infor-ing degrees all record-keeping systems conmation Privacy Research Center, Purdue University, to taining personal data Stored by either public ^^t^^^^^o.^ or private sector organizations has been chinsky, Department of Management, College of Busi-passed by 15 states {Government Disclosure ness
